Loans and Allowance for Credit Losses (Tables)

9 Months Ended

Sep. 30, 2014

Receivables [Abstract]

Schedule of Financing Receivables [Table Text Block]

The following table provides information about the principal classes of the loan portfolio at September 30, 2014 and December 31, 2013. At December 31, 2013, $3.5 million of nonaccrual construction loans were classified as held for sale. During the first quarter of 2014, these loans held for sale were reclassified to loans.

	September 30,		December 31,
(Dollars in thousands)	2014		2013
Construction	$	67,366	$	64,591
Residential real estate		276,441		274,857
Commercial real estate		297,847		304,605
Commercial		54,207		57,195
Consumer		9,181		10,671
Total loans		705,042		711,919
Allowance for credit losses		(8,606)		(10,725)
Total loans, net	$	696,436	$	701,194

Allowance for Credit Losses on Loans Receivables Additional Information [Table Text Block]

The following tables include impairment information relating to loans and the allowance for credit losses as of September 30, 2014 and December 31, 2013.

			Residential		Commercial
(Dollars in thousands)	Construction		real estate		real estate		Commercial		Consumer		Unallocated		Total
September 30, 2014
Loans individually evaluated for impairment	$	10,404	$	18,599	$	8,322	$	517	$	124	$	-	$	37,966
Loans collectively evaluated for impairment		56,962		257,842		289,525		53,690		9,057		-		667,076
Total loans	$	67,366	$	276,441	$	297,847	$	54,207	$	9,181	$	-	$	705,042
Allowance for credit losses allocated to:
Loans individually evaluated for impairment	$	201	$	243	$	6	$	293	$	25	$	-	$	768
Loans collectively evaluated for impairment		1,629		2,145		2,735		505		243		581		7,838
Total allowance for credit losses	$	1,830	$	2,388	$	2,741	$	798	$	268	$	581	$	8,606

			Residential		Commercial
(Dollars in thousands)	Construction		real estate		real estate		Commercial		Consumer		Unallocated		Total
December 31, 2013
Loans individually evaluated for impairment	$	5,569	$	19,748	$	14,462	$	887	$	48	$	-	$	40,714
Loans collectively evaluated for impairment		59,022		255,109		290,143		56,308		10,623		-		671,205
Total loans	$	64,591	$	274,857	$	304,605	$	57,195	$	10,671	$	-	$	711,919
Allowance for credit losses allocated to:
Loans individually evaluated for impairment	$	204	$	285	$	44	$	245	$	5	$	-	$	783
Loans collectively evaluated for impairment		1,756		3,569		2,985		1,021		238		373		9,942
Total allowance for credit losses	$	1,960	$	3,854	$	3,029	$	1,266	$	243	$	373	$	10,725

Impaired Financing Receivables [Table Text Block]

The following tables provide information on impaired loans and any related allowance by loan class as of September 30, 2014 and December 31, 2013. The difference between the unpaid principal balance and the recorded investment is the amount of partial charge-offs that have been taken.

			Recorded		Recorded				Quarter-to-		Year-to-date
	Unpaid		investment		investment				date average		average
	principal		with no		with an		Related		recorded		recorded
(Dollars in thousands)	balance		allowance		allowance		allowance		investment		investment
September 30, 2014
Impaired nonaccrual loans:
Construction	$	10,542	$	6,801	$	200	$	200	$	7,492	$	7,918
Residential real estate		3,191		2,300		73		75		2,604		4,014
Commercial real estate		4,557		2,756		-		-		3,132		4,443
Commercial		1,680		167		298		293		389		558
Consumer		129		99		25		25		124		55
Total		20,099		12,123		596		593		13,741		16,988
Impaired accruing TDRs:
Construction		3,403		3,316		87		1		3,404		2,301
Residential real estate		16,226		12,813		3,413		168		16,190		16,131
Commercial real estate		5,566		4,799		767		6		5,459		6,826
Commercial		52		52		-		-		54		62
Consumer		-		-		-		-		-		-
Total		25,247		20,980		4,267		175		25,107		25,320
Total impaired loans:
Construction		13,945		10,117		287		201		10,896		10,219
Residential real estate		19,417		15,113		3,486		243		18,794		20,145
Commercial real estate		10,123		7,555		767		6		8,591		11,269
Commercial		1,732		219		298		293		443		620
Consumer		129		99		25		25		124		55
Total	$	45,346	$	33,103	$	4,863	$	768	$	38,848	$	42,308

