Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Feb. 28, 2014 | Jun. 30, 2013 | |
Document and Entity Information [Abstract] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Entity Registrant Name | 'UNITY BANCORP INC /NJ/ | ' | ' |
Entity Central Index Key | '0000920427 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Filer Category | 'Smaller Reporting Company | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 7,579,377 | ' |
Trading Symbol | 'unty | ' | ' |
Entity Public Float | ' | ' | $35,705,836 |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
ASSETS | ' | ' |
Cash and due from banks | $24,272 | $23,705 |
Federal funds sold and interest-bearing deposits | 75,132 | 70,487 |
Cash and cash equivalents | 99,404 | 94,192 |
Securities: | ' | ' |
Securities available for sale | 81,133 | 89,538 |
Securities held to maturity (fair value of $25,549 and $22,741 in 2013 and 2012, respectively) | 26,381 | 21,515 |
Total securities | 107,514 | 111,053 |
Loans: | ' | ' |
SBA loans held for sale | 6,673 | 6,937 |
SBA loans held to maturity | 48,918 | 58,593 |
SBA 504 loans | 31,564 | 41,438 |
Commercial loans | 363,340 | 301,564 |
Residential mortgage loans | 182,067 | 132,094 |
Consumer loans | 46,139 | 46,410 |
Total loans | 678,701 | 587,036 |
Allowance for loan losses | -13,141 | -14,758 |
Net loans | 665,560 | 572,278 |
Premises and equipment, net | 15,672 | 12,062 |
Bank owned life insurance ("BOLI") | 12,749 | 9,402 |
Deferred tax assets | 6,752 | 5,954 |
Federal Home Loan Bank stock | 5,392 | 3,989 |
Accrued interest receivable | 3,272 | 3,298 |
Other real estate owned ("OREO") | 633 | 1,826 |
Prepaid FDIC insurance | ' | 1,929 |
Goodwill and other intangibles | 1,516 | 1,516 |
Other assets | 2,654 | 2,231 |
Total assets | 921,118 | 819,730 |
Liabilities: | ' | ' |
Deposits: Noninterest-bearing demand deposits | 136,035 | 114,424 |
Deposits: Interest-bearing demand deposits | 130,806 | 114,838 |
Deposits: Savings deposits | 266,503 | 294,533 |
Deposits: Time deposits, under $100,000 | 108,258 | 76,994 |
Deposits: Time deposits, $100,000 and over | 97,096 | 47,971 |
Total deposits | 738,698 | 648,760 |
Borrowed funds | 107,000 | 75,000 |
Subordinated debentures | 15,465 | 15,465 |
Accrued interest payable | 454 | 434 |
Accrued expenses and other liabilities | 2,328 | 2,561 |
Total liabilities | 863,945 | 742,220 |
Commitments and contingencies | ' | ' |
Shareholders' equity: | ' | ' |
Cumulative perpetual preferred stock | ' | 20,115 |
Common stock | 52,051 | 54,274 |
Retained earnings | 5,598 | 1,788 |
Accumulated other comprehensive income (loss) | -476 | 1,333 |
Total shareholders' equity | 57,173 | 77,510 |
Total liabilities and shareholders' equity | $921,118 | $819,730 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
Consolidated Balance Sheets [Abstract] | ' | ' |
Held to maturity securities, fair value | $25,549 | $22,741 |
Preferred Stock, Liquidation Preference Per Share | $1 | $1 |
Preferred Stock, Shares Authorized | 500,000 | 500,000 |
Preferred Stock, Shares Outstanding | 21,000 | 21,000 |
Preferred Stock, Shares Issued | 21,000 | 21,000 |
Common Stock, No Par Value | ' | ' |
Common Stock, Shares Authorized | 12,500,000 | 12,500,000 |
Issued common shares | 7,577,000 | 7,534,000 |
Outstanding common shares | 7,577,000 | 7,534,000 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
INTEREST INCOME | ' | ' |
Federal funds sold and interest-bearing deposits | $39 | $72 |
Federal Home Loan Bank stock | 159 | 189 |
Securities: | ' | ' |
Taxable | 2,443 | 2,823 |
Tax-exempt | 460 | 473 |
Total securities | 2,903 | 3,296 |
Loans: | ' | ' |
SBA loans | 2,660 | 3,430 |
SBA 504 loans | 1,911 | 2,645 |
Commercial loans | 17,322 | 16,982 |
Residential mortgage loans | 7,013 | 6,445 |
Consumer loans | 1,947 | 2,144 |
Total loans | 30,853 | 31,646 |
Total interest income | 33,954 | 35,203 |
INTEREST EXPENSE | ' | ' |
Interest-bearing demand deposits | 383 | 486 |
Savings deposits | 710 | 1,185 |
Time deposits | 2,191 | 2,796 |
Borrowed funds and subordinated debentures | 3,245 | 3,307 |
Total interest expense | 6,529 | 7,774 |
Net interest income | 27,425 | 27,429 |
Provision for loan losses | 2,350 | 4,000 |
Net interest income after provision for loan losses | 25,075 | 23,429 |
NONINTEREST INCOME | ' | ' |
Branch fee income | 1,505 | 1,528 |
Service and loan fee income | 1,370 | 1,252 |
Gain on sale of SBA loans held for sale, net | 628 | 688 |
Gain on sale of mortgage loans, net | 1,650 | 2,274 |
BOLI income | 347 | 296 |
Net security gains | 390 | 573 |
Other income | 714 | 727 |
Total noninterest income | 6,604 | 7,338 |
NONINTEREST EXPENSE | ' | ' |
Compensation and benefits | 12,251 | 12,560 |
Occupancy | 2,571 | 2,722 |
Processing and communications | 2,309 | 2,180 |
Furniture and equipment | 1,478 | 1,480 |
Professional services | 828 | 789 |
Loan collection costs | 822 | 682 |
OREO expenses | 458 | 483 |
Deposit insurance | 666 | 664 |
Advertising | 747 | 839 |
Other expenses | 1,867 | 1,898 |
Total noninterest expense | 23,997 | 24,297 |
Income before provision for income taxes | 7,682 | 6,470 |
Provision for income taxes | 2,567 | 2,226 |
Net income | 5,115 | 4,244 |
Preferred stock dividends and discount accretion | 988 | 1,602 |
Income available to common shareholders | $4,127 | $2,642 |
Net income per common share | ' | ' |
Basic | $0.55 | $0.35 |
Diluted | $0.53 | $0.34 |
Weighted average common shares outstanding: | ' | ' |
Basic | 7,547 | 7,477 |
Diluted | 7,810 | 7,794 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Consolidated Statements of Comprehensive Income [Abstract] | ' | ' |
Net income | $5,115 | $4,244 |
Other comprehensive income (loss), net of tax: | ' | ' |
Unrealized holding gains (losses) on securities arising, After-tax | -1,550 | 588 |
Less: Reclassification adjustment for gains included in net income, after-tax | 259 | 376 |
Total other comprehensive income (loss) | -1,809 | 212 |
Total comprehensive income | $3,306 | $4,456 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Shareholder's Equity (USD $) | Preferred Stock Including Additional Paid in Capital [Member] | Common Stock [Member] | Retained Earnings (deficit) [Member] | Accumulated Other Comprehensive Income [Member] | Total |
In Thousands | |||||
Shareholders' equity at Dec. 31, 2011 | $19,545 | $53,746 | ($854) | $1,121 | $73,558 |
Common Stock, Shares, Beginning Balance at Dec. 31, 2011 | ' | 7,459 | ' | ' | ' |
Net income | ' | ' | 4,244 | ' | 4,244 |
Other comprehensive income (loss), net of tax | 570 | ' | -570 | 212 | 212 |
Dividends on preferred stock (5% annually) | ' | ' | -1,032 | ' | -1,032 |
Common stock issued and related tax effects | ' | 528 | ' | ' | 528 |
Shares, Common stock issued and related tax effects | ' | 75 | ' | ' | ' |
Shareholders' equity at Dec. 31, 2012 | 20,115 | 54,274 | 1,788 | 1,333 | 77,510 |
Common Stock, Shares, Ending Balance at Dec. 31, 2012 | ' | 7,534 | ' | ' | 7,534 |
Net income | ' | ' | 5,115 | ' | 5,115 |
Other comprehensive income (loss), net of tax | ' | ' | ' | -1,809 | -1,809 |
Redemption of perpetual preferred stock | -20,649 | ' | ' | ' | -20,649 |
Repurchase of warrants from U.S. Treasury | ' | -2,617 | -90 | ' | -2,707 |
Accretion of discount on preferred stock | 534 | ' | -534 | ' | ' |
Dividends on common stock ($0.03 per share) | ' | 39 | -227 | ' | -188 |
Dividends on preferred stock (5% annually) | ' | ' | -454 | ' | -454 |
Common stock issued and related tax effects | ' | 355 | ' | ' | 355 |
Shares, Common stock issued and related tax effects | ' | 43 | ' | ' | ' |
Shareholders' equity at Dec. 31, 2013 | ' | $52,051 | $5,598 | ($476) | $57,173 |
Common Stock, Shares, Ending Balance at Dec. 31, 2013 | ' | 7,577 | ' | ' | 7,577 |
Consolidated_Statements_of_Cha1
Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Consolidated Statements of Changes in Shareholders' Equity [Abstract] | ' | ' |
Preferred Stock, Dividend Rate, Percentage | 5.00% | 5.00% |
Common Stock, Dividends, Per Share, Cash Paid | $0.03 | ' |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
OPERATING ACTIVITIES: | ' | ' |
Net income | $5,115 | $4,244 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Provision for loan losses | 2,350 | 4,000 |
Net amortization of purchase premiums and discounts on securities | 713 | 827 |
Depreciation and amortization | 1,267 | 1,358 |
Deferred income tax expense | 389 | 783 |
Net security gains | -390 | -573 |
Stock compensation expense | 340 | 310 |
Loss on sale of OREO | 52 | 85 |
Valuation writedowns on OREO | 255 | 83 |
Gain on sale of mortgage loans held for sale, net | -1,650 | -2,274 |
Gain on sale of SBA loans held for sale, net | -628 | -688 |
Origination of mortgage loans held for sale | -78,432 | -105,543 |
Origination of SBA loans held for sale | -6,103 | -6,427 |
Proceeds from sale of mortgage loans held for sale, net | 80,082 | 107,817 |
Proceeds from sale of SBA loans held for sale, net | 6,962 | 7,452 |
Net change in other assets and liabilities | 1,123 | 1,853 |
Net cash provided by operating activities | 11,445 | 13,307 |
INVESTING ACTIVITIES: | ' | ' |
Purchases of securities held to maturity | -9,871 | -7,629 |
Purchases of securities available for sale | -29,136 | -39,335 |
Purchases of Federal Home Loan Bank stock, at cost | -6,504 | ' |
Maturities and principal payments on securities held to maturity | 4,841 | 4,733 |
Maturities and principal payments on securities available for sale | 22,210 | 30,667 |
Proceeds from sale of securities available for sale | 12,178 | 8,103 |
Proceeds from redemption of Federal Home Loan Bank stock | 5,101 | 99 |
Proceeds from sale of OREO | 2,119 | 3,765 |
Net increase in loans | -97,191 | -4,205 |
Purchase of BOLI | -3,000 | ' |
Purchases of premises and equipment | -4,789 | -1,817 |
Net cash used in investing activities | -104,042 | -5,619 |
FINANCING ACTIVITIES: | ' | ' |
Net increase (decrease) in deposits | 89,938 | 4,789 |
Proceeds from new borrowings | 32,000 | ' |
Redemption of perpetual preferred stock from U.S. Treasury | -20,649 | ' |
Repurchase of warrant from U.S. Treasury | -2,707 | ' |
Proceeds from exercise of stock options | ' | 173 |
Dividends on preferred stock | -585 | -1,032 |
Dividends on common stock | -188 | ' |
Net cash provided by financing activities | 97,809 | 3,930 |
Increase in cash and cash equivalents | 5,212 | 11,618 |
Cash and cash equivalents, beginning of period | 94,192 | ' |
Cash and cash equivalents, end of period | 99,404 | 94,192 |
SUPPLEMENTAL DISCLOSURES: | ' | ' |
Cash: Interest paid | 6,509 | 7,863 |
Cash: Income taxes paid | 2,527 | 969 |
Noncash investing activities: | ' | ' |
Transfer of SBA loans held for sale to held to maturity | 33 | 394 |
Transfer of loans to OREO | $1,233 | $3,560 |
Significant_Accounting_Policie
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2013 | |
Significant Accounting Policies [Abstract] | ' |
Significant Accounting Policies | ' |
Notes to Consolidated Financial Statements | |
1. Summary of Significant Accounting Policies | |
Overview | |
The accompanying Consolidated Financial Statements include the accounts of Unity Bancorp, Inc. (the “Parent Company”) and its wholly-owned subsidiary, Unity Bank (the “Bank” or when consolidated with the Parent Company, the “Company”). All significant intercompany balances and transactions have been eliminated in consolidation. | |
Unity Bancorp, Inc. is a bank holding company incorporated in New Jersey and registered under the Bank Holding Company Act of 1956, as amended. Its wholly-owned subsidiary, the Bank, is chartered by the New Jersey Department of Banking and Insurance. The Bank provides a full range of commercial and retail banking services through fifteen branch offices located in Hunterdon, Middlesex, Somerset, Union and Warren counties in New Jersey and Northampton County in Pennsylvania. These services include the acceptance of demand, savings, and time deposits and the extension of consumer, real estate, Small Business Administration (“SBA”) and other commercial credits. | |
Unity Bank has nine wholly-owned subsidiaries: Unity Investment Services, Inc., AJB Residential Realty Enterprises, Inc., AJB Commercial Realty, Inc., MKCD Commercial, Inc., JAH Commercial, Inc., UB Commercial LLC, ASBC Holdings LLC, Unity Property Holdings 1, Inc., and Unity Property Holdings 2, Inc. Unity Investment Services, Inc. is used to hold and administer part of the Bank’s investment portfolio. The other subsidiaries hold, administer and maintain the Bank’s other real estate owned (“OREO”) properties. Unity Investment Services, Inc. has one subsidiary, Unity Delaware Investment 2, Inc., which has one subsidiary, Unity NJ REIT, Inc. Unity NJ REIT, Inc. was added in 2013 to hold loans. | |
The Company has two unconsolidated, wholly-owned statutory trust subsidiaries. For additional information, see Note 10 to the Consolidated Financial Statements. | |
Use of Estimates in the Preparation of Financial Statements | |
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Amounts requiring the use of significant estimates include the allowance for loan losses, valuation of deferred tax and servicing assets, the carrying value of loans held for sale and other real estate owned, the valuation of securities and the determination of other-than-temporary impairment for securities and fair value disclosures. Actual results could differ from those estimates. | |
Reclassifications | |
Certain reclassifications have been made to the prior year to conform to the current year presentation, with no impact on prior year earnings or shareholders’ equity. | |
Cash and Cash Equivalents | |
Cash and cash equivalents include cash on hand, amounts due from banks, federal funds sold and interest-bearing deposits. | |
Securities | |
The Company classifies its securities into two categories, available for sale and held to maturity. | |
Securities that are classified as available for sale are stated at fair value. Unrealized gains and losses on securities available for sale are generally excluded from results of operations and are reported as other comprehensive income, a separate component of shareholders’ equity, net of taxes. Securities classified as available for sale include securities that may be sold in response to changes in interest rates, changes in prepayment risks or for asset/liability management purposes. The cost of securities sold is determined on a specific identification basis. Gains and losses on sales of securities are recognized in the Consolidated Statements of Income on the date of sale. | |
Securities are classified as held to maturity based on management’s intent and ability to hold them to maturity. Such securities are stated at cost, adjusted for unamortized purchase premiums and discounts using the level yield method. | |
If transfers between the available for sale and held to maturity portfolios occur, they are accounted for at fair value and unrealized holding gains and losses are accounted for at the date of transfer. For securities transferred to available for sale from held to maturity, unrealized gains or losses as of the date of the transfer are recognized in other comprehensive income (loss), a separate component of shareholders’ equity. For securities transferred into the held to maturity portfolio from the available for sale portfolio, unrealized gains or losses as of the date of transfer continue to be reported in other comprehensive income (loss), and are amortized over the remaining life of the security as an adjustment to its yield, consistent with amortization of the premium or accretion of the discount. | |
For additional information on securities, see Note 4 to the Consolidated Financial Statements. | |
Other-Than-Temporary Impairment | |
The Company has a process in place to identify debt securities that could potentially incur credit impairment that is other-than-temporary. This process involves monitoring late payments, pricing levels, downgrades by rating agencies, key financial ratios, financial statements, revenue forecasts and cash flow projections as indicators of credit issues. Management evaluates securities for other-than-temporary impairment at least on a quarterly basis, and more frequently when economic or market concern warrants such evaluation. This evaluation considers relevant facts and circumstances in evaluating whether a credit or interest rate-related impairment of a security is other-than-temporary. Relevant facts and circumstances considered include: (1) the extent and length of time the fair value has been below cost; (2) the reasons for the decline in value; (3) the financial position and access to capital of the issuer, including the current and future impact of any specific events and (4) for fixed maturity securities, our intent to sell a security or whether it is more likely than not we will be required to sell the security before the recovery of its amortized cost which, in some cases, may extend to maturity. | |
For debt securities that are considered other-than-temporarily impaired where management has no intent to sell and the Company has no requirement to sell prior to recovery of its amortized cost basis, the amount of the impairment is separated into the amount that is credit related (credit loss component) and the amount due to all other factors. The credit loss component is recognized in earnings and is the difference between the security’s amortized cost basis and the present value of its expected future cash flows. The remaining difference between the security’s fair value and the present value of future expected cash flows is due to factors that are not credit related and is recognized in other comprehensive income. For debt securities where management has the intent to sell, the amount of the impairment is reflected in earnings as realized losses. | |
The present value of expected future cash flows is determined using the best estimate cash flows discounted at the effective interest rate implicit to the security at the date of purchase or the current yield to accrete an asset-backed or floating rate security. The methodology and assumptions for establishing the best estimate cash flows vary depending on the type of security. The asset-backed securities cash flow estimates are based on bond specific facts and circumstances that may include collateral characteristics, expectations of delinquency and default rates, loss severity and prepayment speeds and structural support, including subordination and guarantees. The corporate bond cash flow estimates are derived from scenario-based outcomes of expected corporate restructurings or the disposition of assets using bond specific facts and circumstances including timing, security interests and loss severity. | |
Transfers of Financial Assets | |
Transfers of financial assets are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. | |
Loans | |
Loans Held for Sale | |
Loans held for sale represent the guaranteed portion of SBA loans and are reflected at the lower of aggregate cost or market value. The Company originates loans to customers under an SBA program that historically has provided for SBA guarantees of up to 90 percent of each loan. The Company generally sells the guaranteed portion of its SBA loans to a third party and retains the servicing, holding the nonguaranteed portion in its portfolio. The net amount of loan origination fees on loans sold is included in the carrying value and in the gain or loss on the sale. When sales of SBA loans do occur, the premium received on the sale and the present value of future cash flows of the servicing assets are recognized in income. All criteria for sale accounting must be met in order for the loan sales to occur; see details under the “Transfers of Financial Assets” heading above. | |
Servicing assets represent the estimated fair value of retained servicing rights, net of servicing costs, at the time loans are sold. Servicing assets are amortized in proportion to, and over the period of, estimated net servicing revenues. Impairment is evaluated based on stratifying the underlying financial assets by date of origination and term. Fair value is determined using prices for similar assets with similar characteristics, when available, or based upon discounted cash flows using market-based assumptions. Any impairment, if temporary, would generally be reported as a valuation allowance. | |
Serviced loans sold to others are not included in the accompanying Consolidated Balance Sheets. Income and fees collected for loan servicing are credited to noninterest income when earned, net of amortization on the related servicing assets. | |
For additional information on servicing assets, see Note 5 to the Consolidated Financial Statements. | |
Loans Held for Investment | |
Loans held for investment are stated at the unpaid principal balance, net of unearned discounts and deferred loan origination fees and costs. In accordance with the level yield method, loan origination fees, net of direct loan origination costs, are deferred and recognized over the estimated life of the related loans as an adjustment to the loan yield. Interest is credited to operations primarily based upon the principal balance outstanding. | |
Loans are reported as past due when either interest or principal is unpaid in the following circumstances: fixed payment loans when the borrower is in arrears for two or more monthly payments; open end credit for two or more billing cycles; and single payment notes if interest or principal remains unpaid for 30 days or more. | |
Nonperforming loans consist of loans that are not accruing interest as a result of principal or interest being in default for a period of 90 days or more or when the ability to collect principal and interest according to the contractual terms is in doubt (nonaccrual loans). When a loan is classified as nonaccrual, interest accruals are discontinued and all past due interest previously recognized as income is reversed and charged against current period earnings. Generally, until the loan becomes current, any payments received from the borrower are applied to outstanding principal until such time as management determines that the financial condition of the borrower and other factors merit recognition of a portion of such payments as interest income. Loans may be returned to an accrual status when the ability to collect is reasonably assured and when the loan is brought current as to principal and interest. | |
Loans are charged off when collection is sufficiently questionable and when the Company can no longer justify maintaining the loan as an asset on the balance sheet. Loans qualify for charge-off when, after thorough analysis, all possible sources of repayment are insufficient. These include: 1) potential future cash flows, 2) value of collateral, and/or 3) strength of co-makers and guarantors. All unsecured loans are charged off upon the establishment of the loan’s nonaccrual status. Additionally, all loans classified as a loss or that portion of the loan classified as a loss is charged off. All loan charge-offs are approved by the Board of Directors. | |
Troubled debt restructurings ("TDRs") occur when a creditor, for economic or legal reasons related to a debtor’s financial condition, grants a concession to the debtor that it would not otherwise consider. These concessions typically include reductions in interest rate, extending the maturity of a loan, or a combination of both. Interest income on accruing TDRs is credited to operations primarily based upon the principal amount outstanding, as stated in the paragraphs above. | |
The Company evaluates its loans for impairment. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. The Company has defined impaired loans to be all TDRs and nonperforming loans. Impairment is evaluated in total for smaller-balance loans of a similar nature (consumer and residential mortgage loans), and on an individual basis for all other loans. Impairment of a loan is measured based on the present value of expected future cash flows, discounted at the loan's effective interest rate, or as a practical expedient, based on a loan’s observable market price or the fair value of collateral, net of estimated costs to sell, if the loan is collateral-dependent. If the value of the impaired loan is less than the recorded investment in the loan, the Company establishes a valuation allowance, or adjusts existing valuation allowances, with a corresponding charge to the provision for loan losses. | |
For additional information on loans, see Note 5 to the Consolidated Financial Statements. | |
Allowance for Loan Losses and Reserve for Unfunded Loan Commitments | |
The allowance for loan losses is maintained at a level management considers adequate to provide for probable loan losses as of the balance sheet date. The allowance is increased by provisions charged to expense and is reduced by net charge-offs. | |
The level of the allowance is based on management’s evaluation of probable losses in the loan portfolio, after consideration of prevailing economic conditions in the Company’s market area, the volume and composition of the loan portfolio, and historical loan loss experience. The allowance for loan losses consists of specific reserves for individually impaired credits and TDRs, reserves for nonimpaired loans based on historical loss factors adjusted for general economic factors and other qualitative risk factors such as changes in delinquency trends, industry concentrations or local/national economic trends. This risk assessment process is performed at least quarterly, and, as adjustments become necessary, they are realized in the periods in which they become known. | |
Although management attempts to maintain the allowance at a level deemed adequate to provide for probable losses, future additions to the allowance may be necessary based upon certain factors including changes in market conditions and underlying collateral values. In addition, various regulatory agencies periodically review the adequacy of the Company’s allowance for loan losses. These agencies may require the Company to make additional provisions based on their judgments about information available to them at the time of their examination. | |
The Company maintains a reserve for unfunded loan commitments at a level that management believes is adequate to absorb estimated probable losses. Adjustments to the reserve are made through other expenses and applied to the reserve which is classified as other liabilities. | |
For additional information on the allowance for loan losses and reserve for unfunded loan commitments, see Note 6 to the Consolidated Financial Statements. | |
Premises and Equipment | |
Land is carried at cost. All other fixed assets are carried at cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets. The useful life of buildings is not to exceed 30 years; furniture and fixtures is generally 10 years or less, and equipment is 3 to 5 years. Leasehold improvements are depreciated over the life of the underlying lease. | |
For additional information on premises and equipment, see Note 7 to the Consolidated Financial Statements. | |
Bank Owned Life Insurance | |
The Company purchased life insurance policies on certain members of management. Bank owned life insurance (“BOLI”) is recorded at its cash surrender value or the amount that can be realized. | |
Federal Home Loan Bank Stock | |
Federal law requires a member institution of the Federal Home Loan Bank (“FHLB”) system to hold stock of its district FHLB according to a predetermined formula. The stock is carried at cost. Management reviews the stock for impairment based on the ultimate recoverability of the cost basis in the stock. The stock’s value is determined by the ultimate recoverability of the par value rather than by recognizing temporary declines. Management considers such criteria as the significance of the decline in net assets, if any, of the FHLB, the length of time this situation has persisted, commitments by the FHLB to make payments required by law or regulation, the impact of legislative and regulatory changes on the customer base of the FHLB and the liquidity position of the FHLB. | |
Other Real Estate Owned | |
Other real estate owned (“OREO”) is recorded at the fair value, less estimated costs to sell at the date of acquisition, with a charge to the allowance for loan losses for any excess of the loan carrying value over such amount. Subsequently, other real estate owned is carried at the lower of cost or fair value, as determined by current appraisals. Certain costs that increase the value or extend the useful life in preparing properties for sale are capitalized to the extent that the appraisal amount exceeds the carry value, and expenses of holding foreclosed properties are charged to operations as incurred. | |
Appraisals | |
The Company requires current real estate appraisals on all loans that become OREO or in-substance foreclosure, loans that are classified substandard, doubtful or loss, or loans that are over $100,000 and nonperforming. Prior to each balance sheet date, the Company values impaired collateral-dependent loans and OREO based upon a third party appraisal, broker's price opinion, drive by appraisal, automated valuation model, updated market evaluation, or a combination of these methods. The amount is discounted for the decline in market real estate values (for original appraisals), for any known damage or repair costs, and for selling and closing costs. The amount of the discount is dependent upon the method used to determine the original value. The original appraisal is generally used when a loan is first determined to be impaired. When applying the discount, the Company takes into consideration when the appraisal was performed, the collateral’s location, the type of collateral, any known damage to the property and the type of business. Subsequent to entering impaired status and the Company determining that there is a collateral shortfall, the Company will generally, depending on the type of collateral, order a third party appraisal, broker's price opinion, automated valuation model or updated market evaluation. Subsequent to receiving the third party results, the Company will discount the value 6 to 10 percent for selling and closing costs. | |
Income Taxes | |
The Company follows Financial Accounting Standards Board Accounting Standards Codification ("FASB ASC") Topic 740, “Income Taxes,” which prescribes a threshold for the financial statement recognition of income taxes and provides criteria for the measurement of tax positions taken or expected to be taken in a tax return. ASC 740 also includes guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure and transition of income taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using the enacted tax rates applicable to taxable income for the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation reserves are established against certain deferred tax assets when it is more likely than not that the deferred tax assets will not be realized. Increases or decreases in the valuation reserve are charged or credited to the income tax provision. | |
When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that ultimately would be sustained. The benefit of a tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. The evaluation of a tax position taken is considered by itself and not offset or aggregated with other positions. Tax positions that meet the more likely than not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits in the accompanying balance sheet along with any associated interest and penalties that would be payable to the taxing authorities upon examination. | |
Interest and penalties associated with unrecognized tax benefits are recognized in income tax expense on the income statement. | |
For additional information on income taxes, see Note 16 to the Consolidated Financial Statements. | |
Net Income Per Share | |
Basic net income per common share is calculated as net income available to common shareholders divided by the weighted average common shares outstanding during the reporting period. Net income available to common shareholders is calculated as net income less accrued dividends and discount accretion related to preferred stock. | |
Diluted net income per common share is computed similarly to that of basic net income per common share, except that the denominator is increased to include the number of additional common shares that would have been outstanding if all potentially dilutive common shares, principally stock options, were issued during the reporting period utilizing the Treasury stock method. However, when a net loss rather than net income is recognized, diluted earnings per share equals basic earnings per share. | |
For additional information on net income per share, see Note 17 to the Consolidated Financial Statements. | |
Stock-Based Compensation | |
The Company accounts for its stock-based compensation awards in accordance with FASB ASC Topic 718, “Compensation – Stock Compensation,” which requires recognition of compensation expense related to stock-based compensation awards over the period during which an employee is required to provide service for the award. Compensation expense is equal to the fair value of the award, net of estimated forfeitures, and is recognized over the vesting period of such awards. | |
For additional information on the Company’s stock-based compensation, see Note 19 to the Consolidated Financial Statements. | |
Fair Value | |
The Company follows FASB ASC Topic 820, “Fair Value Measurement and Disclosures,” which provides a framework for measuring fair value under generally accepted accounting principles. | |
For additional information on the fair value of the Company’s financial instruments, see Note 20 to the Consolidated Financial Statements. | |
Other Comprehensive Income (Loss) | |
Other comprehensive income (loss) consists of the change in unrealized gains (losses) on securities available for sale that were reported as a component of shareholders’ equity, net of tax. | |
For additional information on other comprehensive income, see Note 12 to the Consolidated Financial Statements. | |
Advertising | |
The Company expenses the costs of advertising in the period incurred. | |
Dividend Restrictions | |
Banking regulations require maintaining certain capital levels that may limit the dividends paid by our bank to our holding company or by our holding company to our shareholders. | |
Operating Segments | |
While management monitors the revenue streams of its various products and services, operating results and financial performance are evaluated on a company-wide basis. The Company’s management uses consolidated results to make operating and strategic decisions. Accordingly, there is only one reportable segment. | |
Recent Accounting Pronouncements | |
ASU No. 2013-11, Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. In July 2013, the FASB issued ASU No. 2013-11, Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. The objective of the amendments in this Update is to eliminate diversity on the financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. An unrecognized tax benefit, or a portion of an unrecognized tax benefit, should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward, unless certain exceptions exist as defined in the ASU. The amendments are effective for fiscal years, and interim periods within those years, beginning after December 15, 2013 and are not expected to impact the Company's financial condition, results of operations or cash flows. | |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2013 | |
Goodwill [Abstract] | ' |
Goodwill | ' |
2. Goodwill | |
The Company accounts for goodwill and other intangible assets in accordance with FASB ASC Topic 350, “Intangibles – Goodwill and Other,” which allows an entity to first assess qualitative factors to determine whether it is necessary to perform the two-step quantitative goodwill impairment test. Based on a qualitative assessment, management determined that the Company’s recorded goodwill totaling $1.5 million, which resulted from the 2005 acquisition of its Phillipsburg, New Jersey branch, is not impaired as of December 31, 2013. | |
Restrictions_on_Cash
Restrictions on Cash | 12 Months Ended |
Dec. 31, 2013 | |
Restrictions on Cash [Abstract] | ' |
Restrictions on Cash | ' |
3. Restrictions on Cash | |
Federal law requires depository institutions to hold reserves in the form of vault cash or, if vault cash is insufficient, in the form of a deposit maintained with a Federal Reserve Bank (“FRB”). The dollar amount of a depository institution's reserve requirement is determined by applying the reserve ratios specified in the FRB’s Regulation D to an institution's reservable liabilities. As of December 31, 2013 and 2012 the Company had sufficient vault cash to meet its reserve requirements and no additional reserves were required. | |
In addition, the Company’s contract with its current electronic funds transfer (“EFT”) provider requires a predetermined balance be maintained in a settlement account controlled by the provider equal to the Company’s average daily net settlement position multiplied by four days. The required balance was $179 thousand as of December 31, 2013 and 2012. This balance can be adjusted periodically to reflect actual transaction volume and seasonal factors. | |
The Governmental Unit Deposit Protection Act ("GUDPA") is a supplemental insurance program set forth by the New Jersey Legislature to protect the deposits of municipalities and local government agencies, administered by the Commissioner of the New Jersey Department of Banking and Insurance. At December 31, 2013, the Company had $18.0 million in cash as eligible collateral pledged to the State of New Jersey Department of Banking and Insurance to secure its municipal deposits. No cash was pledged at December 31, 2012. | |
Securities
Securities | 12 Months Ended | ||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||
Securities [Abstract] | ' | ||||||||||||||||||||||||||
Securities | ' | ||||||||||||||||||||||||||
4. Securities | |||||||||||||||||||||||||||
This table provides the major components of securities available for sale (“AFS”) and held to maturity (“HTM”) at amortized cost and estimated fair value at December 31, 2013 and December 31, 2012: | |||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||||
(In thousands) | Amortized cost | Gross unrealized gains | Gross unrealized losses | Estimated fair value | Amortized cost | Gross unrealized gains | Gross unrealized losses | Estimated fair value | |||||||||||||||||||
Available for sale: | |||||||||||||||||||||||||||
U.S. Government sponsored entities | $ | 6,723 | $ | 27 | $ | -332 | $ | 6,418 | $ | 2,482 | $ | 86 | $ | - | $ | 2,568 | |||||||||||
State and political subdivisions | 16,960 | 192 | -554 | 16,598 | 14,690 | 613 | - | 15,303 | |||||||||||||||||||
Residential mortgage-backed securities | 44,168 | 696 | -475 | 44,389 | 43,984 | 1,684 | -123 | 45,545 | |||||||||||||||||||
Commercial mortgage-backed securities | 887 | 2 | -1 | 888 | 4,423 | 42 | -2 | 4,463 | |||||||||||||||||||
Corporate and other securities | 13,173 | 67 | -400 | 12,840 | 21,741 | 490 | -572 | 21,659 | |||||||||||||||||||
Total securities available for sale | $ | 81,911 | $ | 984 | $ | -1,762 | $ | 81,133 | $ | 87,320 | $ | 2,915 | $ | -697 | $ | 89,538 | |||||||||||
Held to maturity: | |||||||||||||||||||||||||||
U.S. Government sponsored entities | $ | 5,814 | $ | - | $ | -460 | $ | 5,354 | $ | 5,050 | $ | 38 | $ | - | $ | 5,088 | |||||||||||
State and political subdivisions | 2,441 | 121 | -17 | 2,545 | 2,746 | 288 | - | 3,034 | |||||||||||||||||||
Residential mortgage-backed securities | 10,395 | 145 | -198 | 10,342 | 11,048 | 374 | -13 | 11,409 | |||||||||||||||||||
Commercial mortgage-backed securities | 6,750 | 87 | -437 | 6,400 | 2,671 | 539 | - | 3,210 | |||||||||||||||||||
Corporate and other securities | 981 | - | -73 | 908 | - | - | - | - | |||||||||||||||||||
Total securities held to maturity | $ | 26,381 | $ | 353 | $ | -1,185 | $ | 25,549 | $ | 21,515 | $ | 1,239 | $ | -13 | $ | 22,741 | |||||||||||
This table provides the remaining contractual maturities and yields of securities within the investment portfolios. The carrying value of securities at December 31, 2013 is distributed by contractual maturity. Mortgage-backed securities and other securities, which may have principal prepayment provisions, are distributed based on contractual maturity. Expected maturities will differ materially from contractual maturities as a result of early prepayments and calls. | |||||||||||||||||||||||||||
Within one year | After one through five years | After five through ten years | After ten years | Total carrying value | |||||||||||||||||||||||
(In thousands, except percentages) | Amount | Yield | Amount | Yield | Amount | Yield | Amount | Yield | Amount | Yield | |||||||||||||||||
Available for sale at fair value: | |||||||||||||||||||||||||||
U.S. Government sponsored entities | $ | 35 | 3.77 | % | $ | 1,012 | 1.00 | % | $ | 960 | 2.06 | % | $ | 4,411 | 2.18 | % | $ | 6,418 | 1.99 | % | |||||||
State and political subdivisions | - | - | 794 | 2.38 | 11,406 | 2.69 | 4,398 | 2.80 | 16,598 | 2.70 | |||||||||||||||||
Residential mortgage-backed securities | - | - | 505 | 4.49 | 650 | 3.51 | 43,234 | 2.76 | 44,389 | 2.79 | |||||||||||||||||
Commercial mortgage-backed securities | - | - | - | - | - | - | 888 | 2.15 | 888 | 2.15 | |||||||||||||||||
Corporate and other securities | - | - | 401 | 1.28 | 5,636 | 1.82 | 6,803 | 1.52 | 12,840 | 1.65 | |||||||||||||||||
Total securities available for sale | $ | 35 | 3.77 | % | $ | 2,712 | 2.10 | % | $ | 18,652 | 2.42 | % | $ | 59,734 | 2.57 | % | $ | 81,133 | 2.52 | % | |||||||
Held to maturity at cost: | |||||||||||||||||||||||||||
U.S. Government sponsored entities | $ | - | - | % | $ | - | - | % | $ | - | - | % | $ | 5,814 | 1.97 | % | $ | 5,814 | 1.97 | % | |||||||
State and political subdivisions | 326 | 0.75 | - | - | - | - | 2,115 | 4.70 | 2,441 | 4.18 | |||||||||||||||||
Residential mortgage-backed securities | - | - | 800 | 4.86 | 237 | 5.11 | 9,358 | 2.75 | 10,395 | 2.97 | |||||||||||||||||
Commercial mortgage-backed securities | - | - | - | - | - | - | 6,750 | 3.79 | 6,750 | 3.79 | |||||||||||||||||
Corporate and other securities | - | - | - | - | 981 | 2.95 | - | - | 981 | 2.95 | |||||||||||||||||
Total securities held to maturity | $ | 326 | 0.75 | % | $ | 800 | 4.86 | % | $ | 1,218 | 3.37 | % | $ | 24,037 | 3.03 | % | $ | 26,381 | 3.07 | % | |||||||
The fair value of securities with unrealized losses by length of time that the individual securities have been in a continuous unrealized loss position at December 31, 2013 and December 31, 2012 are as follows: | |||||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||
Less than 12 months | 12 months and greater | Total | |||||||||||||||||||||||||
(In thousands, except number in a loss position) | Total number in a loss position | Estimated fair value | Unrealized loss | Estimated fair value | Unrealized loss | Estimated fair value | Unrealized loss | ||||||||||||||||||||
Available for sale: | |||||||||||||||||||||||||||
U.S. Government sponsored entities | 5 | $ | 5,591 | $ | -332 | $ | - | $ | - | $ | 5,591 | $ | -332 | ||||||||||||||
State and political subdivisions | 19 | 8,575 | -453 | 934 | -101 | 9,509 | -554 | ||||||||||||||||||||
Residential mortgage-backed securities | 13 | 13,226 | -398 | 1,474 | -77 | 14,700 | -475 | ||||||||||||||||||||
Commercial mortgage-backed securities | 3 | 368 | -1 | - | - | 368 | -1 | ||||||||||||||||||||
Corporate and other securities | 9 | 3,994 | -105 | 3,088 | -295 | 7,082 | -400 | ||||||||||||||||||||
Total temporarily impaired securities | 49 | $ | 31,754 | $ | -1,289 | $ | 5,496 | $ | -473 | $ | 37,250 | $ | -1,762 | ||||||||||||||
Held to maturity: | |||||||||||||||||||||||||||
U.S. Government sponsored entities | 3 | $ | 5,355 | $ | -460 | $ | - | $ | - | $ | 5,355 | $ | -460 | ||||||||||||||
State and political subdivisions | 2 | 986 | -17 | - | - | 986 | -17 | ||||||||||||||||||||
Residential mortgage-backed securities | 7 | 6,333 | -193 | 114 | -5 | 6,447 | -198 | ||||||||||||||||||||
Commercial mortgage-backed securities | 2 | 3,668 | -437 | - | - | 3,668 | -437 | ||||||||||||||||||||
Corporate and other securities | 1 | 907 | -73 | - | - | 907 | -73 | ||||||||||||||||||||
Total temporarily impaired securities | 15 | $ | 17,249 | $ | -1,180 | $ | 114 | $ | -5 | $ | 17,363 | $ | -1,185 | ||||||||||||||
31-Dec-12 | |||||||||||||||||||||||||||
Less than 12 months | 12 months and greater | Total | |||||||||||||||||||||||||
(In thousands, except number in a loss position) | Total number in a loss position | Estimated fair value | Unrealized loss | Estimated fair value | Unrealized loss | Estimated fair value | Unrealized loss | ||||||||||||||||||||
Available for sale: | |||||||||||||||||||||||||||
Residential mortgage-backed securities | 5 | $ | 3,272 | $ | -43 | $ | 1,951 | $ | -80 | $ | 5,223 | $ | -123 | ||||||||||||||
Commercial mortgage-backed securities | 4 | 2,351 | -2 | - | - | 2,351 | -2 | ||||||||||||||||||||
Corporate and other securities | 6 | 2,486 | -26 | 2,994 | -546 | 5,480 | -572 | ||||||||||||||||||||
Total temporarily impaired securities | 15 | $ | 8,109 | $ | -71 | $ | 4,945 | $ | -626 | $ | 13,054 | $ | -697 | ||||||||||||||
Held to maturity: | |||||||||||||||||||||||||||
Residential mortgage-backed securities | 3 | $ | 838 | $ | -2 | $ | 279 | $ | -11 | $ | 1,117 | $ | -13 | ||||||||||||||
