Note 15 - Condensed Parent Company Financial Information

12 Months Ended

Dec. 31, 2020

Notes to Financial Statements

Condensed Financial Information of Parent Company Only Disclosure [Text Block]

NOTE

15

- CONDENSED PARENT COMPANY FINANCIAL INFORMATION

A summary of condensed financial information of the parent company as of

December 31, 2020

and

2019

and for each of the years in the

three

-year period ended

December 31, 2020

,

is as follows:

Condensed Balance Sheets
	(in thousands)
Assets:	2020		2019
Cash	$	1,845	$	879
Investment in bank subsidiary		129,070		114,029
Other assets		1,576		2,419
Total assets	$	132,491	$	117,327
Liabilities:
Junior subordinated deferrable interest debentures	$	12,942	$	12,908
Other borrowings		7,750		8,750
Other liabilities		200		888
Total Liabilities		20,892		22,546
Shareholders' equity		111,599		94,781
Total liabilities and shareholders' equity	$	132,491	$	117,327

	(in thousands)
Condensed Statements of Income	2020			2019			2018
Income – dividends from bank subsidiary	$	4,500		$	-		$	4,500
Litigation Settlement		-			1,980			-
Expenses – interest, professional fees and other expenses, net of federal income tax benefit and interest income		(1,150	)		(1,313	)		(1,346	)
Income before equity in undistributed net income of bank subsidiary		3,350			667			3,154
Equity in undistributed net income of bank subsidiary		10,405			9,994			5,066
Net income	$	13,755		$	10,661		$	8,220

	(in thousands)
Condensed Statements of Cash Flows	2020			2019			2018
Cash flows from operating activities:
Net income	$	13,755		$	10,661		$	8,220
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in undistributed net income of bank subsidiary		(10,405	)		(9,994	)		(5,066	)
Stock option expense		164			266			165
Depreciation and amortization		34			34			34
(Increase) decrease in other assets		843			(1,221	)		969
Increase (decrease) in other liabilities		(841	)		421			40
Net cash provided by operating activities		3,550			167			4,362
Cash flows from investing activities:
Acquisition of Benchmark		-			-			(3,413	)
Cash flows from financing activities:
Principal payments on other borrowings		(1,000	)		(1,000	)		(250	)
Purchase of treasury stock		-			(95	)		-
Proceeds from sale of treasury shares		95			71			39
Cash paid for cancellation of stock options		(11	)		-			-
Cash dividends paid		(1,668	)		(1,702	)		(1,568	)
Net cash used in financing activities		(2,584	)		(2,726	)		(1,779	)
Net increase (decrease) in cash		966			(2,559	)		(830	)
Cash at beginning of the year		879			3,438			4,268
Cash at end of the year	$	1,845		$	879		$	3,438

During

2005,

the Board of Directors approved a program whereby the Corporation purchases shares of its common stock in the open market. The decision to purchase shares, the number of shares to be purchased, and the price to be paid depends upon the availability of shares, prevailing market prices, and other possible considerations which

may

impact the advisability of purchasing shares. The Corporation purchased

4

,220

 shares in

2019

(

none

in

2020

and

2018

) under the program.