			Recorded		Recorded				Quarter-to-		Year-to-date
	Unpaid		investment		investment				date average		average
	principal		with no		with an		Related		recorded		recorded
(Dollars in thousands)	balance		allowance		allowance		allowance		investment		investment
December 31, 2013
Impaired nonaccrual loans:
Construction	$	6,787	$	3,709	$	240	$	203	$	5,563	$	7,270
Residential real estate		7,692		3,862		1,304		225		5,094		10,240
Commercial real estate		5,218		4,261		410		38		3,917		7,829
Commercial		1,801		547		245		245		740		619
Consumer		56		43		5		5		49		48
Total		21,554		12,422		2,204		716		15,363		26,006
Impaired accruing TDRs:
Construction		1,620		1,527		93		1		1,759		14,405
Residential real estate		14,582		13,177		1,405		60		15,387		11,101
Commercial real estate		9,791		9,006		785		6		10,201		13,308
Commercial		95		95		-		-		98		105
Consumer		-		-		-		-		-		-
Total		26,088		23,805		2,283		67		27,445		38,919
Total impaired loans:
Construction		8,407		5,236		333		204		7,322		21,675
Residential real estate		22,274		17,039		2,709		285		20,481		21,341
Commercial real estate		15,009		13,267		1,195		44		14,118		21,137
Commercial		1,896		642		245		245		838		724
Consumer		56		43		5		5		49		48
Total	$	47,642	$	36,227	$	4,487	$	783	$	42,808	$	64,925

Schedule of Financing Receivables Accruing and Non Accrual of Troubled Debt restructurings [Table Text Block]

The following tables provide a roll-forward for troubled debt restructurings as of September 30, 2014 and September 30, 2013.

	12/31/13								Reclassification/						9/30/14
	TDR		New		Disbursements		Charge		Transfers		9/30/2014				TDR		Related
(Dollars in thousands)	Balance		TDRs		(Payments)		offs		In(Out)		Loan Sale		Payoffs		Balance		Allowance
For the nine months ended 9/30/2014
Accruing TDRs
Construction	$	1,620	$	-	$	(52)	$	(538)	$	2,643	$	-	$	(270)	$	3,403	$	1
Residential Real Estate		14,582		-		1,324		-		478		-		(158)		16,226		168
Commercial Real Estate		9,791		-		(71)		(549)		(2,508)		-		(1,097)		5,566		6
Commercial		95		-		(19)		-		-		-		(24)		52		-
Consumer		-		-		-		-		-		-		-		-		-
Total	$	26,088	$	-	$	1,182	$	(1,087)	$	613	$	-	$	(1,549)	$	25,247	$	175
Nonaccrual TDRs
Construction	$	3,561	$	-	$	(12)	$	(235)	$	760	$	-	$	-	$	4,074	$	-
Residential Real Estate		1,884		-		(40)		(203)		(1,037)		-		(123)		481		-
Commercial Real Estate		842		-		(91)		(65)		(336)		-		-		350		-
Commercial		-		-		-		-		-		-		-		-		-
Consumer		26		-		(1)		-		-		-		-		25		25
Total	$	6,313	$	-	$	(144)	$	(503)	$	(613)	$	-	$	(123)	$	4,930	$	25
Total TDRs	$	32,401	$	-	$	1,038	$	(1,590)	$	-	$	-	$	(1,672)	$	30,177	$	200

	12/31/12								Reclassification/						9/30/13
	TDR		New		Disbursements				Transfers		9/30/2013				TDR		Related
(Dollars in thousands)	Balance		TDRs		(Payments)		Charge offs		In(Out)		Loan Sale		Payoffs		Balance		Allowance
For the nine months ended 9/30/2013
Accruing TDRs
Construction	$	27,335	$	218	$	71	$	(13,557)	$	(3,521)	$	(7,908)	$	(739)	$	1,899	$	1
Residential Real Estate		7,017		11,514		166		(218)		(1,349)		(395)		-		16,735		584
Commercial Real Estate		17,880		2,211		(55)		(2,062)		-		(7,162)		(108)		10,704		92
Commercial		121		-		(20)		-		-		-		-		101		-
Consumer		-		-		-		-		-		-		-		-		-
Total	$	52,353	$	13,943	$	162	$	(15,837)	$	(4,870)	$	(15,465)	$	(847)	$	29,439	$	677
Nonaccrual TDRs
Construction	$	1,448	$	-	$	(62)	$	(612)	$	3,521	$	(57)	$	(368)	$	3,870	$	25
Residential Real Estate		2,169		258		(75)		(1,218)		1,349		(759)		(126)		1,598		-
Commercial Real Estate		2,970		-		(274)		(866)		-		-		(1,391)		439		-
Commercial		-		-		-		-		-		-		-		-		-
Consumer		27		-		(1)		-		-		-		-		26		26
Total	$	6,614	$	258	$	(412)	$	(2,696)	$	4,870	$	(816)	$	(1,885)	$	5,933	$	51
Total TDRs	$	58,967	$	14,201	$	(250)	$	(18,533)	$	-	$	(16,281)	$	(2,732)	$	35,372	$	728