Total temporarily impaired securities | 3 | $ | 838 | $ | -2 | $ | 279 | $ | -11 | $ | 1,117 | $ | -13 | ||||||||||||||
Unrealized Losses | |||||||||||||||||||||||||||
The unrealized losses in each of the categories presented in the tables above are discussed in the paragraphs that follow: | |||||||||||||||||||||||||||
U.S. government sponsored entities and state and political subdivision securities: The unrealized losses on investments in these types of securities were caused by the increase in interest rate spreads or the increase in interest rates at the long end of the Treasury curve. The contractual terms of these investments do not permit the issuer to settle the securities at a price less than the par value of the investments. Because the Company does not intend to sell the investments and it is not more likely than not that the Company will be required to sell the investments before recovery of their amortized cost basis, which may be at maturity, the Company did not consider these investments to be other-than temporarily impaired as of December 31, 2013. There was no impairment on these securities at December 31, 2012. | |||||||||||||||||||||||||||
Residential and commercial mortgage-backed securities: The unrealized losses on investments in mortgage-backed securities were caused by increases in interest rate spreads or the increase in interest rates at the long end of the Treasury curve. The majority of contractual cash flows of these securities are guaranteed by Fannie Mae, Ginnie Mae and the Federal Home Loan Mortgage Corporation. It is expected that the securities would not be settled at a price significantly less than the par value of the investment. Because the decline in fair value is attributable to changes in interest rates and not credit quality, and because the Company does not intend to sell the investments and it is not more likely than not that the Company will be required to sell the investments before recovery of their amortized cost bases, which may be at maturity, the Company did not consider these investments to be other-than-temporarily impaired as of December 31, 2013 or December 31, 2012. | |||||||||||||||||||||||||||
Corporate and other securities: Included in this category are corporate debt securities, Community Reinvestment Act (“CRA”) investments, asset-backed securities, and one trust preferred security. The unrealized losses on corporate debt securities were due to widening credit spreads or the increase in interest rates at the long end of the Treasury curve and the unrealized losses on CRA investments were caused by decreases in the market prices of the shares. The Company evaluated the prospects of the issuers and forecasted a recovery period; and as a result determined it did not consider these investments to be other-than-temporarily impaired as of December 31, 2013 or December 31, 2012. The unrealized loss on the trust preferred security was caused by an inactive trading market and changes in market credit spreads. At December 31, 2013 and December 31, 2012, this category consisted of one single-issuer trust preferred security. The contractual terms do not allow the security to be settled at a price less than the par value. Because the Company does not intend to sell the security and it is not more likely than not that the Company will be required to sell the security before recovery of its amortized cost basis, which may be at maturity, the Company did not consider this security to be other-than-temporarily impaired as of December 31, 2013 or December 31, 2012. | |||||||||||||||||||||||||||
Realized Gains and Losses | |||||||||||||||||||||||||||
Gross realized gains and losses on securities for the past two years are detailed in the table below: | |||||||||||||||||||||||||||
For the years ended December 31, | |||||||||||||||||||||||||||
(In thousands) | 2013 | 2012 | |||||||||||||||||||||||||
Available for sale: | |||||||||||||||||||||||||||
Realized gains | $ | 394 | $ | 570 | |||||||||||||||||||||||
Realized losses | -4 | -4 | |||||||||||||||||||||||||
Total securities available for sale | 390 | 566 | |||||||||||||||||||||||||
Held to maturity: | |||||||||||||||||||||||||||
Realized gains | - | 7 | |||||||||||||||||||||||||
Realized losses | - | - | |||||||||||||||||||||||||
Total securities held to maturity | - | 7 | |||||||||||||||||||||||||
Net gains on sales of securities | $ | 390 | $ | 573 | |||||||||||||||||||||||
The net realized gains are included in noninterest income in the Consolidated Statements of Income as net security gains. For 2013 and 2012, gross realized gains on sales of securities amounted to $394 thousand and $577 thousand, respectively, and gross realized losses were $4 thousand in each year. | |||||||||||||||||||||||||||
· | The net gains during 2013 are attributed to the sale of five asset-backed securities with a total book value of $6.4 million and resulting net gains of $195 thousand, the sale of four corporate bonds with a total book value of $4.8 million and resulting gains of $186 thousand, the sale of two mortgage-backed securities with a book value of $517 thousand for a gain of $9 thousand, and the sale of one equity security with a book value of $60 thousand for a gain of $4 thousand, offset by the partial call of one municipal security resulting in a loss of $4 thousand. | ||||||||||||||||||||||||||
· | The net gains during 2012 are attributed to the sale of ten municipal securities with a total book value of $4.2 million and resulting net gains of $419 thousand, the sale of two mortgage-backed securities with a total book value of $2.0 million and resulting gains of $88 thousand, the sale of one corporate bond with a book value of $1.5 million for a gain of $56 thousand, and the call of one held to maturity municipal security resulting in a gain of $7 thousand, offset by the partial call of one municipal security resulting in a loss of $4 thousand. | ||||||||||||||||||||||||||
Pledged Securities | |||||||||||||||||||||||||||
Securities with a carrying value of $74.5 million and $78.4 million at December 31, 2013 and December 31, 2012, respectively, were pledged to secure Government deposits, secure other borrowings and for other purposes required or permitted by law. Included in these figures was $19.9 million and $25.1 million pledged against Government deposits at December 31, 2013 and December 31, 2012, respectively. | |||||||||||||||||||||||||||
Loans
Loans | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Loans [Abstract] | ' | |||||||||||||||||||||
Loans | ' | |||||||||||||||||||||
5. Loans | ||||||||||||||||||||||
The following table sets forth the classification of loans by class, including unearned fees, deferred costs and excluding the allowance for loan losses for the past two years: | ||||||||||||||||||||||
(In thousands) | 31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||
SBA loans held for investment | $ | 48,918 | $ | 58,593 | ||||||||||||||||||
SBA 504 loans | 31,564 | 41,438 | ||||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 37,611 | 24,043 | ||||||||||||||||||||
Commercial real estate | 317,471 | 264,439 | ||||||||||||||||||||
Commercial real estate construction | 8,258 | 13,082 | ||||||||||||||||||||
Residential mortgage loans | ||||||||||||||||||||||
Residential mortgages | 175,984 | 125,232 | ||||||||||||||||||||
Purchased residential mortgages | 6,083 | 6,862 | ||||||||||||||||||||
Consumer loans | ||||||||||||||||||||||
Home equity | 43,704 | 45,152 | ||||||||||||||||||||
Consumer other | 2,435 | 1,258 | ||||||||||||||||||||
Total loans held for investment | $ | 672,028 | $ | 580,099 | ||||||||||||||||||
SBA loans held for sale | 6,673 | 6,937 | ||||||||||||||||||||
Total loans | $ | 678,701 | $ | 587,036 | ||||||||||||||||||
Loans are made to individuals as well as commercial entities. Specific loan terms vary as to interest rate, repayment, and collateral requirements based on the type of loan requested and the credit worthiness of the prospective borrower. Credit risk, excluding SBA loans, tends to be geographically concentrated in that a majority of the loan customers are located in the markets serviced by the Bank. As a preferred SBA lender, a portion of the SBA portfolio is to borrowers outside the Company’s lending area. However, during late 2008, the Company withdrew from SBA lending outside of its primary trade area, but continues to offer SBA loan products as an additional credit product within its primary trade area. Loan performance may be adversely affected by factors impacting the general economy or conditions specific to the real estate market such as geographic location and/or property type. A description of the Company's different loan segments follows: | ||||||||||||||||||||||
SBA Loans: SBA 7(a) loans, on which the SBA has historically provided guarantees of up to 90 percent of the principal balance, are considered a higher risk loan product for the Company than its other loan products. The guaranteed portion of the Company’s SBA loans is generally sold in the secondary market with the nonguaranteed portion held in the portfolio as a loan held for investment. SBA loans are for the purpose of providing working capital, financing the purchase of equipment, inventory or commercial real estate and for other business purposes. Loans are guaranteed by the businesses' major owners. SBA loans are made based primarily on the historical and projected cash flow of the business and secondarily on the underlying collateral provided. | ||||||||||||||||||||||
SBA 504 Loans: The SBA 504 program consists of real estate backed commercial mortgages where the Company has the first mortgage and the SBA has the second mortgage on the property. SBA 504 loans are made based primarily on the historical and projected cash flow of the business and secondarily on the underlying collateral provided. Generally, the Company has a 50 percent loan to value ratio on SBA 504 program loans at origination. | ||||||||||||||||||||||
Commercial Loans: Commercial credit is extended primarily to middle market and small business customers. Commercial loans are generally made in the Company’s market place for the purpose of providing working capital, financing the purchase of equipment, inventory or commercial real estate and for other business purposes. Loans will generally be guaranteed in full or for a meaningful amount by the businesses' major owners. Commercial loans are made based primarily on the historical and projected cash flow of the business and secondarily on the underlying collateral provided. | ||||||||||||||||||||||
Residential Mortgage and Consumer Loans: The Company originates mortgage and consumer loans including principally residential real estate and home equity lines and loans. Each loan type is evaluated on debt to income, type of collateral and loan to collateral value, credit history and Company relationship with the borrower. | ||||||||||||||||||||||
Inherent in the lending function is credit risk, which is the possibility a borrower may not perform in accordance with the contractual terms of their loan. A borrower’s inability to pay their obligations according to the contractual terms can create the risk of past due loans and, ultimately, credit losses, especially on collateral deficient loans. The Company minimizes its credit risk by loan diversification and adhering to credit administration policies and procedures. Due diligence on loans begins when we initiate contact regarding a loan with a borrower. Documentation, including a borrower’s credit history, materials establishing the value and liquidity of potential collateral, the purpose of the loan, the source of funds for repayment of the loan, and other factors, are analyzed before a loan is submitted for approval. The loan portfolio is then subject to on-going internal reviews for credit quality, as well as independent credit reviews by an outside firm. | ||||||||||||||||||||||
The Company's extension of credit is governed by the Credit Risk Policy which was established to control the quality of the Company's loans. These policies and procedures are reviewed and approved by the Board of Directors on a regular basis. | ||||||||||||||||||||||
Credit Ratings | ||||||||||||||||||||||
For SBA 7(a), SBA 504 and commercial loans, management uses internally assigned risk ratings as the best indicator of credit quality. A loan’s internal risk rating is updated at least annually and more frequently if circumstances warrant a change in risk rating. The Company uses a 1 through 10 loan grading system that follows regulatory accepted definitions. | ||||||||||||||||||||||
Pass: Risk ratings of 1 through 6 are used for loans that are performing, as they meet, and are expected to continue to meet, all of the terms and conditions set forth in the original loan documentation, and are generally current on principal and interest payments. These performing loans are termed “Pass”. | ||||||||||||||||||||||
Special Mention: Criticized loans are assigned a risk rating of 7 and termed “Special Mention”, as the borrowers exhibit potential credit weaknesses or downward trends deserving management’s close attention. If not checked or corrected, these trends will weaken the Bank’s collateral and position. While potentially weak, these borrowers are currently marginally acceptable and no loss of interest or principal is anticipated. As a result, special mention assets do not expose an institution to sufficient risk to warrant adverse classification. Included in “Special Mention” could be turnaround situations, such as borrowers with deteriorating trends beyond one year, borrowers in start up or deteriorating industries, or borrowers with a poor market share in an average industry. "Special Mention" loans may include an element of asset quality, financial flexibility, or below average management. Management and ownership may have limited depth or experience. Regulatory agencies have agreed on a consistent definition of “Special Mention” as an asset with potential weaknesses which, if left uncorrected, may result in deterioration of the repayment prospects for the asset or in the Bank’s credit position at some future date. This definition is intended to ensure that the “Special Mention” category is not used to identify assets that have as their sole weakness credit data exceptions or collateral documentation exceptions that are not material to the repayment of the asset. | ||||||||||||||||||||||
Substandard: Classified loans are assigned a risk rating of an 8 or 9, depending upon the prospect for collection, and deemed “Substandard”. A risk rating of 8 is used for borrowers with well-defined weaknesses that jeopardize the orderly liquidation of debt. The loan is inadequately protected by the current paying capacity of the obligor or by the collateral pledged, if any. Normal repayment from the borrower is in jeopardy, although no loss of principal is envisioned. There is a distinct possibility that a partial loss of interest and/or principal will occur if the deficiencies are not corrected. Loss potential, while existing in the aggregate amount of substandard assets, does not have to exist in individual assets classified “Substandard”. | ||||||||||||||||||||||
A risk rating of 9 is used for borrowers that have all the weaknesses inherent in a loan with a risk rating of 8, with the added characteristic that the weaknesses make collection of debt in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Serious problems exist to the point where partial loss of principal is likely. The possibility of loss is extremely high, but because of certain important, reasonably specific pending factors that may work to strengthen the assets, the loans’ classification as estimated losses is deferred until a more exact status may be determined. Pending factors include proposed merger, acquisition, or liquidation procedures; capital injection; perfecting liens on additional collateral; and refinancing plans. Partial charge-offs are likely. | ||||||||||||||||||||||
Loss: Once a borrower is deemed incapable of repayment of unsecured debt, the risk rating becomes a 10, the loan is termed a “Loss”, and charged-off immediately. Loans to such borrowers are considered uncollectible and of such little value that continuance as active assets of the Bank is not warranted. This classification does not mean that the loan has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing off these basically worthless assets even though partial recovery may be affected in the future. | ||||||||||||||||||||||
For residential mortgage and consumer loans, management uses performing versus nonperforming as the best indicator of credit quality. Nonperforming loans consist of loans that are not accruing interest (nonaccrual loans) as a result of principal or interest being in default for a period of 90 days or more or when the ability to collect principal and interest according to the contractual terms is in doubt. These credit quality indicators are updated on an ongoing basis, as a loan is placed on nonaccrual status as soon as management believes there is sufficient doubt as to the ultimate ability to collect interest on a loan. | ||||||||||||||||||||||
The tables below detail the Company’s loan portfolio by class according to their credit quality indicators discussed in the paragraphs above as of December 31, 2013: | ||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||
SBA, SBA 504 & Commercial loans - Internal risk ratings | ||||||||||||||||||||||
(In thousands) | Pass | Special mention | Substandard | Total | ||||||||||||||||||
SBA loans held for investment | $ | 43,778 | $ | 2,035 | $ | 3,105 | $ | 48,918 | ||||||||||||||
SBA 504 loans | 20,641 | 9,595 | 1,328 | 31,564 | ||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 34,946 | 1,499 | 1,166 | 37,611 | ||||||||||||||||||
Commercial real estate | 289,220 | 21,137 | 7,114 | 317,471 | ||||||||||||||||||
Commercial real estate construction | 8,081 | - | 177 | 8,258 | ||||||||||||||||||
Total commercial loans | 332,247 | 22,636 | 8,457 | 363,340 | ||||||||||||||||||
Total SBA, SBA 504 and commercial loans | $ | 396,666 | $ | 34,266 | $ | 12,890 | $ | 443,822 | ||||||||||||||
Residential mortgage & Consumer loans - Performing/Nonperforming | ||||||||||||||||||||||
(In thousands) | Performing | Nonperforming | Total | |||||||||||||||||||
Residential mortgage loans | ||||||||||||||||||||||
Residential mortgages | $ | 173,085 | $ | 2,899 | $ | 175,984 | ||||||||||||||||
Purchased residential mortgages | 3,255 | 2,828 | 6,083 | |||||||||||||||||||
Total residential mortgage loans | 176,340 | 5,727 | 182,067 | |||||||||||||||||||
Consumer loans | ||||||||||||||||||||||
Home equity | 42,029 | 1,675 | 43,704 | |||||||||||||||||||
Consumer other | 2,430 | 5 | 2,435 | |||||||||||||||||||
Total consumer loans | 44,459 | 1,680 | 46,139 | |||||||||||||||||||
Total residential mortgage and consumer loans | $ | 220,799 | $ | 7,407 | $ | 228,206 | ||||||||||||||||
The tables below detail the Company’s loan portfolio by class according to their credit quality indicators discussed in the paragraphs above as of December 31, 2012: | ||||||||||||||||||||||
31-Dec-12 | ||||||||||||||||||||||
SBA, SBA 504 & Commercial loans - Internal risk ratings | ||||||||||||||||||||||
(In thousands) | Pass | Special mention | Substandard | Total | ||||||||||||||||||
SBA loans held for investment | $ | 51,754 | $ | 2,328 | $ | 4,511 | $ | 58,593 | ||||||||||||||
SBA 504 loans | 28,726 | 5,860 | 6,852 | 41,438 | ||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 20,337 | 1,519 | 2,187 | 24,043 | ||||||||||||||||||
Commercial real estate | 229,516 | 30,334 | 4,589 | 264,439 | ||||||||||||||||||
Commercial real estate construction | 12,880 | 202 | - | 13,082 | ||||||||||||||||||
Total commercial loans | 262,733 | 32,055 | 6,776 | 301,564 | ||||||||||||||||||
Total SBA, SBA 504 and commercial loans | $ | 343,213 | $ | 40,243 | $ | 18,139 | $ | 401,595 | ||||||||||||||
Residential mortgage & Consumer loans - Performing/Nonperforming | ||||||||||||||||||||||
(In thousands) | Performing | Nonperforming | Total | |||||||||||||||||||
Residential mortgage loans | ||||||||||||||||||||||
Residential mortgages | $ | 122,711 | $ | 2,521 | $ | 125,232 | ||||||||||||||||
Purchased residential mortgages | 3,872 | 2,990 | 6,862 | |||||||||||||||||||
Total residential mortgage loans | 126,583 | 5,511 | 132,094 | |||||||||||||||||||
Consumer loans | ||||||||||||||||||||||
Home equity | 44,844 | 308 | 45,152 | |||||||||||||||||||
Consumer other | 1,249 | 9 | 1,258 | |||||||||||||||||||
Total consumer loans | 46,093 | 317 | 46,410 | |||||||||||||||||||
Total residential mortgage and consumer loans | $ | 172,676 | $ | 5,828 | $ | 178,504 | ||||||||||||||||
Nonperforming and Past Due Loans | ||||||||||||||||||||||
Nonperforming loans consist of loans that are not accruing interest (nonaccrual loans) as a result of principal or interest being in default for a period of 90 days or more or when the ability to collect principal and interest according to the contractual terms is in doubt. Loans past due 90 days or more and still accruing interest are not included in nonperforming loans and generally represent loans that are well collateralized and in a continuing process expected to result in repayment or restoration to current status. The risk of loss is difficult to quantify and is subject to fluctuations in collateral values, general economic conditions and other factors. The majority of the Company’s nonaccrual loans are the result of the 2008 recession and subsequent collection efforts. The state of the economy and the downturn in the real estate market has resulted in increased loan delinquencies and defaults. In some cases, these factors have also resulted in significant impairment to the value of loan collateral. The Company values its collateral through the use of appraisals, broker price opinions, and knowledge of its local market. In response to the credit risk in its portfolio, the Company has increased staffing in its credit monitoring department and increased efforts in the collection and analysis of borrowers’ financial statements and tax returns. The following tables set forth an aging analysis of past due and nonaccrual loans as of December 31, 2013 and December 31, 2012: | ||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||
(In thousands) | 30-59 days past due | 60-89 days past due | 90+ days and still accruing | Nonaccrual (1) | Total past due | Current | Total loans | |||||||||||||||
SBA loans held for investment | $ | 4,314 | $ | 264 | $ | - | $ | 2,746 | $ | 7,324 | $ | 41,594 | $ | 48,918 | ||||||||
SBA 504 loans | - | - | - | 1,101 | 1,101 | 30,463 | 31,564 | |||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 123 | - | - | 67 | 190 | 37,421 | 37,611 | |||||||||||||||
Commercial real estate | 347 | 190 | 14 | 3,785 | 4,336 | 313,135 | 317,471 | |||||||||||||||
Commercial real estate construction | - | - | - | 177 | 177 | 8,081 | 8,258 | |||||||||||||||
Residential mortgage loans | ||||||||||||||||||||||
Residential mortgages | 2,514 | - | - | 2,899 | 5,413 | 170,571 | 175,984 | |||||||||||||||
Purchased residential mortgages | 536 | - | 5 | 2,828 | 3,369 | 2,714 | 6,083 | |||||||||||||||
Consumer loans | ||||||||||||||||||||||
Home equity | 142 | 69 | - | 1,675 | 1,886 | 41,818 | 43,704 | |||||||||||||||
Consumer other | 9 | 1 | - | 5 | 15 | 2,420 | 2,435 | |||||||||||||||
Total loans held for investment | $ | 7,985 | $ | 524 | $ | 19 | $ | 15,283 | $ | 23,811 | $ | 648,217 | $ | 672,028 | ||||||||
SBA loans held for sale | 65 | - | - | - | 65 | 6,608 | 6,673 | |||||||||||||||
Total loans | $ | 8,050 | $ | 524 | $ | 19 | $ | 15,283 | $ | 23,876 | $ | 654,825 | $ | 678,701 | ||||||||
-1 | At December 31, 2013, nonaccrual loans included $467 thousand of TDRs and $540 thousand of loans guaranteed by the SBA. The remaining $7.5 million of TDRs are in accrual status because they are performing in accordance with their restructured terms, and have been for at least six months. | |||||||||||||||||||||
31-Dec-12 | ||||||||||||||||||||||
(In thousands) | 30-59 days past due | 60-89 days past due | 90+ days and still accruing | Nonaccrual (1) | Total past due | Current | Total loans | |||||||||||||||
SBA loans held for investment | $ | 1,912 | $ | 296 | $ | - | $ | 4,633 | $ | 6,841 | $ | 51,752 | $ | 58,593 | ||||||||
SBA 504 loans | 5,037 | - | - | 2,562 | 7,599 | 33,839 | 41,438 | |||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | - | - | 109 | 1,122 | 1,231 | 22,812 | 24,043 | |||||||||||||||
Commercial real estate | 3,763 | - | - | 3,323 | 7,086 | 257,353 | 264,439 | |||||||||||||||
Commercial real estate construction | - | 202 | - | - | 202 | 12,880 | 13,082 | |||||||||||||||
Residential mortgage loans | ||||||||||||||||||||||
Residential mortgages | 2,651 | 1,878 | - | 2,521 | 7,050 | 118,182 | 125,232 | |||||||||||||||
Purchased residential mortgages | 134 | 78 | - | 2,990 | 3,202 | 3,660 | 6,862 | |||||||||||||||
Consumer loans | ||||||||||||||||||||||
Home equity | 833 | - | - | 308 | 1,141 | 44,011 | 45,152 | |||||||||||||||
Consumer other | - | - | - | 9 | 9 | 1,249 | 1,258 | |||||||||||||||
Total loans held for investment | $ | 14,330 | $ | 2,454 | $ | 109 | $ | 17,468 | $ | 34,361 | $ | 545,738 | $ | 580,099 | ||||||||
SBA loans held for sale | - | - | - | - | - | 6,937 | 6,937 | |||||||||||||||
Total loans | $ | 14,330 | $ | 2,454 | $ | 109 | $ | 17,468 | $ | 34,361 | $ | 552,675 | $ | 587,036 | ||||||||
-1 | At December 31, 2012, nonaccrual loans included $1.1 million of TDRs and $1.8 million of loans guaranteed by the SBA. The remaining $13.6 million of TDRs are in accrual status because they are performing in accordance with their restructured terms, and have been for at least six months. | |||||||||||||||||||||
Impaired Loans | ||||||||||||||||||||||
The Company has defined impaired loans to be all nonperforming loans and troubled debt restructurings. Management considers a loan impaired when, based on current information and events, it is determined that the Company will not be able to collect all amounts due according to the loan contract. | ||||||||||||||||||||||
The following tables provide detail on the Company’s impaired loans with the associated allowance amount, if applicable, as of December 31, 2013 and December 31, 2012: | ||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||
(In thousands) | Unpaid principal balance | Recorded investment | Specific reserves | |||||||||||||||||||
With no related allowance: | ||||||||||||||||||||||
SBA loans held for investment (1) | $ | 1,123 | $ | 835 | $ | - | ||||||||||||||||
SBA 504 loans | 2,251 | 2,251 | - | |||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 56 | 55 | - | |||||||||||||||||||
Commercial real estate | 6,116 | 5,969 | - | |||||||||||||||||||
Total commercial loans | 6,172 | 6,024 | - | |||||||||||||||||||
Total impaired loans with no related allowance | 9,546 | 9,110 | - | |||||||||||||||||||
With an allowance: | ||||||||||||||||||||||
SBA loans held for investment (1) | 2,282 | 1,905 | 831 | |||||||||||||||||||
SBA 504 loans | 1,277 | 677 | 29 | |||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 24 | 12 | 12 | |||||||||||||||||||
Commercial real estate | 3,557 | 2,907 | 230 | |||||||||||||||||||
Commercial real estate construction | 202 | 177 | 36 | |||||||||||||||||||
Total commercial loans | 3,783 | 3,096 | 278 | |||||||||||||||||||
Total impaired loans with a related allowance | 7,342 | 5,678 | 1,138 | |||||||||||||||||||
Total individually evaluated impaired loans: | ||||||||||||||||||||||
SBA loans held for investment (1) | 3,405 | 2,740 | 831 | |||||||||||||||||||
SBA 504 loans | 3,528 | 2,928 | 29 | |||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 80 | 67 | 12 | |||||||||||||||||||
Commercial real estate | 9,673 | 8,876 | 230 | |||||||||||||||||||
Commercial real estate construction | 202 | 177 | 36 | |||||||||||||||||||
Total commercial loans | 9,955 | 9,120 | 278 | |||||||||||||||||||
Total individually evaluated impaired loans | $ | 16,888 | $ | 14,788 | $ | 1,138 | ||||||||||||||||
-1 | Balances are reduced by amount guaranteed by the SBA of $540 thousand at December 31, 2013. | |||||||||||||||||||||
31-Dec-12 | ||||||||||||||||||||||
(In thousands) | Unpaid principal balance | Recorded investment | Specific reserves | |||||||||||||||||||
With no related allowance: | ||||||||||||||||||||||
SBA loans held for investment (1) | $ | 1,352 | $ | 866 | $ | - | ||||||||||||||||
SBA 504 loans | 5,812 | 5,555 | - | |||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 2,032 | 2,033 | - | |||||||||||||||||||
Commercial real estate | 5,220 | 4,752 | - | |||||||||||||||||||
Total commercial loans | 7,252 | 6,785 | - | |||||||||||||||||||
Total impaired loans with no related allowance | 14,416 | 13,206 | - | |||||||||||||||||||
With an allowance: | ||||||||||||||||||||||
SBA loans held for investment (1) | 3,355 | 2,846 | 1,159 | |||||||||||||||||||
SBA 504 loans | 1,297 | 1,297 | 217 | |||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 126 | 38 | 38 | |||||||||||||||||||
Commercial real estate | 6,014 | 5,979 | 587 | |||||||||||||||||||
Total commercial loans | 6,140 | 6,017 | 625 | |||||||||||||||||||
Total impaired loans with a related allowance | 10,792 | 10,160 | 2,001 | |||||||||||||||||||
Total individually evaluated impaired loans: | ||||||||||||||||||||||
SBA loans held for investment (1) | 4,707 | 3,712 | 1,159 | |||||||||||||||||||
SBA 504 loans | 7,109 | 6,852 | 217 | |||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 2,158 | 2,071 | 38 | |||||||||||||||||||
Commercial real estate | 11,234 | 10,731 | 587 | |||||||||||||||||||
Total commercial loans | 13,392 | 12,802 | 625 | |||||||||||||||||||
Total individually evaluated impaired loans | $ | 25,208 | $ | 23,366 | $ | 2,001 | ||||||||||||||||
-1 | Balances are reduced by amount guaranteed by the SBA of $1.8 million at December 31, 2012. | |||||||||||||||||||||
The following table presents the average recorded investments in impaired loans and the related amount of interest recognized during the time period in which the loans were impaired for the years ended December 31, 2013 and 2012. The average balances are calculated based on the month-end balances of impaired loans. When the ultimate collectability of the total principal of an impaired loan is in doubt and the loan is on nonaccrual status, all payments are applied to principal under the cost recovery method, therefore no interest income is recognized. Any interest income recognized on a cash basis during the years ended December 31, 2013 and 2012 was immaterial. The interest recognized on impaired loans noted below represents accruing troubled debt restructurings only. | ||||||||||||||||||||||
For the years ended December 31, | ||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||
(In thousands) | Average recorded investment | Interest income recognized on impaired loans | Average recorded investment | Interest income recognized on impaired loans | ||||||||||||||||||
SBA loans held for investment (1) | $ | 3,244 | $ | 197 | $ | 4,161 | $ | 212 | ||||||||||||||
SBA 504 loans | 5,066 | 173 | 6,184 | 278 | ||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 1,461 | 100 | 3,201 | 53 | ||||||||||||||||||
Commercial real estate | 9,751 | 324 | 17,909 | 462 | ||||||||||||||||||
Commercial real estate construction | 171 | - | 133 | - | ||||||||||||||||||
Residential mortgage loans | ||||||||||||||||||||||
Residential mortgages | 2,757 | - | 2,070 | - | ||||||||||||||||||
Residential construction | - | - | 904 | - | ||||||||||||||||||
Purchased residential mortgages | 1,927 | - | 2,655 | - | ||||||||||||||||||
Consumer loans | ||||||||||||||||||||||
Home equity | 970 | 16 | 292 | - | ||||||||||||||||||
Consumer other | 1 | - | 8 | - | ||||||||||||||||||
Total | $ | 25,348 | $ | 810 | $ | 37,517 | $ | 1,005 | ||||||||||||||
-1 | Balances are reduced by the average amount guaranteed by the SBA of $953 thousand and $667 thousand for years ended December 31, 2013 and 2012, respectively. | |||||||||||||||||||||
Troubled Debt Restructurings | ||||||||||||||||||||||
The Company's loan portfolio includes certain loans that have been modified in a troubled debt restructuring (“TDR”). TDRs occur when a creditor, for economic or legal reasons related to a debtor’s financial condition, grants a concession to the debtor that it would not otherwise consider, unless it results in a delay in payment that is insignificant. These concessions typically include reductions in interest rate, extending the maturity of a loan, other modifications of payment terms, or a combination of modifications. When the Company modifies a loan, management evaluates for any possible impairment using either the discounted cash flows method, where the value of the modified loan is based on the present value of expected cash flows, discounted at the contractual interest rate of the original loan agreement, or by using the fair value of the collateral less selling costs if the loan is collateral-dependent. If management determines that the value of the modified loan is less than the recorded investment in the loan, impairment is recognized by segment or class of loan, as applicable, through an allowance estimate or charge-off to the allowance. This process is used, regardless of loan type, and for loans modified as TDRs that subsequently default on their modified terms. | ||||||||||||||||||||||
TDRs of $7.9 million and $14.7 million are included in the impaired loan numbers as of December 31, 2013 and December 31, 2012, respectively. The decrease was due to payoffs, note sales, a refinanced transaction and principal pay downs, partially offset by the addition of two loans. Specific reserves for these TDRs were $363 thousand and $659 thousand as of December 31, 2013 and December 31, 2012, respectively. At December 31, 2013, $467 thousand of TDRs were in nonaccrual status, compared to $1.1 million at December 31, 2012. The remaining TDRs are in accrual status since they continue to perform in accordance with their restructured terms. There are no commitments to lend additional funds on these loans. | ||||||||||||||||||||||
The following table details loans modified during the years ended December 31, 2013 and 2012, including the number of modifications, the recorded investment at the time of the modification and the year-to-date impact to interest income as a result of the modification. | ||||||||||||||||||||||
For the years ended December 31, | ||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||
(In thousands, except number of contracts) | Number of contracts | Recorded investment at time of modification | Impact of interest rate change on income | Number of contracts | Recorded investment at time of modification | Impact of interest rate change on income | ||||||||||||||||
SBA loans held for investment | 1 | $ | 65 | $ | - | - | $ | - | $ | - | ||||||||||||
Commercial real estate | 1 | 2,684 | 50 | 3 | 1,856 | 11 | ||||||||||||||||
Total | 2 | $ | 2,749 | $ | 50 | 3 | $ | 1,856 | $ | 11 | ||||||||||||
In addition, there were no qualifying subsequent defaults to TDRs in 2013. In 2012, there was one commercial real estate loan with outstanding principal of $961 thousand modified as a TDR within the previous 12 months where a concession was made and the loan subsequently defaulted at some point during the year ended December 31, 2012. In this case, subsequent default is defined as 90 days past due or transferred to nonaccrual status. | ||||||||||||||||||||||
To date, the Company’s TDRs consisted of interest rate reductions, interest only periods and maturity extensions. There has been no principal forgiveness. The following tables show the types of modifications done during the years ended December 31, 2013 and 2012, with the respective loan balances as of those period ends: | ||||||||||||||||||||||
For the year ended December 31, 2013 | ||||||||||||||||||||||
(In thousands) | SBA | Commercial real estate | Total | |||||||||||||||||||
Type of modification: | ||||||||||||||||||||||
Interest only with reduced interest rate | $ | - | $ | 2,684 | $ | 2,684 | ||||||||||||||||
Interest only with nominal principal | 65 | - | 65 | |||||||||||||||||||
Total TDRs | $ | 65 | $ | 2,684 | $ | 2,749 | ||||||||||||||||
For the year ended December 31, 2012 | ||||||||||||||||||||||
(In thousands) | Commercial real estate | Total | ||||||||||||||||||||
Type of modification: | ||||||||||||||||||||||
Interest only | $ | 1,890 | $ | 1,890 | ||||||||||||||||||
Total TDRs | $ | 1,890 | $ | 1,890 | ||||||||||||||||||
Other Loan Information | ||||||||||||||||||||||
Servicing Assets: | ||||||||||||||||||||||
Loans sold to others and serviced by the Company are not included in the accompanying Consolidated Balance Sheets. The total amount of such loans serviced, but owned by outside investors, amounted to approximately $101.9 million and $109.9 million at December 31, 2013 and 2012, respectively. At December 31, 2013 and 2012, the carrying value, which approximates fair value, of servicing assets was $437 thousand and $396 thousand, respectively, and is included in Other Assets. The fair value of SBA servicing assets was determined using a discount rate of 15 percent, constant prepayment speeds ranging from 15 to 18, and interest strip multiples ranging from 2.08 to 3.80, depending on each individual credit. The fair value of mortgage servicing assets was determined using a discount rate of 15 percent and constant prepayment speeds ranging from 15 to 18. A summary of the changes in the related servicing assets for the past two years follows: | ||||||||||||||||||||||
For the years ended December 31, | ||||||||||||||||||||||
(In thousands) | 2013 | 2012 | ||||||||||||||||||||
Balance, beginning of year | $ | 396 | $ | 418 | ||||||||||||||||||
Servicing assets capitalized | 187 | 155 | ||||||||||||||||||||
Amortization of expense | -146 | -177 | ||||||||||||||||||||
Provision for loss in fair value | - | - | ||||||||||||||||||||
Balance, end of year | $ | 437 | $ | 396 | ||||||||||||||||||
In addition, the Company had a $502 thousand and $487 thousand discount related to the retained portion of the unsold SBA loans at December 31, 2013 and 2012, respectively. | ||||||||||||||||||||||
Officer and Director Loans: | ||||||||||||||||||||||
In the ordinary course of business, the Company may extend credit to officers, directors or their associates. These loans are subject to the Company’s normal lending policy. An analysis of such loans, all of which are current as to principal and interest payments, is as follows: | ||||||||||||||||||||||
For the years ended December 31, | ||||||||||||||||||||||
(In thousands) | 2013 | 2012 | ||||||||||||||||||||
Balance, beginning of year | $ | 14,605 | $ | 15,585 | ||||||||||||||||||
New loans | 4,521 | 537 | ||||||||||||||||||||
Loan repayments | -799 | -1,517 | ||||||||||||||||||||
Balance, end of year | $ | 18,327 | $ | 14,605 | ||||||||||||||||||
Loan Portfolio Collateral: | ||||||||||||||||||||||
The majority of the Company’s loans are secured by real estate. Declines in the market values of real estate in the Company’s trade area impact the value of the collateral securing its loans. This could lead to greater losses in the event of defaults on loans secured by real estate. At December 31, 2013, approximately 96 percent of the Company’s loan portfolio was secured by real estate, compared to 97 percent at December 31, 2012. | ||||||||||||||||||||||
Allowance_for_Loan_Losses_and_
Allowance for Loan Losses and Reserve for Unfunded Loan Commitments | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Allowance for Loan Losses and Reserve for Unfunded Loan Commitments [Abstract] | ' | |||||||||||||||||||||
Allowance for Loan Losses and Reserve for Unfunded Loan Commitments | ' | |||||||||||||||||||||
6. Allowance for Loan Losses and Reserve for Unfunded Loan Commitments | ||||||||||||||||||||||
Allowance for Loan Losses | ||||||||||||||||||||||
The Company has an established methodology to determine the adequacy of the allowance for loan losses that assesses the risks and losses inherent in the loan portfolio. At a minimum, the adequacy of the allowance for loan losses is reviewed by management on a quarterly basis. For purposes of determining the allowance for loan losses, the Company has segmented the loans in its portfolio by loan type. Loans are segmented into the following pools: SBA 7(a), SBA 504, commercial, residential mortgages, and consumer loans. Certain portfolio segments are further broken down into classes based on the associated risks within those segments and the type of collateral underlying each loan. Commercial loans are divided into the following three classes: commercial real estate, commercial real estate construction and commercial other. Residential mortgage loans are divided into the following three classes: Residential mortgages, residential construction and purchased mortgages. Consumer loans are divided into two classes as follows: Home equity and other. | ||||||||||||||||||||||
The standardized methodology used to assess the adequacy of the allowance includes the allocation of specific and general reserves. The same standard methodology is used, regardless of loan type. Specific reserves are made to individual impaired loans and troubled debt restructurings (see Note 1 for additional information on this term). The general reserve is set based upon a representative average historical net charge-off rate adjusted for the following environmental factors: delinquency and impairment trends, charge-off and recovery trends, changes in the volume of restructured loans, volume and loan term trends, changes in risk and underwriting policy trends, staffing and experience changes, national and local economic trends, industry conditions and credit concentration changes. Within the five-year historical net charge-off rate, the Company weights the past three years more because it believes they are more indicative of future losses. All of the environmental factors are ranked and assigned a basis points value based on the following scale: low, low moderate, moderate, high moderate and high risk. Each environmental factor is evaluated separately for each class of loans and risk weighted based on its individual characteristics. | ||||||||||||||||||||||
· | For SBA 7(a), SBA 504 and commercial loans, the estimate of loss based on pools of loans with similar characteristics is made through the use of a standardized loan grading system that is applied on an individual loan level and updated on a continuous basis. The loan grading system incorporates reviews of the financial performance of the borrower, including cash flow, debt-service coverage ratio, earnings power, debt level and equity position, in conjunction with an assessment of the borrower's industry and future prospects. It also incorporates analysis of the type of collateral and the relative loan to value ratio. | |||||||||||||||||||||
· | For residential mortgage and consumer loans, the estimate of loss is based on pools of loans with similar characteristics. Factors such as credit score, delinquency status and type of collateral are evaluated. Factors are updated frequently to capture the recent behavioral characteristics of the subject portfolios, as well as any changes in loss mitigation or credit origination strategies, and adjustments to the reserve factors are made as needed. | |||||||||||||||||||||
According to the Company’s policy, a loss (“charge-off”) is to be recognized and charged to the allowance for loan losses as soon as a loan is recognized as uncollectable. All credits which are 90 days past due must be analyzed for the Company’s ability to collect on the credit. Once a loss is known to exist, the charge-off approval process is immediately expedited. This charge-off policy is followed for all loan types. | ||||||||||||||||||||||
The allocated allowance is the total of identified specific and general reserves by loan category. The allocation is not necessarily indicative of the categories in which future losses may occur. The total allowance is available to absorb losses from any segment of the portfolio. An unallocated component is maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in methodologies for estimating allocated and general reserves in the portfolio. | ||||||||||||||||||||||
The following tables detail the activity in the allowance for loan losses by portfolio segment for the past two years: | ||||||||||||||||||||||
For the year ended December 31, 2013 | ||||||||||||||||||||||
(In thousands) | SBA held for investment | SBA 504 | Commercial | Residential | Consumer | Unallocated | Total | |||||||||||||||
Balance, beginning of period | $ | 3,378 | $ | 1,312 | $ | 7,091 | $ | 1,769 | $ | 524 | $ | 684 | $ | 14,758 | ||||||||
Charge-offs | -1,076 | -1,193 | -1,392 | -375 | -588 | - | -4,624 | |||||||||||||||
Recoveries | 250 | 182 | 204 | 17 | 4 | - | 657 | |||||||||||||||
Net charge-offs | -826 | -1,011 | -1,188 | -358 | -584 | - | -3,967 | |||||||||||||||
Provision for loan losses charged to expense | 35 | 656 | 937 | 721 | 633 | -632 | 2,350 | |||||||||||||||
Balance, end of period | $ | 2,587 | $ | 957 | $ | 6,840 | $ | 2,132 | $ | 573 | $ | 52 | $ | 13,141 | ||||||||
For the year ended December 31, 2012 | ||||||||||||||||||||||
(In thousands) | SBA held for investment | SBA 504 | Commercial | Residential | Consumer | Unallocated | Total | |||||||||||||||
