Loans Receivable and Allowance for Loan Losses (Tables)

9 Months Ended

Sep. 30, 2016

Loans Receivable and Allowance for Loan Losses [Abstract]

Composition of Loans Receivable [Table Text Block]

	Types of loans
	(dollars in thousands)
	September 30, 2016				December 31, 2015
Real Estate Loans:
Residential	$	237,897	33.7	%	$	161,820	28.9	%
Commercial		315,270	44.6			279,123	49.8
Construction		20,056	2.8			18,987	3.4
Commercial, financial and agricultural		85,145	12.1			71,090	12.7
Consumer loans to individuals		48,225	6.8			29,231	5.2
Total loans		706,593	100.0	%		560,251	100.0	%
Deferred fees, net		(394)				(326)
Total loans receivable		706,199				559,925
Allowance for loan losses		(6,164)				(7,298)
Net loans receivable	$	700,035			$	552,627

Components of purchase accounting adjustments related to purchased impaired loans acquired [Table Text Block]

(In Thousands)
Contractually required principal and interest	$	2,621
Non-accretable discount		(1,014)
Expected cash flows		1,607
Accretable discount		(239)
Estimated fair value	$	1,368

Changes in amortizable yield for purchased credit-impaired loans [Table Text Block]

	2016		2015
Balance at beginning of period	$	-	$	8
Additions		239		-
Accretion		(12)		(1)
Reclassification and other		-		-
Balance at end of period	$	227	$	7

Additional Information Regarding Loans Acquired and Accounted for in Accordance with ASC 310-30 [Table Text Block]

	September 30, 2016		December 31, 2015
Outstanding Balance	$	1,855	$	498
Carrying Amount	$	1,368	$	498

Impaired Loans and Related Interest Income by Loan Portfolio Class [Table Text Block]

The following table shows the amount of loans in each category that were individually and collectively evaluated for impairment at the dates indicated:

	Real Estate Loans
							Commercial		Consumer
	Residential		Commercial		Construction		Loans		Loans		Total
September 30, 2016	(In thousands)
Individually evaluated for impairment	$	24	$	2,791	$	-	$	-	$	-	$	2,815
Loans acquired with deteriorated credit quality		797		571		-		-		-		1,368
Collectively evaluated for impairment		237,076		311,908		20,056		85,145		48,225		702,410
Total Loans	$	237,897	$	315,270	$	20,056	$	85,145	$	48,225	$	706,593

	Real Estate Loans
							Commercial		Consumer
	Residential		Commercial		Construction		Loans		Loans		Total
	(In thousands)
December 31, 2015
Individually evaluated for impairment	$	28	$	8,660	$	-	$	43	$	-	$	8,731
Loans acquired with deteriorated credit quality		140		358		-		-		-		498
Collectively evaluated for impairment		161,652		270,105		18,987		71,047		29,231		551,022
Total Loans	$	161,820	$	279,123	$	18,987	$	71,090	$	29,231	$	560,251

The following table includes the recorded investment and unpaid principal balances for impaired loans with the associated allowance amount, if applicable.  Also presented are the average recorded investments in the impaired loans and the related amount of interest recognized during the time within the period that the impaired loans were impaired.

			Unpaid
	Recorded		Principal		Associated
	Investment		Balance		Allowance
September 30, 2016				(in thousands)
With no related allowance recorded:
Real Estate Loans
Residential	$	1,003	$	1,189	$	-
Commercial		3,349		4,267		-
Subtotal		4,352		5,456		-
With an allowance recorded:
Real Estate Loans
Commercial		74		1,020		15
Subtotal		74		1,020		15
Total:
Real Estate Loans
Residential		1,003		1,189		-
Commercial		3,423		5,287		15
Total Impaired Loans	$	4,426	$	6,476	$	15

			Unpaid
	Recorded		Principal		Associated
	Investment		Balance		Allowance
December 31, 2015				(in thousands)
With no related allowance recorded:
Real Estate Loans
Residential	$	168	$	173	$	-
Commercial		2,644		4,610		-
Commercial, financial and agriculture		43		43		-
Subtotal		2,855		4,826		-
With an allowance recorded:
Real Estate Loans
Commercial		6,373		6,446		1,613
Subtotal		6,373		6,446		1,613
Total:
Real Estate Loans
Residential		168		173		-
Commercial		9,017		11,056		1,613
Commercial, financial and agriculture		43		43		-
Total Impaired Loans	$	9,228	$	11,272	$	1,613

The following information for impaired loans is presented (in thousands) for the nine months ended September 30, 2016 and 2015:

	Average Recorded				Interest Income
	Investment				Recognized
	2016		2015		2016		2015
Real Estate Loans:
Residential	$	372	$	236	$	3	$	3
Commercial		3,249		10,477		90		510
Total	$	3,621	$	10,713	$	93	$	513

The following information for impaired loans is presented (in thousands) for the three months ended September 30, 2016 and 2015:

	Average Recorded				Interest Income
	Investment				Recognized
	2016		2015		2016		2015
Real Estate Loans:
Residential	$	579	$	249	$	1	$	1
Commercial		3,253		10,294		33		45
Total	$	3,832	$	10,543	$	34	$	46

Classes of the Loan Portfolio Summarized by the Aggregate Risk Rating [Table Text Block]

			Special					Doubtful
	Pass		Mention		Substandard		or Loss		Total
September 30, 2016
Commercial real estate loans	$	306,177	$	4,442	$	4,651	$	-	$	315,270
Commercial loans		85,087		35		23		-		85,145
Total	$	391,264	$	4,477	$	4,674	$	-	$	400,415