Troubled Debt Restructurings on Financing Receivables [Table Text Block]

The following tables provide information on loans that were modified and considered TDRs during the nine months ended September 30, 2014 and September 30, 2013.

			Premodification		Postmodification
			outstanding		outstanding
	Number of		recorded		recorded		Related
(Dollars in thousands)	contracts		investment		investment		allowance
TDRs:
For the nine months ended September 30, 2014
Construction		-	$	-	$	-	$	-
Residential real estate		-		-		-		-
Commercial real estate		-		-		-		-
Commercial		-		-		-		-
Consumer		-		-		-		-
Total		-	$	-	$	-	$	-
For the nine months ended September 30, 2013
Construction		3	$	218	$	218	$	-
Residential real estate		6		11,758		11,772		38
Commercial real estate		4		2,212		2,211		82
Commercial		-		-		-		-
Consumer		-		-		-		-
Total		13	$	14,188	$	14,201	$	120

Troubled Debt Restructurings that Defaulted on Financing Receivables [Table Text Block]

The following tables provide information on TDRs that defaulted during the nine months ended September 30, 2014 and September 30, 2013. Generally, a loan is considered in default when principal or interest is past due 90 days or more.

	Number of		Recorded		Related
(Dollars in thousands)	contracts		investment		allowance
TDRs that subsequently defaulted (1):
For the nine months ended September 30, 2014
Construction		-	$	-	$	-
Residential real estate		-		-		-
Commercial real estate		-		-		-
Commercial		-		-		-
Consumer		-		-		-
Total		-	$	-	$	-
TDRs that subsequently defaulted (2):
For the nine months ended September 30, 2013
Construction		-	$	-	$	-
Residential real estate		4		1,563		-
Commercial real estate		1		1,741		74
Commercial		-		-		-
Consumer		-		-		-
Total		5	$	3,304	$	74

(1) These loans were classified as TDRs during 2013.

(2) These loans were classified as TDRs during 2012.

Financing Receivable Credit Quality Indicators [Table Text Block]

The following tables provide information on loan risk ratings as of September 30, 2014 and December 31, 2013.

			Special
(Dollars in thousands)	Pass/Performing		mention		Substandard		Doubtful		Total
September 30, 2014
Construction	$	45,937	$	9,668	$	11,761	$	-	$	67,366
Residential real estate		247,438		16,476		12,437		90		276,441
Commercial real estate		266,039		20,775		11,033		-		297,847
Commercial		51,126		2,450		252		379		54,207
Consumer		9,040		18		123		-		9,181
Total	$	619,580	$	49,387	$	35,606	$	469	$	705,042

			Special
(Dollars in thousands)	Pass/Performing		mention		Substandard		Doubtful		Total
December 31, 2013
Construction	$	39,268	$	15,884	$	9,439	$	-	$	64,591
Residential real estate		235,054		22,638		17,114		51		274,857
Commercial real estate		255,280		30,105		19,210		10		304,605
Commercial		52,032		3,691		972		500		57,195
Consumer		10,451		48		172		-		10,671
Total	$	592,085	$	72,366	$	46,907	$	561	$	711,919

Past Due Financing Receivables [Table Text Block]

The following tables provide information on the aging of the loan portfolio as of September 30, 2014 and December 31, 2013.