Balance, beginning of period | $ | 4,088 | $ | 1,423 | $ | 8,129 | $ | 1,703 | $ | 536 | $ | 469 | $ | 16,348 | ||||||||
Charge-offs | -1,332 | -808 | -3,504 | -824 | -56 | - | -6,524 | |||||||||||||||
Recoveries | 518 | 108 | 306 | - | 2 | - | 934 | |||||||||||||||
Net charge-offs | -814 | -700 | -3,198 | -824 | -54 | - | -5,590 | |||||||||||||||
Provision for loan losses charged to expense | 104 | 589 | 2,160 | 890 | 42 | 215 | 4,000 | |||||||||||||||
Balance, end of period | $ | 3,378 | $ | 1,312 | $ | 7,091 | $ | 1,769 | $ | 524 | $ | 684 | $ | 14,758 | ||||||||
The following tables present loans and their related allowance for loan losses, by portfolio segment, as of December 31st for the past two years: | ||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||
(In thousands) | SBA held for investment | SBA 504 | Commercial | Residential | Consumer | Unallocated | Total | |||||||||||||||
Allowance for loan losses ending balance: | ||||||||||||||||||||||
Individually evaluated for impairment | $ | 831 | $ | 29 | $ | 278 | $ | - | $ | - | $ | - | $ | 1,138 | ||||||||
Collectively evaluated for impairment | 1,756 | 928 | 6,562 | 2,132 | 573 | 52 | 12,003 | |||||||||||||||
Total | $ | 2,587 | $ | 957 | $ | 6,840 | $ | 2,132 | $ | 573 | $ | 52 | $ | 13,141 | ||||||||
Loan ending balances: | ||||||||||||||||||||||
Individually evaluated for impairment | $ | 2,740 | $ | 2,928 | $ | 9,120 | $ | - | $ | - | $ | - | $ | 14,788 | ||||||||
Collectively evaluated for impairment | 46,178 | 28,636 | 354,220 | 182,067 | 46,139 | - | 657,240 | |||||||||||||||
Total | $ | 48,918 | $ | 31,564 | $ | 363,340 | $ | 182,067 | $ | 46,139 | $ | - | $ | 672,028 | ||||||||
31-Dec-12 | ||||||||||||||||||||||
(In thousands) | SBA held for investment | SBA 504 | Commercial | Residential | Consumer | Unallocated | Total | |||||||||||||||
Allowance for loan losses ending balance: | ||||||||||||||||||||||
Individually evaluated for impairment | $ | 1,159 | $ | 217 | $ | 625 | $ | - | $ | - | $ | - | $ | 2,001 | ||||||||
Collectively evaluated for impairment | 2,219 | 1,095 | 6,466 | 1,769 | 524 | 684 | 12,757 | |||||||||||||||
Total | $ | 3,378 | $ | 1,312 | $ | 7,091 | $ | 1,769 | $ | 524 | $ | 684 | $ | 14,758 | ||||||||
Loan ending balances: | ||||||||||||||||||||||
Individually evaluated for impairment | $ | 3,712 | $ | 6,852 | $ | 12,802 | $ | - | $ | - | $ | - | $ | 23,366 | ||||||||
Collectively evaluated for impairment | 54,881 | 34,586 | 288,762 | 132,094 | 46,410 | - | 556,733 | |||||||||||||||
Total | $ | 58,593 | $ | 41,438 | $ | 301,564 | $ | 132,094 | $ | 46,410 | $ | - | $ | 580,099 | ||||||||
Changes in Methodology: | ||||||||||||||||||||||
The Company did not make any changes to its allowance for loan losses methodology in the current period. | ||||||||||||||||||||||
Reserve for Unfunded Loan Commitments | ||||||||||||||||||||||
In addition to the allowance for loan losses, the Company maintains a reserve for unfunded loan commitments at a level that management believes is adequate to absorb estimated probable losses. Adjustments to the reserve are made through other expense and applied to the reserve which is classified as other liabilities. At December 31, 2013, a $103 thousand commitment reserve was reported on the balance sheet as an “other liability”, compared to an $87 thousand commitment reserve at December 31, 2012. There were no losses on unfunded loan commitments during 2013 or 2012. | ||||||||||||||||||||||
Premises_and_Equipment
Premises and Equipment | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Premises and Equipment [Abstract] | ' | ||||||
Premises and Equipment | ' | ||||||
7. Premises and Equipment | |||||||
The detail of premises and equipment as of December 31st for the past two years is as follows: | |||||||
(In thousands) | 31-Dec-13 | 31-Dec-12 | |||||
Land and buildings | $ | 17,022 | $ | 12,347 | |||
Furniture, fixtures and equipment | 6,603 | 6,719 | |||||
Leasehold improvements | 1,656 | 2,319 | |||||
Gross premises and equipment | 25,281 | 21,385 | |||||
Less: Accumulated depreciation | -9,609 | -9,323 | |||||
Net premises and equipment | $ | 15,672 | $ | 12,062 | |||
The December 31, 2013 figures reflect the Bank’s purchase of three of its leased branch locations for $4.3 million in April 2013. Amounts charged to noninterest expense for depreciation of premises and equipment amounted to $1.2 million and $1.1 million in 2013 and 2012, respectively. | |||||||
Other_Assets
Other Assets | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Other Assets [Abstract] | ' | ||||||
Other Assets | ' | ||||||
8. Other Assets | |||||||
The detail of other assets as of December 31st for the past two years is as follows: | |||||||
(In thousands) | 31-Dec-13 | 31-Dec-12 | |||||
Prepaid expenses | $ | 481 | $ | 386 | |||
Servicing assets | 437 | 396 | |||||
Net receivable due from SBA | 429 | 758 | |||||
Other | 1,307 | 691 | |||||
Total other assets | $ | 2,654 | $ | 2,231 | |||
Deposits
Deposits | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Deposits [Abstract] | ' | |||||||||||||||||||||
Deposits | ' | |||||||||||||||||||||
9. Deposits | ||||||||||||||||||||||
The following table details the maturity distribution of time deposits as of December 31st for the past two years: | ||||||||||||||||||||||
Three | More than three | More than six | More than | |||||||||||||||||||
months | months through | months through | twelve | |||||||||||||||||||
(In thousands) | or less | six months | twelve months | months | Total | |||||||||||||||||
At December 31, 2013: | ||||||||||||||||||||||
$100,000 or more | $ | 14,588 | $ | 7,965 | $ | 18,582 | $ | 55,961 | $ | 97,096 | ||||||||||||
Less than $100,000 | 8,058 | 7,754 | 19,522 | 72,924 | 108,258 | |||||||||||||||||
At December 31, 2012: | ||||||||||||||||||||||
$100,000 or more | $ | 13,338 | $ | 5,868 | $ | 16,493 | $ | 12,272 | $ | 47,971 | ||||||||||||
Less than $100,000 | 10,131 | 8,985 | 26,271 | 31,607 | 76,994 | |||||||||||||||||
The following table presents the expected maturities of time deposits over the next five years: | ||||||||||||||||||||||
(In thousands) | 2014 | 2015 | 2016 | 2017 | 2018 | Thereafter | Total | |||||||||||||||
Balance maturing | $ | 76,469 | $ | 24,103 | $ | 39,282 | $ | 6,548 | $ | 58,901 | $ | 51 | $ | 205,354 | ||||||||
Borrowed_Funds_and_Subordinate
Borrowed Funds and Subordinated Debentures | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Borrowed Funds and Subordinated Debentures [Abstract] | ' | |||||||||||||||||||||
Borrowed Funds and Subordinated Deentures | ' | |||||||||||||||||||||
10. Borrowed Funds and Subordinated Debentures | ||||||||||||||||||||||
The following table presents the period-end and average balances of borrowed funds and subordinated debentures for the past three years with resultant rates: | ||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||
(In thousands) | Amount | Rate | Amount | Rate | Amount | Rate | ||||||||||||||||
FHLB borrowings and repurchase agreements: | ||||||||||||||||||||||
At December 31, | $ | 92,000 | 2.58 | % | $ | 60,000 | 3.94 | % | $ | 60,000 | 3.94 | % | ||||||||||
Year-to-date average | 61,010 | 3.88 | 60,008 | 3.94 | 60,000 | 3.94 | ||||||||||||||||
Maximum outstanding | 95,000 | 61,000 | 60,000 | |||||||||||||||||||
Repurchase agreements: | ||||||||||||||||||||||
At December 31, | $ | 15,000 | 3.67 | % | $ | 15,000 | 3.67 | % | $ | 15,000 | 3.67 | % | ||||||||||
Year-to-date average | 15,000 | 3.67 | 15,000 | 3.67 | 15,000 | 3.67 | ||||||||||||||||
Maximum outstanding | 15,000 | 15,000 | 15,000 | |||||||||||||||||||
Subordinated debentures: | ||||||||||||||||||||||
At December 31, | $ | 15,465 | 1.80 | % | $ | 15,465 | 1.89 | % | $ | 15,465 | 3.11 | % | ||||||||||
Year-to-date average | 15,465 | 1.83 | 15,465 | 2.19 | 15,465 | 4.83 | ||||||||||||||||
Maximum outstanding | 15,465 | 15,465 | 15,465 | |||||||||||||||||||
The following table presents the expected maturities of borrowed funds and subordinated debentures over the next five years: | ||||||||||||||||||||||
(In thousands) | 2014 | 2015 | 2016 | 2017 | 2018 | Thereafter | Total | |||||||||||||||
FHLB borrowings and repurchase agreements | $ | 32,000 | $ | 10,000 | $ | 20,000 | $ | 30,000 | $ | - | $ | - | $ | 92,000 | ||||||||
Other repurchase agreements | - | - | - | - | 15,000 | - | 15,000 | |||||||||||||||
Subordinated debentures | - | - | - | - | - | 15,465 | 15,465 | |||||||||||||||
Total borrowings | $ | 32,000 | $ | 10,000 | $ | 20,000 | $ | 30,000 | $ | 15,000 | $ | 15,465 | $ | 122,465 | ||||||||
FHLB Borrowings | ||||||||||||||||||||||
FHLB borrowings at December 31, 2013 and 2012 consisted of three $10.0 million advances and three $10.0 million repurchase agreements, respectively. FHLB borrowings at December 31, 2013 also included $32.0 million overnight line of credit advance, versus no overnight line of credit at December 31, 2012. The terms of these transactions are as follows: | ||||||||||||||||||||||
· | The $32.0 million FHLB overnight line of credit advance issued on December 31, 2013 was at a rate of 0.40 percent and was repaid on January 2, 2014. | |||||||||||||||||||||
· | The FHLB advance that was issued on April 27, 2005 has a fixed rate of 3.70 percent, matures on April 27, 2015 and is callable quarterly on the 27th of July, October, January and April. | |||||||||||||||||||||
· | The FHLB advance that was issued on November 2, 2006 has a fixed rate of 4.03 percent, matures on November 2, 2016 and is callable quarterly on the 2nd of February, May, August and November. | |||||||||||||||||||||
· | The FHLB advance that was issued on August 10, 2007 has a fixed rate of 4.23 percent, matures on August 10, 2017 and is callable quarterly on the 10th of November, February, May and August. | |||||||||||||||||||||
· | The FHLB repo-advance that was issued on December 15, 2006 has a fixed rate of 4.13 percent, matures on December 15, 2016 and is callable quarterly on the 15th of March, June, September and December. | |||||||||||||||||||||
· | The FHLB repo-advance that was issued on April 5, 2007 has a fixed rate of 4.21 percent, matures on April 5, 2017 and is callable quarterly on the 5th of July, October, January and April. | |||||||||||||||||||||
· | The FHLB repo-advance that was issued on December 20, 2007 has a fixed rate of 3.34 percent, matures on December 20, 2017 and is callable quarterly on the 20th of March, June, September and December. | |||||||||||||||||||||
Due to the call provisions of these advances, the expected maturity could differ from the contractual maturity. | ||||||||||||||||||||||
Repurchase Agreements | ||||||||||||||||||||||
At December 31, 2013 and 2012, the Company was a party to a $15.0 million repurchase agreement that was entered into in February 2008, has a term of 10 years expiring on February 28, 2018, and a rate of 3.67 percent. The borrowing was callable by the issuer on the repurchase date of May 29, 2008 and quarterly thereafter. | ||||||||||||||||||||||
Due to the call provisions of this advance, the expected maturity could differ from the contractual maturity. | ||||||||||||||||||||||
Subordinated Debentures | ||||||||||||||||||||||
At December 31, 2013 and 2012, the Company was a party in the following subordinated debenture transactions: | ||||||||||||||||||||||
· | On July 24, 2006, Unity (NJ) Statutory Trust II, a statutory business trust and wholly-owned subsidiary of Unity Bancorp, Inc., issued $10.0 million of floating rate capital trust pass through securities to investors due on July 24, 2036. The subordinated debentures are redeemable in whole or part, prior to maturity but after July 24, 2011. The floating interest rate on the subordinated debentures is the three-month LIBOR plus 159 basis points and reprices quarterly. The floating interest rate was 1.84 percent at December 31, 2013 and 1.90 percent at December 31, 2012. | |||||||||||||||||||||
· | On December 19, 2006, Unity (NJ) Statutory Trust III, a statutory business trust and wholly-owned subsidiary of Unity Bancorp, Inc., issued $5.0 million of floating rate capital trust pass through securities to investors due on December 19, 2036. The subordinated debentures are redeemable in whole or part, prior to maturity but after December 19, 2011. The floating interest rate on the subordinated debentures is the three-month LIBOR plus 165 basis points and reprices quarterly. The floating interest rate was 1.89 percent at December 31, 2013 and 1.96 percent at December 31, 2012. | |||||||||||||||||||||
· | In connection with the formation of the statutory business trusts, the trusts also issued $465 thousand of common equity securities to the Company, which together with the proceeds stated above were used to purchase the subordinated debentures, under the same terms and conditions. | |||||||||||||||||||||
The capital securities in each of the above transactions have preference over the common securities with respect to liquidation and other distributions and qualify as Tier I capital. Under the terms of the Dodd-Frank Wall Street Reform and Consumer Protection Act, these securities will continue to qualify as Tier 1 capital as the Company has less than $10 billion in assets. In accordance with FASB ASC Topic 810, “Consolidation,” the Company does not consolidate the accounts and related activity of Unity (NJ) Statutory Trust II and Unity (NJ) Statutory Trust III because it is not the primary beneficiary. The additional capital from each of these transactions was used to bolster the Company’s capital ratios and for general corporate purposes, including among other things, capital contributions to Unity Bank. | ||||||||||||||||||||||
The Company has the ability to defer interest payments on the subordinated debentures for up to five years without being in default. Due to the redemption provisions of these securities, the expected maturity could differ from the contractual maturity. | ||||||||||||||||||||||
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Commitments and Contingencies [Abstract] | ' | |||||||||||||||||||||
Commitments and Contingencies | ' | |||||||||||||||||||||
11. Commitments and Contingencies | ||||||||||||||||||||||
Facility Lease Obligations | ||||||||||||||||||||||
The Company operates fifteen branches, four branches are under operating leases, including its headquarters, and eleven branches are owned. Three previously leased branches were purchased during the second quarter of 2013, therefore rental expense for 2013 includes lease payments for those three branches up through the purchase date. The contractual expiration range on the remaining four leases is between the years 2014 and 2018. | ||||||||||||||||||||||
The following table summarizes the contractual rent payments expected in future years: | ||||||||||||||||||||||
(In thousands) | 2014 | 2015 | 2016 | 2017 | 2018 | Thereafter | Total | |||||||||||||||
Operating lease rental payments | $ | 670 | $ | 572 | $ | 526 | $ | 473 | $ | 418 | $ | - | $ | 2,659 | ||||||||
Rent expense totaled $856 thousand for 2013 and $1.2 million for 2012. The Company currently accounts for all of its leases as operating leases. In addition, the Company has one lease with a related party. The Company leases its Clinton, New Jersey headquarters from a partnership in which two Board members, Messrs. D. Dallas and R. Dallas are partners. Under the lease for the facility, the Company paid aggregate rental payments of $437 thousand in 2013 and $427 thousand in 2012. Rental payments reflect market rents and the lease reflects terms that are comparable to those which could have been obtained in a lease with an unaffiliated third party. When this lease expired at the end of 2013, it was renewed for another five-year term expiring at the end of 2018. The annual rent is increased each year beginning January 1, 2016 by the increase in the Consumer Price Index (“CPI”) for the New York Metropolitan area (not to exceed 1.5 percent). | ||||||||||||||||||||||
Litigation | ||||||||||||||||||||||
The Company may, in the ordinary course of business, become a party to litigation involving collection matters, contract claims and other legal proceedings relating to the conduct of its business. In the best judgment of management, based upon consultation with counsel, the consolidated financial position and results of operations of the Company will not be affected materially by the final outcome of any pending legal proceedings or other contingent liabilities and commitments. | ||||||||||||||||||||||
Commitments to Borrowers | ||||||||||||||||||||||
Commitments to extend credit are legally binding loan commitments with set expiration dates. They are intended to be disbursed, subject to certain conditions, upon the request of the borrower. The Company was committed to advance approximately $103.2 million to its borrowers as of December 31, 2013, compared to $87.2 million at December 31, 2012. At December 31, 2013, $45.6 million of these commitments expire within one year, compared to $40.1 million a year earlier. At December 31, 2013, the Company had $1.4 million in standby letters of credit compared to $1.6 million at December 31, 2012. The estimated fair value of these guarantees is not significant. The Company believes it has the necessary liquidity to honor all commitments. | ||||||||||||||||||||||
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) [Abstract] | ' | ||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | ' | ||||||||||||||||||
12. Accumulated Other Comprehensive Income (Loss) | |||||||||||||||||||
The following table shows the changes in other comprehensive income (loss) for the past two years: | |||||||||||||||||||
For the years ended December 31, | |||||||||||||||||||
2013 | 2012 | ||||||||||||||||||
(In thousands) | Pre-tax | Tax | After-tax | Pre-tax | Tax | After-tax | |||||||||||||
Balance, beginning of period | $ | 1,333 | $ | 1,121 | |||||||||||||||
Unrealized holding gains (losses) on securities arising during period | $ | -2,606 | $ | -1,056 | -1,550 | $ | 920 | $ | 332 | 588 | |||||||||
Less: Reclassification adjustment for gains included in net income | 390 | 131 | 259 | 566 | 190 | 376 | |||||||||||||
Net unrealized gains (losses) on securities arising during the period | $ | -2,996 | $ | -1,187 | $ | -1,809 | $ | 354 | $ | 142 | $ | 212 | |||||||
Balance, end of period | $ | -476 | $ | 1,333 | |||||||||||||||
Shareholders_Equity
Shareholders' Equity | 12 Months Ended |
Dec. 31, 2013 | |
Shareholders' Equity [Abstract] | ' |
Shareholders' Equity | ' |
13. Shareholders’ Equity | |
Shareholders’ equity decreased $20.3 million to $57.2 million at December 31, 2013 compared to $77.5 million at December 31, 2012, due primarily to the redemption of $20.6 million in perpetual preferred stock issued by the U.S. Treasury. Other items impacting shareholders’ equity included the completed $2.7 million repurchase of a common stock purchase warrant from the U.S. Treasury, $1.8 million of depreciation in the net unrealized losses on available for sale securities, $454 thousand in dividends accrued on preferred stock, and $188 thousand in dividends paid on common stock, partially offset by net income of $5.1 million and $355 thousand from the issuance of common stock under employee benefit plans. The issuance of common stock under employee benefit plans includes nonqualified stock options and restricted stock expense related entries, employee option exercises and the tax benefit of options exercised. | |
Preferred Stock | |
On October 3, 2008, Congress passed the Emergency Economic Stabilization Act of 2008 (“EESA”), which provided the U.S. Secretary of the Treasury with broad authority to implement certain actions to help restore stability and liquidity to the U.S. markets. One of the programs resulting from the EESA was the Treasury’s Capital Purchase Program (“CPP”) which provided direct equity investment of perpetual preferred stock by the U.S. Treasury in qualified financial institutions. This program was voluntary and required an institution to comply with several restrictions and provisions, including limits on executive compensation, stock redemptions, and declaration of dividends. The perpetual preferred stock had a dividend rate of 5 percent per year until the fifth anniversary of the Treasury investment and a dividend rate of 9 percent thereafter. The Company received an investment in perpetual preferred stock of $20.6 million on December 5, 2008. These proceeds were allocated between the preferred stock and warrants based on relative fair value in accordance with FASB ASC Topic 470, “Debt.” The allocation of proceeds resulted in a discount on the preferred stock to be accreted over five years. The Company issued a warrant to purchase 764,778 shares of common stock to the U.S. Treasury and $2.6 million of the proceeds were allocated to the warrant. The warrant was accounted for as an equity security with a contractual life of ten years and an exercise price of $4.05. | |
On May 9, 2013, the Company announced that it received approval of its application from the U.S. Department of Treasury to redeem half of the 20,649 shares of preferred stock issued in connection with the Company’s participation in the Treasury’s CPP. On May 15, 2013, the Company paid $10.3 million to the Treasury to repurchase 10,324 shares of the preferred stock, including accrued and unpaid dividends for the shares. On July 1, 2013, the Company announced that it received approval to redeem the remaining 10,325 shares of preferred stock. On July 3, 2013, the Company paid $10.4 million to the Treasury to repurchase the remaining shares of the preferred stock, including accrued and unpaid dividends for the shares. On August 28, 2013, the Company completed the $2.7 million repurchase of the warrant to purchase 764,788 shares of the Company’s common stock issued to the U.S. Department of the Treasury as part of the Company’s participation in the Treasury’s CPP. | |
Repurchase Plan | |
On October 21, 2002, the Company authorized the repurchase of up to 10 percent of its outstanding common stock. The amount and timing of purchases is dependent upon a number of factors, including the price and availability of the Company’s shares, general market conditions and competing alternate uses of funds. As of December 31, 2013, the Company had repurchased a total of 556 thousand shares, of which 131 thousand shares have been retired, leaving 153 thousand shares remaining to be repurchased under the plan. There were no shares repurchased during 2013 or 2012. | |
Other_Income
Other Income | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Other Income [Abstract] | ' | ||||||
Other Income | ' | ||||||
14. Other Income | |||||||
The components of other income for the past two years are as follows: | |||||||
For the years ended December 31, | |||||||
(In thousands) | 2013 | 2012 | |||||
ATM and check card fees | $ | 487 | $ | 413 | |||
Wire transfer fees | 88 | 84 | |||||
Safe deposit box fees | 59 | 58 | |||||
Other | 80 | 172 | |||||
Total other income | $ | 714 | $ | 727 | |||
Other_Expenses
Other Expenses | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Other Expenses [Abstract] | ' | ||||||
Other Expenses | ' | ||||||
15. Other Expenses | |||||||
The components of other expenses for the past two years are as follows: | |||||||
For the years ended December 31, | |||||||
(In thousands) | 2013 | 2012 | |||||
Travel, entertainment, training and recruiting | $ | 608 | $ | 589 | |||
Director fees | 367 | 259 | |||||
Insurance | 335 | 339 | |||||
Stationary and supplies | 271 | 237 | |||||
Retail losses | 4 | 142 | |||||
Other | 282 | 332 | |||||
Total other expenses | $ | 1,867 | $ | 1,898 | |||
Income_Taxes
Income Taxes | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Income Taxes [Abstract] | ' | |||||||
Income Taxes | ' | |||||||
16. Income Taxes | ||||||||
The components of the provision for income taxes for the past two years are as follows: | ||||||||
For the years ended December 31, | ||||||||
(In thousands) | 2013 | 2012 | ||||||
Federal - current provision | $ | 1,579 | $ | 1,227 | ||||
Federal - deferred provision | 491 | 459 | ||||||
Total federal provision | 2,070 | 1,686 | ||||||
State - current provision | 599 | 216 | ||||||
State - deferred (benefit) provision | -102 | 324 | ||||||
Total state provision | 497 | 540 | ||||||
Total provision for income taxes | $ | 2,567 | $ | 2,226 | ||||
Reconciliation between the reported income tax provision and the amount computed by multiplying income before taxes by the statutory Federal income tax rate for the past two years is as follows: | ||||||||
For the years ended December 31, | ||||||||
(In thousands, except percentages) | 2013 | 2012 | ||||||
Federal income tax provision at statutory rate | $ | 2,612 | $ | 2,199 | ||||
Increases (decreases) resulting from: | ||||||||
Bank owned life insurance | -118 | -100 | ||||||
Tax-exempt interest | -156 | -161 | ||||||
Meals and entertainment | 14 | 17 | ||||||
State income taxes, net of federal income tax effect | 328 | 356 | ||||||
Other, net | -113 | -85 | ||||||
Provision for income taxes | $ | 2,567 | $ | 2,226 | ||||
Effective tax rate | 33.4 | % | 34.4 | % | ||||
Deferred income taxes are provided for temporary differences between the financial reporting basis and the tax basis of the Company’s assets and liabilities. The components of the net deferred tax asset at December 31, 2013 and 2012 are as follows: | ||||||||
(In thousands) | 31-Dec-13 | 31-Dec-12 | ||||||
Deferred tax assets: | ||||||||
Allowance for loan losses | $ | 5,249 | $ | 5,895 | ||||
Lost interest on nonaccrual loans | 802 | 717 | ||||||
Stock-based compensation | 427 | 390 | ||||||
Depreciation | 418 | 256 | ||||||
Net unrealized security losses | 303 | - | ||||||
Deferred compensation | 190 | 174 | ||||||
State net operating loss | 138 | - | ||||||
Disallowed write-down on OREO properties | - | 60 | ||||||
Other | 95 | 102 | ||||||
Gross deferred tax assets | 7,622 | 7,594 | ||||||
Valuation allowance | -113 | - | ||||||
Total deferred tax assets | 7,509 | 7,594 | ||||||
Deferred tax liabilities: | ||||||||
Net unrealized security gains | - | 885 | ||||||
Deferred loan costs | 318 | 354 | ||||||
Goodwill | 326 | 286 | ||||||
Bond accretion | 113 | 115 | ||||||
Other | - | - | ||||||
Total deferred tax liabilities | 757 | 1,640 | ||||||
Net deferred tax asset | $ | 6,752 | $ | 5,954 | ||||
The Company computes deferred income taxes under the asset and liability method. Deferred income taxes are recognized for tax consequences of “temporary differences” by applying enacted statutory tax rates to differences between the financial reporting and the tax basis of existing assets and liabilities. A deferred tax liability is recognized for all temporary differences that will result in future taxable income. A deferred tax asset is recognized for all temporary differences that will result in future tax deductions subject to reduction of the asset by a valuation allowance. | ||||||||
During 2013, the Company established a $113 thousand valuation allowance for deferred tax assets related to its state net operating loss carry-forward deferred tax asset, the balance of which was $138 thousand and $0 at December 31, 2013 and 2012, respectively. The Company’s state net operating loss carry-forwards totaled approximately $2.3 million at December 31, 2013 and expires between 2014 and 2033. | ||||||||
Included as a component of deferred tax assets is an income tax expense (benefit) related to unrealized gains (losses) on securities available for sale. The after-tax component was an unrealized loss of $476 thousand for 2013 and an unrealized gain of $1.3 million for 2012, and is included in other comprehensive income (loss) in shareholders’ equity. | ||||||||
The Company follows FASB ASC Topic 740, “Income Taxes,” which prescribes a threshold for the financial statement recognition of income taxes and provides criteria for the measurement of tax positions taken or expected to be taken in a tax return. ASC 740 also includes guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure and transition of income taxes. The Company did not recognize or accrue any interest or penalties related to income taxes during the years ended December 31, 2013 and 2012. The Company does not have an accrual for uncertain tax positions as of December 31, 2013 or 2012, as deductions taken and benefits accrued are based on widely understood administrative practices and procedures and are based on clear and unambiguous tax law. Tax returns for all years 2009 and thereafter are subject to future examination by tax authorities. | ||||||||
Net_Income_per_Share
Net Income per Share | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Net Income per Share [Abstract] | ' | ||||||
Net Income per Share | ' | ||||||
17. Net Income per Share | |||||||
The following is a reconciliation of the calculation of basic and diluted net income per share for the past two years: | |||||||
For the years ended December 31, | |||||||
(In thousands, except per share amounts) | 2013 | 2012 | |||||
Net income | $ | 5,115 | $ | 4,244 | |||
Less: Preferred stock dividends and discount accretion | 988 | 1,602 | |||||
Income available to common shareholders | $ | 4,127 | $ | 2,642 | |||
Weighted average common shares outstanding - Basic | 7,547 | 7,477 | |||||
Plus: Potential dilutive common stock equivalents | 263 | 317 | |||||
Weighted average common shares outstanding - Diluted | 7,810 | 7,794 | |||||
Net income per common share - Basic | $ | 0.55 | $ | 0.35 | |||
Net income per common share - Diluted | 0.53 | 0.34 | |||||
Stock options and common stock excluded from the income per share calculation as their effect would have been anti-dilutive | 377 | 506 | |||||
The "potential dilutive common stock equivalents" shown in the table above includes the impact of the warrant to purchase 764,778 shares of common stock issued to the U.S. Department of Treasury under the Capital Purchase Program in December 2008, utilizing the Treasury stock method. The warrant was repurchased on August 28, 2013 for a price of $2.7 million utilizing the Treasury Stock Method for the period outstanding. | |||||||
Regulatory_Capital
Regulatory Capital | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Regulatory Capital Requirements [Abstract] | ' | |||||||||||||||||||
Regulatory Capital | ' | |||||||||||||||||||
18. Regulatory Capital | ||||||||||||||||||||
A significant measure of the strength of a financial institution is its capital base. Federal regulators have classified and defined capital into the following components: (1) tier 1 capital, which includes tangible shareholders’ equity for common stock, qualifying preferred stock and certain qualifying hybrid instruments, and (2) tier 2 capital, which includes a portion of the allowance for loan losses, subject to limitations, certain qualifying long-term debt, preferred stock and hybrid instruments, which do not qualify for tier 1 capital. The parent company and its subsidiary bank are subject to various regulatory capital requirements administered by banking regulators. Quantitative measures of capital adequacy include the leverage ratio (tier 1 capital as a percentage of tangible assets), tier 1 risk-based capital ratio (tier 1 capital as a percent of risk-weighted assets) and total risk-based capital ratio (total risk-based capital as a percent of total risk-weighted assets). | ||||||||||||||||||||
Minimum capital levels are regulated by risk-based capital adequacy guidelines, which require the Company and the Bank to maintain certain capital as a percentage of assets and certain off-balance sheet items adjusted for predefined credit risk factors (risk-weighted assets). Failure to meet minimum capital requirements can initiate certain mandatory and possibly discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and the Bank must meet specific capital guidelines. However, prompt corrective action provisions are not applicable to bank holding companies. At a minimum, tier 1 capital as a percentage of risk-weighted assets of 4 percent and combined tier 1 and tier 2 capital as a percentage of risk-weighted assets of 8 percent must be maintained. | ||||||||||||||||||||
In addition to the risk-based guidelines, regulators require that a bank or holding company, which meets the regulator’s highest performance and operation standards, maintain a minimum leverage ratio of 3 percent. For those institutions with higher levels of risk or that are experiencing or anticipating significant growth, the minimum leverage ratio will be proportionately increased. Minimum leverage ratios for each institution are evaluated through the ongoing regulatory examination process. | ||||||||||||||||||||
During 2013, the Company repurchased the $20.6 million in preferred stock issued in connection with the CPP, and completed the $2.7 million repurchase of the warrant to purchase 764,788 shares of the Company’s common stock issued to the U.S. Department of the Treasury as a part of the CPP. The Company’s capital amounts and ratios reflect these capital decreases and are presented in the following table. | ||||||||||||||||||||
To be well-capitalized | ||||||||||||||||||||
For capital | under prompt corrective | |||||||||||||||||||
Actual | adequacy purposes | action provisions | ||||||||||||||||||
(In thousands) | Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||||||||||||
As of December 31, 2013 | ||||||||||||||||||||
Leverage ratio | $ | 70,852 | 8.08 | % | ≥ $ | 35,084 | 4.00 | % | N/A | N/A | ||||||||||
Tier I risk-based capital ratio | 70,852 | 10.74 | 26,400 | 4.00 | N/A | N/A | ||||||||||||||
Total risk-based capital ratio | 79,164 | 11.99 | 52,800 | 8.00 | N/A | N/A | ||||||||||||||
As of December 31, 2012 | ||||||||||||||||||||
Leverage ratio | $ | 89,841 | 11.14 | % | ≥ $ | 32,251 | 4.00 | % | N/A | N/A | ||||||||||
Tier I risk-based capital ratio | 89,841 | 14.85 | 24,193 | 4.00 | N/A | N/A | ||||||||||||||
Total risk-based capital ratio | 97,492 | 16.12 | 48,387 | 8.00 | N/A | N/A | ||||||||||||||
The Bank’s capital amounts and ratios for the last two years are presented in the following table: | ||||||||||||||||||||
To be well-capitalized | ||||||||||||||||||||
For capital | under prompt corrective | |||||||||||||||||||
Actual | adequacy purposes | action provisions | ||||||||||||||||||
(In thousands) | Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||||||||||||
As of December 31, 2013 | ||||||||||||||||||||
Leverage ratio | $ | 61,493 | 7.02 | % | ≥ $ | 35,058 | 4.00 | % | ≥ $ | 43,823 | 5.00 | % | ||||||||
Tier I risk-based capital ratio | 61,493 | 9.33 | 26,373 | 4.00 | 39,560 | 6.00 | ||||||||||||||
Total risk-based capital ratio | 78,296 | 11.88 | 52,747 | 8.00 | 65,933 | 10.00 | ||||||||||||||
As of December 31, 2012 | ||||||||||||||||||||
Leverage ratio | $ | 69,544 | 8.63 | % | ≥ $ | 32,225 | 4.00 | % | ≥ $ | 40,282 | 5.00 | % | ||||||||
Tier I risk-based capital ratio | 69,544 | 11.51 | 24,170 | 4.00 | 36,254 | 6.00 | ||||||||||||||
Total risk-based capital ratio | 85,687 | 14.18 | 48,339 | 8.00 | 60,424 | 10.00 | ||||||||||||||
The Group of Governors and Heads of Supervision, the oversight body of the Basel Committee on Banking Supervision, adopted Basel III in September 2010, which constitutes a set of capital reform measures designed to strengthen the regulation, supervision and risk management of banking organizations worldwide. In order to implement Basel III and certain additional capital changes required by the Dodd-Frank Act, on July 9, 2013, the FDIC approved, as an interim final rule, the regulatory capital requirements for U.S. state nonmember banks, such as us, substantially similar to final rules issued by the Board of Governors of the Federal Reserve System (“Federal Reserve”) and the Office of the Comptroller of the Currency. | ||||||||||||||||||||
The interim final rule includes new risk-based capital and leverage ratios that will be phased-in from 2015 to 2019 for most state nonmember banks, including us. The rule includes a new common equity Tier 1 capital to risk-weighted assets ratio of 4.5% and a common equity Tier 1 capital conservation buffer of 2.5% of risk-weighted assets, which is in addition to the Tier 1 and Total risk-based capital requirements. The interim final rule also raises the minimum ratio of Tier 1 capital to risk-weighted assets from 4.0% to 6.0% and requires a minimum leverage ratio of 4.0%. The required minimum ratio of total capital to risk-weighted assets will remain 8.0%. The new risk-based capital requirements (except for the capital conservation buffer) will become effective for the Bank on January 1, 2015. The capital conservation buffer will be phased in over four years beginning on January 1, 2016, with a maximum buffer of 0.625% of risk-weighted assets for 2016, 1.25% for 2017, 1.875% for 2018, and 2.5% for 2019 and thereafter. Failure to maintain the required capital conservation buffer will result in limitations on capital distributions and on discretionary bonuses to executive officers. | ||||||||||||||||||||
The following chart compares the risk-based capital required under existing rules to those prescribed under the interim final rule under the phase-in period described above: | ||||||||||||||||||||
Current Treatment | Treatment in Final Rule | |||||||||||||||||||
Leverage ratio | 4.00 | % | 4.00 | % | ||||||||||||||||
Common equity tier 1 capital (CET1) ratio | N/A | 4.50 | % | |||||||||||||||||
Additional tier 1 | N/A | 1.50 | % | |||||||||||||||||
Tier 1 capital ratio | 4.00 | % | 6.00 | % | ||||||||||||||||
Tier 2 | 4.00 | % | 2.00 | % | ||||||||||||||||
Total capital ratio | 8.00 | % | 8.00 | % | ||||||||||||||||
Capital conservation buffer | N/A | 2.50 | % | |||||||||||||||||
The interim final rule also implements revisions and clarifications consistent with Basel III regarding the various components of Tier 1 capital, including common equity, unrealized gains and losses and instruments that will no longer qualify as Tier 1 capital. The interim final rule also sets forth certain changes for the calculation of risk-weighted assets that the Bank will be required to implement beginning January 1, 2015. Management is currently evaluating the provisions of the interim final rule and its expected impact. Based on our current capital composition and levels, management does not presently anticipate that the interim final rule presents a material risk to our financial condition or results of operations. | ||||||||||||||||||||
Employee_Benefit_Plans
Employee Benefit Plans | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Employee Benefit Plans [Abstract] | ' | ||||||||||||||||
Employee Benefit Plans | ' | ||||||||||||||||
19. Employee Benefit Plans | |||||||||||||||||
The Bank has a 401(k) savings plan covering substantially all employees. Under the Plan, an employee can contribute up to 80 percent of their salary on a tax deferred basis. The Bank may also make discretionary contributions to the Plan. The Bank contributed $240 thousand and $244 thousand to the Plan in 2013 and 2012, respectively. | |||||||||||||||||
The Company has a deferred fee plan for Directors and executive management. Directors of the Company have the option to elect to defer up to 100 percent of their respective retainer and Board of Director fees, and each member of executive management has the option to elect to defer 100 percent of their year-end cash bonuses. Director and executive deferred fees totaled $44 thousand in 2013 and $42 thousand in 2012, and the interest paid on deferred balances totaled $19 thousand in 2013 and $17 thousand in 2012. In 2013, $22 thousand in deferred fees were distributed. No fees were distributed in 2012. | |||||||||||||||||
Certain members of management are also enrolled in a split-dollar life insurance plan with a post retirement death benefit of $250 thousand. Total expenses related to this plan were $4 thousand in 2013 and $5 thousand in 2012. | |||||||||||||||||
Stock Transactions | |||||||||||||||||
Stock Option Plans | |||||||||||||||||
The Company has incentive and nonqualified option plans, which allow for the grant of options to officers, employees and members of the Board of Directors. Transactions under the Company’s stock option plans for 2013 and 2012 are summarized in the following table: | |||||||||||||||||
Shares | Weighted average exercise price | Weighted average remaining contractual life in years | Aggregate intrinsic value | ||||||||||||||
Outstanding at December 31, 2011 | 643,206 | $ | 6.80 | 5.3 | $ | 517,867 | |||||||||||
Options granted | 25,000 | 6.00 | |||||||||||||||
Options exercised | -117,240 | 4.99 | |||||||||||||||
Options forfeited | -12,499 | 6.06 | |||||||||||||||
Options expired | -22,135 | 9.73 | |||||||||||||||
Outstanding at December 31, 2012 | 516,332 | $ | 7.06 | 5.4 | $ | 327,725 | |||||||||||
Options granted | 37,500 | 6.58 | |||||||||||||||
Options exercised | -11,667 | 6.62 | |||||||||||||||
Options forfeited | -8,333 | 6.56 | |||||||||||||||
Options expired | -84,857 | 8.84 | |||||||||||||||
Outstanding at December 31, 2013 | 448,975 | $ | 6.70 | 5.6 | $ | 739,951 | |||||||||||
Exercisable at December 31, 2013 | 364,143 | $ | 6.76 | 4.8 | $ | 637,387 | |||||||||||
Grants under the Company’s incentive and nonqualified option plans generally vest over 3 years and must be exercised within 10 years of the date of grant. The exercise price of each option is the market price on the date of grant. As of December 31, 2013, 1,720,529 shares have been reserved for issuance upon the exercise of options, 448,975 option grants are outstanding, and 1,184,313 option grants have been exercised, forfeited or expired, leaving 87,241 shares available for grant. | |||||||||||||||||
The fair values of the options granted during 2013 and 2012 were estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions: | |||||||||||||||||
For the years ended December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Number of options granted | 37,500 | 25,000 | |||||||||||||||
Weighted average exercise price | $ | 6.58 | $ | 6.00 | |||||||||||||
Weighted average fair value of options | $ | 3.19 | $ | 2.33 | |||||||||||||
Expected life in years (1) | 5.75 | 5.07 | |||||||||||||||
Expected volatility (2) | 51.40 | % | 43.61 | % | |||||||||||||
Risk-free interest rate (3) | 1.24 | % | 0.77 | % | |||||||||||||
Dividend yield (4) | 0.17 | % | - | % | |||||||||||||
-1 | The expected life of the options was estimated based on historical employee behavior and represents the period of time that options granted are expected to be outstanding. | ||||||||||||||||
-2 | The expected volatility of the Company’s stock price was based on the historical volatility over the period commensurate with the expected life of the options. | ||||||||||||||||
-3 | The risk-free interest rate is the U.S Treasury rate commensurate with the expected life of the options on the date of grant. | ||||||||||||||||
-4 | The expected dividend yield is the projected annual yield based on the grant date stock price. | ||||||||||||||||
Upon exercise, the Company issues shares from its authorized but unissued common stock to satisfy the options. The following table presents information about options exercised during 2013 and 2012: | |||||||||||||||||
For the years ended December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Number of options exercised | 11,667 | 117,240 | |||||||||||||||
Total intrinsic value of options exercised | $ | 15,367 | $ | 121,973 | |||||||||||||
Cash received from options exercised | - | 173,325 | |||||||||||||||
Tax deduction realized from options exercised | 6,138 | 43,319 | |||||||||||||||
The following table summarizes information about stock options outstanding and exercisable at December 31, 2013: | |||||||||||||||||
Options outstanding | Options exercisable | ||||||||||||||||
Range of exercise prices | Options outstanding | Weighted average remaining contractual life (in years) | Weighted average exercise price | Options exercisable | Weighted average exercise price | ||||||||||||
$ | 0.00 - 4.00 | 119,750 | 5.4 | $ | 3.87 | 119,750 | $ | 3.87 | |||||||||
4.01 - 8.00 | 249,175 | 6.8 | 6.52 | 164,343 | 6.55 | ||||||||||||
8.01 - 12.00 | 35,399 | 0.9 | 10.13 | 35,399 | 10.13 | ||||||||||||
12.01 - 16.00 | 44,651 | 3.1 | 12.62 | 44,651 | 12.62 | ||||||||||||
Total | 448,975 | 5.6 | $ | 6.70 | 364,143 | $ | 6.76 | ||||||||||
FASB ASC Topic 718, “Compensation - Stock Compensation,” requires an entity to recognize the fair value of equity awards as compensation expense over the period during which an employee is required to provide service in exchange for such an award (vesting period). Compensation expense related to stock options and the related income tax benefit for the years ended December 31, 2013 and 2012 are detailed in the following table: | |||||||||||||||||
For the years ended December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Compensation expense | $ | 140,873 | $ | 148,996 | |||||||||||||
Income tax benefit | 56,265 | 54,458 | |||||||||||||||
As of December 31, 2013, unrecognized compensation costs related to nonvested share-based compensation arrangements granted under the Company’s stock option plans totaled approximately $194 thousand. That cost is expected to be recognized over a weighted average period of 1.9 years. | |||||||||||||||||
Restricted Stock Awards | |||||||||||||||||
Restricted stock is issued under the stock bonus program to reward employees and directors and to retain them by distributing stock over a period of time. The following table summarizes nonvested restricted stock activity for the year ended December 31, 2013: | |||||||||||||||||
