REGULATORY MATTERS (Tables)

12 Months Ended

Dec. 31, 2017

Banking and Thrift [Abstract]

Financial institutions are classified into categories based upon capital adequacy

For various regulatory purposes, financial institutions are classified into categories based upon capital adequacy:

	Minimum Requirement		Minimum Requirement with Capital Conservation Buffer for 2017		To Be Considered Well-Capitalized
Ratio of Common Equity Tier 1 Capital to risk-weighted assets	4.5	%	5.75	%	6.5	%
Ratio of tier 1 capital to risk-weighted assets	6.0	%	7.25	%	8.0	%
Ratio of total capital (tier 1 capital plus tier 2 capital) to risk-weighted assets	8.0	%	9.25	%	10.0	%
Leverage ratio (tier 1 capital to adjusted quarterly average total assets)	4.0	%	N/A		5.0	%

Summary of regulatory capital and capital ratios of LCNB

A summary of the regulatory capital of the Consolidated Company and Bank at December 31 follows (dollars in thousands):

	2017					2016
	Consolidated Company			Bank		Consolidated Company		Bank
Regulatory Capital:
Shareholders' equity	$	150,271		148,163		142,944		141,325
Goodwill and other intangible assets	(32,906		)	(32,906	)	(32,676	)	(32,676	)
Accumulated other comprehensive loss	2,828			2,859		2,617		2,605
Tier 1 risk-based capital	120,193			118,116		112,885		111,254
Eligible allowance for loan losses	3,403			3,403		3,575		3,575
Total risk-based capital	$	123,596		121,519		116,460		114,829
Capital Ratios:
Common Equity Tier 1 Capital to risk-weighted assets	13.29		%	13.07	%	13.00	%	12.82	%
Tier 1 capital to risk-weighted assets	13.29		%	13.07	%	13.00	%	12.82	%
Total capital (tier 1 capital plus tier 2 capital) to risk-weighted assets	13.66		%	13.45	%	13.41	%	13.24	%
Leverage ratio (tier 1 capital to adjusted quarterly average total assets)	9.51		%	9.36	%	8.81	%	8.69	%