	Accruing
				30-59			60-89			90 days
				days past			days past			or more			Total past
(Dollars in thousands)	Current			due			due			past due			due			Nonaccrual			Total
September 30, 2014
Construction	$	59,106		$	1,259		$	-		$	-		$	1,259		$	7,001		$	67,366
Residential real estate		270,851			2,142			1,074			-			3,216			2,374			276,441
Commercial real estate		293,827			243			1,021			-			1,264			2,756			297,847
Commercial		53,434			196			112			-			308			465			54,207
Consumer		8,998			57			3			-			60			123			9,181
Total	$	686,216		$	3,897		$	2,210		$	-		$	6,107		$	12,719		$	705,042
Percent of total loans		97.3	%		0.6	%		0.3	%		-	%		0.9	%		1.8	%

	Accruing
				30-59			60-89			90 days or
				days past			days past			more past			Total past
(Dollars in thousands)	Current			due			due			due			due			Nonaccrual			Total
December 31, 2013
Construction	$	60,642		$	-		$	-		$	-		$	-		$	3,949		$	64,591
Residential real estate		265,182			2,765			1,724			20			4,509			5,166			274,857
Commercial real estate		299,295			639			-			-			639			4,671			304,605
Commercial		55,576			330			247			250			827			792			57,195
Consumer		10,469			23			131			-			154			48			10,671
Total	$	691,164		$	3,757		$	2,102		$	270		$	6,129		$	14,626		$	711,919
Percent of total loans		97.1	%		0.5	%		0.3	%		-	%		0.8	%		2.1	%

Allowance for Credit Losses on Financing Receivables [Table Text Block]

The following tables provide a summary of the activity in the allowance for credit losses allocated by loan class for the three months ended September 30, 2014 and 2013. Allocation of a portion of the allowance to one loan class does not preclude its availability to absorb losses in other loan classes.

			Residential		Commercial
(Dollars in thousands)	Construction		real estate		real estate		Commercial		Consumer		Unallocated		Total
For the three months ended September  30, 2014
Allowance for credit losses:
Beginning balance	$	2,248	$	2,354	$	2,652	$	858	$	306	$	658	$	9,076
Charge-offs		(213)		(242)		(35)		(1,019)		(6)		-		(1,515)
Recoveries		1		229		9		24		7		-		270
Net charge-offs		(212)		(13)		(26)		(995)		1		-		(1,245)
Provision		(206)		47		115		935		(39)		(77)		775
Ending balance	$	1,830	$	2,388	$	2,741	$	798	$	268	$	581	$	8,606

			Residential		Commercial
(Dollars in thousands)	Construction		real estate		real estate		Commercial		Consumer		Unallocated		Total
For the three months ended September  30, 2013
Allowance for credit losses:
Beginning balance	$	4,346	$	4,259	$	5,514	$	1,216	$	301	$	87	$	15,723
Charge-offs		(18,539)		(4,225)		(4,056)		(196)		(3)		-		(27,019)
Recoveries		3		51		20		47		16		-		137
Net charge-offs		(18,536)		(4,174)		(4,036)		(149)		13		-		(26,882)
Provision		16,180		3,645		2,090		205		(44)		384		22,460
Ending balance	$	1,990	$	3,730	$	3,568	$	1,272	$	270	$	471	$	11,301

The following tables provide a summary of the activity in the allowance for credit losses allocated by loan class for the nine months ended September 30, 2014 and 2013.

			Residential		Commercial
(Dollars in thousands)	Construction		real estate		real estate		Commercial		Consumer		Unallocated		Total
For the nine months ended September 30, 2014
Allowance for credit losses:
Beginning balance	$	1,960	$	3,854	$	3,029	$	1,266	$	243	$	373	$	10,725
Charge-offs		(454)		(1,229)		(1,648)		(1,956)		(153)		-		(5,440)
Recoveries		12		335		22		231		21		-		621
Net charge-offs		(442)		(894)		(1,626)		(1,725)		(132)		-		(4,819)
Provision		312		(572)		1,338		1,257		157		208		2,700
Ending balance	$	1,830	$	2,388	$	2,741	$	798	$	268	$	581	$	8,606

			Residential		Commercial
(Dollars in thousands)	Construction		real estate		real estate		Commercial		Consumer		Unallocated		Total
For the nine months ended September 30, 2013
Allowance for credit losses:
Beginning balance	$	4,387	$	5,194	$	4,134	$	1,682	$	407	$	187	$	15,991
Charge-offs		(20,048)		(6,114)		(6,003)		(419)		(65)		-		(32,649)
Recoveries		5		349		113		149		33		-		649
Net charge-offs		(20,043)		(5,765)		(5,890)		(270)		(32)		-		(32,000)
Provision		17,646		4,301		5,324		(140)		(105)		284		27,310
Ending balance	$	1,990	$	3,730	$	3,568	$	1,272	$	270	$	471	$	11,301