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CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Operating Activities      
Net income $ 11,940 $ 11,136 $ 8,824
(Accretion), amortization and depreciation      
Securities 548 332 31
Bank premises and equipment 1,426 1,591 1,668
Core deposit intangible 321 388 454
Amortization of modification fees on Federal Home Loan Bank of Boston advances 70 232 232
Subordinated debt issuance costs 24 24 24
Mortgage servicing rights 151 51 48
Fair value adjustment on loans (64) (779)
Fair value adjustment on deposits (4) (8) (37)
(Gains) and losses, including write-downs      
Sales and calls of securities available-for-sale, net (196) (263) (318)
Sales of loans, excluding capitalized servicing rights (1,204) (82) (71)
CRA Mutual Fund (19) (25) 18
Other real estate owned 408 275
Disposals of premises and equipment 85
Gain on redemption of bank owned life insurance (601) (341)
Provision for loan losses 5,038 955 1,728
Proceeds from loans sold 59,786 6,447 4,555
Loans originated for sale (60,985) (6,697) (3,815)
Decrease (increase) in deferred loan origination fees and costs, net 1,734 59 (132)
Mortgage servicing rights originated (534) (61) (43)
Increase in mortgage servicing rights impairment reserve 9
Increase in interest receivable (2,958) (267) (478)
Deferred tax benefit (1,600) (391) (494)
Decrease (increase) in prepaid expenses 393 (174) (50)
Increase in cash surrender value of life insurance policies (495) (392) (337)
Decrease in income tax receivable 137 760
Increase in income tax payable 83 235
(Increase) decrease in other assets (52) 846 48
Increase in accrued expenses 327 352 769
(Decrease) increase in interest payable (35) (159) 138
(Decrease) increase in other liabilities (107) (835) 68
Stock based compensation-restricted stock awards 743 556 447
Net cash provided by operating activities 13,803 14,330 13,277
Investing Activities      
Redemptions (purchases) of Federal Home Loan Bank of Boston stock, net 1,529 1,254 (683)
Purchases of securities available-for-sale (37,392) (53,467) (41,631)
Purchases of interest-bearing time deposits with financial institutions (750)
Proceeds from sales of securities available-for-sale 15,589 41,814 10,036
Proceeds from calls of securities available-for-sale 655 75 695
Proceeds from maturities of securities available-for-sale 16,270 13,521 17,061
Reinvestment of CRA Mutual Fund (16) (21) (19)
Loan originations and principal collections, net (107,420) (19,172) (102,273)
Recoveries of loans previously charged off 323 88 74
Proceeds from sales of other real estate owned 314 1,088 289
Capital expenditures (4,367) (2,055) (1,393)
Purchase of bank owned life insurance (3,500) (5,750)
Death benefit proceeds received 3,994
Net cash and cash equivalents paid in branch acquisition (298)
Net cash utilized by investing activities (114,021) (23,375) (118,142)
Financing Activities      
Increase in deposit transaction accounts, net 205,778 26,722 58,658
Increase (decrease) in time deposits, net 3,794 (33,947) 44,300
(Decrease) increase in securities sold under agreements to repurchase, net (1,414) 4,426 2,436
Short-term Federal Home Loan Bank of Boston advances, net (21,000) 20,500 (17,500)
Long-term Federal Home Loan Bank of Boston advances 6,000 37,000
Long-term Federal Home Loan Bank of Boston repayments (30,000) (37,000) (7,000)
Amortizing Federal Home Loan Bank of Boston advances 10,000
Amortizing Federal Home Loan Bank of Boston repayments (3,318)
Principal payments on note payable (38) (34) (33)
Decrease in finance lease obligation (74) (109) (127)
Stock options exercised 53 82 222
Issuance of shares for directors’ fees 1
Common stock dividends paid (3,286) (3,155) (3,133)
Net cash provided by (applied to) financing activities 166,495 (22,515) 114,824
Net increase (decrease) in cash and cash equivalents 66,277 (31,560) 9,959
Cash and cash equivalents, beginning of year 26,885 58,445 48,486
Cash and cash equivalents, end of year 93,162 26,885 58,445
Cash paid during year      
Interest 5,233 9,212 6,864
Income taxes 3,970 2,378 1,443
Non-cash transfers      
From loans to other real estate owned 1,654
Finance Lease Obligation 1,373
Finance Lease Paid-off      
Fixed Asset (1,158)
Lease liability 1,254
Deferred gain applied to bank premises and equipment (96)
Transfer of unearned credit-related discount to allowance for loan losses 663
Adoption of ASU 2016-02 - Other assets 1,552
Adoption of ASU 2016-02 - Other liabilities (1,552)
Extension of operating lease-other assets 29
Extension of operating lease-other liabilities (29)
Adoption of ASU 2016-01 16
BOLI proceeds included in other assets 621
Branch acquisition (1)      
Cash and cash equivalents (paid) acquired (298)
Net loans acquired 7,849
Fixed assets acquired (including capital leases) 761
Accrued interest receivable acquired 5
Other assets acquired 6
Deposits assumed $ 8,323