Shares | Average grant date fair value | ||||||||||||||||
Nonvested restricted stock at December 31, 2012 | 90,975 | $ | 6.10 | ||||||||||||||
Granted | 42,500 | 7.12 | |||||||||||||||
Vested | -31,200 | 5.88 | |||||||||||||||
Forfeited | -6,650 | 6.16 | |||||||||||||||
Nonvested restricted stock at December 31, 2013 | 95,625 | $ | 6.64 | ||||||||||||||
Restricted stock awards granted to date vest over a period of 4 years and are recognized as compensation to the recipient over the vesting period. The awards are recorded at fair market value at the time of grant and amortized into salary expense on a straight line basis over the vesting period. As of December 31, 2013, 471,551 shares of restricted stock were reserved for issuance, of which 232,838 shares are available for grant. | |||||||||||||||||
Restricted stock awards granted during the years ended December 31, 2013 and 2012 were as follows: | |||||||||||||||||
For the years ended December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Number of shares granted | 42,500 | 29,500 | |||||||||||||||
Average grant date fair value | $ | 7.12 | $ | 6.07 | |||||||||||||
Compensation expense related to the restricted stock for the years ended December 31, 2013 and 2012 is detailed in the following table: | |||||||||||||||||
For the years ended December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Compensation expense | $ | 198,682 | $ | 160,509 | |||||||||||||
Income tax benefit | 79,354 | 64,107 | |||||||||||||||
As of December 31, 2013, there was approximately $579 thousand of unrecognized compensation cost related to nonvested restricted stock awards granted under the Company’s stock incentive plans. That cost is expected to be recognized over a weighted average period of 2.9 years. | |||||||||||||||||
Fair_Value
Fair Value | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Fair Value [Abstract] | ' | |||||||||||||||
Fair Value | ' | |||||||||||||||
20. Fair Value | ||||||||||||||||
Fair Value Measurement | ||||||||||||||||
The Company follows FASB ASC Topic 820, “Fair Value Measurement and Disclosures,” which requires additional disclosures about the Company’s assets and liabilities that are measured at fair value. Fair value is the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. In determining fair value, the Company uses various methods including market, income and cost approaches. Based on these approaches, the Company often utilizes certain assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and/or the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market corroborated, or generally unobservable inputs. The Company utilizes techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. The fair value hierarchy ranks the quality and reliability of the information used to determine fair values. Financial assets and liabilities carried at fair value will be classified and disclosed as follows: | ||||||||||||||||
Level 1 Inputs | ||||||||||||||||
· | Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | |||||||||||||||
· | Generally, this includes debt and equity securities and derivative contracts that are traded in an active exchange market (i.e. New York Stock Exchange), as well as certain U.S. Treasury, U.S. Government and sponsored entity agency mortgage-backed securities that are highly liquid and are actively traded in over-the-counter markets. | |||||||||||||||
Level 2 Inputs | ||||||||||||||||
· | Quoted prices for similar assets or liabilities in active markets. | |||||||||||||||
· | Quoted prices for identical or similar assets or liabilities in inactive markets. | |||||||||||||||
· | Inputs other than quoted prices that are observable, either directly or indirectly, for the term of the asset or liability (i.e., interest rates, yield curves, credit risks, prepayment speeds or volatilities) or “market corroborated inputs.” | |||||||||||||||
· | Generally, this includes U.S. Government and sponsored entity mortgage-backed securities, corporate debt securities and derivative contracts. | |||||||||||||||
Level 3 Inputs | ||||||||||||||||
· | Prices or valuation techniques that require inputs that are both unobservable (i.e. supported by little or no market activity) and that are significant to the fair value of the assets or liabilities. | |||||||||||||||
· | These assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. | |||||||||||||||
Fair Value on a Recurring Basis | ||||||||||||||||
The following is a description of the valuation methodologies used for instruments measured at fair value on a recurring basis: | ||||||||||||||||
Securities Available for Sale | ||||||||||||||||
55 percent of the portfolio was made up of residential mortgage-backed securities, which had a fair value of $44.4 million at December 31, 2013. Approximately $43.1 million of the residential mortgage-backed securities are guaranteed by the Government National Mortgage Association ("GNMA"), the Federal National Mortgage Association ("FNMA") or the Federal Home Loan Mortgage Corporation ("FHLMC"). The underlying loans for these securities are residential mortgages that are geographically dispersed throughout the United States. | ||||||||||||||||
All of the Company’s AFS securities, excluding commercial mortgage-backed securities, were classified as Level 2 assets at December 31, 2013. The valuation of AFS securities using Level 2 inputs was primarily determined using the market approach, which uses quoted prices for similar assets or liabilities in active markets and all other relevant information. It includes model pricing, defined as valuing securities based upon their relationship with other benchmark securities. | ||||||||||||||||
For commercial mortgage-backed securities, the inputs used by either dealer market participants or an independent pricing service, may be derived from unobservable market information (Level 3 inputs). In these instances, management evaluates the appropriateness and quality of the assumptions and the resulting prices. In addition, management reviews the volume and level of activity for all AFS securities and attempts to identify transactions which may not be orderly or reflective of a significant level of activity and volume. For securities meeting these criteria, the quoted prices received from either market participants or an independent pricing service may be adjusted, as necessary, to estimate fair value and this results in fair values based on Level 3 inputs. In determining fair value, the Company utilizes unobservable inputs which reflect its own assumptions about the inputs that market participants would use in pricing each security. In developing its assertion of market participant assumptions, the Company utilizes the best information that is both reasonable and available without undue cost and effort. | ||||||||||||||||
In calculating the fair value for AFS securities under Level 3, management prepared present value cash flow models for certain private label commercial mortgage-backed securities. Private label commercial mortgage-backed securities owned by the Bank are A1 and A2 tranche sequential structures and are currently paying principal. The cash flows for the commercial mortgage-backed securities incorporated the expected cash flow of each security adjusted for default rates, loss severities and prepayments of the individual loans collateralizing the security. The following table presents quantitative information about Level 3 inputs used to measure the fair value of commercial mortgage-backed securities at December 31, 2013: | ||||||||||||||||
31-Dec-13 | ||||||||||||||||
Valuation Technique | Unobservable Input | Range | Weighted Average | |||||||||||||
Discounted Cash Flow | Prepayment rate | 8 through 15 | % | 10.0 | % | |||||||||||
Default rate | 10 through 15 | % | 12.5 | % | ||||||||||||
Loss severity | 10 through 25 | % | 18.0 | % | ||||||||||||
Significant increases or decreases in any of the unobservable inputs in the table above in isolation would result in a significantly lower or higher fair value measurement of the securities. Generally, a change in the assumption used for the default rate is accompanied by a directionally similar change in the assumption used for the loss severity and a directionally opposite change in the assumption used for prepayment rates. | ||||||||||||||||
For the Level 3 available for sale private label commercial mortgage-backed securities, cash flow assumptions incorporate independent third party market participant data based on vintage year for each security. The discount rate utilized in determining the present value of cash flows for the commercial mortgage-backed securities was arrived at by combining the yield on orderly transactions for similar maturity government sponsored mortgage-backed securities with (i) the historical average risk premium of similar structured private label securities, (ii) a risk premium reflecting current market conditions, including liquidity risk and (iii) if applicable, a forecasted loss premium derived from the expected cash flows of each security. The estimated cash flows for each private label commercial mortgage-backed security are then discounted at the aforementioned effective rate to determine the fair value. The quoted prices received from either market participants or independent pricing services are weighted with the internal price estimate to determine the fair value of each instrument. | ||||||||||||||||
There were no changes in the inputs or methodologies used to determine fair value during the year ended December 31, 2013, as compared to the year ended December 31, 2012. | ||||||||||||||||
The tables below present the balances of assets measured at fair value on a recurring basis as of December 31st for the past two years: | ||||||||||||||||
31-Dec-13 | ||||||||||||||||
(In thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Securities available for sale: | ||||||||||||||||
U.S. Government sponsored entities | $ | - | $ | 6,418 | $ | - | $ | 6,418 | ||||||||
State and political subdivisions | - | 16,598 | - | 16,598 | ||||||||||||
Residential mortgage-backed securities | - | 44,389 | - | 44,389 | ||||||||||||
Commercial mortgage-backed securities | - | - | 888 | 888 | ||||||||||||
Corporate and other securities | - | 12,840 | - | 12,840 | ||||||||||||
Total securities available for sale | $ | - | $ | 80,245 | $ | 888 | $ | 81,133 | ||||||||
31-Dec-12 | ||||||||||||||||
(In thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Securities available for sale: | ||||||||||||||||
U.S. Government sponsored entities | $ | - | $ | 2,568 | $ | - | $ | 2,568 | ||||||||
State and political subdivisions | - | 15,303 | - | 15,303 | ||||||||||||
Residential mortgage-backed securities | - | 45,545 | - | 45,545 | ||||||||||||
Commercial mortgage-backed securities | - | - | 4,463 | 4,463 | ||||||||||||
Corporate and other securities | - | 21,659 | - | 21,659 | ||||||||||||
Total securities available for sale | $ | - | $ | 85,075 | $ | 4,463 | $ | 89,538 | ||||||||
The following table summarizes changes in Level 3 assets during 2013 and 2012, consisting of commercial mortgage-backed available for sale securities, measured at fair value on a recurring basis. | ||||||||||||||||
For the years ended December 31, | ||||||||||||||||
(In thousands) | 2013 | 2012 | ||||||||||||||
Commercial mortgage-backed securities: | ||||||||||||||||
Balance, beginning of period | $ | 4,463 | $ | - | ||||||||||||
Purchases | - | 4,423 | ||||||||||||||
Payoffs | -815 | - | ||||||||||||||
Principal paydowns | -2,722 | - | ||||||||||||||
Total net losses included in: | ||||||||||||||||
Other comprehensive income | -38 | 40 | ||||||||||||||
Balance, end of period | $ | 888 | $ | 4,463 | ||||||||||||
There were no gains or losses (realized or unrealized) including in earnings for assets and liabilities held at December 31, 2013 or 2012. | ||||||||||||||||
Fair Value on a Nonrecurring Basis | ||||||||||||||||
Certain assets and liabilities are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). The following is a description of the valuation methodologies used for instruments measured at fair value on a nonrecurring basis: | ||||||||||||||||
Appraisal Policy | ||||||||||||||||
All appraisals must be performed in accordance with the Uniform Standards of Professional Appraisal Practice (“USPAP”). Appraisals are certified to the Company and performed by appraisers on the Company’s approved list of appraisers. Evaluations are completed by a person independent of Company management. The content of the appraisal depends on the complexity of the property. Appraisals are completed on a “retail value” and an “as is value”. | ||||||||||||||||
The Company requires current real estate appraisals on all loans that become OREO or in-substance foreclosure, loans that are classified substandard, doubtful or loss, or loans that are over $100,000 and nonperforming. Prior to each balance sheet date, the Company values impaired collateral-dependent loans and OREO based upon a third party appraisal, broker's price opinion, drive by appraisal, automated valuation model, updated market evaluation, or a combination of these methods. The amount is discounted for the decline in market real estate values (for original appraisals), for any known damage or repair costs, and for selling and closing costs. The amount of the discount ranges from 10 to 15 percent and is dependent upon the method used to determine the original value. The original appraisal is generally used when a loan is first determined to be impaired. When applying the discount, the Company takes into consideration when the appraisal was performed, the collateral’s location, the type of collateral, any known damage to the property and the type of business. Subsequent to entering impaired status and the Company determining that there is a collateral shortfall, the Company will generally, depending on the type of collateral, order a third party appraisal, broker's price opinion, automated valuation model or updated market evaluation. Subsequent to receiving the third party results, the Company will discount the value 8 to 10 percent for selling and closing costs. | ||||||||||||||||
Other Real Estate Owned ("OREO") | ||||||||||||||||
The fair value was determined using appraisals, which may be discounted based on management’s review and changes in market conditions (Level 3 Inputs). | ||||||||||||||||
Impaired Collateral-Dependent Loans | ||||||||||||||||
The fair value of impaired collateral-dependent loans is derived in accordance with FASB ASC Topic 310, “Receivables.” Fair value is determined based on the loan’s observable market price or the fair value of the collateral. Partially charged-off loans are measured for impairment based upon an appraisal for collateral-dependent loans. When an updated appraisal is received for a nonperforming loan, the value on the appraisal is discounted in the manner discussed above. If there is a deficiency in the value after the Company applies these discounts, management applies a specific reserve and the loan remains in nonaccrual status. The receipt of an updated appraisal would not qualify as a reason to put a loan back into accruing status. The Company removes loans from nonaccrual status when the borrower makes nine months of contractual payments and demonstrates the ability to service the debt going forward. Charge-offs are determined based upon the loss that management believes the Company will incur after evaluating collateral for impairment based upon the valuation methods described above and the ability of the borrower to pay any deficiency. | ||||||||||||||||
The valuation allowance for impaired loans is included in the allowance for loan losses in the consolidated balance sheets. At December 31, 2013, the valuation allowance for impaired loans was $1.1 million, a decrease of $863 thousand from $2.0 million at December 31, 2012. | ||||||||||||||||
The following tables present the assets and liabilities carried on the balance sheet by caption and by level within the hierarchy (as described above) as of December 31, 2013 and 2012 and the fair value gains (losses) recognized during the years ended December 31, 2013 and 2012: | ||||||||||||||||
Fair value at December 31, 2013 | Gains (losses) from fair value changes for the year ended | |||||||||||||||
(In thousands) | Level 1 | Level 2 | Level 3 | Total | 31-Dec-13 | |||||||||||
Financial assets: | ||||||||||||||||
OREO | $ | - | $ | - | $ | 633 | $ | 633 | $ | -769 | ||||||
Impaired collateral-dependent loans | - | - | 4,540 | 4,540 | 863 | |||||||||||
Fair value at December 31, 2012 | Gains (losses) from fair value changes for the year ended | |||||||||||||||
(In thousands) | Level 1 | Level 2 | Level 3 | Total | 31-Dec-12 | |||||||||||
Financial assets: | ||||||||||||||||
OREO | $ | - | $ | - | $ | 864 | $ | 864 | $ | -1,671 | ||||||
Impaired collateral-dependent loans | - | - | 8,159 | 8,159 | 2,448 | |||||||||||
Fair Value of Financial Instruments | ||||||||||||||||
FASB ASC Topic 825, “Financial Instruments,” requires the disclosure of the estimated fair value of certain financial instruments, including those financial instruments for which the Company did not elect the fair value option. These estimated fair values as of December 31, 2013 and December 31, 2012 have been determined using available market information and appropriate valuation methodologies. Considerable judgment is required to interpret market data to develop estimates of fair value. The estimates presented are not necessarily indicative of amounts the Company could realize in a current market exchange. The use of alternative market assumptions and estimation methodologies could have had a material effect on these estimates of fair value. The methodology for estimating the fair value of financial assets and liabilities that are measured on a recurring or nonrecurring basis are discussed above. | ||||||||||||||||
The following methods and assumptions were used to estimate the fair value of other financial instruments for which it is practicable to estimate that value: | ||||||||||||||||
Cash and Cash Equivalents | ||||||||||||||||
For these short-term instruments, the carrying value is a reasonable estimate of fair value. | ||||||||||||||||
Securities Held to Maturity | ||||||||||||||||
The fair value of held to maturity ("HTM") securities is based upon quoted market prices for similar or identical assets or other observable inputs (Level 2) or externally developed models that use unobservable inputs due to limited or no market activity of the instrument (Level 3). | ||||||||||||||||
SBA Loans Held for Sale | ||||||||||||||||
The fair value of SBA loans held for sale is estimated by using a market approach that includes significant other observable inputs. | ||||||||||||||||
Loans | ||||||||||||||||
The fair value of loans is estimated by discounting the future cash flows using current market rates that reflect the interest rate risk inherent in the loan, except for previously discussed impaired loans. | ||||||||||||||||
Federal Home Loan Bank Stock | ||||||||||||||||
Federal Home Loan Bank stock is carried at cost. Carrying value approximates fair value based on the redemption provisions of the issues. | ||||||||||||||||
SBA Servicing Assets | ||||||||||||||||
SBA servicing assets do not trade in an active, open market with readily observable prices. The Company estimates the fair value of SBA servicing assets using discounted cash flow models incorporating numerous assumptions from the perspective of a market participant including market discount rates and prepayment speeds. | ||||||||||||||||
Accrued Interest | ||||||||||||||||
The carrying amounts of accrued interest approximate fair value. | ||||||||||||||||
Deposit Liabilities | ||||||||||||||||
The fair value of demand deposits and savings accounts is the amount payable on demand at the reporting date (i.e. carrying value). The fair value of fixed-maturity certificates of deposit is estimated by discounting the future cash flows using current market rates. | ||||||||||||||||
Borrowed Funds and Subordinated Debentures | ||||||||||||||||
The fair value of borrowings is estimated by discounting the projected future cash flows using current market rates. | ||||||||||||||||
Standby Letters of Credit | ||||||||||||||||
At December 31, 2013, the Bank had standby letters of credit outstanding of $1.4 million, as compared to $1.6 million at December 31, 2012. The fair value of these commitments is nominal. | ||||||||||||||||
The table below presents the carrying amount and estimated fair values of the Company’s financial instruments not previously presented as of December 31st for the past two years: | ||||||||||||||||
31-Dec-13 | 31-Dec-12 | |||||||||||||||
(In thousands) | Fair value level | Carrying amount | Estimated fair value | Carrying amount | Estimated fair value | |||||||||||
Financial assets: | ||||||||||||||||
Cash and cash equivalents | Level 1 | $ | 99,404 | $ | 99,404 | $ | 94,192 | $ | 94,192 | |||||||
Securities held to maturity (1) | Level 2 | 26,381 | 25,549 | 21,515 | 22,741 | |||||||||||
SBA loans held for sale | Level 2 | 6,673 | 7,267 | 6,937 | 7,582 | |||||||||||
Loans, net of allowance for loan losses (2) | Level 2 | 658,887 | 645,582 | 565,341 | 564,528 | |||||||||||
Federal Home Loan Bank stock | Level 2 | 5,392 | 5,392 | 3,989 | 3,989 | |||||||||||
Servicing assets | Level 3 | 437 | 437 | 396 | 396 | |||||||||||
Accrued interest receivable | Level 2 | 3,272 | 3,272 | 3,298 | 3,298 | |||||||||||
Financial liabilities: | ||||||||||||||||
Deposits | Level 2 | 738,698 | 738,337 | 648,760 | 650,668 | |||||||||||
Borrowed funds and subordinated debentures | Level 2 | 122,465 | 129,732 | 90,465 | 100,257 | |||||||||||
Accrued interest payable | Level 2 | 454 | 454 | 434 | 434 | |||||||||||
-1 | Includes held to maturity commercial mortgage-backed securities that are considered Level 3. These securities had book values of $6.8 million and $2.7 million at December 31, 2013 and 2012, respectively, and market values of $6.4 million and $3.2 million at December 31, 2013 and 2012, respectively. | |||||||||||||||
-2 | Includes impaired loans that are considered Level 3 and reported separately in the tables under the “Fair Value on a Nonrecurring Basis” heading. Impaired loans, net of specific reserves totaled $4.5 million and $8.2 million at December 31, 2013 and 2012, respectively. | |||||||||||||||
Condensed_Financial_Statements
Condensed Financial Statements of Unity Bancorp, Inc. (Parent Company Only) | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Condensed Financial Statements of Unity Bancorp, Inc. (Parent Company Only) [Abstract] | ' | ||||||
Condensed Financial Statements of Unity Bancorp, Inc. (Parent Company Only) | ' | ||||||
21. Condensed Financial Statements of Unity Bancorp, Inc. | |||||||
(Parent Company Only) | |||||||
Balance Sheets | |||||||
(In thousands) | 31-Dec-13 | 31-Dec-12 | |||||
ASSETS | |||||||
Cash and cash equivalents | $ | 724 | $ | 11,869 | |||
Securities available for sale | 166 | 105 | |||||
Capital note due from Bank | 8,500 | 8,500 | |||||
Investment in subsidiaries | 62,814 | 72,213 | |||||
Other assets | 493 | 476 | |||||
Total assets | $ | 72,697 | $ | 93,163 | |||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||
Other liabilities | $ | 59 | $ | 188 | |||
Subordinated debentures | 15,465 | 15,465 | |||||
Shareholders' equity | 57,173 | 77,510 | |||||
Total liabilities and shareholders' equity | $ | 72,697 | $ | 93,163 | |||
Statements of Income | For the years ended December 31, | ||||||
(In thousands) | 2013 | 2012 | |||||
Total interest income | $ | 761 | $ | 761 | |||
Total interest expense | 287 | 345 | |||||
Net interest income | 474 | 416 | |||||
Gains on sales of securities | 3 | - | |||||
Other expenses | 22 | 19 | |||||
Income before provision for income taxes and equity in undistributed net income of subsidiary | 455 | 397 | |||||
Provision for income taxes | 116 | 136 | |||||
Income before equity in undistributed net income of subsidiary | 339 | 261 | |||||
Equity in undistributed net income of subsidiary | 4,776 | 3,983 | |||||
Net income | 5,115 | 4,244 | |||||
Preferred stock dividends and discount accretion | 988 | 1,602 | |||||
Income available to common shareholders | $ | 4,127 | $ | 2,642 | |||
Statements of Cash Flows | For the years ended December 31, | ||||||
(In thousands) | 2013 | 2012 | |||||
OPERATING ACTIVITIES | |||||||
Net income | $ | 5,115 | $ | 4,244 | |||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
Equity in undistributed net income of subsidiary | -4,776 | -3,983 | |||||
Gains on sales of securities | -3 | - | |||||
Net change in other assets and other liabilities | -22 | -8 | |||||
Net cash provided by operating activities | 314 | 253 | |||||
INVESTING ACTIVITIES | |||||||
Purchases of securities | -100 | - | |||||
Proceeds from sales of securities | 63 | - | |||||
Net cash used in investing activities | -37 | - | |||||
FINANCING ACTIVITIES | |||||||
Redemption of perpetual preferred stock from U.S. Treasury | -20,649 | - | |||||
Repurchase of warrant from U.S. Treasury | -2,707 | - | |||||
Proceeds from exercise of stock options | - | 173 | |||||
Cash dividends paid on preferred stock | -585 | -1,032 | |||||
Cash dividends paid on common stock | -188 | - | |||||
Dividend from Bank | 12,707 | 9,000 | |||||
Net cash provided by (used in) financing activities | -11,422 | 8,141 | |||||
Increase in cash and cash equivalents | -11,145 | 8,394 | |||||
Cash and cash equivalents, beginning of year | 11,869 | 3,475 | |||||
Cash and cash equivalents, end of year | $ | 724 | $ | 11,869 | |||
SUPPLEMENTAL DISCLOSURES | |||||||
Interest paid | $ | 287 | $ | 362 | |||
Quarterly_Financial_Informatio
Quarterly Financial Information (Unaudited) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Quarterly Financial Information (Unaudited) [Abstract] | ' | ||||||||||||
Quarterly Financial Information (Unaudited) | ' | ||||||||||||
Quarterly Financial Information (Unaudited) | |||||||||||||
The following quarterly financial information for the years ended December 31, 2013 and 2012 is unaudited. However, in the opinion of management, all adjustments, which include normal recurring adjustments necessary to present fairly the results of operations for the periods, are reflected. | |||||||||||||
2013 | |||||||||||||
(In thousands, except per share data) | 31-Mar | 30-Jun | 30-Sep | 31-Dec | |||||||||
Total interest income | $ | 8,313 | $ | 8,401 | $ | 8,474 | $ | 8,766 | |||||
Total interest expense | 1,624 | 1,599 | 1,603 | 1,703 | |||||||||
Net interest income | 6,689 | 6,802 | 6,871 | 7,063 | |||||||||
Provision for loan losses | 650 | 300 | 600 | 800 | |||||||||
Net interest income after provision for loan losses | 6,039 | 6,502 | 6,271 | 6,263 | |||||||||
Total noninterest income | 1,825 | 1,658 | 1,650 | 1,471 | |||||||||
Total noninterest expense | 6,126 | 6,074 | 5,935 | 5,862 | |||||||||
Income before provision for income taxes | 1,738 | 2,086 | 1,986 | 1,872 | |||||||||
Provision for income taxes | 538 | 739 | 684 | 606 | |||||||||
Net income | 1,200 | 1,347 | 1,302 | 1,266 | |||||||||
Preferred stock dividends and discount accretion | 404 | 465 | 119 | - | |||||||||
Income available to common shareholders | $ | 796 | $ | 882 | $ | 1,183 | $ | 1,266 | |||||
Net income per common share - Basic | $ | 0.11 | $ | 0.12 | $ | 0.15 | $ | 0.17 | |||||
Net income per common share - Diluted | 0.10 | 0.11 | 0.15 | 0.17 | |||||||||
2012 | |||||||||||||
(In thousands, except per share data) | 31-Mar | 30-Jun | 30-Sep | 31-Dec | |||||||||
Total interest income | $ | 9,058 | $ | 8,772 | $ | 8,871 | $ | 8,502 | |||||
Total interest expense | 2,250 | 1,915 | 1,844 | 1,765 | |||||||||
Net interest income | 6,808 | 6,857 | 7,027 | 6,737 | |||||||||
Provision for loan losses | 1,200 | 1,000 | 1,000 | 800 | |||||||||
Net interest income after provision for loan losses | 5,608 | 5,857 | 6,027 | 5,937 | |||||||||
Total noninterest income | 1,715 | 1,841 | 1,774 | 2,008 | |||||||||
Total noninterest expense | 5,959 | 6,204 | 5,999 | 6,135 | |||||||||
Income before provision for income taxes | 1,364 | 1,494 | 1,802 | 1,810 | |||||||||
Provision for income taxes | 459 | 518 | 606 | 643 | |||||||||
Net income | 905 | 976 | 1,196 | 1,167 | |||||||||
Preferred stock dividends and discount accretion | 396 | 401 | 397 | 408 | |||||||||
Income available to common shareholders | $ | 509 | $ | 575 | $ | 799 | $ | 759 | |||||
Net income per common share - Basic | $ | 0.07 | $ | 0.08 | $ | 0.10 | $ | 0.10 | |||||
Net income per common share - Diluted | 0.07 | 0.07 | 0.10 | 0.10 | |||||||||
Significant_Accounting_Policie1
Significant Accounting Policies (Policy) | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Significant Accounting Policies [Abstract] | ' | |||
Overview | ' | |||
Overview | ||||
The accompanying Consolidated Financial Statements include the accounts of Unity Bancorp, Inc. (the “Parent Company”) and its wholly-owned subsidiary, Unity Bank (the “Bank” or when consolidated with the Parent Company, the “Company”). All significant intercompany balances and transactions have been eliminated in consolidation. | ||||
Unity Bancorp, Inc. is a bank holding company incorporated in New Jersey and registered under the Bank Holding Company Act of 1956, as amended. Its wholly-owned subsidiary, the Bank, is chartered by the New Jersey Department of Banking and Insurance. The Bank provides a full range of commercial and retail banking services through fifteen branch offices located in Hunterdon, Middlesex, Somerset, Union and Warren counties in New Jersey and Northampton County in Pennsylvania. These services include the acceptance of demand, savings, and time deposits and the extension of consumer, real estate, Small Business Administration (“SBA”) and other commercial credits. | ||||
Unity Bank has nine wholly-owned subsidiaries: Unity Investment Services, Inc., AJB Residential Realty Enterprises, Inc., AJB Commercial Realty, Inc., MKCD Commercial, Inc., JAH Commercial, Inc., UB Commercial LLC, ASBC Holdings LLC, Unity Property Holdings 1, Inc., and Unity Property Holdings 2, Inc. Unity Investment Services, Inc. is used to hold and administer part of the Bank’s investment portfolio. The other subsidiaries hold, administer and maintain the Bank’s other real estate owned (“OREO”) properties. Unity Investment Services, Inc. has one subsidiary, Unity Delaware Investment 2, Inc., which has one subsidiary, Unity NJ REIT, Inc. Unity NJ REIT, Inc. was added in 2013 to hold loans. | ||||
The Company has two unconsolidated, wholly-owned statutory trust subsidiaries. For additional information, see Note 10 to the Consolidated Financial Statements. | ||||
Stock-Based Compensation | ' | |||
Stock-Based Compensation | ||||
The Company accounts for its stock-based compensation awards in accordance with FASB ASC Topic 718, “Compensation – Stock Compensation,” which requires recognition of compensation expense related to stock-based compensation awards over the period during which an employee is required to provide service for the award. Compensation expense is equal to the fair value of the award, net of estimated forfeitures, and is recognized over the vesting period of such awards. | ||||
For additional information on the Company’s stock-based compensation, see Note 19 to the Consolidated Financial Statements. | ||||
Securities | ' | |||
Securities | ||||
The Company classifies its securities into two categories, available for sale and held to maturity. | ||||
Securities that are classified as available for sale are stated at fair value. Unrealized gains and losses on securities available for sale are generally excluded from results of operations and are reported as other comprehensive income, a separate component of shareholders’ equity, net of taxes. Securities classified as available for sale include securities that may be sold in response to changes in interest rates, changes in prepayment risks or for asset/liability management purposes. The cost of securities sold is determined on a specific identification basis. Gains and losses on sales of securities are recognized in the Consolidated Statements of Income on the date of sale. | ||||
Securities are classified as held to maturity based on management’s intent and ability to hold them to maturity. Such securities are stated at cost, adjusted for unamortized purchase premiums and discounts using the level yield method. | ||||
If transfers between the available for sale and held to maturity portfolios occur, they are accounted for at fair value and unrealized holding gains and losses are accounted for at the date of transfer. For securities transferred to available for sale from held to maturity, unrealized gains or losses as of the date of the transfer are recognized in other comprehensive income (loss), a separate component of shareholders’ equity. For securities transferred into the held to maturity portfolio from the available for sale portfolio, unrealized gains or losses as of the date of transfer continue to be reported in other comprehensive income (loss), and are amortized over the remaining life of the security as an adjustment to its yield, consistent with amortization of the premium or accretion of the discount. | ||||
For additional information on securities, see Note 4 to the Consolidated Financial Statements. | ||||
Other-Than-Temporary Impairment | ||||
The Company has a process in place to identify debt securities that could potentially incur credit impairment that is other-than-temporary. This process involves monitoring late payments, pricing levels, downgrades by rating agencies, key financial ratios, financial statements, revenue forecasts and cash flow projections as indicators of credit issues. Management evaluates securities for other-than-temporary impairment at least on a quarterly basis, and more frequently when economic or market concern warrants such evaluation. This evaluation considers relevant facts and circumstances in evaluating whether a credit or interest rate-related impairment of a security is other-than-temporary. Relevant facts and circumstances considered include: (1) the extent and length of time the fair value has been below cost; (2) the reasons for the decline in value; (3) the financial position and access to capital of the issuer, including the current and future impact of any specific events and (4) for fixed maturity securities, our intent to sell a security or whether it is more likely than not we will be required to sell the security before the recovery of its amortized cost which, in some cases, may extend to maturity. | ||||
For debt securities that are considered other-than-temporarily impaired where management has no intent to sell and the Company has no requirement to sell prior to recovery of its amortized cost basis, the amount of the impairment is separated into the amount that is credit related (credit loss component) and the amount due to all other factors. The credit loss component is recognized in earnings and is the difference between the security’s amortized cost basis and the present value of its expected future cash flows. The remaining difference between the security’s fair value and the present value of future expected cash flows is due to factors that are not credit related and is recognized in other comprehensive income. For debt securities where management has the intent to sell, the amount of the impairment is reflected in earnings as realized losses. | ||||
The present value of expected future cash flows is determined using the best estimate cash flows discounted at the effective interest rate implicit to the security at the date of purchase or the current yield to accrete an asset-backed or floating rate security. The methodology and assumptions for establishing the best estimate cash flows vary depending on the type of security. The asset-backed securities cash flow estimates are based on bond specific facts and circumstances that may include collateral characteristics, expectations of delinquency and default rates, loss severity and prepayment speeds and structural support, including subordination and guarantees. The corporate bond cash flow estimates are derived from scenario-based outcomes of expected corporate restructurings or the disposition of assets using bond specific facts and circumstances including timing, security interests and loss severity. | ||||
Transfers of Financial Assets | ' | |||
Transfers of Financial Assets | ||||
Transfers of financial assets are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. | ||||
Use Of Estimates in the Preparation of Financial Statements | ' | |||
Use of Estimates in the Preparation of Financial Statements | ||||
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Amounts requiring the use of significant estimates include the allowance for loan losses, valuation of deferred tax and servicing assets, the carrying value of loans held for sale and other real estate owned, the valuation of securities and the determination of other-than-temporary impairment for securities and fair value disclosures. Actual results could differ from those estimates. | ||||
Reclassifications | ' | |||
Reclassifications | ||||
Certain reclassifications have been made to the prior year to conform to the current year presentation, with no impact on prior year earnings or shareholders’ equity. | ||||
Cash and Cash Equivalents | ' | |||
Cash and Cash Equivalents | ||||
Cash and cash equivalents include cash on hand, amounts due from banks, federal funds sold and interest-bearing deposits. | ||||
Loan Held to Maturity and Loans Held for Sale | ' | |||
Loans | ||||
Loans Held for Sale | ||||
Loans held for sale represent the guaranteed portion of SBA loans and are reflected at the lower of aggregate cost or market value. The Company originates loans to customers under an SBA program that historically has provided for SBA guarantees of up to 90 percent of each loan. The Company generally sells the guaranteed portion of its SBA loans to a third party and retains the servicing, holding the nonguaranteed portion in its portfolio. The net amount of loan origination fees on loans sold is included in the carrying value and in the gain or loss on the sale. When sales of SBA loans do occur, the premium received on the sale and the present value of future cash flows of the servicing assets are recognized in income. All criteria for sale accounting must be met in order for the loan sales to occur; see details under the “Transfers of Financial Assets” heading above. | ||||
Servicing assets represent the estimated fair value of retained servicing rights, net of servicing costs, at the time loans are sold. Servicing assets are amortized in proportion to, and over the period of, estimated net servicing revenues. Impairment is evaluated based on stratifying the underlying financial assets by date of origination and term. Fair value is determined using prices for similar assets with similar characteristics, when available, or based upon discounted cash flows using market-based assumptions. Any impairment, if temporary, would generally be reported as a valuation allowance. | ||||
Serviced loans sold to others are not included in the accompanying Consolidated Balance Sheets. Income and fees collected for loan servicing are credited to noninterest income when earned, net of amortization on the related servicing assets. | ||||
For additional information on servicing assets, see Note 5 to the Consolidated Financial Statements. | ||||
Loans Held for Investment | ||||
Loans held for investment are stated at the unpaid principal balance, net of unearned discounts and deferred loan origination fees and costs. In accordance with the level yield method, loan origination fees, net of direct loan origination costs, are deferred and recognized over the estimated life of the related loans as an adjustment to the loan yield. Interest is credited to operations primarily based upon the principal balance outstanding. | ||||
Loans are reported as past due when either interest or principal is unpaid in the following circumstances: fixed payment loans when the borrower is in arrears for two or more monthly payments; open end credit for two or more billing cycles; and single payment notes if interest or principal remains unpaid for 30 days or more. | ||||
Nonperforming loans consist of loans that are not accruing interest as a result of principal or interest being in default for a period of 90 days or more or when the ability to collect principal and interest according to the contractual terms is in doubt (nonaccrual loans). When a loan is classified as nonaccrual, interest accruals are discontinued and all past due interest previously recognized as income is reversed and charged against current period earnings. Generally, until the loan becomes current, any payments received from the borrower are applied to outstanding principal until such time as management determines that the financial condition of the borrower and other factors merit recognition of a portion of such payments as interest income. Loans may be returned to an accrual status when the ability to collect is reasonably assured and when the loan is brought current as to principal and interest. | ||||
Loans are charged off when collection is sufficiently questionable and when the Company can no longer justify maintaining the loan as an asset on the balance sheet. Loans qualify for charge-off when, after thorough analysis, all possible sources of repayment are insufficient. These include: 1) potential future cash flows, 2) value of collateral, and/or 3) strength of co-makers and guarantors. All unsecured loans are charged off upon the establishment of the loan’s nonaccrual status. Additionally, all loans classified as a loss or that portion of the loan classified as a loss is charged off. All loan charge-offs are approved by the Board of Directors. | ||||
Troubled debt restructurings ("TDRs") occur when a creditor, for economic or legal reasons related to a debtor’s financial condition, grants a concession to the debtor that it would not otherwise consider. These concessions typically include reductions in interest rate, extending the maturity of a loan, or a combination of both. Interest income on accruing TDRs is credited to operations primarily based upon the principal amount outstanding, as stated in the paragraphs above. | ||||
The Company evaluates its loans for impairment. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. The Company has defined impaired loans to be all TDRs and nonperforming loans. Impairment is evaluated in total for smaller-balance loans of a similar nature (consumer and residential mortgage loans), and on an individual basis for all other loans. Impairment of a loan is measured based on the present value of expected future cash flows, discounted at the loan's effective interest rate, or as a practical expedient, based on a loan’s observable market price or the fair value of collateral, net of estimated costs to sell, if the loan is collateral-dependent. If the value of the impaired loan is less than the recorded investment in the loan, the Company establishes a valuation allowance, or adjusts existing valuation allowances, with a corresponding charge to the provision for loan losses. | ||||
For additional information on loans, see Note 5 to the Consolidated Financial Statements. | ||||
Allowance for Loan Losses and Reserve for Unfunded Loan Commitments | ' | |||
Allowance for Loan Losses and Reserve for Unfunded Loan Commitments | ||||
The allowance for loan losses is maintained at a level management considers adequate to provide for probable loan losses as of the balance sheet date. The allowance is increased by provisions charged to expense and is reduced by net charge-offs. | ||||
The level of the allowance is based on management’s evaluation of probable losses in the loan portfolio, after consideration of prevailing economic conditions in the Company’s market area, the volume and composition of the loan portfolio, and historical loan loss experience. The allowance for loan losses consists of specific reserves for individually impaired credits and TDRs, reserves for nonimpaired loans based on historical loss factors adjusted for general economic factors and other qualitative risk factors such as changes in delinquency trends, industry concentrations or local/national economic trends. This risk assessment process is performed at least quarterly, and, as adjustments become necessary, they are realized in the periods in which they become known. | ||||
Although management attempts to maintain the allowance at a level deemed adequate to provide for probable losses, future additions to the allowance may be necessary based upon certain factors including changes in market conditions and underlying collateral values. In addition, various regulatory agencies periodically review the adequacy of the Company’s allowance for loan losses. These agencies may require the Company to make additional provisions based on their judgments about information available to them at the time of their examination. | ||||
The Company maintains a reserve for unfunded loan commitments at a level that management believes is adequate to absorb estimated probable losses. Adjustments to the reserve are made through other expenses and applied to the reserve which is classified as other liabilities. | ||||
Premises and Equipment | ' | |||
Premises and Equipment | ||||