			Special					Doubtful
	Pass		Mention		Substandard		or Loss		Total
December 31, 2015
Commercial real estate loans	$	267,892	$	1,837	$	9,394	$	-	$	279,123
Commercial loans		71,047		-		43		-		71,090
Total	$	338,939	$	1,837	$	9,437	$	-	$	350,213

For residential real estate loans, construction loans and consumer loans, the Company evaluates credit quality based on the performance of the individual credits.  The following table presents the recorded investment in the loan classes based on payment activity as of September 30, 2016 and December 31, 2015 (in thousands):

	Performing		Nonperforming		Total
September 30, 2016
Residential real estate loans	$	236,711	$	1,186	$	237,897
Construction		20,028		28		20,056
Consumer loans		48,225		-		48,225
Total	$	304,964	$	1,214	$	306,178

	Performing		Nonperforming		Total
December 31, 2015
Residential real estate loans	$	161,380	$	440	$	161,820
Construction		18,987		-		18,987
Consumer loans		29,231		-		29,231
Total	$	209,598	$	440	$	210,038

Loan Portfolio Summarized by the Past Due Status [Table Text Block]

	Current		31-60 Days Past Due		61-90 Days Past Due		Greater than 90 Days Past Due and still accruing		Non-Accrual		Total Past Due and Non-Accrual		Total Loans
September 30, 2016
Real Estate loans
Residential	$	234,857	$	1,548	$	306	$	-	$	1,186	$	3,040	$	237,897
Commercial		313,916		198		131		49		976		1,354		315,270
Construction		20,028		-		-		-		28		28		20,056
Commercial  loans		85,083		62		-		-		-		62		85,145
Consumer  loans		48,118		96		11		-		-		107		48,225
Total	$	702,002	$	1,904	$	448	$	49	$	2,190	$	4,591	$	706,593

	Current		31-60 Days Past Due		61-90 Days Past Due		Greater than 90 Days Past Due and still accruing		Non-Accrual		Total Past Due and Non-Accrual		Total Loans
December 31, 2015
Real Estate loans
Residential	$	160,683	$	646	$	51	$	-	$	440	$	1,137	$	161,820
Commercial		272,125		310		39		-		6,649		6,998		279,123
Construction		18,959		28		-		-		-		28		18,987
Commercial  loans		71,043		4		-		-		43		47		71,090
Consumer  loans		29,179		41		11		-		-		52		29,231
Total	$	551,989	$	1,029	$	101	$	-	$	7,132	$	8,262	$	560,251

Allowance for Loan Losses and Recorded Investment in Financing Receivables [Table Text Block]

Management reviews the loan portfolio on a quarterly basis using a defined, consistently applied process in order to make appropriate and timely adjustments to the allowance for loan losses.  When information confirms all or part of specific loans to be uncollectible, these amounts are promptly charged off  against the allowance.  The following table presents the allowance for loan losses by the classes of the loan portfolio:

(In thousands)	Residential Real Estate		Commercial Real Estate		Construction		Commercial		Consumer		Total
Beginning balance, December 31, 2015	$	1,069	$	5,506	$	90	$	397	$	236	$	7,298
Charge Offs		(32)		(2,670)		-		(15)		(71)		(2,788)
Recoveries		4		11		-		-		39		54
Provision for loan losses		15		1,516		(12)		(46)		127		1,600
Ending balance, September 30, 2016	$	1,056	$	4,363	$	78	$	336	$	331	$	6,164
Ending balance individually evaluated for impairment	$	-	$	15	$	-	$	-	$	-	$	15
Ending balance collectively evaluated for impairment	$	1,056	$	4,348	$	78	$	336	$	331	$	6,149

(In thousands)	Residential Real Estate		Commercial Real Estate		Construction		Commercial		Consumer		Total
Beginning balance, June 30, 2016	$	976	$	4,191	$	59	$	293	$	279	$	5,798
Charge Offs		(15)		(28)		-		(15)		(41)		(99)
Recoveries		2		9		-		-		4		15
Provision for loan losses		93		191		19		58		89		450
Ending balance, September 30, 2016	$	1,056	$	4,363	$	78	$	336	$	331	$	6,164

(In thousands)	Residential Real Estate		Commercial Real Estate		Construction		Commercial		Consumer		Total
Beginning balance, December 31, 2014	$	1,323	$	3,890	$	222	$	256	$	184	$	5,875
Charge Offs		(159)		(1,692)		-		-		(59)		(1,910)
Recoveries		4		-		-		-		18		22
Provision for loan losses		(181)		1,980		(137)		28		70		1,760
Ending balance, September 30, 2015	$	987	$	4,178	$	85	$	284	$	213	$	5,747
Ending balance individually evaluated for impairment	$	-	$	389	$	-	$	-	$	-	$	389
Ending balance collectively evaluated for impairment	$	987	$	3,789	$	85	$	284	$	213	$	5,358

(In thousands)	Residential Real Estate		Commercial Real Estate		Construction		Commercial		Consumer		Total
Beginning balance, June 30, 2015	$	1,085	$	4,152	$	97	$	405	$	208	$	5,947
Charge Offs		(46)		(865)		-		-		(16)		(927)
Recoveries		-		-		-		-		7		7
Provision for loan losses		(52)		891		(12)		(121)		14		720
Ending balance, September 30, 2015	$	987	$	4,178	$	85	$	284	$	213	$	5,747