Land is carried at cost. All other fixed assets are carried at cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets. The useful life of buildings is not to exceed 30 years; furniture and fixtures is generally 10 years or less, and equipment is 3 to 5 years. Leasehold improvements are depreciated over the life of the underlying lease. | ||||
For additional information on premises and equipment, see Note 7 to the Consolidated Financial Statements. | ||||
Bank Owned Life Insurance | ' | |||
Bank Owned Life Insurance | ||||
The Company purchased life insurance policies on certain members of management. Bank owned life insurance (“BOLI”) is recorded at its cash surrender value or the amount that can be realized. | ||||
Federal Home Loan Bank Stock | ' | |||
Federal Home Loan Bank Stock | ||||
Federal law requires a member institution of the Federal Home Loan Bank (“FHLB”) system to hold stock of its district FHLB according to a predetermined formula. The stock is carried at cost. Management reviews the stock for impairment based on the ultimate recoverability of the cost basis in the stock. The stock’s value is determined by the ultimate recoverability of the par value rather than by recognizing temporary declines. Management considers such criteria as the significance of the decline in net assets, if any, of the FHLB, the length of time this situation has persisted, commitments by the FHLB to make payments required by law or regulation, the impact of legislative and regulatory changes on the customer base of the FHLB and the liquidity position of the FHLB. | ||||
Other Real Estate Owned | ' | |||
Other Real Estate Owned | ||||
Other real estate owned (“OREO”) is recorded at the fair value, less estimated costs to sell at the date of acquisition, with a charge to the allowance for loan losses for any excess of the loan carrying value over such amount. Subsequently, other real estate owned is carried at the lower of cost or fair value, as determined by current appraisals. Certain costs that increase the value or extend the useful life in preparing properties for sale are capitalized to the extent that the appraisal amount exceeds the carry value, and expenses of holding foreclosed properties are charged to operations as incurred. | ||||
Appraisals | ||||
The Company requires current real estate appraisals on all loans that become OREO or in-substance foreclosure, loans that are classified substandard, doubtful or loss, or loans that are over $100,000 and nonperforming. Prior to each balance sheet date, the Company values impaired collateral-dependent loans and OREO based upon a third party appraisal, broker's price opinion, drive by appraisal, automated valuation model, updated market evaluation, or a combination of these methods. The amount is discounted for the decline in market real estate values (for original appraisals), for any known damage or repair costs, and for selling and closing costs. The amount of the discount is dependent upon the method used to determine the original value. The original appraisal is generally used when a loan is first determined to be impaired. When applying the discount, the Company takes into consideration when the appraisal was performed, the collateral’s location, the type of collateral, any known damage to the property and the type of business. Subsequent to entering impaired status and the Company determining that there is a collateral shortfall, the Company will generally, depending on the type of collateral, order a third party appraisal, broker's price opinion, automated valuation model or updated market evaluation. Subsequent to receiving the third party results, the Company will discount the value 6 to 10 percent for selling and closing costs. | ||||
Income Taxes | ' | |||
Income Taxes | ||||
The Company follows Financial Accounting Standards Board Accounting Standards Codification ("FASB ASC") Topic 740, “Income Taxes,” which prescribes a threshold for the financial statement recognition of income taxes and provides criteria for the measurement of tax positions taken or expected to be taken in a tax return. ASC 740 also includes guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure and transition of income taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using the enacted tax rates applicable to taxable income for the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation reserves are established against certain deferred tax assets when it is more likely than not that the deferred tax assets will not be realized. Increases or decreases in the valuation reserve are charged or credited to the income tax provision. | ||||
When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that ultimately would be sustained. The benefit of a tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. The evaluation of a tax position taken is considered by itself and not offset or aggregated with other positions. Tax positions that meet the more likely than not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits in the accompanying balance sheet along with any associated interest and penalties that would be payable to the taxing authorities upon examination. | ||||
Interest and penalties associated with unrecognized tax benefits are recognized in income tax expense on the income statement. | ||||
For additional information on income taxes, see Note 16 to the Consolidated Financial Statements. | ||||
Net Income Per Share | ' | |||
Net Income Per Share | ||||
Basic net income per common share is calculated as net income available to common shareholders divided by the weighted average common shares outstanding during the reporting period. Net income available to common shareholders is calculated as net income less accrued dividends and discount accretion related to preferred stock. | ||||
Diluted net income per common share is computed similarly to that of basic net income per common share, except that the denominator is increased to include the number of additional common shares that would have been outstanding if all potentially dilutive common shares, principally stock options, were issued during the reporting period utilizing the Treasury stock method. However, when a net loss rather than net income is recognized, diluted earnings per share equals basic earnings per share. | ||||
For additional information on net income per share, see Note 17 to the Consolidated Financial Statements. | ||||
Fair Value | ' | |||
The Company follows FASB ASC Topic 820, “Fair Value Measurement and Disclosures,” which requires additional disclosures about the Company’s assets and liabilities that are measured at fair value. Fair value is the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. In determining fair value, the Company uses various methods including market, income and cost approaches. Based on these approaches, the Company often utilizes certain assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and/or the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market corroborated, or generally unobservable inputs. The Company utilizes techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. The fair value hierarchy ranks the quality and reliability of the information used to determine fair values. Financial assets and liabilities carried at fair value will be classified and disclosed as follows: | ||||
Level 1 Inputs | ||||
· | Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | |||
· | Generally, this includes debt and equity securities and derivative contracts that are traded in an active exchange market (i.e. New York Stock Exchange), as well as certain U.S. Treasury, U.S. Government and sponsored entity agency mortgage-backed securities that are highly liquid and are actively traded in over-the-counter markets. | |||
Level 2 Inputs | ||||
· | Quoted prices for similar assets or liabilities in active markets. | |||
· | Quoted prices for identical or similar assets or liabilities in inactive markets. | |||
· | Inputs other than quoted prices that are observable, either directly or indirectly, for the term of the asset or liability (i.e., interest rates, yield curves, credit risks, prepayment speeds or volatilities) or “market corroborated inputs.” | |||
· | Generally, this includes U.S. Government and sponsored entity mortgage-backed securities, corporate debt securities and derivative contracts. | |||
Level 3 Inputs | ||||
· | Prices or valuation techniques that require inputs that are both unobservable (i.e. supported by little or no market activity) and that are significant to the fair value of the assets or liabilities. | |||
These assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. | ||||
Other Comprehensive Income (Loss) | ' | |||
Other Comprehensive Income (Loss) | ||||
Other comprehensive income (loss) consists of the change in unrealized gains (losses) on securities available for sale that were reported as a component of shareholders’ equity, net of tax. | ||||
For additional information on other comprehensive income, see Note 12 to the Consolidated Financial Statements. | ||||
Advertising | ' | |||
Advertising | ||||
The Company expenses the costs of advertising in the period incurred. | ||||
Dividend Restrictions | ' | |||
Dividend Restrictions | ||||
Banking regulations require maintaining certain capital levels that may limit the dividends paid by our bank to our holding company or by our holding company to our shareholders. | ||||
Operating Segments | ' | |||
Operating Segments | ||||
While management monitors the revenue streams of its various products and services, operating results and financial performance are evaluated on a company-wide basis. The Company’s management uses consolidated results to make operating and strategic decisions. Accordingly, there is only one reportable segment. | ||||
Fair_Value_Policy
Fair Value (Policy) | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Fair Value [Abstract] | ' | |||||||||||||||
Fair Value Measurement, Policy [Policy Text Block] | ' | |||||||||||||||
The Company follows FASB ASC Topic 820, “Fair Value Measurement and Disclosures,” which requires additional disclosures about the Company’s assets and liabilities that are measured at fair value. Fair value is the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. In determining fair value, the Company uses various methods including market, income and cost approaches. Based on these approaches, the Company often utilizes certain assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and/or the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market corroborated, or generally unobservable inputs. The Company utilizes techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. The fair value hierarchy ranks the quality and reliability of the information used to determine fair values. Financial assets and liabilities carried at fair value will be classified and disclosed as follows: | ||||||||||||||||
Level 1 Inputs | ||||||||||||||||
· | Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | |||||||||||||||
· | Generally, this includes debt and equity securities and derivative contracts that are traded in an active exchange market (i.e. New York Stock Exchange), as well as certain U.S. Treasury, U.S. Government and sponsored entity agency mortgage-backed securities that are highly liquid and are actively traded in over-the-counter markets. | |||||||||||||||
Level 2 Inputs | ||||||||||||||||
· | Quoted prices for similar assets or liabilities in active markets. | |||||||||||||||
· | Quoted prices for identical or similar assets or liabilities in inactive markets. | |||||||||||||||
· | Inputs other than quoted prices that are observable, either directly or indirectly, for the term of the asset or liability (i.e., interest rates, yield curves, credit risks, prepayment speeds or volatilities) or “market corroborated inputs.” | |||||||||||||||
· | Generally, this includes U.S. Government and sponsored entity mortgage-backed securities, corporate debt securities and derivative contracts. | |||||||||||||||
Level 3 Inputs | ||||||||||||||||
· | Prices or valuation techniques that require inputs that are both unobservable (i.e. supported by little or no market activity) and that are significant to the fair value of the assets or liabilities. | |||||||||||||||
These assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. | ||||||||||||||||
Fair Value On A Recurring Basis Policy [Policy Text Block] | ' | |||||||||||||||
Fair Value on a Recurring Basis | ||||||||||||||||
The following is a description of the valuation methodologies used for instruments measured at fair value on a recurring basis: | ||||||||||||||||
Securities Available for Sale | ||||||||||||||||
55 percent of the portfolio was made up of residential mortgage-backed securities, which had a fair value of $44.4 million at December 31, 2013. Approximately $43.1 million of the residential mortgage-backed securities are guaranteed by the Government National Mortgage Association ("GNMA"), the Federal National Mortgage Association ("FNMA") or the Federal Home Loan Mortgage Corporation ("FHLMC"). The underlying loans for these securities are residential mortgages that are geographically dispersed throughout the United States. | ||||||||||||||||
All of the Company’s AFS securities, excluding commercial mortgage-backed securities, were classified as Level 2 assets at December 31, 2013. The valuation of AFS securities using Level 2 inputs was primarily determined using the market approach, which uses quoted prices for similar assets or liabilities in active markets and all other relevant information. It includes model pricing, defined as valuing securities based upon their relationship with other benchmark securities. | ||||||||||||||||
For commercial mortgage-backed securities, the inputs used by either dealer market participants or an independent pricing service, may be derived from unobservable market information (Level 3 inputs). In these instances, management evaluates the appropriateness and quality of the assumptions and the resulting prices. In addition, management reviews the volume and level of activity for all AFS securities and attempts to identify transactions which may not be orderly or reflective of a significant level of activity and volume. For securities meeting these criteria, the quoted prices received from either market participants or an independent pricing service may be adjusted, as necessary, to estimate fair value and this results in fair values based on Level 3 inputs. In determining fair value, the Company utilizes unobservable inputs which reflect its own assumptions about the inputs that market participants would use in pricing each security. In developing its assertion of market participant assumptions, the Company utilizes the best information that is both reasonable and available without undue cost and effort. | ||||||||||||||||
In calculating the fair value for AFS securities under Level 3, management prepared present value cash flow models for certain private label commercial mortgage-backed securities. Private label commercial mortgage-backed securities owned by the Bank are A1 and A2 tranche sequential structures and are currently paying principal. The cash flows for the commercial mortgage-backed securities incorporated the expected cash flow of each security adjusted for default rates, loss severities and prepayments of the individual loans collateralizing the security. The following table presents quantitative information about Level 3 inputs used to measure the fair value of commercial mortgage-backed securities at December 31, 2013: | ||||||||||||||||
31-Dec-13 | ||||||||||||||||
Valuation Technique | Unobservable Input | Range | Weighted Average | |||||||||||||
Discounted Cash Flow | Prepayment rate | 8 through 15 | % | 10.0 | % | |||||||||||
Default rate | 10 through 15 | % | 12.5 | % | ||||||||||||
Loss severity | 10 through 25 | % | 18.0 | % | ||||||||||||
Significant increases or decreases in any of the unobservable inputs in the table above in isolation would result in a significantly lower or higher fair value measurement of the securities. Generally, a change in the assumption used for the default rate is accompanied by a directionally similar change in the assumption used for the loss severity and a directionally opposite change in the assumption used for prepayment rates. | ||||||||||||||||
For the Level 3 available for sale private label commercial mortgage-backed securities, cash flow assumptions incorporate independent third party market participant data based on vintage year for each security. The discount rate utilized in determining the present value of cash flows for the commercial mortgage-backed securities was arrived at by combining the yield on orderly transactions for similar maturity government sponsored mortgage-backed securities with (i) the historical average risk premium of similar structured private label securities, (ii) a risk premium reflecting current market conditions, including liquidity risk and (iii) if applicable, a forecasted loss premium derived from the expected cash flows of each security. The estimated cash flows for each private label commercial mortgage-backed security are then discounted at the aforementioned effective rate to determine the fair value. The quoted prices received from either market participants or independent pricing services are weighted with the internal price estimate to determine the fair value of each instrument. | ||||||||||||||||
Fair Value On A Nonrecurring Basis Policy [Policy Text Block] | ' | |||||||||||||||
31-Dec-13 | ||||||||||||||||
(In thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Securities available for sale: | ||||||||||||||||
U.S. Government sponsored entities | $ | - | $ | 6,418 | $ | - | $ | 6,418 | ||||||||
State and political subdivisions | - | 16,598 | - | 16,598 | ||||||||||||
Residential mortgage-backed securities | - | 44,389 | - | 44,389 | ||||||||||||
Commercial mortgage-backed securities | - | - | 888 | 888 | ||||||||||||
Corporate and other securities | - | 12,840 | - | 12,840 | ||||||||||||
Total securities available for sale | $ | - | $ | 80,245 | $ | 888 | $ | 81,133 | ||||||||
31-Dec-12 | ||||||||||||||||
(In thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Securities available for sale: | ||||||||||||||||
U.S. Government sponsored entities | $ | - | $ | 2,568 | $ | - | $ | 2,568 | ||||||||
State and political subdivisions | - | 15,303 | - | 15,303 | ||||||||||||
Residential mortgage-backed securities | - | 45,545 | - | 45,545 | ||||||||||||
Commercial mortgage-backed securities | - | - | 4,463 | 4,463 | ||||||||||||
Corporate and other securities | - | 21,659 | - | 21,659 | ||||||||||||
Total securities available for sale | $ | - | $ | 85,075 | $ | 4,463 | $ | 89,538 | ||||||||
The following table summarizes changes in Level 3 assets during 2013 and 2012, consisting of commercial mortgage-backed available for sale securities, measured at fair value on a recurring basis. | ||||||||||||||||
For the years ended December 31, | ||||||||||||||||
(In thousands) | 2013 | 2012 | ||||||||||||||
Commercial mortgage-backed securities: | ||||||||||||||||
Balance, beginning of period | $ | 4,463 | $ | - | ||||||||||||
Purchases | - | 4,423 | ||||||||||||||
Payoffs | -815 | - | ||||||||||||||
Principal paydowns | -2,722 | - | ||||||||||||||
Total net losses included in: | ||||||||||||||||
Other comprehensive income | -38 | 40 | ||||||||||||||
Balance, end of period | $ | 888 | $ | 4,463 | ||||||||||||
There were no gains or losses (realized or unrealized) including in earnings for assets and liabilities held at December 31, 2013 or 2012. | ||||||||||||||||
Fair Value on a Nonrecurring Basis | ||||||||||||||||
Certain assets and liabilities are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). The following is a description of the valuation methodologies used for instruments measured at fair value on a nonrecurring basis: | ||||||||||||||||
Appraisal Policy | ||||||||||||||||
All appraisals must be performed in accordance with the Uniform Standards of Professional Appraisal Practice (“USPAP”). Appraisals are certified to the Company and performed by appraisers on the Company’s approved list of appraisers. Evaluations are completed by a person independent of Company management. The content of the appraisal depends on the complexity of the property. Appraisals are completed on a “retail value” and an “as is value”. | ||||||||||||||||
The Company requires current real estate appraisals on all loans that become OREO or in-substance foreclosure, loans that are classified substandard, doubtful or loss, or loans that are over $100,000 and nonperforming. Prior to each balance sheet date, the Company values impaired collateral-dependent loans and OREO based upon a third party appraisal, broker's price opinion, drive by appraisal, automated valuation model, updated market evaluation, or a combination of these methods. The amount is discounted for the decline in market real estate values (for original appraisals), for any known damage or repair costs, and for selling and closing costs. The amount of the discount ranges from 10 to 15 percent and is dependent upon the method used to determine the original value. The original appraisal is generally used when a loan is first determined to be impaired. When applying the discount, the Company takes into consideration when the appraisal was performed, the collateral’s location, the type of collateral, any known damage to the property and the type of business. Subsequent to entering impaired status and the Company determining that there is a collateral shortfall, the Company will generally, depending on the type of collateral, order a third party appraisal, broker's price opinion, automated valuation model or updated market evaluation. Subsequent to receiving the third party results, the Company will discount the value 8 to 10 percent for selling and closing costs. | ||||||||||||||||
Other Real Estate Owned ("OREO") | ||||||||||||||||
The fair value was determined using appraisals, which may be discounted based on management’s review and changes in market conditions (Level 3 Inputs). | ||||||||||||||||
Impaired Collateral-Dependent Loans | ||||||||||||||||
The fair value of impaired collateral-dependent loans is derived in accordance with FASB ASC Topic 310, “Receivables.” Fair value is determined based on the loan’s observable market price or the fair value of the collateral. Partially charged-off loans are measured for impairment based upon an appraisal for collateral-dependent loans. When an updated appraisal is received for a nonperforming loan, the value on the appraisal is discounted in the manner discussed above. If there is a deficiency in the value after the Company applies these discounts, management applies a specific reserve and the loan remains in nonaccrual status. The receipt of an updated appraisal would not qualify as a reason to put a loan back into accruing status. The Company removes loans from nonaccrual status when the borrower makes nine months of contractual payments and demonstrates the ability to service the debt going forward. Charge-offs are determined based upon the loss that management believes the Company will incur after evaluating collateral for impairment based upon the valuation methods described above and the ability of the borrower to pay any deficiency. | ||||||||||||||||
The valuation allowance for impaired loans is included in the allowance for loan losses in the consolidated balance sheets. At December 31, 2013, the valuation allowance for impaired loans was $1.1 million, a decrease of $863 thousand from $2.0 million at December 31, 2012. | ||||||||||||||||
Fair Value of Financial Instruments, Policy [Policy Text Block] | ' | |||||||||||||||
Fair value at December 31, 2013 | Gains (losses) from fair value changes for the year ended | |||||||||||||||
(In thousands) | Level 1 | Level 2 | Level 3 | Total | 31-Dec-13 | |||||||||||
Financial assets: | ||||||||||||||||
OREO | $ | - | $ | - | $ | 633 | $ | 633 | $ | -769 | ||||||
Impaired collateral-dependent loans | - | - | 4,540 | 4,540 | 863 | |||||||||||
Fair value at December 31, 2012 | Gains (losses) from fair value changes for the year ended | |||||||||||||||
(In thousands) | Level 1 | Level 2 | Level 3 | Total | 31-Dec-12 | |||||||||||
Financial assets: | ||||||||||||||||
OREO | $ | - | $ | - | $ | 864 | $ | 864 | $ | -1,671 | ||||||
Impaired collateral-dependent loans | - | - | 8,159 | 8,159 | 2,448 | |||||||||||
Fair Value of Financial Instruments | ||||||||||||||||
FASB ASC Topic 825, “Financial Instruments,” requires the disclosure of the estimated fair value of certain financial instruments, including those financial instruments for which the Company did not elect the fair value option. These estimated fair values as of December 31, 2013 and December 31, 2012 have been determined using available market information and appropriate valuation methodologies. Considerable judgment is required to interpret market data to develop estimates of fair value. The estimates presented are not necessarily indicative of amounts the Company could realize in a current market exchange. The use of alternative market assumptions and estimation methodologies could have had a material effect on these estimates of fair value. The methodology for estimating the fair value of financial assets and liabilities that are measured on a recurring or nonrecurring basis are discussed above. | ||||||||||||||||
The following methods and assumptions were used to estimate the fair value of other financial instruments for which it is practicable to estimate that value: | ||||||||||||||||
Cash and Cash Equivalents | ||||||||||||||||
For these short-term instruments, the carrying value is a reasonable estimate of fair value. | ||||||||||||||||
Securities Held to Maturity | ||||||||||||||||
The fair value of held to maturity ("HTM") securities is based upon quoted market prices for similar or identical assets or other observable inputs (Level 2) or externally developed models that use unobservable inputs due to limited or no market activity of the instrument (Level 3). | ||||||||||||||||
SBA Loans Held for Sale | ||||||||||||||||
The fair value of SBA loans held for sale is estimated by using a market approach that includes significant other observable inputs. | ||||||||||||||||
Loans | ||||||||||||||||
The fair value of loans is estimated by discounting the future cash flows using current market rates that reflect the interest rate risk inherent in the loan, except for previously discussed impaired loans. | ||||||||||||||||
Federal Home Loan Bank Stock | ||||||||||||||||
Federal Home Loan Bank stock is carried at cost. Carrying value approximates fair value based on the redemption provisions of the issues. | ||||||||||||||||
SBA Servicing Assets | ||||||||||||||||
SBA servicing assets do not trade in an active, open market with readily observable prices. The Company estimates the fair value of SBA servicing assets using discounted cash flow models incorporating numerous assumptions from the perspective of a market participant including market discount rates and prepayment speeds. | ||||||||||||||||
Accrued Interest | ||||||||||||||||
The carrying amounts of accrued interest approximate fair value. | ||||||||||||||||
Deposit Liabilities | ||||||||||||||||
The fair value of demand deposits and savings accounts is the amount payable on demand at the reporting date (i.e. carrying value). The fair value of fixed-maturity certificates of deposit is estimated by discounting the future cash flows using current market rates. | ||||||||||||||||
Borrowed Funds and Subordinated Debentures | ||||||||||||||||
The fair value of borrowings is estimated by discounting the projected future cash flows using current market rates. | ||||||||||||||||
Standby Letters of Credit | ||||||||||||||||
At December 31, 2013, the Bank had standby letters of credit outstanding of $1.4 million, as compared to $1.6 million at December 31, 2012. The fair value of these commitments is nominal. | ||||||||||||||||
Securities_Tables
Securities (Tables) | 12 Months Ended | ||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||
Securities [Abstract] | ' | ||||||||||||||||||||||||||
Major Components Of Securities Available For Sale ("AFS") And Held To Maturity ("HTM") At Amortized Cost And Estimated Fair Value [Table Text Block] | ' | ||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||||
(In thousands) | Amortized cost | Gross unrealized gains | Gross unrealized losses | Estimated fair value | Amortized cost | Gross unrealized gains | Gross unrealized losses | Estimated fair value | |||||||||||||||||||
Available for sale: | |||||||||||||||||||||||||||
U.S. Government sponsored entities | $ | 6,723 | $ | 27 | $ | -332 | $ | 6,418 | $ | 2,482 | $ | 86 | $ | - | $ | 2,568 | |||||||||||
State and political subdivisions | 16,960 | 192 | -554 | 16,598 | 14,690 | 613 | - | 15,303 | |||||||||||||||||||
Residential mortgage-backed securities | 44,168 | 696 | -475 | 44,389 | 43,984 | 1,684 | -123 | 45,545 | |||||||||||||||||||
Commercial mortgage-backed securities | 887 | 2 | -1 | 888 | 4,423 | 42 | -2 | 4,463 | |||||||||||||||||||
Corporate and other securities | 13,173 | 67 | -400 | 12,840 | 21,741 | 490 | -572 | 21,659 | |||||||||||||||||||
Total securities available for sale | $ | 81,911 | $ | 984 | $ | -1,762 | $ | 81,133 | $ | 87,320 | $ | 2,915 | $ | -697 | $ | 89,538 | |||||||||||
Held to maturity: | |||||||||||||||||||||||||||
U.S. Government sponsored entities | $ | 5,814 | $ | - | $ | -460 | $ | 5,354 | $ | 5,050 | $ | 38 | $ | - | $ | 5,088 | |||||||||||
State and political subdivisions | 2,441 | 121 | -17 | 2,545 | 2,746 | 288 | - | 3,034 | |||||||||||||||||||
Residential mortgage-backed securities | 10,395 | 145 | -198 | 10,342 | 11,048 | 374 | -13 | 11,409 | |||||||||||||||||||
Commercial mortgage-backed securities | 6,750 | 87 | -437 | 6,400 | 2,671 | 539 | - | 3,210 | |||||||||||||||||||
Corporate and other securities | 981 | - | -73 | 908 | - | - | - | - | |||||||||||||||||||
Total securities held to maturity | $ | 26,381 | $ | 353 | $ | -1,185 | $ | 25,549 | $ | 21,515 | $ | 1,239 | $ | -13 | $ | 22,741 | |||||||||||
Remaining Contractual Maturities And Yields Of Securities Within The Investment Portfolios [Table Text Block] | ' | ||||||||||||||||||||||||||
Within one year | After one through five years | After five through ten years | After ten years | Total carrying value | |||||||||||||||||||||||
(In thousands, except percentages) | Amount | Yield | Amount | Yield | Amount | Yield | Amount | Yield | Amount | Yield | |||||||||||||||||
Available for sale at fair value: | |||||||||||||||||||||||||||
U.S. Government sponsored entities | $ | 35 | 3.77 | % | $ | 1,012 | 1.00 | % | $ | 960 | 2.06 | % | $ | 4,411 | 2.18 | % | $ | 6,418 | 1.99 | % | |||||||
State and political subdivisions | - | - | 794 | 2.38 | 11,406 | 2.69 | 4,398 | 2.80 | 16,598 | 2.70 | |||||||||||||||||
Residential mortgage-backed securities | - | - | 505 | 4.49 | 650 | 3.51 | 43,234 | 2.76 | 44,389 | 2.79 | |||||||||||||||||
Commercial mortgage-backed securities | - | - | - | - | - | - | 888 | 2.15 | 888 | 2.15 | |||||||||||||||||
Corporate and other securities | - | - | 401 | 1.28 | 5,636 | 1.82 | 6,803 | 1.52 | 12,840 | 1.65 | |||||||||||||||||
Total securities available for sale | $ | 35 | 3.77 | % | $ | 2,712 | 2.10 | % | $ | 18,652 | 2.42 | % | $ | 59,734 | 2.57 | % | $ | 81,133 | 2.52 | % | |||||||
Held to maturity at cost: | |||||||||||||||||||||||||||
U.S. Government sponsored entities | $ | - | - | % | $ | - | - | % | $ | - | - | % | $ | 5,814 | 1.97 | % | $ | 5,814 | 1.97 | % | |||||||
State and political subdivisions | 326 | 0.75 | - | - | - | - | 2,115 | 4.70 | 2,441 | 4.18 | |||||||||||||||||
Residential mortgage-backed securities | - | - | 800 | 4.86 | 237 | 5.11 | 9,358 | 2.75 | 10,395 | 2.97 | |||||||||||||||||
Commercial mortgage-backed securities | - | - | - | - | - | - | 6,750 | 3.79 | 6,750 | 3.79 | |||||||||||||||||
Corporate and other securities | - | - | - | - | 981 | 2.95 | - | - | 981 | 2.95 | |||||||||||||||||
Total securities held to maturity | $ | 326 | 0.75 | % | $ | 800 | 4.86 | % | $ | 1,218 | 3.37 | % | $ | 24,037 | 3.03 | % | $ | 26,381 | 3.07 | % | |||||||
Fair Value Of Securities With Unrealized Losses By Length Of Time That The Individual Securities Have Been In A Continuous Unrealized Loss Position [Table Text Block] | ' | ||||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||
Less than 12 months | 12 months and greater | Total | |||||||||||||||||||||||||
(In thousands, except number in a loss position) | Total number in a loss position | Estimated fair value | Unrealized loss | Estimated fair value | Unrealized loss | Estimated fair value | Unrealized loss | ||||||||||||||||||||
Available for sale: | |||||||||||||||||||||||||||
U.S. Government sponsored entities | 5 | $ | 5,591 | $ | -332 | $ | - | $ | - | $ | 5,591 | $ | -332 | ||||||||||||||
State and political subdivisions | 19 | 8,575 | -453 | 934 | -101 | 9,509 | -554 | ||||||||||||||||||||
Residential mortgage-backed securities | 13 | 13,226 | -398 | 1,474 | -77 | 14,700 | -475 | ||||||||||||||||||||
Commercial mortgage-backed securities | 3 | 368 | -1 | - | - | 368 | -1 | ||||||||||||||||||||
Corporate and other securities | 9 | 3,994 | -105 | 3,088 | -295 | 7,082 | -400 | ||||||||||||||||||||
Total temporarily impaired securities | 49 | $ | 31,754 | $ | -1,289 | $ | 5,496 | $ | -473 | $ | 37,250 | $ | -1,762 | ||||||||||||||
Held to maturity: | |||||||||||||||||||||||||||
U.S. Government sponsored entities | 3 | $ | 5,355 | $ | -460 | $ | - | $ | - | $ | 5,355 | $ | -460 | ||||||||||||||
State and political subdivisions | 2 | 986 | -17 | - | - | 986 | -17 | ||||||||||||||||||||
Residential mortgage-backed securities | 7 | 6,333 | -193 | 114 | -5 | 6,447 | -198 | ||||||||||||||||||||
Commercial mortgage-backed securities | 2 | 3,668 | -437 | - | - | 3,668 | -437 | ||||||||||||||||||||
Corporate and other securities | 1 | 907 | -73 | - | - | 907 | -73 | ||||||||||||||||||||
Total temporarily impaired securities | 15 | $ | 17,249 | $ | -1,180 | $ | 114 | $ | -5 | $ | 17,363 | $ | -1,185 | ||||||||||||||
31-Dec-12 | |||||||||||||||||||||||||||
Less than 12 months | 12 months and greater | Total | |||||||||||||||||||||||||
(In thousands, except number in a loss position) | Total number in a loss position | Estimated fair value | Unrealized loss | Estimated fair value | Unrealized loss | Estimated fair value | Unrealized loss | ||||||||||||||||||||
Available for sale: | |||||||||||||||||||||||||||
Residential mortgage-backed securities | 5 | $ | 3,272 | $ | -43 | $ | 1,951 | $ | -80 | $ | 5,223 | $ | -123 | ||||||||||||||
Commercial mortgage-backed securities | 4 | 2,351 | -2 | - | - | 2,351 | -2 | ||||||||||||||||||||
Corporate and other securities | 6 | 2,486 | -26 | 2,994 | -546 | 5,480 | -572 | ||||||||||||||||||||
Total temporarily impaired securities | 15 | $ | 8,109 | $ | -71 | $ | 4,945 | $ | -626 | $ | 13,054 | $ | -697 | ||||||||||||||
Held to maturity: | |||||||||||||||||||||||||||
Residential mortgage-backed securities | 3 | $ | 838 | $ | -2 | $ | 279 | $ | -11 | $ | 1,117 | $ | -13 | ||||||||||||||
Total temporarily impaired securities | 3 | $ | 838 | $ | -2 | $ | 279 | $ | -11 | $ | 1,117 | $ | -13 | ||||||||||||||
Gross Realized Gains (Losses) On Securities [Table Text Block] | ' | ||||||||||||||||||||||||||
For the years ended December 31, | |||||||||||||||||||||||||||
(In thousands) | 2013 | 2012 | |||||||||||||||||||||||||
Available for sale: | |||||||||||||||||||||||||||
Realized gains | $ | 394 | $ | 570 | |||||||||||||||||||||||
Realized losses | -4 | -4 | |||||||||||||||||||||||||
Total securities available for sale | 390 | 566 | |||||||||||||||||||||||||
Held to maturity: | |||||||||||||||||||||||||||
Realized gains | - | 7 | |||||||||||||||||||||||||
Realized losses | - | - | |||||||||||||||||||||||||
Total securities held to maturity | - | 7 | |||||||||||||||||||||||||
Net gains on sales of securities | $ | 390 | $ | 573 | |||||||||||||||||||||||
Loans_Tables
Loans (Tables) | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Loans [Abstract] | ' | |||||||||||||||||||||
Classification Of Loans By Class [Table Text Block] | ' | |||||||||||||||||||||
(In thousands) | 31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||
SBA loans held for investment | $ | 48,918 | $ | 58,593 | ||||||||||||||||||
SBA 504 loans | 31,564 | 41,438 | ||||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 37,611 | 24,043 | ||||||||||||||||||||
Commercial real estate | 317,471 | 264,439 | ||||||||||||||||||||
Commercial real estate construction | 8,258 | 13,082 | ||||||||||||||||||||
Residential mortgage loans | ||||||||||||||||||||||
Residential mortgages | 175,984 | 125,232 | ||||||||||||||||||||
Purchased residential mortgages | 6,083 | 6,862 | ||||||||||||||||||||
Consumer loans | ||||||||||||||||||||||
Home equity | 43,704 | 45,152 | ||||||||||||||||||||
Consumer other | 2,435 | 1,258 | ||||||||||||||||||||
Total loans held for investment | $ | 672,028 | $ | 580,099 | ||||||||||||||||||
SBA loans held for sale | 6,673 | 6,937 | ||||||||||||||||||||
Total loans | $ | 678,701 | $ | 587,036 | ||||||||||||||||||
Loan Portfolio By Class According To Their Credit Quality Indicators [Table Text Block] | ' | |||||||||||||||||||||
The tables below detail the Company’s loan portfolio by class according to their credit quality indicators discussed in the paragraphs above as of December 31, 2013: | ||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||
SBA, SBA 504 & Commercial loans - Internal risk ratings | ||||||||||||||||||||||
(In thousands) | Pass | Special mention | Substandard | Total | ||||||||||||||||||
SBA loans held for investment | $ | 43,778 | $ | 2,035 | $ | 3,105 | $ | 48,918 | ||||||||||||||
SBA 504 loans | 20,641 | 9,595 | 1,328 | 31,564 | ||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 34,946 | 1,499 | 1,166 | 37,611 | ||||||||||||||||||
Commercial real estate | 289,220 | 21,137 | 7,114 | 317,471 | ||||||||||||||||||
Commercial real estate construction | 8,081 | - | 177 | 8,258 | ||||||||||||||||||
Total commercial loans | 332,247 | 22,636 | 8,457 | 363,340 | ||||||||||||||||||
Total SBA, SBA 504 and commercial loans | $ | 396,666 | $ | 34,266 | $ | 12,890 | $ | 443,822 | ||||||||||||||
Residential mortgage & Consumer loans - Performing/Nonperforming | ||||||||||||||||||||||
(In thousands) | Performing | Nonperforming | Total | |||||||||||||||||||
Residential mortgage loans | ||||||||||||||||||||||
Residential mortgages | $ | 173,085 | $ | 2,899 | $ | 175,984 | ||||||||||||||||
Purchased residential mortgages | 3,255 | 2,828 | 6,083 | |||||||||||||||||||
Total residential mortgage loans | 176,340 | 5,727 | 182,067 | |||||||||||||||||||
Consumer loans | ||||||||||||||||||||||
Home equity | 42,029 | 1,675 | 43,704 | |||||||||||||||||||
Consumer other | 2,430 | 5 | 2,435 | |||||||||||||||||||
Total consumer loans | 44,459 | 1,680 | 46,139 | |||||||||||||||||||
Total residential mortgage and consumer loans | $ | 220,799 | $ | 7,407 | $ | 228,206 | ||||||||||||||||
The tables below detail the Company’s loan portfolio by class according to their credit quality indicators discussed in the paragraphs above as of December 31, 2012: | ||||||||||||||||||||||
31-Dec-12 | ||||||||||||||||||||||
SBA, SBA 504 & Commercial loans - Internal risk ratings | ||||||||||||||||||||||
(In thousands) | Pass | Special mention | Substandard | Total | ||||||||||||||||||
SBA loans held for investment | $ | 51,754 | $ | 2,328 | $ | 4,511 | $ | 58,593 | ||||||||||||||
SBA 504 loans | 28,726 | 5,860 | 6,852 | 41,438 | ||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 20,337 | 1,519 | 2,187 | 24,043 | ||||||||||||||||||
Commercial real estate | 229,516 | 30,334 | 4,589 | 264,439 | ||||||||||||||||||
Commercial real estate construction | 12,880 | 202 | - | 13,082 | ||||||||||||||||||
Total commercial loans | 262,733 | 32,055 | 6,776 | 301,564 | ||||||||||||||||||
Total SBA, SBA 504 and commercial loans | $ | 343,213 | $ | 40,243 | $ | 18,139 | $ | 401,595 | ||||||||||||||
Residential mortgage & Consumer loans - Performing/Nonperforming | ||||||||||||||||||||||
(In thousands) | Performing | Nonperforming | Total | |||||||||||||||||||
Residential mortgage loans | ||||||||||||||||||||||
Residential mortgages | $ | 122,711 | $ | 2,521 | $ | 125,232 | ||||||||||||||||
Purchased residential mortgages | 3,872 | 2,990 | 6,862 | |||||||||||||||||||
Total residential mortgage loans | 126,583 | 5,511 | 132,094 | |||||||||||||||||||
Consumer loans | ||||||||||||||||||||||
Home equity | 44,844 | 308 | 45,152 | |||||||||||||||||||
Consumer other | 1,249 | 9 | 1,258 | |||||||||||||||||||
Total consumer loans | 46,093 | 317 | 46,410 | |||||||||||||||||||
Total residential mortgage and consumer loans | $ | 172,676 | $ | 5,828 | $ | 178,504 | ||||||||||||||||
Aging Analysis Of Past Due And Nonaccrual Loans By Loan Class [Table Text Block] | ' | |||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||
(In thousands) | 30-59 days past due | 60-89 days past due | 90+ days and still accruing | Nonaccrual (1) | Total past due | Current | Total loans | |||||||||||||||
SBA loans held for investment | $ | 4,314 | $ | 264 | $ | - | $ | 2,746 | $ | 7,324 | $ | 41,594 | $ | 48,918 | ||||||||
SBA 504 loans | - | - | - | 1,101 | 1,101 | 30,463 | 31,564 | |||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 123 | - | - | 67 | 190 | 37,421 | 37,611 | |||||||||||||||
Commercial real estate | 347 | 190 | 14 | 3,785 | 4,336 | 313,135 | 317,471 | |||||||||||||||
Commercial real estate construction | - | - | - | 177 | 177 | 8,081 | 8,258 | |||||||||||||||
Residential mortgage loans | ||||||||||||||||||||||
Residential mortgages | 2,514 | - | - | 2,899 | 5,413 | 170,571 | 175,984 | |||||||||||||||
Purchased residential mortgages | 536 | - | 5 | 2,828 | 3,369 | 2,714 | 6,083 | |||||||||||||||
Consumer loans | ||||||||||||||||||||||
Home equity | 142 | 69 | - | 1,675 | 1,886 | 41,818 | 43,704 | |||||||||||||||
Consumer other | 9 | 1 | - | 5 | 15 | 2,420 | 2,435 | |||||||||||||||
Total loans held for investment | $ | 7,985 | $ | 524 | $ | 19 | $ | 15,283 | $ | 23,811 | $ | 648,217 | $ | 672,028 | ||||||||
SBA loans held for sale | 65 | - | - | - | 65 | 6,608 | 6,673 | |||||||||||||||
Total loans | $ | 8,050 | $ | 524 | $ | 19 | $ | 15,283 | $ | 23,876 | $ | 654,825 | $ | 678,701 | ||||||||
-1 | At December 31, 2013, nonaccrual loans included $467 thousand of TDRs and $540 thousand of loans guaranteed by the SBA. The remaining $7.5 million of TDRs are in accrual status because they are performing in accordance with their restructured terms, and have been for at least six months. | |||||||||||||||||||||
31-Dec-12 | ||||||||||||||||||||||
(In thousands) | 30-59 days past due | 60-89 days past due | 90+ days and still accruing | Nonaccrual (1) | Total past due | Current | Total loans | |||||||||||||||
SBA loans held for investment | $ | 1,912 | $ | 296 | $ | - | $ | 4,633 | $ | 6,841 | $ | 51,752 | $ | 58,593 | ||||||||
SBA 504 loans | 5,037 | - | - | 2,562 | 7,599 | 33,839 | 41,438 | |||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | - | - | 109 | 1,122 | 1,231 | 22,812 | 24,043 | |||||||||||||||
Commercial real estate | 3,763 | - | - | 3,323 | 7,086 | 257,353 | 264,439 | |||||||||||||||
Commercial real estate construction | - | 202 | - | - | 202 | 12,880 | 13,082 | |||||||||||||||
Residential mortgage loans | ||||||||||||||||||||||
Residential mortgages | 2,651 | 1,878 | - | 2,521 | 7,050 | 118,182 | 125,232 | |||||||||||||||
Purchased residential mortgages | 134 | 78 | - | 2,990 | 3,202 | 3,660 | 6,862 | |||||||||||||||
Consumer loans | ||||||||||||||||||||||
Home equity | 833 | - | - | 308 | 1,141 | 44,011 | 45,152 | |||||||||||||||
Consumer other | - | - | - | 9 | 9 | 1,249 | 1,258 | |||||||||||||||
Total loans held for investment | $ | 14,330 | $ | 2,454 | $ | 109 | $ | 17,468 | $ | 34,361 | $ | 545,738 | $ | 580,099 | ||||||||
SBA loans held for sale | - | - | - | - | - | 6,937 | 6,937 | |||||||||||||||
Total loans | $ | 14,330 | $ | 2,454 | $ | 109 | $ | 17,468 | $ | 34,361 | $ | 552,675 | $ | 587,036 | ||||||||
-1 | At December 31, 2012, nonaccrual loans included $1.1 million of TDRs and $1.8 million of loans guaranteed by the SBA. The remaining $13.6 million of TDRs are in accrual status because they are performing in accordance with their restructured terms, and have been for at least six months. | |||||||||||||||||||||
Impaired Loans With The Associated Allowance Amount [Table Text Block] | ' | |||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||
(In thousands) | Unpaid principal balance | Recorded investment | Specific reserves | |||||||||||||||||||
With no related allowance: | ||||||||||||||||||||||
SBA loans held for investment (1) | $ | 1,123 | $ | 835 | $ | - | ||||||||||||||||
SBA 504 loans | 2,251 | 2,251 | - | |||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 56 | 55 | - | |||||||||||||||||||
Commercial real estate | 6,116 | 5,969 | - | |||||||||||||||||||
Total commercial loans | 6,172 | 6,024 | - | |||||||||||||||||||
Total impaired loans with no related allowance | 9,546 | 9,110 | - | |||||||||||||||||||
With an allowance: | ||||||||||||||||||||||
SBA loans held for investment (1) | 2,282 | 1,905 | 831 | |||||||||||||||||||
SBA 504 loans | 1,277 | 677 | 29 | |||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 24 | 12 | 12 | |||||||||||||||||||
Commercial real estate | 3,557 | 2,907 | 230 | |||||||||||||||||||
Commercial real estate construction | 202 | 177 | 36 | |||||||||||||||||||
Total commercial loans | 3,783 | 3,096 | 278 | |||||||||||||||||||
Total impaired loans with a related allowance | 7,342 | 5,678 | 1,138 | |||||||||||||||||||
Total individually evaluated impaired loans: | ||||||||||||||||||||||
SBA loans held for investment (1) | 3,405 | 2,740 | 831 | |||||||||||||||||||
SBA 504 loans | 3,528 | 2,928 | 29 | |||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 80 | 67 | 12 | |||||||||||||||||||
Commercial real estate | 9,673 | 8,876 | 230 | |||||||||||||||||||
Commercial real estate construction | 202 | 177 | 36 | |||||||||||||||||||
Total commercial loans | 9,955 | 9,120 | 278 | |||||||||||||||||||
Total individually evaluated impaired loans | $ | 16,888 | $ | 14,788 | $ | 1,138 | ||||||||||||||||
-1 | Balances are reduced by amount guaranteed by the SBA of $540 thousand at December 31, 2013. | |||||||||||||||||||||
31-Dec-12 | ||||||||||||||||||||||
(In thousands) | Unpaid principal balance | Recorded investment | Specific reserves | |||||||||||||||||||
With no related allowance: | ||||||||||||||||||||||
SBA loans held for investment (1) | $ | 1,352 | $ | 866 | $ | - | ||||||||||||||||
SBA 504 loans | 5,812 | 5,555 | - | |||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 2,032 | 2,033 | - | |||||||||||||||||||
Commercial real estate | 5,220 | 4,752 | - | |||||||||||||||||||
Total commercial loans | 7,252 | 6,785 | - | |||||||||||||||||||
Total impaired loans with no related allowance | 14,416 | 13,206 | - | |||||||||||||||||||
With an allowance: | ||||||||||||||||||||||
SBA loans held for investment (1) | 3,355 | 2,846 | 1,159 | |||||||||||||||||||
SBA 504 loans | 1,297 | 1,297 | 217 | |||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 126 | 38 | 38 | |||||||||||||||||||
Commercial real estate | 6,014 | 5,979 | 587 | |||||||||||||||||||
Total commercial loans | 6,140 | 6,017 | 625 | |||||||||||||||||||
Total impaired loans with a related allowance | 10,792 | 10,160 | 2,001 | |||||||||||||||||||
Total individually evaluated impaired loans: | ||||||||||||||||||||||
SBA loans held for investment (1) | 4,707 | 3,712 | 1,159 | |||||||||||||||||||
SBA 504 loans | 7,109 | 6,852 | 217 | |||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 2,158 | 2,071 | 38 | |||||||||||||||||||
Commercial real estate | 11,234 | 10,731 | 587 | |||||||||||||||||||
Total commercial loans | 13,392 | 12,802 | 625 | |||||||||||||||||||
Total individually evaluated impaired loans | $ | 25,208 | $ | 23,366 | $ | 2,001 | ||||||||||||||||
Balances are reduced by amount guaranteed by the SBA of $1.8 million at December 31, 2012. | ||||||||||||||||||||||
Average Recorded Investments In Impaired Loans And The Related Amount Of Interest Recognized [TableText Block] | ' | |||||||||||||||||||||
For the years ended December 31, | ||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||
(In thousands) | Average recorded investment | Interest income recognized on impaired loans | Average recorded investment | Interest income recognized on impaired loans | ||||||||||||||||||
SBA loans held for investment (1) | $ | 3,244 | $ | 197 | $ | 4,161 | $ | 212 | ||||||||||||||
SBA 504 loans | 5,066 | 173 | 6,184 | 278 | ||||||||||||||||||
Commercial loans | ||||||||||||||||||||||
Commercial other | 1,461 | 100 | 3,201 | 53 | ||||||||||||||||||
Commercial real estate | 9,751 | 324 | 17,909 | 462 | ||||||||||||||||||
Commercial real estate construction | 171 | - | 133 | - | ||||||||||||||||||
Residential mortgage loans | ||||||||||||||||||||||
Residential mortgages | 2,757 | - | 2,070 | - | ||||||||||||||||||
Residential construction | - | - | 904 | - | ||||||||||||||||||
Purchased residential mortgages | 1,927 | - | 2,655 | - | ||||||||||||||||||
Consumer loans | ||||||||||||||||||||||
Home equity | 970 | 16 | 292 | - | ||||||||||||||||||
Consumer other | 1 | - | 8 | - | ||||||||||||||||||
Total | $ | 25,348 | $ | 810 | $ | 37,517 | $ | 1,005 | ||||||||||||||
-1 | Balances are reduced by the average amount guaranteed by the SBA of $953 thousand and $667 thousand for years ended December 31, 2013 and 2012, respectively. | |||||||||||||||||||||
Troubled Debt Restructurings Loans Modified [Table Text Block] | ' | |||||||||||||||||||||
The following table details loans modified during the years ended December 31, 2013 and 2012, including the number of modifications, the recorded investment at the time of the modification and the year-to-date impact to interest income as a result of the modification. | ||||||||||||||||||||||
For the years ended December 31, | ||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||
(In thousands, except number of contracts) | Number of contracts | Recorded investment at time of modification | Impact of interest rate change on income | Number of contracts | Recorded investment at time of modification | Impact of interest rate change on income | ||||||||||||||||
SBA loans held for investment | 1 | $ | 65 | $ | - | - | $ | - | $ | - | ||||||||||||
Commercial real estate | 1 | 2,684 | 50 | 3 | 1,856 | 11 | ||||||||||||||||
Total | 2 | $ | 2,749 | $ | 50 | 3 | $ | 1,856 | $ | 11 | ||||||||||||
In addition, there were no qualifying subsequent defaults to TDRs in 2013. In 2012, there was one commercial real estate loan with outstanding principal of $961 thousand modified as a TDR within the previous 12 months where a concession was made and the loan subsequently defaulted at some point during the year ended December 31, 2012. In this case, subsequent default is defined as 90 days past due or transferred to nonaccrual status. | ||||||||||||||||||||||
Troubled Debt Restructurings Types Of Modifications [TableText Block] | ' | |||||||||||||||||||||
The following tables show the types of modifications done during the years ended December 31, 2013 and 2012, with the respective loan balances as of those period ends: | ||||||||||||||||||||||
For the year ended December 31, 2013 | ||||||||||||||||||||||
(In thousands) | SBA | Commercial real estate | Total | |||||||||||||||||||
Type of modification: | ||||||||||||||||||||||
Interest only with reduced interest rate | $ | - | $ | 2,684 | $ | 2,684 | ||||||||||||||||
Interest only with nominal principal | 65 | - | 65 | |||||||||||||||||||
Total TDRs | $ | 65 | $ | 2,684 | $ | 2,749 | ||||||||||||||||
For the year ended December 31, 2012 | ||||||||||||||||||||||
(In thousands) | Commercial real estate | Total | ||||||||||||||||||||
Type of modification: | ||||||||||||||||||||||
Interest only | $ | 1,890 | $ | 1,890 | ||||||||||||||||||
Total TDRs | $ | 1,890 | $ | 1,890 | ||||||||||||||||||
Schedule of Servicing Assets | ' | |||||||||||||||||||||
For the years ended December 31, | ||||||||||||||||||||||
(In thousands) | 2013 | 2012 | ||||||||||||||||||||
Balance, beginning of year | $ | 396 | $ | 418 | ||||||||||||||||||
Servicing assets capitalized | 187 | 155 | ||||||||||||||||||||
Amortization of expense | -146 | -177 | ||||||||||||||||||||
Provision for loss in fair value | - | - | ||||||||||||||||||||
Balance, end of year | $ | 437 | $ | 396 | ||||||||||||||||||
Schedule of Related Party Transactions | ' | |||||||||||||||||||||
For the years ended December 31, | ||||||||||||||||||||||
(In thousands) | 2013 | 2012 | ||||||||||||||||||||
Balance, beginning of year | $ | 14,605 | $ | 15,585 | ||||||||||||||||||
New loans | 4,521 | 537 | ||||||||||||||||||||
Loan repayments | -799 | -1,517 | ||||||||||||||||||||
Balance, end of year | $ | 18,327 | $ | 14,605 | ||||||||||||||||||
Allowance_for_Loan_Losses_and_1
Allowance for Loan Losses and Reserve for Unfunded Loan Commitments (Tables) | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Allowance for Loan Losses and Reserve for Unfunded Loan Commitments [Abstract] | ' | |||||||||||||||||||||
Allowance for Credit Losses on Financing Receivables [Table Text Block] | ' | |||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||
(In thousands) | SBA held for investment | SBA 504 | Commercial | Residential | Consumer | Unallocated | Total | |||||||||||||||
Allowance for loan losses ending balance: | ||||||||||||||||||||||
Individually evaluated for impairment | $ | 831 | $ | 29 | $ | 278 | $ | - | $ | - | $ | - | $ | 1,138 | ||||||||
Collectively evaluated for impairment | 1,756 | 928 | 6,562 | 2,132 | 573 | 52 | 12,003 | |||||||||||||||
Total | $ | 2,587 | $ | 957 | $ | 6,840 | $ | 2,132 | $ | 573 | $ | 52 | $ | 13,141 | ||||||||
Loan ending balances: | ||||||||||||||||||||||
Individually evaluated for impairment | $ | 2,740 | $ | 2,928 | $ | 9,120 | $ | - | $ | - | $ | - | $ | 14,788 | ||||||||
Collectively evaluated for impairment | 46,178 | 28,636 | 354,220 | 182,067 | 46,139 | - | 657,240 | |||||||||||||||
Total | $ | 48,918 | $ | 31,564 | $ | 363,340 | $ | 182,067 | $ | 46,139 | $ | - | $ | 672,028 | ||||||||
31-Dec-12 | ||||||||||||||||||||||
(In thousands) | SBA held for investment | SBA 504 | Commercial | Residential | Consumer | Unallocated | Total | |||||||||||||||
Allowance for loan losses ending balance: | ||||||||||||||||||||||
Individually evaluated for impairment | $ | 1,159 | $ | 217 | $ | 625 | $ | - | $ | - | $ | - | $ | 2,001 | ||||||||
Collectively evaluated for impairment | 2,219 | 1,095 | 6,466 | 1,769 | 524 | 684 | 12,757 | |||||||||||||||
Total | $ | 3,378 | $ | 1,312 | $ | 7,091 | $ | 1,769 | $ | 524 | $ | 684 | $ | 14,758 | ||||||||
Loan ending balances: | ||||||||||||||||||||||
Individually evaluated for impairment | $ | 3,712 | $ | 6,852 | $ | 12,802 | $ | - | $ | - | $ | - | $ | 23,366 | ||||||||
Collectively evaluated for impairment | 54,881 | 34,586 | 288,762 | 132,094 | 46,410 | - | 556,733 | |||||||||||||||
Total | $ | 58,593 | $ | 41,438 | $ | 301,564 | $ | 132,094 | $ | 46,410 | $ | - | $ | 580,099 | ||||||||
Schedule of Credit Losses for Financing Receivables, Current [Table Text Block] | ' | |||||||||||||||||||||
The following tables detail the activity in the allowance for loan losses by portfolio segment for the past two years: | ||||||||||||||||||||||
For the year ended December 31, 2013 | ||||||||||||||||||||||
(In thousands) | SBA held for investment | SBA 504 | Commercial | Residential | Consumer | Unallocated | Total | |||||||||||||||
Balance, beginning of period | $ | 3,378 | $ | 1,312 | $ | 7,091 | $ | 1,769 | $ | 524 | $ | 684 | $ | 14,758 | ||||||||
Charge-offs | -1,076 | -1,193 | -1,392 | -375 | -588 | - | -4,624 | |||||||||||||||
Recoveries | 250 | 182 | 204 | 17 | 4 | - | 657 | |||||||||||||||
Net charge-offs | -826 | -1,011 | -1,188 | -358 | -584 | - | -3,967 | |||||||||||||||
Provision for loan losses charged to expense | 35 | 656 | 937 | 721 | 633 | -632 | 2,350 | |||||||||||||||
Balance, end of period | $ | 2,587 | $ | 957 | $ | 6,840 | $ | 2,132 | $ | 573 | $ | 52 | $ | 13,141 | ||||||||
For the year ended December 31, 2012 | ||||||||||||||||||||||
(In thousands) | SBA held for investment | SBA 504 | Commercial | Residential | Consumer | Unallocated | Total | |||||||||||||||
Balance, beginning of period | $ | 4,088 | $ | 1,423 | $ | 8,129 | $ | 1,703 | $ | 536 | $ | 469 | $ | 16,348 | ||||||||
Charge-offs | -1,332 | -808 | -3,504 | -824 | -56 | - | -6,524 | |||||||||||||||
Recoveries | 518 | 108 | 306 | - | 2 | - | 934 | |||||||||||||||
Net charge-offs | -814 | -700 | -3,198 | -824 | -54 | - | -5,590 | |||||||||||||||
Provision for loan losses charged to expense | 104 | 589 | 2,160 | 890 | 42 | 215 | 4,000 | |||||||||||||||
Balance, end of period | $ | 3,378 | $ | 1,312 | $ | 7,091 | $ | 1,769 | $ | 524 | $ | 684 | $ | 14,758 | ||||||||
Premises_and_Equipment_Tables
Premises and Equipment (Tables) | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Premises and Equipment [Abstract] | ' | ||||||
Premises and Equipment | ' | ||||||
(In thousands) | 31-Dec-13 | 31-Dec-12 | |||||
Land and buildings | $ | 17,022 | $ | 12,347 | |||
Furniture, fixtures and equipment | 6,603 | 6,719 | |||||
Leasehold improvements | 1,656 | 2,319 | |||||
Gross premises and equipment | 25,281 | 21,385 | |||||
Less: Accumulated depreciation | -9,609 | -9,323 | |||||
Net premises and equipment | $ | 15,672 | $ | 12,062 | |||
Other_Assets_Tables
Other Assets (Tables) | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Other Assets [Abstract] | ' | ||||||
Schedule of Other Assets | ' | ||||||
(In thousands) | 31-Dec-13 | 31-Dec-12 | |||||
Prepaid expenses | $ | 481 | $ | 386 | |||
Servicing assets | 437 | 396 | |||||
Net receivable due from SBA | 429 | 758 | |||||
Other | 1,307 | 691 | |||||
Total other assets | $ | 2,654 | $ | 2,231 | |||
Deposits_Tables
Deposits (Tables) | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Deposits [Abstract] | ' | |||||||||||||||||||||
Schedule of Deposits by Time Remaining on Maturity [Table Text Block] | ' | |||||||||||||||||||||
The following table details the maturity distribution of time deposits as of December 31st for the past two years: | ||||||||||||||||||||||
Three | More than three | More than six | More than | |||||||||||||||||||
months | months through | months through | twelve | |||||||||||||||||||
(In thousands) | or less | six months | twelve months | months | Total | |||||||||||||||||
At December 31, 2013: | ||||||||||||||||||||||
$100,000 or more | $ | 14,588 | $ | 7,965 | $ | 18,582 | $ | 55,961 | $ | 97,096 | ||||||||||||
Less than $100,000 | 8,058 | 7,754 | 19,522 | 72,924 | 108,258 | |||||||||||||||||
At December 31, 2012: | ||||||||||||||||||||||
$100,000 or more | $ | 13,338 | $ | 5,868 | $ | 16,493 | $ | 12,272 | $ | 47,971 | ||||||||||||
Less than $100,000 | 10,131 | 8,985 | 26,271 | 31,607 | 76,994 | |||||||||||||||||
Schedule of Certificates of Deposits by Year of Maturity [Table Text Block] | ' | |||||||||||||||||||||
(In thousands) | 2014 | 2015 | 2016 | 2017 | 2018 | Thereafter | Total | |||||||||||||||
Balance maturing | $ | 76,469 | $ | 24,103 | $ | 39,282 | $ | 6,548 | $ | 58,901 | $ | 51 | $ | 205,354 | ||||||||
Borrowed_Funds_and_Subordinate1
Borrowed Funds and Subordinated Debentures (Tables) | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Borrowed Funds and Subordinated Debentures [Abstract] | ' | |||||||||||||||||||||
Schedule of Debt | ' | |||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||
(In thousands) | Amount | Rate | Amount | Rate | Amount | Rate | ||||||||||||||||
FHLB borrowings and repurchase agreements: | ||||||||||||||||||||||
At December 31, | $ | 92,000 | 2.58 | % | $ | 60,000 | 3.94 | % | $ | 60,000 | 3.94 | % | ||||||||||
Year-to-date average | 61,010 | 3.88 | 60,008 | 3.94 | 60,000 | 3.94 | ||||||||||||||||
Maximum outstanding | 95,000 | 61,000 | 60,000 | |||||||||||||||||||
Repurchase agreements: | ||||||||||||||||||||||
At December 31, | $ | 15,000 | 3.67 | % | $ | 15,000 | 3.67 | % | $ | 15,000 | 3.67 | % | ||||||||||
Year-to-date average | 15,000 | 3.67 | 15,000 | 3.67 | 15,000 | 3.67 | ||||||||||||||||
Maximum outstanding | 15,000 | 15,000 | 15,000 | |||||||||||||||||||
Subordinated debentures: | ||||||||||||||||||||||
At December 31, | $ | 15,465 | 1.80 | % | $ | 15,465 | 1.89 | % | $ | 15,465 | 3.11 | % | ||||||||||
Year-to-date average | 15,465 | 1.83 | 15,465 | 2.19 | 15,465 | 4.83 | ||||||||||||||||
Maximum outstanding | 15,465 | 15,465 | 15,465 | |||||||||||||||||||
Schedule of Maturities of Term Debt | ' | |||||||||||||||||||||
(In thousands) | 2014 | 2015 | 2016 | 2017 | 2018 | Thereafter | Total | |||||||||||||||
FHLB borrowings and repurchase agreements | $ | 32,000 | $ | 10,000 | $ | 20,000 | $ | 30,000 | $ | - | $ | - | $ | 92,000 | ||||||||
Other repurchase agreements | - | - | - | - | 15,000 | - | 15,000 | |||||||||||||||
Subordinated debentures | - | - | - | - | - | 15,465 | 15,465 | |||||||||||||||
Total borrowings | $ | 32,000 | $ | 10,000 | $ | 20,000 | $ | 30,000 | $ | 15,000 | $ | 15,465 | $ | 122,465 | ||||||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Commitments and Contingencies [Abstract] | ' | |||||||||||||||||||||
Operating Leases of Lessee Disclosure | ' | |||||||||||||||||||||
(In thousands) | 2014 | 2015 | 2016 | 2017 | 2018 | Thereafter | Total | |||||||||||||||
Operating lease rental payments | $ | 670 | $ | 572 | $ | 526 | $ | 473 | $ | 418 | $ | - | $ | 2,659 | ||||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) [Abstract] | ' | ||||||||||||||||||
Changes In Other Comprehensive Income (Loss) | ' | ||||||||||||||||||
For the years ended December 31, | |||||||||||||||||||
2013 | 2012 | ||||||||||||||||||
(In thousands) | Pre-tax | Tax | After-tax | Pre-tax | Tax | After-tax | |||||||||||||
Balance, beginning of period | $ | 1,333 | $ | 1,121 | |||||||||||||||
Unrealized holding gains (losses) on securities arising during period | $ | -2,606 | $ | -1,056 | -1,550 | $ | 920 | $ | 332 | 588 | |||||||||
Less: Reclassification adjustment for gains included in net income | 390 | 131 | 259 | 566 | 190 | 376 | |||||||||||||
Net unrealized gains (losses) on securities arising during the period | $ | -2,996 | $ | -1,187 | $ | -1,809 | $ | 354 | $ | 142 | $ | 212 | |||||||
Balance, end of period | $ | -476 | $ | 1,333 | |||||||||||||||
Other_Income_Tables
Other Income (Tables) | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Other Income [Abstract] | ' | ||||||
Components of Other Income | ' | ||||||
The components of other income for the past two years are as follows: | |||||||
For the years ended December 31, | |||||||
(In thousands) | 2013 | 2012 | |||||
ATM and check card fees | $ | 487 | $ | 413 | |||
Wire transfer fees | 88 | 84 | |||||
Safe deposit box fees | 59 | 58 | |||||
Other | 80 | 172 | |||||
Total other income | $ | 714 | $ | 727 | |||
Other_Expenses_Tables
Other Expenses (Tables) | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Other Expenses [Abstract] | ' | ||||||
Components of Other Expenses | ' | ||||||
The components of other expenses for the past two years are as follows: | |||||||
For the years ended December 31, | |||||||
(In thousands) | 2013 | 2012 | |||||
Travel, entertainment, training and recruiting | $ | 608 | $ | 589 | |||
Director fees | 367 | 259 | |||||
Insurance | 335 | 339 | |||||
Stationary and supplies | 271 | 237 | |||||
Retail losses | 4 | 142 | |||||
Other | 282 | 332 | |||||
Total other expenses | $ | 1,867 | $ | 1,898 | |||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Income Taxes [Abstract] | ' | |||||||
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | ' | |||||||
The components of the provision for income taxes for the past two years are as follows: | ||||||||
For the years ended December 31, | ||||||||
(In thousands) | 2013 | 2012 | ||||||
Federal - current provision | $ | 1,579 | $ | 1,227 | ||||
Federal - deferred provision | 491 | 459 | ||||||
Total federal provision | 2,070 | 1,686 | ||||||
State - current provision | 599 | 216 | ||||||
State - deferred (benefit) provision | -102 | 324 | ||||||
Total state provision | 497 | 540 | ||||||
Total provision for income taxes | $ | 2,567 | $ | 2,226 | ||||
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | ' | |||||||
For the years ended December 31, | ||||||||
(In thousands, except percentages) | 2013 | 2012 | ||||||
Federal income tax provision at statutory rate | $ | 2,612 | $ | 2,199 | ||||
Increases (decreases) resulting from: | ||||||||
Bank owned life insurance | -118 | -100 | ||||||
Tax-exempt interest | -156 | -161 | ||||||
Meals and entertainment | 14 | 17 | ||||||
State income taxes, net of federal income tax effect | 328 | 356 | ||||||
Other, net | -113 | -85 | ||||||
Provision for income taxes | $ | 2,567 | $ | 2,226 | ||||
Effective tax rate | 33.4 | % | 34.4 | % | ||||
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | ' | |||||||
(In thousands) | 31-Dec-13 | 31-Dec-12 | ||||||
Deferred tax assets: | ||||||||
Allowance for loan losses | $ | 5,249 | $ | 5,895 | ||||
Lost interest on nonaccrual loans | 802 | 717 | ||||||
Stock-based compensation | 427 | 390 | ||||||
Depreciation | 418 | 256 | ||||||
Net unrealized security losses | 303 | - | ||||||
Deferred compensation | 190 | 174 | ||||||
State net operating loss | 138 | - | ||||||
Disallowed write-down on OREO properties | - | 60 | ||||||
Other | 95 | 102 | ||||||
Gross deferred tax assets | 7,622 | 7,594 | ||||||
Valuation allowance | -113 | - | ||||||
Total deferred tax assets | 7,509 | 7,594 | ||||||
Deferred tax liabilities: | ||||||||
Net unrealized security gains | - | 885 | ||||||
Deferred loan costs | 318 | 354 | ||||||
Goodwill | 326 | 286 | ||||||
Bond accretion | 113 | 115 | ||||||
Other | - | - | ||||||
Total deferred tax liabilities | 757 | 1,640 | ||||||
Net deferred tax asset | $ | 6,752 | $ | 5,954 | ||||
Net_Income_per_Share_Tables
Net Income per Share (Tables) | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Net Income per Share [Abstract] | ' | ||||||
Reconciliation Of The Calculation Of Basic And Diluted Income Per Share [TableTextBlock] | ' | ||||||
For the years ended December 31, | |||||||
(In thousands, except per share amounts) | 2013 | 2012 | |||||
Net income | $ | 5,115 | $ | 4,244 | |||
Less: Preferred stock dividends and discount accretion | 988 | 1,602 | |||||
Income available to common shareholders | $ | 4,127 | $ | 2,642 | |||
Weighted average common shares outstanding - Basic | 7,547 | 7,477 | |||||
Plus: Potential dilutive common stock equivalents | 263 | 317 | |||||
Weighted average common shares outstanding - Diluted | 7,810 | 7,794 | |||||
Net income per common share - Basic | $ | 0.55 | $ | 0.35 | |||
Net income per common share - Diluted | 0.53 | 0.34 | |||||
Stock options and common stock excluded from the income per share calculation as their effect would have been anti-dilutive | 377 | 506 | |||||
Regulatory_Capital_Tables
Regulatory Capital (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Regulatory Capital Requirements [Abstract] | ' | |||||||||||||||||||
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations [Table Text Block] | ' | |||||||||||||||||||
ented in the following table. | ||||||||||||||||||||
To be well-capitalized | ||||||||||||||||||||
For capital | under prompt corrective | |||||||||||||||||||
Actual | adequacy purposes | action provisions | ||||||||||||||||||
(In thousands) | Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||||||||||||
As of December 31, 2013 | ||||||||||||||||||||
Leverage ratio | $ | 70,852 | 8.08 | % | ≥ $ | 35,084 | 4.00 | % | N/A | N/A | ||||||||||
Tier I risk-based capital ratio | 70,852 | 10.74 | 26,400 | 4.00 | N/A | N/A | ||||||||||||||
Total risk-based capital ratio | 79,164 | 11.99 | 52,800 | 8.00 | N/A | N/A | ||||||||||||||
As of December 31, 2012 | ||||||||||||||||||||
Leverage ratio | $ | 89,841 | 11.14 | % | ≥ $ | 32,251 | 4.00 | % | N/A | N/A | ||||||||||
Tier I risk-based capital ratio | 89,841 | 14.85 | 24,193 | 4.00 | N/A | N/A | ||||||||||||||
Total risk-based capital ratio | 97,492 | 16.12 | 48,387 | 8.00 | N/A | N/A | ||||||||||||||
The Bank’s capital amounts and ratios for the last two years are presented in the following table: | ||||||||||||||||||||
To be well-capitalized | ||||||||||||||||||||
For capital | under prompt corrective | |||||||||||||||||||
Actual | adequacy purposes | action provisions | ||||||||||||||||||
(In thousands) | Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||||||||||||
As of December 31, 2013 | ||||||||||||||||||||
Leverage ratio | $ | 61,493 | 7.02 | % | ≥ $ | 35,058 | 4.00 | % | ≥ $ | 43,823 | 5.00 | % | ||||||||
Tier I risk-based capital ratio | 61,493 | 9.33 | 26,373 | 4.00 | 39,560 | 6.00 | ||||||||||||||
Total risk-based capital ratio | 78,296 | 11.88 | 52,747 | 8.00 | 65,933 | 10.00 | ||||||||||||||
As of December 31, 2012 | ||||||||||||||||||||
Leverage ratio | $ | 69,544 | 8.63 | % | ≥ $ | 32,225 | 4.00 | % | ≥ $ | 40,282 | 5.00 | % | ||||||||
Tier I risk-based capital ratio | 69,544 | 11.51 | 24,170 | 4.00 | 36,254 | 6.00 | ||||||||||||||
Total risk-based capital ratio | 85,687 | 14.18 | 48,339 | 8.00 | 60,424 | 10.00 | ||||||||||||||
Schedule of Future Basel Capital Requirements | ' | |||||||||||||||||||
Current Treatment | Treatment in Final Rule | |||||||||||||||||||
Leverage ratio | 4.00 | % | 4.00 | % | ||||||||||||||||
Common equity tier 1 capital (CET1) ratio | N/A | 4.50 | % | |||||||||||||||||
Additional tier 1 | N/A | 1.50 | % | |||||||||||||||||
Tier 1 capital ratio | 4.00 | % | 6.00 | % | ||||||||||||||||
Tier 2 | 4.00 | % | 2.00 | % | ||||||||||||||||
Total capital ratio | 8.00 | % | 8.00 | % | ||||||||||||||||
Capital conservation buffer | N/A | 2.50 | % | |||||||||||||||||
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ||||||||||||||||
Transactions under the Company's stock option plans | ' | ||||||||||||||||
Shares | Weighted average exercise price | Weighted average remaining contractual life in years | Aggregate intrinsic value | ||||||||||||||
Outstanding at December 31, 2011 | 643,206 | $ | 6.80 | 5.3 | $ | 517,867 | |||||||||||
Options granted | 25,000 | 6.00 | |||||||||||||||
Options exercised | -117,240 | 4.99 | |||||||||||||||
Options forfeited | -12,499 | 6.06 | |||||||||||||||
Options expired | -22,135 | 9.73 | |||||||||||||||
Outstanding at December 31, 2012 | 516,332 | $ | 7.06 | 5.4 | $ | 327,725 | |||||||||||
Options granted | 37,500 | 6.58 | |||||||||||||||
Options exercised | -11,667 | 6.62 | |||||||||||||||
Options forfeited | -8,333 | 6.56 | |||||||||||||||
Options expired | -84,857 | 8.84 | |||||||||||||||
Outstanding at December 31, 2013 | 448,975 | $ | 6.70 | 5.6 | $ | 739,951 | |||||||||||
Exercisable at December 31, 2013 | 364,143 | $ | 6.76 | 4.8 | $ | 637,387 | |||||||||||
Schedule of Stock Option Valuation Assumptions | ' | ||||||||||||||||
For the years ended December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Number of options granted | 37,500 | 25,000 | |||||||||||||||
Weighted average exercise price | $ | 6.58 | $ | 6.00 | |||||||||||||
Weighted average fair value of options | $ | 3.19 | $ | 2.33 | |||||||||||||
Expected life in years (1) | 5.75 | 5.07 | |||||||||||||||
Expected volatility (2) | 51.40 | % | 43.61 | % | |||||||||||||
Risk-free interest rate (3) | 1.24 | % | 0.77 | % | |||||||||||||
Dividend yield (4) | 0.17 | % | - | % | |||||||||||||
-1 | The expected life of the options was estimated based on historical employee behavior and represents the period of time that options granted are expected to be outstanding. | ||||||||||||||||
-2 | The expected volatility of the Company’s stock price was based on the historical volatility over the period commensurate with the expected life of the options. | ||||||||||||||||
-3 | The risk-free interest rate is the U.S Treasury rate commensurate with the expected life of the options on the date of grant. | ||||||||||||||||
-4 | The expected dividend yield is the projected annual yield based on the grant date stock price. | ||||||||||||||||
Schedule of Information About Options Exercised | ' | ||||||||||||||||
For the years ended December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Number of options exercised | 11,667 | 117,240 | |||||||||||||||
Total intrinsic value of options exercised | $ | 15,367 | $ | 121,973 | |||||||||||||
Cash received from options exercised | - | 173,325 | |||||||||||||||
Tax deduction realized from options exercised | 6,138 | 43,319 | |||||||||||||||
Schedule of Stock Options, by Exercise Price Range | ' | ||||||||||||||||
Options outstanding | Options exercisable | ||||||||||||||||
Range of exercise prices | Options outstanding | Weighted average remaining contractual life (in years) | Weighted average exercise price | Options exercisable | Weighted average exercise price | ||||||||||||
$ | 0.00 - 4.00 | 119,750 | 5.4 | $ | 3.87 | 119,750 | $ | 3.87 | |||||||||
4.01 - 8.00 | 249,175 | 6.8 | 6.52 | 164,343 | 6.55 | ||||||||||||
8.01 - 12.00 | 35,399 | 0.9 | 10.13 | 35,399 | 10.13 | ||||||||||||
12.01 - 16.00 | 44,651 | 3.1 | 12.62 | 44,651 | 12.62 | ||||||||||||
Total | 448,975 | 5.6 | $ | 6.70 | 364,143 | $ | 6.76 | ||||||||||
Schedule of Nonvested Share Activity | ' | ||||||||||||||||
Shares | Average grant date fair value | ||||||||||||||||
Nonvested restricted stock at December 31, 2012 | 90,975 | $ | 6.10 | ||||||||||||||
Granted | 42,500 | 7.12 | |||||||||||||||
Vested | -31,200 | 5.88 | |||||||||||||||
Forfeited | -6,650 | 6.16 | |||||||||||||||
Nonvested restricted stock at December 31, 2013 | 95,625 | $ | 6.64 | ||||||||||||||
Restricted Stock Awards Activity | ' | ||||||||||||||||
For the years ended December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Number of shares granted | 42,500 | 29,500 | |||||||||||||||
Average grant date fair value | $ | 7.12 | $ | 6.07 | |||||||||||||
Employee Stock Option [Member] | ' | ||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ||||||||||||||||
Allocation of Share-based Compensation Costs | ' | ||||||||||||||||
For the years ended December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Compensation expense | $ | 140,873 | $ | 148,996 | |||||||||||||
Income tax benefit | 56,265 | 54,458 | |||||||||||||||
Restricted Stock [Member] | ' | ||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ||||||||||||||||
Allocation of Share-based Compensation Costs | ' | ||||||||||||||||
For the years ended December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Compensation expense | $ | 198,682 | $ | 160,509 | |||||||||||||
Income tax benefit | 79,354 | 64,107 | |||||||||||||||
Fair_Value_Tables
Fair Value (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Fair Value [Abstract] | ' | |||||||||||||||
Quantitative Information About Level 3 Inputs [Table Text Block] | ' | |||||||||||||||
31-Dec-13 | ||||||||||||||||
Valuation Technique | Unobservable Input | Range | Weighted Average | |||||||||||||
Discounted Cash Flow | Prepayment rate | 8 through 15 | % | 10.0 | % | |||||||||||
Default rate | 10 through 15 | % | 12.5 | % | ||||||||||||
Loss severity | 10 through 25 | % | 18.0 | % | ||||||||||||
Balances Of Assets And Liabilities Measured At Fair Value On A Recurring Basis [TableTextBlock] | ' | |||||||||||||||
31-Dec-13 | ||||||||||||||||
(In thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Securities available for sale: | ||||||||||||||||
U.S. Government sponsored entities | $ | - | $ | 6,418 | $ | - | $ | 6,418 | ||||||||
State and political subdivisions | - | 16,598 | - | 16,598 | ||||||||||||
Residential mortgage-backed securities | - | 44,389 | - | 44,389 | ||||||||||||
Commercial mortgage-backed securities | - | - | 888 | 888 | ||||||||||||
Corporate and other securities | - | 12,840 | - | 12,840 | ||||||||||||
Total securities available for sale | $ | - | $ | 80,245 | $ | 888 | $ | 81,133 | ||||||||
31-Dec-12 | ||||||||||||||||
(In thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Securities available for sale: | ||||||||||||||||
U.S. Government sponsored entities | $ | - | $ | 2,568 | $ | - | $ | 2,568 | ||||||||
State and political subdivisions | - | 15,303 | - | 15,303 | ||||||||||||
Residential mortgage-backed securities | - | 45,545 | - | 45,545 | ||||||||||||
Commercial mortgage-backed securities | - | - | 4,463 | 4,463 | ||||||||||||
Corporate and other securities | - | 21,659 | - | 21,659 | ||||||||||||
Total securities available for sale | $ | - | $ | 85,075 | $ | 4,463 | $ | 89,538 | ||||||||
Schedule Of Fair Value Changes In Level 3 [Table Text Block] | ' | |||||||||||||||
For the years ended December 31, | ||||||||||||||||
(In thousands) | 2013 | 2012 | ||||||||||||||
Commercial mortgage-backed securities: | ||||||||||||||||
Balance, beginning of period | $ | 4,463 | $ | - | ||||||||||||
Purchases | - | 4,423 | ||||||||||||||
Payoffs | -815 | - | ||||||||||||||
Principal paydowns | -2,722 | - | ||||||||||||||
Total net losses included in: | ||||||||||||||||
Other comprehensive income | -38 | 40 | ||||||||||||||
Balance, end of period | $ | 888 | $ | 4,463 | ||||||||||||
Assets And Liabilities Carried On The Balance Sheet By Caption And By Level Within The Hierarchy (As Described Above) [TableTextBlock] | ' | |||||||||||||||
Fair value at December 31, 2013 | Gains (losses) from fair value changes for the year ended | |||||||||||||||
(In thousands) | Level 1 | Level 2 | Level 3 | Total | 31-Dec-13 | |||||||||||
Financial assets: | ||||||||||||||||
OREO | $ | - | $ | - | $ | 633 | $ | 633 | $ | -769 | ||||||
Impaired collateral-dependent loans | - | - | 4,540 | 4,540 | 863 | |||||||||||
Fair value at December 31, 2012 | Gains (losses) from fair value changes for the year ended | |||||||||||||||
(In thousands) | Level 1 | Level 2 | Level 3 | Total | 31-Dec-12 | |||||||||||
Financial assets: | ||||||||||||||||
OREO | $ | - | $ | - | $ | 864 | $ | 864 | $ | -1,671 | ||||||
Impaired collateral-dependent loans | - | - | 8,159 | 8,159 | 2,448 | |||||||||||
Carrying Amount And Estimated Fair Values Of The Company's Financial Instruments Not Previously Presented [TableTextBlock] | ' | |||||||||||||||
31-Dec-13 | 31-Dec-12 | |||||||||||||||
(In thousands) | Fair value level | Carrying amount | Estimated fair value | Carrying amount | Estimated fair value | |||||||||||
Financial assets: | ||||||||||||||||
Cash and cash equivalents | Level 1 | $ | 99,404 | $ | 99,404 | $ | 94,192 | $ | 94,192 | |||||||
Securities held to maturity (1) | Level 2 | 26,381 | 25,549 | 21,515 | 22,741 | |||||||||||
SBA loans held for sale | Level 2 | 6,673 | 7,267 | 6,937 | 7,582 | |||||||||||
Loans, net of allowance for loan losses (2) | Level 2 | 658,887 | 645,582 | 565,341 | 564,528 | |||||||||||
Federal Home Loan Bank stock | Level 2 | 5,392 | 5,392 | 3,989 | 3,989 | |||||||||||
Servicing assets | Level 3 | 437 | 437 | 396 | 396 | |||||||||||
Accrued interest receivable | Level 2 | 3,272 | 3,272 | 3,298 | 3,298 | |||||||||||
Financial liabilities: | ||||||||||||||||
Deposits | Level 2 | 738,698 | 738,337 | 648,760 | 650,668 | |||||||||||
Borrowed funds and subordinated debentures | Level 2 | 122,465 | 129,732 | 90,465 | 100,257 | |||||||||||
Accrued interest payable | Level 2 | 454 | 454 | 434 | 434 | |||||||||||
Condensed_Financial_Statements1
Condensed Financial Statements of Unity Bancorp, Inc. (Parent Company Only) (Tables) | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Condensed Financial Statements of Unity Bancorp, Inc. (Parent Company Only) [Abstract] | ' | ||||||
Condensed Balance Sheets | ' | ||||||
Balance Sheets | |||||||
(In thousands) | 31-Dec-13 | 31-Dec-12 | |||||
ASSETS | |||||||
Cash and cash equivalents | $ | 724 | $ | 11,869 | |||
Securities available for sale | 166 | 105 | |||||
Capital note due from Bank | 8,500 | 8,500 | |||||
Investment in subsidiaries | 62,814 | 72,213 | |||||
Other assets | 493 | 476 | |||||
Total assets | $ | 72,697 | $ | 93,163 | |||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||
Other liabilities | $ | 59 | $ | 188 | |||
Subordinated debentures | 15,465 | 15,465 | |||||
Shareholders' equity | 57,173 | 77,510 | |||||
Total liabilities and shareholders' equity | $ | 72,697 | $ | 93,163 | |||
Condensed Statements of Income | ' | ||||||
Statements of Income | For the years ended December 31, | ||||||
(In thousands) | 2013 | 2012 | |||||
Total interest income | $ | 761 | $ | 761 | |||
Total interest expense | 287 | 345 | |||||
Net interest income | 474 | 416 | |||||
Gains on sales of securities | 3 | - | |||||
Other expenses | 22 | 19 | |||||
Income before provision for income taxes and equity in undistributed net income of subsidiary | 455 | 397 | |||||
Provision for income taxes | 116 | 136 | |||||
Income before equity in undistributed net income of subsidiary | 339 | 261 | |||||
Equity in undistributed net income of subsidiary | 4,776 | 3,983 | |||||
Net income | 5,115 | 4,244 | |||||
Preferred stock dividends and discount accretion | 988 | 1,602 | |||||
Income available to common shareholders | $ | 4,127 | $ | 2,642 | |||
Condensed Statements of Cash Flows | ' | ||||||
Statements of Cash Flows | For the years ended December 31, | ||||||
(In thousands) | 2013 | 2012 | |||||
OPERATING ACTIVITIES | |||||||
Net income | $ | 5,115 | $ | 4,244 | |||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
Equity in undistributed net income of subsidiary | -4,776 | -3,983 | |||||
Gains on sales of securities | -3 | - | |||||
Net change in other assets and other liabilities | -22 | -8 | |||||
Net cash provided by operating activities | 314 | 253 | |||||
INVESTING ACTIVITIES | |||||||
Purchases of securities | -100 | - | |||||
Proceeds from sales of securities | 63 | - | |||||
Net cash used in investing activities | -37 | - | |||||
FINANCING ACTIVITIES | |||||||
Redemption of perpetual preferred stock from U.S. Treasury | -20,649 | - | |||||
Repurchase of warrant from U.S. Treasury | -2,707 | - | |||||
Proceeds from exercise of stock options | - | 173 | |||||
Cash dividends paid on preferred stock | -585 | -1,032 | |||||
Cash dividends paid on common stock | -188 | - | |||||
Dividend from Bank | 12,707 | 9,000 | |||||
Net cash provided by (used in) financing activities | -11,422 | 8,141 | |||||
Increase in cash and cash equivalents | -11,145 | 8,394 | |||||
Cash and cash equivalents, beginning of year | 11,869 | 3,475 | |||||
Cash and cash equivalents, end of year | $ | 724 | $ | 11,869 | |||
SUPPLEMENTAL DISCLOSURES | |||||||
Interest paid | $ | 287 | $ | 362 | |||
Quarterly_Financial_Informatio1
Quarterly Financial Information (Unaudited) (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Quarterly Financial Information (Unaudited) [Abstract] | ' | ||||||||||||
Schedule of Quarterly Financial Information | ' | ||||||||||||
2013 | |||||||||||||
(In thousands, except per share data) | 31-Mar | 30-Jun | 30-Sep | 31-Dec | |||||||||
Total interest income | $ | 8,313 | $ | 8,401 | $ | 8,474 | $ | 8,766 | |||||
Total interest expense | 1,624 | 1,599 | 1,603 | 1,703 | |||||||||
Net interest income | 6,689 | 6,802 | 6,871 | 7,063 | |||||||||
Provision for loan losses | 650 | 300 | 600 | 800 | |||||||||
Net interest income after provision for loan losses | 6,039 | 6,502 | 6,271 | 6,263 | |||||||||
Total noninterest income | 1,825 | 1,658 | 1,650 | 1,471 | |||||||||
Total noninterest expense | 6,126 | 6,074 | 5,935 | 5,862 | |||||||||
Income before provision for income taxes | 1,738 | 2,086 | 1,986 | 1,872 | |||||||||
Provision for income taxes | 538 | 739 | 684 | 606 | |||||||||
Net income | 1,200 | 1,347 | 1,302 | 1,266 | |||||||||
Preferred stock dividends and discount accretion | 404 | 465 | 119 | - | |||||||||
Income available to common shareholders | $ | 796 | $ | 882 | $ | 1,183 | $ | 1,266 | |||||
Net income per common share - Basic | $ | 0.11 | $ | 0.12 | $ | 0.15 | $ | 0.17 | |||||
Net income per common share - Diluted | 0.10 | 0.11 | 0.15 | 0.17 | |||||||||
2012 | |||||||||||||
(In thousands, except per share data) | 31-Mar | 30-Jun | 30-Sep | 31-Dec | |||||||||
Total interest income | $ | 9,058 | $ | 8,772 | $ | 8,871 | $ | 8,502 | |||||
Total interest expense | 2,250 | 1,915 | 1,844 | 1,765 | |||||||||
Net interest income | 6,808 | 6,857 | 7,027 | 6,737 | |||||||||
Provision for loan losses | 1,200 | 1,000 | 1,000 | 800 | |||||||||
Net interest income after provision for loan losses | 5,608 | 5,857 | 6,027 | 5,937 | |||||||||
Total noninterest income | 1,715 | 1,841 | 1,774 | 2,008 | |||||||||
Total noninterest expense | 5,959 | 6,204 | 5,999 | 6,135 | |||||||||
Income before provision for income taxes | 1,364 | 1,494 | 1,802 | 1,810 | |||||||||
Provision for income taxes | 459 | 518 | 606 | 643 | |||||||||
Net income | 905 | 976 | 1,196 | 1,167 | |||||||||
Preferred stock dividends and discount accretion | 396 | 401 | 397 | 408 | |||||||||
Income available to common shareholders | $ | 509 | $ | 575 | $ | 799 | $ | 759 | |||||
Net income per common share - Basic | $ | 0.07 | $ | 0.08 | $ | 0.10 | $ | 0.10 | |||||
Net income per common share - Diluted | 0.07 | 0.07 | 0.10 | 0.10 | |||||||||
Summary_of_Significant_Account
Summary of Significant Accounting Policies (Narrative) (Details) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
store | |
Significant Accounting Policies [Abstract] | ' |
Number of Branches | 15 |
Number of wholly-owned subsidiaries | 9 |
Number of wholly-owned statutory trust subsidiaries | 2 |
Payments to Acquire Life Insurance Policies | $3,000 |
Treasury Stock, Shares, Retired | 131 |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Useful Lives of Premises and Equipment) (Details) | 12 Months Ended |
Dec. 31, 2013 | |
Building [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Useful Life | '30 years |
Furniture and Fixtures [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Useful Life | '10 years |
Maximum [Member] | Equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Useful Life | '5 years |
Minimum [Member] | Equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Useful Life | '3 years |
Significant_Accounting_Policie2
Significant Accounting Policies (Commitments Narrative) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Significant Accounting Policies [Abstract] | ' | ' |
Purchases of premises and equipment | $4,789 | $1,817 |
Goodwill_Narrative_Details
Goodwill (Narrative) (Details) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Goodwill [Abstract] | ' |
Goodwill | $1.50 |
Restrictions_on_Cash_Narrative
Restrictions on Cash (Narrative) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Deposit Liabilities, Collateral Issued, Financial Instruments | $18,000,000 | ' |
Electronic Funds Transfer [Member] | ' | ' |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Restricted Cash and Cash Equivalents | $179,000 | $179,000 |
Securities_Unrealized_Gain_Los
Securities (Unrealized Gain (Loss) on Investments) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale securities, Amortized Cost | $81,911 | $87,320 |
Available-for-sale Securities, Gross Unrealized Gains | 984 | 2,915 |
Available-for-sale Securities, Gross Unrealized Losses | -1,762 | -697 |
Available-for-sale securities, Estimated Fair Value | 81,133 | 89,538 |
Securities held to maturity, Amortized cost | 26,381 | 21,515 |
Securities held-to-maturity, Unrecognized Holding Gain | 353 | 1,239 |
Securities held-to-maturity, Unrecognized Holding Loss | -1,185 | -13 |
Securities held-to-maturity, Estimated Fair Value | 25,549 | 22,741 |
US Government Agencies Debt Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale securities, Amortized Cost | 6,723 | 2,482 |
Available-for-sale Securities, Gross Unrealized Gains | 27 | 86 |
Available-for-sale Securities, Gross Unrealized Losses | -332 | ' |
Available-for-sale securities, Estimated Fair Value | 6,418 | 2,568 |
Securities held to maturity, Amortized cost | 5,814 | 5,050 |
Securities held-to-maturity, Unrecognized Holding Gain | ' | 38 |
Securities held-to-maturity, Unrecognized Holding Loss | -460 | ' |
Securities held-to-maturity, Estimated Fair Value | 5,354 | 5,088 |
US States and Political Subdivisions Debt Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale securities, Amortized Cost | 16,960 | 14,690 |
Available-for-sale Securities, Gross Unrealized Gains | 192 | 613 |
Available-for-sale Securities, Gross Unrealized Losses | -554 | ' |
Available-for-sale securities, Estimated Fair Value | 16,598 | 15,303 |
Securities held to maturity, Amortized cost | 2,441 | 2,746 |
Securities held-to-maturity, Unrecognized Holding Gain | 121 | 288 |
Securities held-to-maturity, Unrecognized Holding Loss | -17 | ' |
Securities held-to-maturity, Estimated Fair Value | 2,545 | 3,034 |
Residential Mortgage Backed Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale securities, Amortized Cost | 44,168 | 43,984 |
Available-for-sale Securities, Gross Unrealized Gains | 696 | 1,684 |
Available-for-sale Securities, Gross Unrealized Losses | -475 | -123 |
Available-for-sale securities, Estimated Fair Value | 44,389 | 45,545 |
Securities held to maturity, Amortized cost | 10,395 | 11,048 |
Securities held-to-maturity, Unrecognized Holding Gain | 145 | 374 |
Securities held-to-maturity, Unrecognized Holding Loss | -198 | -13 |
Securities held-to-maturity, Estimated Fair Value | 10,342 | 11,409 |
Commercial Mortgage Backed Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale securities, Amortized Cost | 887 | 4,423 |
Available-for-sale Securities, Gross Unrealized Gains | 2 | 42 |
Available-for-sale Securities, Gross Unrealized Losses | -1 | -2 |
Available-for-sale securities, Estimated Fair Value | 888 | 4,463 |
Securities held to maturity, Amortized cost | 6,750 | 2,671 |
Securities held-to-maturity, Unrecognized Holding Gain | 87 | 539 |
Securities held-to-maturity, Unrecognized Holding Loss | -437 | ' |
Securities held-to-maturity, Estimated Fair Value | 6,400 | 3,210 |
Corporate Debt Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale securities, Amortized Cost | 13,173 | 21,741 |
Available-for-sale Securities, Gross Unrealized Gains | 67 | 490 |
Available-for-sale Securities, Gross Unrealized Losses | -400 | -572 |
Available-for-sale securities, Estimated Fair Value | 12,840 | 21,659 |
Securities held to maturity, Amortized cost | 981 | ' |
Securities held-to-maturity, Unrecognized Holding Loss | -73 | ' |
Securities held-to-maturity, Estimated Fair Value | $908 | ' |
Securities_Investments_Classif
Securities (Investments Classified by Contractual Maturity Date) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Debt Maturities, Next Twelve Months, Fair Value | $35 | ' |
Available For Sale Securities Debt Maturities Next Twelve Months Fair Value Yield | 3.77% | ' |
Available-for-sale Securities, Debt Maturities, Year Two Through Five, Fair Value | 2,712 | ' |
Available For Sale Securities Debt Maturities Year Two Through Five Years Fair Value Yield | 2.10% | ' |
Available-for-sale Securities, Debt Maturities, Year Six Through Ten, Fair Value | 18,652 | ' |
Available For Sale Securities Debt Maturities Year Six Through Ten Years Fair Value Yield | 2.42% | ' |
Available-for-sale Securities, Debt Maturities, after Ten Years, Fair Value | 59,734 | ' |
Available For Sale Securities Debt Maturities After Ten Years Fair Value Yield | 2.57% | ' |
Available-for-sale Securities | 81,133 | 89,538 |
Available For Sale Securities Total Fair Value Yield | 2.52% | ' |
Held-to-maturity Securities, Debt Maturities, within One Year, Net Carrying Amount | 326 | ' |
Held-to-maturity Securities, Debt Maturities, within One Year, Yield | 0.75% | ' |
Held-to-maturity Securities, Debt Maturities, after One Through Five Years, Net Carrying Amount | 800 | ' |
Held To Maturity Securities, Debt Maturities, After One Through Five Years, Yield | 4.86% | ' |
Held-to-maturity Securities, Debt Maturities, after Five Through Ten Years, Net Carrying Amount | 1,218 | ' |
Held To Maturity Securities, Debt Maturities, After Five Through Ten Years, Yield | 3.37% | ' |
Held-to-maturity Securities, Debt Maturities, after Ten Years, Net Carrying Amount | 24,037 | ' |
Held To Maturity Securities, Debt Maturities, After Ten Years, Yield | 3.03% | ' |
Securities held to maturity, Carrying amount | 26,381 | 21,515 |
Held To Maturity Securities, Yield | 3.07% | ' |
US Government Agencies Debt Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Debt Maturities, Next Twelve Months, Fair Value | 35 | ' |
Available For Sale Securities Debt Maturities Next Twelve Months Fair Value Yield | 3.77% | ' |
Available-for-sale Securities, Debt Maturities, Year Two Through Five, Fair Value | 1,012 | ' |
Available For Sale Securities Debt Maturities Year Two Through Five Years Fair Value Yield | 1.00% | ' |
Available-for-sale Securities, Debt Maturities, Year Six Through Ten, Fair Value | 960 | ' |
Available For Sale Securities Debt Maturities Year Six Through Ten Years Fair Value Yield | 2.06% | ' |
Available-for-sale Securities, Debt Maturities, after Ten Years, Fair Value | 4,411 | ' |
Available For Sale Securities Debt Maturities After Ten Years Fair Value Yield | 2.18% | ' |
Available-for-sale Securities | 6,418 | 2,568 |
Available For Sale Securities Total Fair Value Yield | 1.99% | ' |
Held-to-maturity Securities, Debt Maturities, after Ten Years, Net Carrying Amount | 5,814 | ' |
Held To Maturity Securities, Debt Maturities, After Ten Years, Yield | 1.97% | ' |
Securities held to maturity, Carrying amount | 5,814 | 5,050 |
Held To Maturity Securities, Yield | 1.97% | ' |
US States and Political Subdivisions Debt Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Debt Maturities, Year Two Through Five, Fair Value | 794 | ' |
Available For Sale Securities Debt Maturities Year Two Through Five Years Fair Value Yield | 2.38% | ' |
Available-for-sale Securities, Debt Maturities, Year Six Through Ten, Fair Value | 11,406 | ' |
Available For Sale Securities Debt Maturities Year Six Through Ten Years Fair Value Yield | 2.69% | ' |
Available-for-sale Securities, Debt Maturities, after Ten Years, Fair Value | 4,398 | ' |
Available For Sale Securities Debt Maturities After Ten Years Fair Value Yield | 2.80% | ' |
Available-for-sale Securities | 16,598 | 15,303 |
Available For Sale Securities Total Fair Value Yield | 2.70% | ' |
Held-to-maturity Securities, Debt Maturities, within One Year, Net Carrying Amount | 326 | ' |
Held-to-maturity Securities, Debt Maturities, within One Year, Yield | 0.75% | ' |
Held-to-maturity Securities, Debt Maturities, after Ten Years, Net Carrying Amount | 2,115 | ' |
Held To Maturity Securities, Debt Maturities, After Ten Years, Yield | 4.70% | ' |
Securities held to maturity, Carrying amount | 2,441 | 2,746 |
Held To Maturity Securities, Yield | 4.18% | ' |
Residential Mortgage Backed Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Debt Maturities, Year Two Through Five, Fair Value | 505 | ' |
Available For Sale Securities Debt Maturities Year Two Through Five Years Fair Value Yield | 4.49% | ' |
Available-for-sale Securities, Debt Maturities, Year Six Through Ten, Fair Value | 650 | ' |
Available For Sale Securities Debt Maturities Year Six Through Ten Years Fair Value Yield | 3.51% | ' |
Available-for-sale Securities, Debt Maturities, after Ten Years, Fair Value | 43,234 | ' |
Available For Sale Securities Debt Maturities After Ten Years Fair Value Yield | 2.76% | ' |
Available-for-sale Securities | 44,389 | 45,545 |
Available For Sale Securities Total Fair Value Yield | 2.79% | ' |
Held-to-maturity Securities, Debt Maturities, after One Through Five Years, Net Carrying Amount | 800 | ' |
Held To Maturity Securities, Debt Maturities, After One Through Five Years, Yield | 4.86% | ' |
Held-to-maturity Securities, Debt Maturities, after Five Through Ten Years, Net Carrying Amount | 237 | ' |
Held To Maturity Securities, Debt Maturities, After Five Through Ten Years, Yield | 5.11% | ' |
Held-to-maturity Securities, Debt Maturities, after Ten Years, Net Carrying Amount | 9,358 | ' |
Held To Maturity Securities, Debt Maturities, After Ten Years, Yield | 2.75% | ' |
Securities held to maturity, Carrying amount | 10,395 | 11,048 |
Held To Maturity Securities, Yield | 2.97% | ' |
Commercial Mortgage Backed Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Debt Maturities, after Ten Years, Fair Value | 888 | ' |
Available For Sale Securities Debt Maturities After Ten Years Fair Value Yield | 2.15% | ' |
Available-for-sale Securities | 888 | 4,463 |
Available For Sale Securities Total Fair Value Yield | 2.15% | ' |
Held-to-maturity Securities, Debt Maturities, after Ten Years, Net Carrying Amount | 6,750 | ' |
Held To Maturity Securities, Debt Maturities, After Ten Years, Yield | 3.79% | ' |
Securities held to maturity, Carrying amount | 6,750 | 2,671 |
Held To Maturity Securities, Yield | 3.79% | ' |
Corporate Debt Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Debt Maturities, Year Two Through Five, Fair Value | 401 | ' |
Available For Sale Securities Debt Maturities Year Two Through Five Years Fair Value Yield | 1.28% | ' |
Available-for-sale Securities, Debt Maturities, Year Six Through Ten, Fair Value | 5,636 | ' |
Available For Sale Securities Debt Maturities Year Six Through Ten Years Fair Value Yield | 1.82% | ' |
Available-for-sale Securities, Debt Maturities, after Ten Years, Fair Value | 6,803 | ' |
Available For Sale Securities Debt Maturities After Ten Years Fair Value Yield | 1.52% | ' |
Available-for-sale Securities | 12,840 | 21,659 |
Available For Sale Securities Total Fair Value Yield | 1.65% | ' |
Held-to-maturity Securities, Debt Maturities, after Five Through Ten Years, Net Carrying Amount | 981 | ' |
Held To Maturity Securities, Debt Maturities, After Five Through Ten Years, Yield | 2.95% | ' |
Securities held to maturity, Carrying amount | $981 | ' |
Held To Maturity Securities, Yield | 2.95% | ' |
Securities_Schedule_of_Unreali
Securities (Schedule of Unrealized Loss on Investments) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | security | security |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 49 | 15 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | $31,754 | $8,109 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | -1,289 | -71 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 5,496 | 4,945 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | -473 | -626 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value, Total | 37,250 | 13,054 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Losses, Total | -1,762 | -697 |
Held-to-maturity, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 15 | 3 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 17,249 | 838 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | -1,180 | -2 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 114 | 279 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | -5 | -11 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value, Total | 17,363 | 1,117 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Aggregate Losses, Total | -1,185 | -13 |
US Government Agencies Debt Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 5 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 5,591 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | -332 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value, Total | 5,591 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Losses, Total | -332 | ' |
Held-to-maturity, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 3 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 5,355 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | -460 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value, Total | 5,355 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Aggregate Losses, Total | -460 | ' |
US States and Political Subdivisions Debt Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 19 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 8,575 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | -453 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 934 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | -101 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value, Total | 9,509 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Losses, Total | -554 | ' |
Held-to-maturity, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 2 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 986 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | -17 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value, Total | 986 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Aggregate Losses, Total | -17 | ' |
Residential Mortgage Backed Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 13 | 5 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 13,226 | 3,272 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | -398 | -43 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 1,474 | 1,951 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | -77 | -80 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value, Total | 14,700 | 5,223 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Losses, Total | -475 | -123 |
Held-to-maturity, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 7 | 3 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 6,333 | 838 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | -193 | -2 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 114 | 279 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | -5 | -11 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value, Total | 6,447 | 1,117 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Aggregate Losses, Total | -198 | -13 |
Commercial Mortgage Backed Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 3 | 4 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 368 | 2,351 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | -1 | -2 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value, Total | 368 | 2,351 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Losses, Total | -1 | -2 |
Held-to-maturity, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 2 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 3,668 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | -437 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value, Total | 3,668 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Aggregate Losses, Total | -437 | ' |
Corporate Debt Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 9 | 6 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 3,994 | 2,486 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | -105 | -26 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 3,088 | 2,994 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | -295 | -546 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value, Total | 7,082 | 5,480 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Losses, Total | -400 | -572 |
Held-to-maturity, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 1 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 907 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | -73 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value, Total | 907 | ' |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Aggregate Losses, Total | ($73) | ' |
Securities_Gross_Realized_Gain
Securities (Gross Realized Gains (Losses) on Investments) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Securities [Abstract] | ' | ' |
Available-for-sale Securities, Gross Realized Gains | $394 | $570 |
Available-for-sale Securities, Gross Realized Losses | -4 | -4 |
Available-for-sale Securities, Gross Realized Gain (Loss), Total | 390 | 566 |
Held-to-maturity Securities, Sold Security, Realized Gain | ' | 7 |
Held-to-maturity Securities, Sold Security, Realized Gain (Loss), Total | ' | 7 |
Gain (Loss) on Sale of Securities, Net, Total | $390 | $573 |
Securities_Unrealized_Losses_N
Securities (Unrealized Losses Narrative) (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale securities, Amortized Cost | $81,911,000 | $87,320,000 |
Available-for-sale Securities, Gross Realized Gains | 394,000 | 570,000 |
Available-for-sale Securities, Gross Realized Losses | 4,000 | 4,000 |
Gross Realized Gains on Marketable Securities | 394,000 | 577,000 |
Gross Realized Losses on Marketable Securities | 4,000 | 4,000 |
Available-for-sale Securities, Gross Realized Gains (Losses), Sale Proceeds | 6,400,000 | ' |
Available-for-sale Securities, Gross Realized Gain (Loss) | 390,000 | 566,000 |
Available-for-sale Securities Pledged as Collateral | 74,500,000 | 78,400,000 |
Available For Sale Securities Pledged As Collateral Against Government Deposits | 19,900,000 | 25,100,000 |
US States and Political Subdivisions Debt Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale securities, Amortized Cost | 16,960,000 | 14,690,000 |
Gross Realized Gains on Marketable Securities | 195,000 | 7,000 |
Available-for-sale Securities, Gross Realized Gains (Losses), Sale Proceeds | ' | 4,200,000 |
Available-for-sale Securities, Gross Realized Gain (Loss) | ' | 419,000 |
Residential Mortgage Backed Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale securities, Amortized Cost | 44,168,000 | 43,984,000 |
Gross Realized Gains on Marketable Securities | 186,000 | ' |
Available-for-sale Securities, Gross Realized Gains (Losses), Sale Proceeds | 4,800,000 | 2,000,000 |
Available-for-sale Securities, Gross Realized Gain (Loss) | ' | 88,000 |
Corporate Debt Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale securities, Amortized Cost | 13,173,000 | 21,741,000 |
Gross Realized Gains on Marketable Securities | 9,000 | ' |
Available-for-sale Securities, Gross Realized Gains (Losses), Sale Proceeds | ' | 1,500,000 |
Available-for-sale Securities, Gross Realized Gain (Loss) | ' | 56,000 |
Available-for-sale Securities Pledged as Collateral | 517,000,000 | ' |
Held-to-maturity Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Gross Realized Gains on Marketable Securities | 4,000 | ' |
Equity Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Gross Realized Gains (Losses), Sale Proceeds | 60,000 | ' |
Available-for-sale Securities, Gross Realized Gain (Loss) | $4,000 | ' |
Loans_Classification_Of_Loans_
Loans (Classification Of Loans By Class) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
SBA loans held to maturity | $48,918 | $58,593 |
SBA 504 loans | 31,564 | 41,438 |
Commercial loans | 363,340 | 301,564 |
Residential mortgage loans | 182,067 | 132,094 |
Consumer loans | 46,139 | 46,410 |
Total loans held for investment | 672,028 | 580,099 |
SBA loans held for sale | 6,673 | 6,937 |
Total Loans | 678,701 | 587,036 |
Commercial other [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Commercial loans | 37,611 | 24,043 |
Total Loans | 37,611 | 24,043 |
Commercial real estate [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Commercial loans | 317,471 | 264,439 |
Total Loans | 317,471 | 264,439 |
Commercial real estate construction [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Commercial loans | 8,258 | 13,082 |
Total Loans | 8,258 | 13,082 |
Residential mortgages [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Residential mortgage loans | 175,984 | 125,232 |
Total Loans | ' | 125,232 |
Residential Construction Segment [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Total Loans | 175,984 | ' |
Residential Purchased Mortgages Segment [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Residential mortgage loans | 6,083 | 6,862 |
Total Loans | 6,083 | 6,862 |
Home equity [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Consumer loans | 43,704 | 45,152 |
Total Loans | 43,704 | 45,152 |
Consumer other [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Consumer loans | 2,435 | 1,258 |
Total Loans | $2,435 | $1,258 |
Loans_Loan_Portfolio_By_Class_
Loans (Loan Portfolio By Class According To Credit Quality Indicatiors) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
SBA loans held to maturity | $48,918 | $58,593 |
SBA 504 loans | 31,564 | 41,438 |
Commercial loans | 363,340 | 301,564 |
SBA, SBA 504, and commercial loans | 443,822 | 401,595 |
Residential mortgage loans | 182,067 | 132,094 |
Consumer loans | 46,139 | 46,410 |
Total Loans | 678,701 | 587,036 |
Commercial other [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 37,611 | 24,043 |
Total Loans | 37,611 | 24,043 |
Commercial real estate [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 317,471 | 264,439 |
Total Loans | 317,471 | 264,439 |
Commercial real estate construction [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 8,258 | 13,082 |
Total Loans | 8,258 | 13,082 |
Residential mortgages [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Residential mortgage loans | 175,984 | 125,232 |
Total Loans | ' | 125,232 |
Residential Construction Segment [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Total Loans | 175,984 | ' |
Residential Purchased Mortgages Segment [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Residential mortgage loans | 6,083 | 6,862 |
Total Loans | 6,083 | 6,862 |
Home equity [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Consumer loans | 43,704 | 45,152 |
Total Loans | 43,704 | 45,152 |
Consumer other [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Consumer loans | 2,435 | 1,258 |
Total Loans | 2,435 | 1,258 |
Residential Mortgage And Consumer Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Total Loans | 228,206 | 178,504 |
Pass [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
SBA loans held to maturity | 43,778 | 51,754 |
SBA 504 loans | 20,641 | 28,726 |
Commercial loans | 332,247 | 262,733 |
SBA, SBA 504, and commercial loans | 396,666 | 343,213 |
Pass [Member] | Commercial other [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 34,946 | 20,337 |
Pass [Member] | Commercial real estate [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 289,220 | 229,516 |
Pass [Member] | Commercial real estate construction [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 8,081 | 12,880 |
Special Mention [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
SBA loans held to maturity | 2,035 | 2,328 |
SBA 504 loans | 9,595 | 5,860 |
Commercial loans | 22,636 | 32,055 |
SBA, SBA 504, and commercial loans | 34,266 | 40,243 |
Special Mention [Member] | Commercial other [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 1,499 | 1,519 |
Special Mention [Member] | Commercial real estate [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 21,137 | 30,334 |
Special Mention [Member] | Commercial real estate construction [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | ' | 202 |
Substandard [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
SBA loans held to maturity | 3,105 | 4,511 |
SBA 504 loans | 1,328 | 6,852 |
Commercial loans | 8,457 | 6,776 |
SBA, SBA 504, and commercial loans | 12,890 | 18,139 |
Substandard [Member] | Commercial other [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 1,166 | 2,187 |
Substandard [Member] | Commercial real estate [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 7,114 | 4,589 |
Substandard [Member] | Commercial real estate construction [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 177 | ' |
Performing Financing Receivable [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Residential mortgage loans | 176,340 | 126,583 |
Consumer loans | 44,459 | 46,093 |
Performing Financing Receivable [Member] | Residential mortgages [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Residential mortgage loans | 173,085 | 122,711 |
Performing Financing Receivable [Member] | Residential Purchased Mortgages Segment [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Residential mortgage loans | 3,255 | 3,872 |
Performing Financing Receivable [Member] | Home equity [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Consumer loans | 42,029 | 44,844 |
Performing Financing Receivable [Member] | Consumer other [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Consumer loans | 2,430 | 1,249 |
Performing Financing Receivable [Member] | Residential Mortgage And Consumer Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Total Loans | 220,799 | 172,676 |
Nonperforming Financing Receivable [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Residential mortgage loans | 5,727 | 5,511 |
Consumer loans | 1,680 | 317 |
Nonperforming Financing Receivable [Member] | Residential mortgages [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Residential mortgage loans | 2,899 | 2,521 |
Nonperforming Financing Receivable [Member] | Residential Purchased Mortgages Segment [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Residential mortgage loans | 2,828 | 2,990 |
Nonperforming Financing Receivable [Member] | Home equity [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Consumer loans | 1,675 | 308 |
Nonperforming Financing Receivable [Member] | Consumer other [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Consumer loans | 5 | 9 |
Nonperforming Financing Receivable [Member] | Residential Mortgage And Consumer Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Total Loans | $7,407 | $5,828 |
Loans_Aging_Analysis_Of_Past_D
Loans (Aging Analysis Of Past Due And Nonaccrual Loans By Class) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | ||
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | $8,050 | $14,330 | ||
Financing Receivable, Recorded Investment, 60 to 89 Days Past Due | 524 | 2,454 | ||
Financing Receivable, Recorded Investment, Equal to Greater than 90 Days Past Due | 19 | 109 | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 15,283 | [1] | 17,468 | [2] |
Financing Receivable, Recorded Investment, Past Due | 23,876 | 34,361 | ||
Financing Receivable, Recorded Investment, Current | 654,825 | 552,675 | ||
Total loans | 678,701 | 587,036 | ||
SBA held to maturity [Member] | ' | ' | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | ||
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | 4,314 | 1,912 | ||
Financing Receivable, Recorded Investment, 60 to 89 Days Past Due | 264 | 296 | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 2,746 | [1] | 4,633 | [2] |
Financing Receivable, Recorded Investment, Past Due | 7,324 | 6,841 | ||
Financing Receivable, Recorded Investment, Current | 41,594 | 51,752 | ||
Total loans | 48,918 | 58,593 | ||
SBA 504 loans [Member] | ' | ' | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | ||
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | ' | 5,037 | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 1,101 | [1] | 2,562 | [2] |
Financing Receivable, Recorded Investment, Past Due | 1,101 | 7,599 | ||
Financing Receivable, Recorded Investment, Current | 30,463 | 33,839 | ||
Total loans | 31,564 | 41,438 | ||
Commercial other [Member] | ' | ' | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | ||
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | 123 | ' | ||
Financing Receivable, Recorded Investment, Equal to Greater than 90 Days Past Due | ' | 109 | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 67 | [1] | 1,122 | [2] |
Financing Receivable, Recorded Investment, Past Due | 190 | 1,231 | ||
Financing Receivable, Recorded Investment, Current | 37,421 | 22,812 | ||
Total loans | 37,611 | 24,043 | ||
Commercial real estate [Member] | ' | ' | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | ||
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | 347 | 3,763 | ||
Financing Receivable, Recorded Investment, 60 to 89 Days Past Due | 190 | ' | ||
Financing Receivable, Recorded Investment, Equal to Greater than 90 Days Past Due | 14 | ' | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 3,785 | [1] | 3,323 | [2] |
Financing Receivable, Recorded Investment, Past Due | 4,336 | 7,086 | ||
Financing Receivable, Recorded Investment, Current | 313,135 | 257,353 | ||
Total loans | 317,471 | 264,439 | ||
Commercial real estate construction [Member] | ' | ' | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | ||
Financing Receivable, Recorded Investment, 60 to 89 Days Past Due | ' | 202 | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 177 | [1] | ' | |
Financing Receivable, Recorded Investment, Past Due | 177 | 202 | ||
Financing Receivable, Recorded Investment, Current | 8,081 | 12,880 | ||
Total loans | 8,258 | 13,082 | ||
Residential mortgages [Member] | ' | ' | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | ||
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | ' | 2,651 | ||
Financing Receivable, Recorded Investment, 60 to 89 Days Past Due | ' | 1,878 | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | ' | 2,521 | [2] | |
Financing Receivable, Recorded Investment, Past Due | ' | 7,050 | ||
Financing Receivable, Recorded Investment, Current | ' | 118,182 | ||
Total loans | ' | 125,232 | ||
Residential Construction Segment [Member] | ' | ' | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | ||
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | 2,514 | ' | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 2,899 | [1] | ' | |
Financing Receivable, Recorded Investment, Past Due | 5,413 | ' | ||
Financing Receivable, Recorded Investment, Current | 170,571 | ' | ||
Total loans | 175,984 | ' | ||
Residential Purchased Mortgages Segment [Member] | ' | ' | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | ||
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | 536 | 134 | ||
Financing Receivable, Recorded Investment, 60 to 89 Days Past Due | ' | 78 | ||
Financing Receivable, Recorded Investment, Equal to Greater than 90 Days Past Due | 5 | ' | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 2,828 | [1] | 2,990 | [2] |
Financing Receivable, Recorded Investment, Past Due | 3,369 | 3,202 | ||
Financing Receivable, Recorded Investment, Current | 2,714 | 3,660 | ||
Total loans | 6,083 | 6,862 | ||
Home equity [Member] | ' | ' | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | ||
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | 142 | 833 | ||
Financing Receivable, Recorded Investment, 60 to 89 Days Past Due | 69 | ' | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 1,675 | [1] | 308 | [2] |
Financing Receivable, Recorded Investment, Past Due | 1,886 | 1,141 | ||
Financing Receivable, Recorded Investment, Current | 41,818 | 44,011 | ||
Total loans | 43,704 | 45,152 | ||
Consumer other [Member] | ' | ' | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | ||
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | 9 | ' | ||
Financing Receivable, Recorded Investment, 60 to 89 Days Past Due | 1 | ' | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 5 | [1] | 9 | [2] |
Financing Receivable, Recorded Investment, Past Due | 15 | 9 | ||
Financing Receivable, Recorded Investment, Current | 2,420 | 1,249 | ||
Total loans | 2,435 | 1,258 | ||
Loans Held for Investment [Member] | ' | ' | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | ||
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | 7,985 | 14,330 | ||
Financing Receivable, Recorded Investment, 60 to 89 Days Past Due | 524 | 2,454 | ||
Financing Receivable, Recorded Investment, Equal to Greater than 90 Days Past Due | 19 | 109 | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 15,283 | [1] | 17,468 | [2] |
Financing Receivable, Recorded Investment, Past Due | 23,811 | 34,361 | ||
Financing Receivable, Recorded Investment, Current | 648,217 | 545,738 | ||
Total loans | 672,028 | 580,099 | ||
SBA Loans Held for Sale [Member] | ' | ' | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | ||
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | 65 | ' | ||
Financing Receivable, Recorded Investment, Past Due | 65 | ' | ||
Financing Receivable, Recorded Investment, Current | 6,608 | 6,937 | ||
Total loans | $6,673 | $6,937 | ||
[1] | December 31, 2013(In thousands)30-59 days past due60-89 days past due90+ days and still accruingNonaccrual (1)Total past dueCurrentTotal loansSBA loans held for investment$4,314$264$ -$2,746$7,324$41,594$48,918SBA 504 loans - - -1,1011,10130,46331,564Commercial loansCommercial other123 - -6719037,42137,611Commercial real estate347190143,7854,336313,135317,471Commercial real estate construction - - -1771778,0818,258Residential mortgage loansResidential mortgages2,514 - -2,8995,413170,571175,984Purchased residential mortgages536 -52,8283,3692,7146,083Consumer loansHome equity14269 -1,6751,88641,81843,704Consumer other91 -5152,4202,435Total loans held for investment$7,985$524$19$15,283$23,811$648,217$672,028SBA loans held for sale65 - - -656,6086,673Total loans$8,050$524$19$15,283$23,876$654,825$678,701At December 31, 2013, nonaccrual loans included $467 thousand of TDRs and $540 thousand of loans guaranteed by the SBA.B The remaining $7.5 million of TDRs are in accrual status because they are performing in accordance with their restructured terms, and have been for at least six months. | |||
[2] | December 31, 2012(In thousands)30-59 days past due60-89 days past due90+ days and still accruingNonaccrual (1)Total past dueCurrentTotal loansSBA loans held for investment$1,912$296$ -$4,633$6,841$51,752$58,593SBA 504 loans5,037 - -2,5627,59933,83941,438Commercial loansCommercial other - -1091,1221,23122,81224,043Commercial real estate3,763 - -3,3237,086257,353264,439Commercial real estate construction -202 - -20212,88013,082Residential mortgage loansResidential mortgages2,6511,878 -2,5217,050118,182125,232Purchased residential mortgages13478 -2,9903,2023,6606,862Consumer loansHome equity833 - -3081,14144,01145,152Consumer other - - -991,2491,258Total loans held for investment$14,330$2,454$109$17,468$34,361$545,738$580,099SBA loans held for sale - - - - -6,9376,937Total loans$14,330$2,454$109$17,468$34,361$552,675$587,036At December 31, 2012, nonaccrual loans included $1.1 millionB of TDRs and $1.8 million of loans guaranteed by the SBA.B The remaining $13.6 million ofB TDRs are in accrual status because they are performing in accordance with their restructured terms, and have been for at least six months. |
Loans_Impaired_Loans_With_Asso
Loans (Impaired Loans With Associated Allowance Amount) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | $9,546 | $14,416 |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 7,342 | 10,792 |
Impaired Financing Receivable, Unpaid Principal Balance, Total | 16,888 | 25,208 |
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 9,110 | 13,206 |
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 5,678 | 10,160 |
Impaired Financing Receivable, Recorded Investment, Total | 14,788 | 23,366 |
Impaired Financing Receivable, Related Allowance | 1,138 | 2,001 |
SBA held to maturity [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | 1,123 | 1,352 |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 2,282 | 3,355 |
Impaired Financing Receivable, Unpaid Principal Balance, Total | 3,405 | 4,707 |
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 835 | 866 |
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 1,905 | 2,846 |
Impaired Financing Receivable, Recorded Investment, Total | 2,740 | 3,712 |
Impaired Financing Receivable, Related Allowance | 831 | 1,159 |
SBA 504 loans [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | 2,251 | 5,812 |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 1,277 | 1,297 |
Impaired Financing Receivable, Unpaid Principal Balance, Total | 3,528 | 7,109 |
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 2,251 | 5,555 |
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 677 | 1,297 |
Impaired Financing Receivable, Recorded Investment, Total | 2,928 | 6,852 |
Impaired Financing Receivable, Related Allowance | 29 | 217 |
Commercial other [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | 56 | 2,032 |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 24 | 126 |
Impaired Financing Receivable, Unpaid Principal Balance, Total | 80 | 2,158 |
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 55 | 2,033 |
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 12 | 38 |
Impaired Financing Receivable, Recorded Investment, Total | 67 | 2,071 |
Impaired Financing Receivable, Related Allowance | 12 | 38 |
Commercial real estate [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | 6,116 | 5,220 |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 3,557 | 6,014 |
Impaired Financing Receivable, Unpaid Principal Balance, Total | 9,673 | 11,234 |
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 5,969 | 4,752 |
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 2,907 | 5,979 |
Impaired Financing Receivable, Recorded Investment, Total | 8,876 | 10,731 |
Impaired Financing Receivable, Related Allowance | 230 | 587 |
Commercial real estate construction [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 202 | ' |
Impaired Financing Receivable, Unpaid Principal Balance, Total | 202 | ' |
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 177 | ' |
Impaired Financing Receivable, Recorded Investment, Total | 177 | ' |
Impaired Financing Receivable, Related Allowance | 36 | ' |
Total Commercial Loans [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | 6,172 | 7,252 |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 3,783 | 6,140 |
Impaired Financing Receivable, Unpaid Principal Balance, Total | 9,955 | 13,392 |
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 6,024 | 6,785 |
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 3,096 | 6,017 |
Impaired Financing Receivable, Recorded Investment, Total | 9,120 | 12,802 |
Impaired Financing Receivable, Related Allowance | $278 | $625 |
Loans_Average_Recorded_Investm
Loans (Average Recorded Investments In Impaired Loans And Related Amount Of Interest Recognized) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, Average Recorded Investment | $25,348 | $37,517 |
Impaired Financing Receivable, Interest Income, Accrual Method | 810 | 1,005 |
SBA held to maturity [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, Average Recorded Investment | 3,244 | 4,161 |
Impaired Financing Receivable, Interest Income, Accrual Method | 197 | 212 |
SBA 504 loans [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, Average Recorded Investment | 5,066 | 6,184 |
Impaired Financing Receivable, Interest Income, Accrual Method | 173 | 278 |
Commercial other [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, Average Recorded Investment | 1,461 | 3,201 |
Impaired Financing Receivable, Interest Income, Accrual Method | 100 | 53 |
Commercial real estate [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, Average Recorded Investment | 9,751 | 17,909 |
Impaired Financing Receivable, Interest Income, Accrual Method | 324 | 462 |
Commercial real estate construction [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, Average Recorded Investment | 171 | 133 |
Residential mortgages [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, Average Recorded Investment | 2,757 | 2,070 |
Residential Construction Segment [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, Average Recorded Investment | ' | 904 |
Residential Purchased Mortgages Segment [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, Average Recorded Investment | 1,927 | 2,655 |
Home equity [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, Average Recorded Investment | 970 | 292 |
Impaired Financing Receivable, Interest Income, Accrual Method | 16 | ' |
Consumer other [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, Average Recorded Investment | $1 | $8 |
Loans_Troubled_Debt_Restructur
Loans (Troubled Debt Restructurings Narrative) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, Average Recorded Investment | $25,348 | $37,517 |
Impaired Financing Receivable, Related Allowance | 1,138 | 2,001 |
Troubled Debt Restructuring (TDR) [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, Average Recorded Investment | 7,900 | 14,700 |
Nonaccrual Status [Member] | Troubled Debt Restructuring (TDR) [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Financing Receivable, Average Recorded Investment | ' | $1,100 |
Loans_Troubled_Debt_Restructur1
Loans (Troubled Debt Restructurings Loans Modified) (Details) (Commercial real estate [Member], USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
loan | loan | |
Commercial real estate [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Financing Receivable, Number of Contracts, Duration | 1 | 3 |
Financing Receivable, Modifications, Pre-Modification Recorded Investment, Duration | $2,684 | $1,856 |
Loans and Leases Receivable, Impaired, Interest Lost on Nonaccrual Loans | $50 | $11 |
Loans_Troubled_Debt_Restructur2
Loans (Troubled Debt Restructurings Types Of Modifications) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Impaired [Line Items] | ' | ' |
Financing Receivable, Modifications, Post-Modficiation Recorded Investment, Duration | $2,749 | $1,890 |
Commercial real estate [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Financing Receivable, Modifications, Post-Modficiation Recorded Investment, Duration | ' | 1,890 |
Interest only [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Financing Receivable, Modifications, Post-Modficiation Recorded Investment, Duration | ' | 1,890 |
Interest only [Member] | Commercial real estate [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Financing Receivable, Modifications, Post-Modficiation Recorded Investment, Duration | ' | $1,890 |
Loans_Servicing_Assets_Details
Loans (Servicing Assets) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Loans [Abstract] | ' | ' |
Balance, beginning of year | $396 | $418 |
SBA servicing assets capitalized | 187 | 155 |
Amortization of expense | -146 | -177 |
Balance, end of year | $437 | $396 |
Loans_Officer_and_Director_Loa
Loans (Officer and Director Loans) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Loans [Abstract] | ' | ' |
Balance, beginning of year | $14,605 | $15,585 |
New loans | 4,521 | 537 |
Loan repayments | -799 | -1,517 |
Balance, end of year | $18,327 | $14,605 |
Allowance_for_Loan_Losses_and_2
Allowance for Loan Losses and Reserve for Unfunded Loan Commitments (Activity In The Allowance For Loan Losses By Portfolio Segment ) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning Balance | ' | ' | ' | $14,758 | ' | ' | ' | $16,348 | $14,758 | $16,348 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -4,624 | -6,524 |
Recoveries | ' | ' | ' | ' | ' | ' | ' | ' | 657 | 934 |
Net charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -3,967 | -5,590 |
Provision for loan losses charged to expense | 800 | 600 | 300 | 650 | 800 | 1,000 | 1,000 | 1,200 | 2,350 | 4,000 |
Ending Balance | 13,141 | ' | ' | ' | 14,758 | ' | ' | ' | 13,141 | 14,758 |
SBA held to maturity [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning Balance | ' | ' | ' | 3,378 | ' | ' | ' | 4,088 | 3,378 | 4,088 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -1,076 | -1,332 |
Recoveries | ' | ' | ' | ' | ' | ' | ' | ' | 250 | 518 |
Net charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -826 | -814 |
Provision for loan losses charged to expense | ' | ' | ' | ' | ' | ' | ' | ' | 35 | 104 |
Ending Balance | 2,587 | ' | ' | ' | 3,378 | ' | ' | ' | 2,587 | 3,378 |
SBA 504 loans [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning Balance | ' | ' | ' | 1,312 | ' | ' | ' | 1,423 | 1,312 | 1,423 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -1,193 | -808 |
Recoveries | ' | ' | ' | ' | ' | ' | ' | ' | 182 | 108 |
Net charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -1,011 | -700 |
Provision for loan losses charged to expense | ' | ' | ' | ' | ' | ' | ' | ' | 656 | 589 |
Ending Balance | 957 | ' | ' | ' | 1,312 | ' | ' | ' | 957 | 1,312 |
Total Commercial Loans [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning Balance | ' | ' | ' | 7,091 | ' | ' | ' | 8,129 | 7,091 | 8,129 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -1,392 | -3,504 |
Recoveries | ' | ' | ' | ' | ' | ' | ' | ' | 204 | 306 |
Net charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -1,188 | -3,198 |
Provision for loan losses charged to expense | ' | ' | ' | ' | ' | ' | ' | ' | 937 | 2,160 |
Ending Balance | 6,840 | ' | ' | ' | 7,091 | ' | ' | ' | 6,840 | 7,091 |
Total residential mortgage loans [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning Balance | ' | ' | ' | 1,769 | ' | ' | ' | 1,703 | 1,769 | 1,703 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -375 | -824 |
Recoveries | ' | ' | ' | ' | ' | ' | ' | ' | 17 | ' |
Net charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -358 | -824 |
Provision for loan losses charged to expense | ' | ' | ' | ' | ' | ' | ' | ' | 721 | 890 |
Ending Balance | 2,132 | ' | ' | ' | 1,769 | ' | ' | ' | 2,132 | 1,769 |
Total consumer [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning Balance | ' | ' | ' | 524 | ' | ' | ' | 536 | 524 | 536 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -588 | -56 |
Recoveries | ' | ' | ' | ' | ' | ' | ' | ' | 4 | 2 |
Net charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -584 | -54 |
Provision for loan losses charged to expense | ' | ' | ' | ' | ' | ' | ' | ' | 633 | 42 |
Ending Balance | 573 | ' | ' | ' | 524 | ' | ' | ' | 573 | 524 |
Unallocated Financing Receivables [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning Balance | ' | ' | ' | 684 | ' | ' | ' | 469 | 684 | 469 |
Provision for loan losses charged to expense | ' | ' | ' | ' | ' | ' | ' | ' | -632 | 215 |
Ending Balance | $52 | ' | ' | ' | $684 | ' | ' | ' | $52 | $684 |
Allowance_for_Loan_Losses_and_3
Allowance for Loan Losses and Reserve for Unfunded Loan Commitments (Loans And Their Related Allowance For Loan Losses, By Portfolio Segment ) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Allowance, Total | $13,141 | $14,758 | $16,348 |
Total loans | 678,701 | 587,036 | ' |
Other Commitment | 103 | 87 | ' |
SBA held to maturity [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 831 | 1,159 | ' |
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 1,756 | 2,219 | ' |
Loans and Leases Receivable, Allowance, Total | 2,587 | 3,378 | 4,088 |
Financing Receivable, Individually Evaluated for Impairment | 2,740 | 3,712 | ' |
Financing Receivable, Collectively Evaluated for Impairment | 46,178 | 54,881 | ' |
Total loans | 48,918 | 58,593 | ' |
SBA 504 loans [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 29 | 217 | ' |
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 928 | 1,095 | ' |
Loans and Leases Receivable, Allowance, Total | 957 | 1,312 | 1,423 |
Financing Receivable, Individually Evaluated for Impairment | 2,928 | 6,852 | ' |
Financing Receivable, Collectively Evaluated for Impairment | 28,636 | 34,586 | ' |
Total loans | 31,564 | 41,438 | ' |
Total Commercial Loans [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 278 | 625 | ' |
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 6,562 | 6,466 | ' |
Loans and Leases Receivable, Allowance, Total | 6,840 | 7,091 | 8,129 |
Financing Receivable, Individually Evaluated for Impairment | 9,120 | 12,802 | ' |
Financing Receivable, Collectively Evaluated for Impairment | 354,220 | 288,762 | ' |
Total loans | 363,340 | 301,564 | ' |
Total residential mortgage loans [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 2,132 | 1,769 | ' |
Loans and Leases Receivable, Allowance, Total | 2,132 | 1,769 | 1,703 |
Financing Receivable, Collectively Evaluated for Impairment | 182,067 | 132,094 | ' |
Total loans | 182,067 | 132,094 | ' |
Total consumer [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 573 | 524 | ' |
Loans and Leases Receivable, Allowance, Total | 573 | 524 | 536 |
Financing Receivable, Collectively Evaluated for Impairment | 46,139 | 46,410 | ' |
Total loans | 46,139 | 46,410 | ' |
Unallocated Financing Receivables [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 52 | 684 | ' |
Loans and Leases Receivable, Allowance, Total | 52 | 684 | 469 |
Loans Held for Investment [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 1,138 | 2,001 | ' |
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 12,003 | 12,757 | ' |
Loans and Leases Receivable, Allowance, Total | 13,141 | 14,758 | ' |
Financing Receivable, Individually Evaluated for Impairment | 14,788 | 23,366 | ' |
Financing Receivable, Collectively Evaluated for Impairment | 657,240 | 556,733 | ' |
Total loans | $672,028 | $580,099 | ' |
Premises_and_Equipment_Narrati
Premises and Equipment (Narrative) (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Premises and Equipment [Abstract] | ' | ' |
Property, Plant and Equipment, Additions | $4.30 | ' |
Depreciation | $1.20 | $1.10 |
Premises_and_Equipment_Summary
Premises and Equipment (Summary of Premises and Equipment) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | $25,281 | $21,385 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | -9,609 | -9,323 |
Property, Plant and Equipment, Net | 15,672 | 12,062 |
Land and Building [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | 17,022 | 12,347 |
Furniture and Fixtures [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | 6,603 | 6,719 |
Leasehold Improvements [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | $1,656 | $2,319 |
Other_Assets_Other_Assets_Tabl
Other Assets (Other Assets Table) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Other Assets [Abstract] | ' | ' |
Prepaid expenses | $481 | $386 |
SBA servicing assets | 437 | 396 |
Net receivable due from SBA | 429 | 758 |
Other assets | 1,307 | 691 |
Total other assets | $2,654 | $2,231 |
Deposits_Schedule_of_Deposits_
Deposits (Schedule of Deposits by Time Remaining on Maturity) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Deposits [Abstract] | ' | ' |
Contractual Maturities, Time Deposits, $100,000 or More, Three Months or Less | $14,588 | $13,338 |
Contractual Maturities, Time Deposits, $100,000 or More, Three Months Through Six Months | 7,965 | 5,868 |
Contractual Maturities, Time Deposits, $100,000 or More, Six Months Through 12 Months | 18,582 | 16,493 |
Contractual Maturities, Time Deposits, $100,000 or More, after 12 Months | 55,961 | 12,272 |
Time Deposits, $100,000 or More, Total | 97,096 | 47,971 |
Contractual Maturities, Time Deposits, Less than $100,000, Three Months or Less | 8,058 | 10,131 |
Contractual Maturities, Time Deposits, Less than $100,000, Three Months Through Six Months | 7,754 | 8,985 |
Contractual Maturities, Time Deposits, Less than $100,000, Six Months Through 12 Months | 19,522 | 26,271 |
Contractual Maturities, Time Deposits, Less than $100,000, after 12 Months | 72,924 | 31,607 |
Deposits: Time deposits, under $100,000 | $108,258 | $76,994 |
Deposits_Schedule_of_Certifica
Deposits (Schedule of Certificates of Deposits by Year of Maturity) (Details) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Deposits [Abstract] | ' |
Time Deposit Maturities, Next Twelve Months | $76,469 |
Time Deposit Maturities, Year Two | 24,103 |
Time Deposit Maturities, Year Three | 39,282 |
Time Deposit Maturities, Year Four | 6,548 |
Time Deposit Maturities, Year Five | 58,901 |
Time Deposit Maturities, after Year Five | 51 |
Time Deposits, Total | $205,354 |
Borrowed_Funds_and_Subordinate2
Borrowed Funds and Subordinated debentures (Narrative) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Debt Instrument [Line Items] | ' | ' | ' |
Subordinated debentures | $15,465,000 | 15,465,000 | ' |
Marketable Securities, Equity Securities | 465,000 | ' | ' |
FHLB Advances [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Number of FHLB Advances | 3 | ' | ' |
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Amount of Advances | 10,000,000 | ' | ' |
FHLB Repurchase Agreements [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Number of FHLB Advances | 3 | ' | ' |
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Amount of Advances | 10,000,000 | ' | ' |
Subordinated Debenture July 24, 2006 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Debt Instrument, Maturity Date | 24-Jul-36 | ' | ' |
Subordinated debentures | 10,000,000 | ' | ' |
Debt Instrument, Interest Rate at Period End | 1.84% | 1.90% | ' |
Debt Instrument, Basis Spread on Variable Rate | 0.02% | ' | ' |
Subordinated Debenture December 19, 2006 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Debt Instrument, Maturity Date | 19-Dec-36 | ' | ' |
Subordinated debentures | 5,000,000 | ' | ' |
Debt Instrument, Interest Rate at Period End | 1.89% | 1.96% | ' |
Debt Instrument, Basis Spread on Variable Rate | 0.02% | ' | ' |
Securities Sold under Agreements to Repurchase [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Debt Instrument, Interest Rate, Stated Percentage | 3.67% | ' | ' |
Debt Instrument, Maturity Date | 28-Feb-18 | ' | ' |
Debt Instrument, Interest Rate at Period End | 3.67% | 3.67% | 3.67% |
Secured Debt, Repurchase Agreements | 15,000,000 | ' | ' |
FHLB advance April 27, 2005 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Interest Rate | 3.70% | ' | ' |
Debt Instrument, Maturity Date | 27-Apr-15 | ' | ' |
FHLB advance November 2, 2006 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Interest Rate | 4.03% | ' | ' |
Debt Instrument, Maturity Date | 2-Nov-16 | ' | ' |
FHLB advance August 10, 2007 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Interest Rate | 4.23% | ' | ' |
Debt Instrument, Maturity Date | 10-Aug-17 | ' | ' |
FHLB repo-advance December 15, 2006 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Debt Instrument, Maturity Date | 15-Dec-16 | ' | ' |
FHLB repo-advance April 5, 2007 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Interest Rate | 4.21% | ' | ' |
Debt Instrument, Maturity Date | 5-Apr-17 | ' | ' |
FHLB repo-advance April 5, 2007 [Member] | Subordinated Debenture December 19, 2006 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Interest Rate | 4.13% | ' | ' |
FHLB repo-advance December 20, 2007 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Interest Rate | 3.34% | ' | ' |
Debt Instrument, Maturity Date | 20-Dec-17 | ' | ' |
FHLB Overnight Line of Credit [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Federal Home Loan Bank, Advances, General Debt Obligations, Maximum Amount Available | $32,000,000 | ' | ' |
Debt Instrument, Interest Rate, Stated Percentage | 0.40% | ' | ' |
Borrowed_Funds_and_Subordinate3
Borrowed Funds and Subordinated Debentures (Schedule of Debt) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | |||
Debt Instrument [Line Items] | ' | ' | ' |
Long-term Debt | $122,465 | ' | ' |
FHLB borrowings and repurchase agreements [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Long-term Debt | 92,000 | 60,000 | 60,000 |
Year-to-date average | 61,010 | 60,008 | 60,000 |
Maximum outstanding | 95,000 | 61,000 | 60,000 |
Interest rate, at the end of the period | 2.58% | 3.94% | 3.94% |
Interest rate, Year-to-date average | 3.88% | 3.94% | 3.94% |
Securities Sold under Agreements to Repurchase [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Long-term Debt | 15,000 | 15,000 | 15,000 |
Year-to-date average | 15,000 | 15,000 | 15,000 |
Maximum outstanding | 15,000 | 15,000 | 15,000 |
Interest rate, at the end of the period | 3.67% | 3.67% | 3.67% |
Interest rate, Year-to-date average | 3.67% | 3.67% | 3.67% |
Subordinated Debt [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Long-term Debt | 15,465 | 15,465 | 15,465 |
Year-to-date average | ' | 15,465 | 15,465 |
Maximum outstanding | $15,465 | $15,465 | $15,465 |
Interest rate, at the end of the period | 1.80% | 1.89% | 3.11% |
Interest rate, Year-to-date average | 1.83% | 2.19% | 4.83% |
Borrowed_Funds_and_Subordinate4
Borrowed Funds and Subordinated Debentures (Scheduled Maturities of Term Borrowings) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | |||
Debt Instrument [Line Items] | ' | ' | ' |
2014 | $32,000 | ' | ' |
2015 | 10,000 | ' | ' |
2016 | 20,000 | ' | ' |
2017 | 30,000 | ' | ' |
2018 | 15,000 | ' | ' |
Thereafter | 15,465 | ' | ' |
Total | 122,465 | ' | ' |
FHLB borrowings and repurchase agreements [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
2014 | 32,000 | ' | ' |
2015 | 10,000 | ' | ' |
2016 | 20,000 | ' | ' |
2017 | 30,000 | ' | ' |
Total | 92,000 | 60,000 | 60,000 |
Securities Sold under Agreements to Repurchase [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
2018 | 15,000 | ' | ' |
Total | 15,000 | 15,000 | 15,000 |
Subordinated Debt [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Thereafter | 15,465 | ' | ' |
Total | $15,465 | $15,465 | $15,465 |
Commitments_and_Contingencies_1
Commitments and Contingencies (Narrative) (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
store | ||
Other Commitments [Line Items] | ' | ' |
Number of Stores | 15 | ' |
Operating Leases, Rent Expense, Net | $856,000 | $1,200,000 |
Other Commitment | 103,000 | 87,000 |
Director [Member] | ' | ' |
Other Commitments [Line Items] | ' | ' |
Operating Leases, Rent Expense, Net | 437,000 | 427,000 |
Lessee Leasing Arrangements, Operating Leases, Term of Contract | '5 years | ' |
Lessee Leasing Arrangements, Operating Leases, Annual increase, Percentage | 1.50% | ' |
Commitments to Extend Credit [Member] | ' | ' |
Other Commitments [Line Items] | ' | ' |
Other Commitment | 103,200,000 | 87,200,000 |
Other Commitment, Due in Next Twelve Months | 45,600,000 | 40,100,000 |
Standby Letters of Credit [Member] | ' | ' |
Other Commitments [Line Items] | ' | ' |
Other Commitment | $1,400,000 | $1,600,000 |
Commitments_and_Contingencies_2
Commitments and Contingencies (Operating Leases of Lessee Disclosure) (Details) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Commitments and Contingencies [Abstract] | ' |
Operating Lease Rental Payments: 2013 | $670 |
Operating Leases, Future Minimum Payments, Due in Two Years | 572 |
Operating Leases, Future Minimum Payments, Due in Three Years | 526 |
Operating Leases, Future Minimum Payments, Due in Four Years | 473 |
Operating Leases, Future Minimum Payments, Due in Five Years | 418 |
Operating Leases, Future Minimum Payments Due, Total | $2,659 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Loss) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Accumulated Other Comprehensive Income (Loss) [Abstract] | ' | ' |
Unrealized holding gains (losses) on securities arising, Pre-tax | ($2,606) | $920 |
Less: Reclassification adjustment for gains included in net income, Pre-tax | 390 | 566 |
Net unrealized gains (losses) on securities arising during the period, Pre-tax | -2,996 | 354 |
Unrealized holding gains (losses) on securities arising, Tax | -1,056 | 332 |
Less: Reclassification adjustment for gains included in net income, Tax | 131 | 190 |
Net unrealized gains (losses) on securities arising during the period, Tax | -1,187 | 142 |
Balance, beginning of period | 1,333 | 1,121 |
Unrealized holding gains (losses) on securities arising, After-tax | -1,550 | 588 |
Less: Reclassification adjustment for gains included in net income, after-tax | 259 | 376 |
Net unrealized gains (losses) on securities arising during the period, After-tax | -1,809 | 212 |
Balance, end of period | ($476) | $1,333 |
Shareholders_Equity_Narrative_
Shareholders' Equity (Narrative) (Details) (USD $) | 6 Months Ended | 12 Months Ended | ||
Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2008 | |
Shareholders' Equity [Abstract] | ' | ' | ' | ' |
Proceeds from Issuance of Warrants | ' | ' | ' | $2,600,000 |
Stock Repurchase Program, Number of Shares Authorized to be Repurchased | 556,000 | ' | 556,000 | ' |
Stockholders' Equity, Period Increase (Decrease) | ' | ' | 20,300,000 | ' |
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased | 153,000 | ' | 153,000 | ' |
Stock Redeemed or Called During Period, Value | 10,400,000 | 10,300,000 | 20,649,000 | ' |
Stock Redeemed or Called During Period, Shares | 10,325,000 | 10,324,000 | ' | ' |
Payments for Repurchase of Warrants | ' | ' | $2,707,000 | ' |
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 764,788 | ' | 764,788 | ' |
Class of Warrant or Right, Exercise Price of Warrants or Rights | 4.05 | ' | 4.05 | ' |
Other_Income_Components_of_Oth
Other Income (Components of Other Income) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Other Income [Abstract] | ' | ' |
ATM and check card fees | $487 | $413 |
Wire transfer fees | 88 | 84 |
Safe deposit box fees | 59 | 58 |
Other | 80 | 172 |
Total other income | $714 | $727 |
Other_Expenses_Components_of_O
Other Expenses (Components of Other Expenses) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Other Expenses [Abstract] | ' | ' |
Travel, entertainment, training and recruiting | $608 | $589 |
Director fees | 367 | 259 |
Insurance | 335 | 339 |
Stationery and supplies | 271 | 237 |
Retail losses | 4 | 142 |
Other | 282 | 332 |
Total other expenses | $1,867 | $1,898 |
Income_Taxes_Narrative_Details
Income Taxes (Narrative) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Valuation Allowance | $113,000 | ' | ' |
Deferred Tax Assets, Operating Loss Carryforwards, State and Local | 138,000 | 0 | ' |
Income Tax Expense (Benefit) | 2,567,000 | 2,226,000 | ' |
Effective Income Tax Rate, Continuing Operations | 33.40% | 34.40% | ' |
Unrealized holding gains arising during period, after-tax | -1,550,000 | 588,000 | ' |
Accumulated Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax | -476,000 | 1,333,000 | 1,121,000 |
State and Local Jurisdiction [Member] | ' | ' | ' |
Operating Loss Carryforwards | $2,300,000 | ' | ' |
Income_Taxes_Schedule_of_Compo
Income Taxes (Schedule of Components of Income Tax Expense (Benefit)) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Income Taxes [Abstract] | ' | ' |
Federal - current provision | $1,579 | $1,227 |
Federal - deferred provision (benefit) | 491 | 459 |
Total Federal provision | 2,070 | 1,686 |
State - current provision (benefit) | 599 | 216 |
State - deferred provision | -102 | 324 |
Total state provision | 497 | 540 |
Income Tax Expense (Benefit), Total | $2,567 | $2,226 |
Income_Taxes_Schedule_of_Effec
Income Taxes (Schedule of Effective Income Tax Rate Reconciliation) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Income Taxes [Abstract] | ' | ' |
Federal income tax provision at statutory rate | $2,612 | $2,199 |
Bank owned life insurance | -118 | -100 |
Tax-exempt interest | -156 | -161 |
Meals and entertainment | 14 | 17 |
State income taxes, net of federal income tax effect | 328 | 356 |
Other, net | -113 | -85 |
Income Tax Expense (Benefit), Total | $2,567 | $2,226 |
Effective tax rate | 33.40% | 34.40% |
Income_Taxes_Schedule_of_Defer
Income Taxes (Schedule of Deferred Tax Assets and Liabilities) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Deferred tax assets: | ' | ' |
Allowance for loan losses | $5,249 | $5,895 |
Lost interest on nonaccrual loans | 802 | 717 |
Stock-based compensation | 427 | 390 |
Depreciation | 418 | 256 |
Net unrealized security losses | 303 | ' |
Deferred compensation | 190 | 174 |
State net operating loss | 138 | 0 |
Disallowed writedowns on OREO properties | ' | 60 |
Other | 95 | 102 |
Total deferred tax assets | 7,622 | 7,594 |
Deferred Tax Assets, Valuation Allowance | -113 | ' |
Net deferred tax assets | 7,509 | 7,594 |
Deferred tax liabilities: | ' | ' |
Net unrealized security gains | ' | 885 |
Deferred loan costs | 318 | 354 |
Goodwill | 326 | 286 |
Bond accretion | 113 | 115 |
Total deferred tax liabilities | 757 | 1,640 |
Net deferred tax asset | $6,752 | $5,954 |
Net_Income_per_Share_Calculati
Net Income per Share (Calculation of Basic and Diluted EPS) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Net Income per Share [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | $1,266 | $1,302 | $1,347 | $1,200 | $1,167 | $1,196 | $976 | $905 | $5,115 | $4,244 |
Less: Preferred stock dividends and discount accretion | ' | 119 | 465 | 404 | 408 | 397 | 401 | 396 | 988 | 1,602 |
Income available to common shareholders | $1,266 | $1,183 | $882 | $796 | $759 | $799 | $575 | $509 | $4,127 | $2,642 |
Weighted average common shares outstanding - Basic | ' | ' | ' | ' | ' | ' | ' | ' | 7,547 | 7,477 |
Plus: Potential dilutive common stock equivalents | ' | ' | ' | ' | ' | ' | ' | ' | 263 | 317 |
Weighted average common shares oustanding - Diluted | ' | ' | ' | ' | ' | ' | ' | ' | 7,810 | 7,794 |
Net income per common share - Basic | $0.17 | $0.15 | $0.12 | $0.11 | $0.10 | $0.10 | $0.08 | $0.07 | $0.55 | $0.35 |
Net income per common share - Diluted | $0.17 | $0.15 | $0.11 | $0.10 | $0.10 | $0.10 | $0.07 | $0.07 | $0.53 | $0.34 |
Stock options and common stock excluded from the income per share computation as their effect would have been anti-dilutive | ' | ' | ' | ' | ' | ' | ' | ' | 377 | 506 |
Net_Income_per_Share_Narrative
Net Income per Share (Narrative) (Details) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Net Income per Share [Abstract] | ' |
Incremental Common Shares Attributable to Call Options and Warrants | 764,778 |
Payments for Repurchase of Warrants | $2,707 |
Regulatory_Capital_Narrative_D
Regulatory Capital Narrative) (Details) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ' | ' | ' | ' |
Stock Redeemed or Called During Period, Value | $10,400 | $10,300 | $20,649 | ' |
Payments for Repurchase of Warrants | ' | ' | 2,707 | ' |
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 764,788 | ' | 764,788 | ' |
Leverage ratio: For Capital Adequacy Purposes Amount | 35,084 | ' | 35,084 | 32,251 |
Tier I risk-based capital ratio: For Capital Adequacy Purposes Amount | 26,400 | ' | 26,400 | 24,193 |
Total risk-based capital ratio: For Capital Adequacy Purposes Amount | 52,800 | ' | 52,800 | 48,387 |
Leverage ratio: For Capital Adequacy Purposes Ratio | 4.00% | ' | 4.00% | 4.00% |
Parent Company Only [Member] | ' | ' | ' | ' |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ' | ' | ' | ' |
Payments for Repurchase of Warrants | ' | ' | 2,707 | ' |
Leverage Ratio | ' | ' | 3.00% | ' |
Bank [Member] | ' | ' | ' | ' |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ' | ' | ' | ' |
Leverage ratio: For Capital Adequacy Purposes Amount | 35,058 | ' | 35,058 | 32,225 |
Tier I risk-based capital ratio: For Capital Adequacy Purposes Amount | 26,373 | ' | 26,373 | 24,170 |
Total risk-based capital ratio: For Capital Adequacy Purposes Amount | $52,747 | ' | $52,747 | $48,339 |
Leverage ratio: For Capital Adequacy Purposes Ratio | 4.00% | ' | 4.00% | 4.00% |
Regulatory_Capital_Schedule_Re
Regulatory Capital (Schedule Regulatory Capital Requirements) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ' | ' |
Leverage ratio: Actual Amount | $70,852 | $89,841 |
Tier I risk-based capital ratio: Actual Amount | 70,852 | 89,841 |
Total risk-based capital ratio: Actual Amount | 79,164 | 97,492 |
Leverage ratio: Actual Ratio | 8.08% | 11.14% |
Tier I risk-based capital ratio: Actual Ratio | 10.74% | 14.85% |
Total risk--based capital ratio: Actual Ratio | 11.99% | 16.12% |
Leverage ratio: For Capital Adequacy Purposes Amount | 35,084 | 32,251 |
Tier I risk-based capital ratio: For Capital Adequacy Purposes Amount | 26,400 | 24,193 |
Total risk-based capital ratio: For Capital Adequacy Purposes Amount | 52,800 | 48,387 |
Leverage ratio: For Capital Adequacy Purposes Ratio | 4.00% | 4.00% |
Tier I risk-based capital ratio: For Capital Adequacy Purposes Ratio | 4.00% | 4.00% |
Total risk-based capital ratio: For Capital Adequacy Purposes Ratio | 8.00% | 8.00% |
Bank [Member] | ' | ' |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ' | ' |
Leverage ratio: Actual Amount | 61,493 | 69,544 |
Tier I risk-based capital ratio: Actual Amount | 61,493 | 69,544 |
Total risk-based capital ratio: Actual Amount | 78,296 | 85,687 |
Leverage ratio: Actual Ratio | 7.02% | 8.63% |
Tier I risk-based capital ratio: Actual Ratio | 9.33% | 11.51% |
Total risk--based capital ratio: Actual Ratio | 11.88% | 14.18% |
Leverage ratio: For Capital Adequacy Purposes Amount | 35,058 | 32,225 |
Tier I risk-based capital ratio: For Capital Adequacy Purposes Amount | 26,373 | 24,170 |
Total risk-based capital ratio: For Capital Adequacy Purposes Amount | 52,747 | 48,339 |
Leverage ratio: For Capital Adequacy Purposes Ratio | 4.00% | 4.00% |
Tier I risk-based capital ratio: For Capital Adequacy Purposes Ratio | 4.00% | 4.00% |
Total risk-based capital ratio: For Capital Adequacy Purposes Ratio | 8.00% | 8.00% |
Tier I risk-based capital ratio: To Be Well-Capitalized Under Prompt Corrective Action Provisions Amount | 43,823 | 40,282 |
Leverage ratio: To Be Well-Capitalized Under Prompt Corrective Action Provisions Amount | 39,560 | 36,254 |
Total risk-based capital ratio: To Be Well-Capitalized Under Prompt Corrective Action Provisions Amount | $65,933 | $60,424 |
Leverage ratio: To Be Well-Capitalized Under Prompt Corrective Action Provisions Ratio | 5.00% | 5.00% |
Tier I risk-based capital ratio: To Be Well-Capitalized Under Prompt Corrective Action Provisions Ratio | 6.00% | 6.00% |
Total risk-based capital ratio: To Be Well-Capitalized Under Prompt Corrective Action Provisions Ratio | 10.00% | 10.00% |
Regulatory_Capital_Schedule_of
Regulatory Capital (Schedule of Future Basel III Capital Requirements) (Details) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ' | ' |
Leverage ratio | 4.00% | 4.00% |
Tier 1 capital ratio | 4.00% | 4.00% |
Tier 2 | 4.00% | ' |
Total capital ratio | 8.00% | 8.00% |
Scenario, Forecast, Year One [Member] | ' | ' |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ' | ' |
Capital Conservation Buffer | 0.63% | ' |
Scenario, Forecast, Year Two [Member] | ' | ' |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ' | ' |
Capital Conservation Buffer | 1.25% | ' |
Scenario, Forecast, Year Three [Member] | ' | ' |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ' | ' |
Capital Conservation Buffer | 1.88% | ' |
Scenario, Forecast, Final [Member] | ' | ' |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ' | ' |
Leverage ratio | 4.00% | ' |
Common equity tier 1 capital (CET1) ratio | 4.50% | ' |
Additional tier 1 | 1.50% | ' |
Tier 1 capital ratio | 6.00% | ' |
Tier 2 | 2.00% | ' |
Total capital ratio | 8.00% | ' |
Capital Conservation Buffer | 2.50% | ' |
Employee_Benefit_Plans_Narrati
Employee Benefit Plans (Narrative) (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Defined Contribution Plan, Maximum Annual Contribution Per Employee, Percent | 80.00% | ' | ' |
Defined Contribution Plan, Employer Discretionary Contribution Amount | $240 | $244 | ' |
Deferred fees | 44 | 42 | ' |
Interest paid on deferred fees | 19 | 17 | ' |
Deferred Compensation Arrangement with Individual, Distributions Paid | 22 | 0 | ' |
Life Settlement Contracts, Fair Value Method, Face Value | 250 | ' | ' |
Postemployment Benefits, Period Expense | 4 | 5 | ' |
Life Settlement Contracts, Period Expense | 4 | 5 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | '3 years | ' | ' |
Share Based Compensation Arrangement By ShareBased Payment Award Award Expiration Period | '10 years | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 1,720,529 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 448,975 | 516,332 | 643,206 |
Share Based Compensation Arrangement By Share Based Payment Award Options Exercised Forfited Or Expired Number | 1,184,313 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 87,241 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 37,500 | 25,000 | ' |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | 194 | ' | ' |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition | '1 year 10 months 24 days | ' | ' |
Restricted Stock [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | '4 years | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 471,551 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 232,838 | ' | ' |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $579 | ' | ' |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition | '2 years 10 months 24 days | ' | ' |
Employee Stock Option [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 37,500 | 25,000 | ' |
Employee_Benefit_Plans_Transac
Employee Benefit Plans (Transactions Under The Company's Stock Option Plans) (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Employee Benefit Plans [Abstract] | ' | ' | ' |
Options Outstanding, shares | 516,332 | 643,206 | ' |
Options granted, shares | 37,500 | 25,000 | ' |
Options exercised, shares | -11,667 | -117,240 | ' |
Options forfeited, shares | -8,333 | -12,499 | ' |
Options expired, shares | -84,857 | -22,135 | ' |
Options Outstanding, shares | 448,975 | 516,332 | 643,206 |
Options Exercisable: Shares Exercisable | 364,143 | ' | ' |
Weighted Average exercise Price: Options Outstanding | $7.06 | $6.80 | ' |
Weighted Averae Exercise Price: Optons granted | $6.58 | $6 | ' |
Weighted Average Exercise Price: Options exercised | $6.62 | $4.99 | ' |
Weighted Average Exercise Price: Options forfeited | $6.56 | $6.06 | ' |
Weighted Average Exercise Price: Options expired | $8.84 | $9.73 | ' |
Weighted Average exercise Price: Options Outstanding | $6.70 | $7.06 | $6.80 |
Weighted Average Exercise Price: Options Exercisable | $6.76 | ' | ' |
Weighted Average Remaining Contractual Life (in years): Options Outstanding | '5 years 7 months 6 days | '5 years 4 months 24 days | '5 years 3 months 18 days |
Weighted Average Remaining Contractual Life (in years): Options Exercisable | '4 years 9 months 18 days | ' | ' |
Aggregate Intrinsic Value: Options Outstanding | $739,951 | $327,725 | $517,867 |
Aggregate Intrinsic Value: Options Exercisable | $637,387 | ' | ' |
Employee_Benefit_Plans_Fair_Va
Employee Benefit Plans (Fair Value Assumptions) (Details) (USD $) | 12 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 37,500 | 25,000 | ||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $6.58 | $6 | ||
Employee Stock Option [Member] | ' | ' | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 37,500 | 25,000 | ||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $6.58 | $6 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $3.19 | $2.33 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | '5 years 9 months | [1] | '5 years 26 days | [1] |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 51.40% | [2] | 43.61% | [2] |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 1.24% | [3] | 0.77% | [3] |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 0.17% | [4] | ' | |
[1] | The expected life of the options was estimated based on historical employee behavior and represents the period of time that options granted are expected to be outstanding. | |||
[2] | The expected volatility of the Companybs stock price was based on the historical volatility over the period commensurate with the expected life of the options. | |||
[3] | The risk-free interest rate is the U.S Treasury rate commensurate with the expected life of the options on the date of grant. | |||
[4] | The expected dividend yield is the projected annual yield based on the grant date stock price. |
Employee_Benefit_Plans_Schedul
Employee Benefit Plans (Schedule of Information About Options Exercised ) (Details) (USD $) | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Employee Benefit Plans [Abstract] | ' | ' |
Number of options exercised | 11,667 | 117,240 |
Total intrinsic value of options exercised | $15,367 | $121,973 |
Cash received from options exercised | ' | 173,325 |
Tax deduction realized from options exercised | $6,138 | $43,319 |
Employee_Benefit_Plans_Schedul1
Employee Benefit Plans (Schedule of Stock Options, by Exercise Price Range) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' |
Options Outstanding: Shares Outstanding | 448,975 | 516,332 | 643,206 |
Options Outstanding: Weighted Average Remaining Contractual Life (in years) | '5 years 7 months 6 days | '5 years 4 months 24 days | '5 years 3 months 18 days |
Options Outstanding: Weighted Average Exercise Price | $6.70 | $7.06 | $6.80 |
Options Exercisable: Shares Exercisable | 364,143 | ' | ' |
Options Exercisable: Weighted Average Exercise Price | $6.76 | ' | ' |
Range Of Option Exercise Prices 0.00-4.00 [Member] | ' | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' |
Options Outstanding: Shares Outstanding | 119,750 | ' | ' |
Options Outstanding: Weighted Average Remaining Contractual Life (in years) | '5 years 4 months 24 days | ' | ' |
Options Outstanding: Weighted Average Exercise Price | $3.87 | ' | ' |
Options Exercisable: Shares Exercisable | 119,750 | ' | ' |
Options Exercisable: Weighted Average Exercise Price | $3.87 | ' | ' |
Range Of Option Exercise Prices 4.01-8.00 [Member] | ' | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' |
Options Outstanding: Shares Outstanding | 249,175 | ' | ' |
Options Outstanding: Weighted Average Remaining Contractual Life (in years) | '6 years 9 months 18 days | ' | ' |
Options Outstanding: Weighted Average Exercise Price | $6.52 | ' | ' |
Options Exercisable: Shares Exercisable | 164,343 | ' | ' |
Options Exercisable: Weighted Average Exercise Price | $6.55 | ' | ' |
Range Of Option Exercise Prices 8.01-12.00 [Member] | ' | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' |
Options Outstanding: Shares Outstanding | 35,399 | ' | ' |
Options Outstanding: Weighted Average Remaining Contractual Life (in years) | '10 months 24 days | ' | ' |
Options Outstanding: Weighted Average Exercise Price | $10.13 | ' | ' |
Options Exercisable: Shares Exercisable | 35,399 | ' | ' |
Options Exercisable: Weighted Average Exercise Price | $10.13 | ' | ' |
Range Of Option Exercise Prices 12.01-16.00 [Member] | ' | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' |
Options Outstanding: Shares Outstanding | 44,651 | ' | ' |
Options Outstanding: Weighted Average Remaining Contractual Life (in years) | '3 years 1 month 6 days | ' | ' |
Options Outstanding: Weighted Average Exercise Price | $12.62 | ' | ' |
Options Exercisable: Shares Exercisable | 44,651 | ' | ' |
Options Exercisable: Weighted Average Exercise Price | $12.62 | ' | ' |
Employee_Benefit_Plans_Allocat
Employee Benefit Plans (Allocation of Share-based Compensation Costs) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Restricted Stock [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Compensation expense | $198,682 | $160,509 |
Income tax benefit | 79,354 | 64,107 |
Employee Stock Option [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Compensation expense | 140,873 | 148,996 |
Income tax benefit | $56,265 | $54,458 |
Employee_Benefit_Plans_Transac1
Employee Benefit Plans (Transactions Under the Restricted Stock Plan) (Details) (Restricted Stock [Member], USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Restricted Stock [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Nonvested restricted stock: shares | 90,975 | ' |
Granted: shares | 42,500 | 29,500 |
Vested: shares | -31,200 | ' |
Forfeited: shares | -6,650 | ' |
Nonvested restricted stock: shares | 95,625 | 90,975 |
Nonvested restricted stock: Average Grant Date Fair Value | $6.10 | ' |
Granted: Average Grant Date Fair Value | $7.12 | $6.07 |
Vested: Average Grant Date Fair Value | $5.88 | ' |
Forfeited: Average Grant Date Fair Value | $6.16 | ' |
Nonvested restricted stock: Average Grant Date Fair Value | $6.64 | $6.10 |
Employee_Benefit_Plans_Restric
Employee Benefit Plans (Restricted Stock Awards Activity) (Details) (Restricted Stock [Member], USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Restricted Stock [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Number of shares granted | 42,500 | 29,500 |
Average grant date fair value | $7.12 | $6.07 |
Fair_Value_Quantitative_Inform
Fair Value (Quantitative Information About Level 3 Inputs) (Details) (Commercial Mortgage Backed Securities [Member]) | 12 Months Ended |
Dec. 31, 2013 | |
Minimum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Prepayment rate | 8.00% |
Default rate | 10.00% |
Loss severity | 10.00% |
Maximum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Prepayment rate | 15.00% |
Default rate | 15.00% |
Loss severity | 25.00% |
Weighted Average [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Prepayment rate | 10.00% |
Default rate | 12.50% |
Loss severity | 18.00% |
Fair_Value_Fair_Value_On_A_Rec
Fair Value (Fair Value On A Recurring Basis) (Narrative) (Details) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Fair Value [Abstract] | ' |
Percentage Of Portfolio In Residential Mortgage Backed Securities | 55.00% |
Residential Mortgage Backed Securities Guaranteed By Government National Mortgage Association Or Federal National Mortgage Association Or Federal Home Loan Mortgage Corporation | $43.10 |
Fair_Value_Fair_Value_On_A_Rec1
Fair Value (Fair Value On A Recurring Basis) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | $81,133 | $89,538 |
US Government Agencies Debt Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 6,418 | 2,568 |
US States and Political Subdivisions Debt Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 16,598 | 15,303 |
Residential Mortgage Backed Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 44,389 | 45,545 |
Commercial Mortgage Backed Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 888 | 4,463 |
Corporate Debt Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 12,840 | 21,659 |
Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 80,245 | 85,075 |
Fair Value, Inputs, Level 2 [Member] | US Government Agencies Debt Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 6,418 | 2,568 |
Fair Value, Inputs, Level 2 [Member] | US States and Political Subdivisions Debt Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 16,598 | 15,303 |
Fair Value, Inputs, Level 2 [Member] | Residential Mortgage Backed Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 44,389 | 45,545 |
Fair Value, Inputs, Level 2 [Member] | Corporate Debt Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 12,840 | 21,659 |
Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 888 | 4,463 |
Fair Value, Inputs, Level 3 [Member] | Commercial Mortgage Backed Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | $888 | $4,463 |
Fair_Value_Fair_Value_On_A_Non
Fair Value (Fair Value On A Nonrecurring Basis) (Narrative) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired Financing Receivable, Related Allowance | $1,138 | $2,001 |
Impaired Financing Receivable Related Allowance, Increase (Decrease) | 863 | ' |
Impaired Financing Receivable, Recorded Investment | $14,788 | $23,366 |
Minimum [Member] | Market Approach Valuation Technique [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fair Value Inputs, Discount Rate | 10.00% | ' |
Minimum [Member] | Third Party Appraisal [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fair Value Inputs, Discount Rate | 8.00% | ' |
Maximum [Member] | Market Approach Valuation Technique [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fair Value Inputs, Discount Rate | 15.00% | ' |
Maximum [Member] | Third Party Appraisal [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fair Value Inputs, Discount Rate | 10.00% | ' |
Fair_Value_Fair_Value_On_A_Non1
Fair Value (Fair Value On A Nonrecurring Basis) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
OREO | $633 | $864 |
Impaired collateral-dependent loans | 4,540 | 8,159 |
Change During Period, Fair Value Disclosure [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
OREO | -769 | -1,671 |
Impaired collateral-dependent loans | 863 | 2,448 |
Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
OREO | 633 | 864 |
Impaired collateral-dependent loans | $4,540 | $8,159 |
Fair_Value_Fair_Value_Of_Finan
Fair Value (Fair Value Of Financial Instruments) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||
In Thousands, unless otherwise specified | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ||
SBA servicing assets | $437 | $396 | $418 | ||
Accrued interest receivable | 3,272 | 3,298 | ' | ||
Accrued interest payable | 454 | 434 | ' | ||
Impaired Financing Receivable, Recorded Investment | 14,788 | 23,366 | ' | ||
Carrying (Reported) Amount, Fair Value Disclosure [Member] | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ||
Cash And Cash Equivalents, Estimated fair value | 99,404 | 94,192 | ' | ||
Securities Held To Maturity, Estimated fair value | 26,381 | [1] | 21,515 | [1] | ' |
SBA Loans Held For Sale, Estimated fair value | 6,673 | 6,937 | ' | ||
Loans, Net Of Allowance For Loan Losses, Estimated fair value | 658,887 | [2] | 565,341 | [2] | ' |
Federal Home Loan Bank Stock, Estimated fair value | 5,392 | 3,989 | ' | ||
SBA servicing assets | 437 | 396 | ' | ||
Accrued interest receivable | 3,272 | 3,298 | ' | ||
Deposits, Estimated fair value | 738,698 | 648,760 | ' | ||
Borrowed Funds And Subordinated Debentures, Estimated fair value | 122,465 | 90,465 | ' | ||
Accrued interest payable | 454 | 434 | ' | ||
Estimate of Fair Value Measurement [Member] | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ||
Cash And Cash Equivalents, Estimated fair value | 99,404 | 94,192 | ' | ||
Securities Held To Maturity, Estimated fair value | 25,549 | [1] | 22,741 | [1] | ' |
SBA Loans Held For Sale, Estimated fair value | 7,267 | 7,582 | ' | ||
Loans, Net Of Allowance For Loan Losses, Estimated fair value | 645,582 | [2] | 564,528 | [2] | ' |
Federal Home Loan Bank Stock, Estimated fair value | 5,392 | 3,989 | ' | ||
SBA servicing assets | 437 | 396 | ' | ||
Accrued interest receivable | 3,272 | 3,298 | ' | ||
Deposits, Estimated fair value | 738,337 | 650,668 | ' | ||
Borrowed Funds And Subordinated Debentures, Estimated fair value | 129,732 | 100,257 | ' | ||
Accrued interest payable | 454 | 434 | ' | ||
Impaired Financing Receivable, Recorded Investment | 4,500 | 8,200 | ' | ||
Commercial Mortgage Backed Securities [Member] | Carrying (Reported) Amount, Fair Value Disclosure [Member] | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ||
Securities Held To Maturity, Estimated fair value | 6,800 | 2,700 | ' | ||
Commercial Mortgage Backed Securities [Member] | Estimate of Fair Value Measurement [Member] | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ||
Securities Held To Maturity, Estimated fair value | $6,400 | $3,200 | ' | ||
[1] | Includes held to maturity commercial mortgage-backed securities that are considered Level 3. These securities had book values of $6.8 million and $2.7 million at December 31, 2013 and 2012, respectively, and market values of $6.4 million and $3.2 million at December 31, 2013 and 2012, respectively. | ||||
[2] | Includes impaired loans that are considered Level 3 and reported separately in the tables under the bFair Value on a Nonrecurring Basisb heading. Impaired loans, net of specific reserves totaled $4.5 million and $8.2 million at December 31, 2013 and 2012, respectively. |
Condensed_Financial_Statements2
Condensed Financial Statements of Unity Bancorp, Inc. (Parent Company Only) (Condensed Balance Sheets) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | |||
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' |
Cash and cash equivalents | $99,404 | $94,192 | ' |
Securities available for sale | 81,133 | 89,538 | ' |
Other assets | 2,654 | 2,231 | ' |
Total assets | 921,118 | 819,730 | ' |
Other liabilities | 2,328 | 2,561 | ' |
Subordinated debentures | 15,465 | 15,465 | ' |
Shareholders' equity | 57,173 | 77,510 | 73,558 |
Total liabilities and shareholders' equity | 921,118 | 819,730 | ' |
Parent Company Only [Member] | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' |
Cash and cash equivalents | 724 | 11,869 | ' |
Securities available for sale | 166 | 105 | ' |
Capital note due from Bank | 8,500 | 8,500 | ' |
Investment in subsidiaries | 62,814 | 72,213 | ' |
Other assets | 493 | 476 | ' |
Total assets | 72,697 | 93,163 | ' |
Other liabilities | 59 | 188 | ' |
Subordinated debentures | 15,465 | 15,465 | ' |
Shareholders' equity | 57,173 | 77,510 | ' |
Total liabilities and shareholders' equity | $72,697 | $93,163 | ' |
Condensed_Financial_Statements3
Condensed Financial Statements of Unity Bancorp, Inc. (Parent Company Only) (Condensed Statements of Income) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total interest income | $8,766 | $8,474 | $8,401 | $8,313 | $8,502 | $8,871 | $8,772 | $9,058 | $33,954 | $35,203 |
Total interest expense | 1,703 | 1,603 | 1,599 | 1,624 | 1,765 | 1,844 | 1,915 | 2,250 | 6,529 | 7,774 |
Net interest income (expense) | 7,063 | 6,871 | 6,802 | 6,689 | 6,737 | 7,027 | 6,857 | 6,808 | 27,425 | 27,429 |
Other expenses | ' | ' | ' | ' | ' | ' | ' | ' | 1,867 | 1,898 |
Provision for income taxes | 606 | 684 | 739 | 538 | 643 | 606 | 518 | 459 | ' | ' |
Net income | 1,266 | 1,302 | 1,347 | 1,200 | 1,167 | 1,196 | 976 | 905 | 5,115 | 4,244 |
Preferred stock dividends and discount accretion | ' | 119 | 465 | 404 | 408 | 397 | 401 | 396 | 988 | 1,602 |
Income available to common shareholders | 1,266 | 1,183 | 882 | 796 | 759 | 799 | 575 | 509 | 4,127 | 2,642 |
Parent Company Only [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total interest income | ' | ' | ' | ' | ' | ' | ' | ' | 761 | 761 |
Total interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 287 | 345 |
Net interest income (expense) | ' | ' | ' | ' | ' | ' | ' | ' | 474 | 416 |
Gains on sales of securities | ' | ' | ' | ' | ' | ' | ' | ' | 3 | ' |
Other expenses | ' | ' | ' | ' | ' | ' | ' | ' | 22 | 19 |
Income (loss) before provision (benefit) for income taxes and equity in undistributed net income of subsidiary | ' | ' | ' | ' | ' | ' | ' | ' | 455 | 397 |
Income (loss) before equity in undistributed net income of subsidiary | ' | ' | ' | ' | ' | ' | ' | ' | 339 | 261 |
Equity in undistributed net income of subsidiary | ' | ' | ' | ' | ' | ' | ' | ' | 4,776 | 3,983 |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | 5,115 | 4,244 |
Preferred stock dividends and discount accretion | ' | ' | ' | ' | ' | ' | ' | ' | 988 | 1,602 |
Income available to common shareholders | ' | ' | ' | ' | ' | ' | ' | ' | $4,127 | $2,642 |
Condensed_Financial_Statements4
Condensed Financial Statements of Unity Bancorp, Inc. (Parent Company Only) (Condensed Statements of Cash Flows) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net income | $5,115 | $4,244 |
Net cash provided by operating activities | 11,445 | 13,307 |
Purchases of securities available for sale | -29,136 | -39,335 |
Proceeds from sale of securities available for sale | 12,178 | 8,103 |
Net cash used in investing activities | -104,042 | -5,619 |
Redemption of perpetual preferred stock from U.S. Treasury | -20,649 | ' |
Repurchase of warrant from U.S. Treasury | -2,707 | ' |
Proceeds from exercise of stock options | ' | 173 |
Dividends on preferred stock | -585 | -1,032 |
Dividends on common stock | -188 | ' |
Net cash provided by (used in) financing activities | 97,809 | 3,930 |
Increase (decrease) in cash and cash equivalents | 5,212 | 11,618 |
Cash and cash equivalents, beginning of period | 94,192 | 82,574 |
Cash and cash equivalents, end of period | 99,404 | 94,192 |
Cash: Interest paid | 6,509 | 7,863 |
Parent Company Only [Member] | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net income | 5,115 | 4,244 |
Equity in undistributed net income of subsidiary | -4,776 | -3,983 |
Gains on sales of securities | -3 | ' |
Net change in other assets and other liabilities | -22 | -8 |
Net cash provided by operating activities | 314 | 253 |
Purchases of securities available for sale | -100 | ' |
Proceeds from sale of securities available for sale | 63 | ' |
Net cash used in investing activities | -37 | ' |
Redemption of perpetual preferred stock from U.S. Treasury | -20,649 | ' |
Repurchase of warrant from U.S. Treasury | -2,707 | ' |
Proceeds from exercise of stock options | ' | 173 |
Dividends on preferred stock | -585 | -1,032 |
Dividends on common stock | -188 | ' |
Dividend from Bank | 12,707 | 9,000 |
Net cash provided by (used in) financing activities | -11,422 | 8,141 |
Increase (decrease) in cash and cash equivalents | -11,145 | 8,394 |
Cash and cash equivalents, beginning of period | 11,869 | 3,475 |
Cash and cash equivalents, end of period | 724 | 11,869 |
Cash: Interest paid | $287 | $362 |
Quarterly_Financial_Informatio2
Quarterly Financial Information (Schedule of Quarterly Financial Information) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Interest income | $8,766 | $8,474 | $8,401 | $8,313 | $8,502 | $8,871 | $8,772 | $9,058 | $33,954 | $35,203 |
Interest and Dividend Income, Operating | 8,766 | 8,474 | 8,401 | 8,313 | 8,502 | 8,871 | 8,772 | 9,058 | 33,954 | 35,203 |
Interest expense | 1,703 | 1,603 | 1,599 | 1,624 | 1,765 | 1,844 | 1,915 | 2,250 | 6,529 | 7,774 |
Net interest income | 7,063 | 6,871 | 6,802 | 6,689 | 6,737 | 7,027 | 6,857 | 6,808 | 27,425 | 27,429 |
Provision for loan losses | 800 | 600 | 300 | 650 | 800 | 1,000 | 1,000 | 1,200 | 2,350 | 4,000 |
Net interest income after provision for loan losses | 6,263 | 6,271 | 6,502 | 6,039 | 5,937 | 6,027 | 5,857 | 5,608 | 25,075 | 23,429 |
Noninterest income | 1,471 | 1,650 | 1,658 | 1,825 | 2,008 | 1,774 | 1,841 | 1,715 | 6,604 | 7,338 |
Noninterest expense | 5,862 | 5,935 | 6,074 | 6,126 | 6,135 | 5,999 | 6,204 | 5,959 | 23,997 | 24,297 |
Income before provision for income taxes | 1,872 | 1,986 | 2,086 | 1,738 | 1,810 | 1,802 | 1,494 | 1,364 | 7,682 | 6,470 |
Provision for income taxes | 606 | 684 | 739 | 538 | 643 | 606 | 518 | 459 | ' | ' |
Net income | 1,266 | 1,302 | 1,347 | 1,200 | 1,167 | 1,196 | 976 | 905 | 5,115 | 4,244 |
Preferred stock dividends and discount accretion | ' | 119 | 465 | 404 | 408 | 397 | 401 | 396 | 988 | 1,602 |
Income available to common shareholders | 1,266 | 1,183 | 882 | 796 | 759 | 799 | 575 | 509 | 4,127 | 2,642 |
Net income per common share - Basic | $0.17 | $0.15 | $0.12 | $0.11 | $0.10 | $0.10 | $0.08 | $0.07 | $0.55 | $0.35 |
Net income per common share - Diluted | $0.17 | $0.15 | $0.11 | $0.10 | $0.10 | $0.10 | $0.07 | $0.07 | $0.53 | $0.34 |
Parent Company Only [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest income | ' | ' | ' | ' | ' | ' | ' | ' | 761 | 761 |
Interest and Dividend Income, Operating | ' | ' | ' | ' | ' | ' | ' | ' | 761 | 761 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 287 | 345 |
Net interest income | ' | ' | ' | ' | ' | ' | ' | ' | 474 | 416 |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | 5,115 | 4,244 |
Preferred stock dividends and discount accretion | ' | ' | ' | ' | ' | ' | ' | ' | 988 | 1,602 |
Income available to common shareholders | ' | ' | ' | ' | ' | ' | ' | ' | $4,127 | $2,642 |