10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 10-Q

(Mark one)

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2014

OR

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                      to                     

Commission file number: 1-34534

ATHENS BANCSHARES CORPORATION

(Exact name of registrant as specified in its charter)

Tennessee	27-0920126
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

106 Washington Avenue, Athens, Tennessee	37303
(Address of principal executive offices)	(Zip Code)

(423) 745-1111

(Registrant’s telephone number, including area code)

Not Applicable

(Former name, former address and former fiscal year, if changed since last report)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  x    No  ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes  x    No  ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or a smaller reporting company. See definition of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer	¨	Accelerated filer	¨
Non-accelerated filer	¨  (Do not check if a smaller reporting company)	Smaller reporting company	x

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes  ¨    No  x

As of November 3, 2014, the number of shares of common stock outstanding was 1,801,701.

ATHENS BANCSHARES CORPORATION

Table of Contents

		Page No.
Part I. Financial Information
Item 1.	Financial Statements
	Consolidated Balance Sheets as of September 30, 2014 (unaudited) and December 31, 2013		1
	Consolidated Statements of Income for the Three and Nine Months Ended September 30, 2014 and 2013 (unaudited)		2
	Consolidated Statements of Comprehensive Income for the Three and Nine Months Ended September 30, 2014 and 2013 (unaudited)		3
	Consolidated Statements of Changes in Stockholders’ Equity for the Nine Months Ended September 30, 2014 (unaudited)		4
	Consolidated Statements of Cash Flows for the Nine Months Ended September 30, 2014 and 2013 (unaudited)		5
	Notes to Consolidated Financial Statements (unaudited)		6
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations		28
Item 3.	Quantitative and Qualitative Disclosures About Market Risk		33
Item 4.	Controls and Procedures		34
Part II. Other Information
Item 1.	Legal Proceedings		34
Item 1A.	Risk Factors		34
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds		35
Item 3.	Defaults Upon Senior Securities		35
Item 4.	Mine Safety Disclosures		35
Item 5.	Other Information		35
Item 6.	Exhibits		36
Signatures			37

Part I. FINANCIAL INFORMATION

Item  1. Financial Statements

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

CONSOLIDATED BALANCE SHEETS

	(Unaudited) September 30, 2014			December 31, 2013
ASSETS
Cash and due from banks	$	6,848,637		$	11,119,410
Interest-bearing deposits in banks		2,015,978			4,015,977
Total cash and cash equivalents		8,864,615			15,135,387
Securities available for sale		29,271,474			31,580,183
Investments, at cost		3,449,000			3,648,800
Loans, net of allowance for loan losses of $3,962,540 and $4,432,069 at September 30, 2014 and December 31, 2013, respectively		241,460,414			226,206,014
Premises and equipment, net		4,145,253			4,532,838
Accrued interest receivable		961,228			978,201
Cash surrender value of bank owned life insurance		10,024,505			9,812,685
Foreclosed real estate		1,092,500			413,150
Other assets		2,555,347			2,505,156
Total assets	$	301,824,336		$	294,812,414
LIABILITIES AND STOCKHOLDERS’ EQUITY
LIABILITIES
Deposits:
Noninterest-bearing	$	22,603,371		$	18,252,633
Interest-bearing		224,283,828			229,919,419
Total deposits		246,887,199			248,172,052
Accrued interest payable		136,310			152,897
Securities sold under agreements to repurchase		1,157,474			1,303,789
Federal Home Loan Bank advances		7,500,000			—
Accrued expenses and other liabilities		4,519,167			4,075,481
Total liabilities		260,200,150			253,704,219
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS’ EQUITY
Preferred stock, $0.01 par value; 10,000,000 shares authorized; none issued		—			—
Common stock, $0.01 par value; 50,000,000 shares authorized; 2,777,250 shares issued and 1,801,701 outstanding at September 30, 2014 and 1,890,990 outstanding at December 31, 2013		18,017			18,910
Additional paid-in capital		17,751,272			18,523,039
Common stock acquired by benefit plans:
Restricted stock		(419,879	)		(616,575	)
Unallocated common stock held by:
Employee Stock Ownership Plan Trust		(1,629,320	)		(1,629,320	)
Retained earnings		25,667,432			24,880,822
Accumulated other comprehensive income (loss)		236,664			(68,681	)
Total stockholders’ equity		41,624,186			41,108,195
Total liabilities and stockholders’ equity	$	301,824,336		$	294,812,414

The accompanying notes are an integral part of these consolidated financial statements.

1

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2014		2013		2014		2013
Interest and dividend income:
Loans, including fees	$	3,224,048	$	3,163,920	$	9,626,449	$	9,624,714
Dividends		44,083		30,715		138,191		110,494
Securities and interest-bearing deposits in other banks		181,194		184,758		543,721		545,704
Total interest and dividend income		3,449,325		3,379,393		10,308,361		10,280,912
Interest expense:
Deposits		430,235		511,850		1,359,319		1,554,503
Fed funds purchased and securities sold under agreements to repurchase		283		346		797		1,218
Federal Home Loan Bank advances		276		13,936		276		78,278
Total interest expense		430,794		526,132		1,360,392		1,633,999
Net interest income		3,018,531		2,853,261		8,947,969		8,646,913
Provision for loan losses		31,985		73,418		85,147		281,090
Net interest income after provision for loan losses		2,986,546		2,779,843		8,862,822		8,365,823
Noninterest income:
Customer service fees		545,509		522,396		1,553,094		1,522,228
Other charges and fees		457,235		402,198		1,224,991		1,233,402
Investment sales commissions		132,036		128,677		442,430		397,204
Increase in cash surrender value of life insurance		87,269		91,694		260,283		269,964
Other noninterest income		165,144		125,427		408,867		470,289
Total noninterest income		1,387,193		1,270,392		3,889,665		3,893,087
Noninterest expenses:
Salaries and employee benefits		1,784,930		1,778,958		5,358,682		5,332,841
Occupancy and equipment		402,069		390,252		1,194,000		1,141,324
Federal deposit insurance premiums		47,000		54,576		138,000		141,948
Data processing		266,156		400,273		760,929		994,586
Advertising		59,074		44,991		154,544		119,513
Other operating expenses		697,043		690,039		1,995,672		2,055,249
Total noninterest expenses		3,256,272		3,359,089		9,601,827		9,785,461
Net income before income taxes		1,117,467		691,146		3,150,660		2,473,449
Income tax expense		367,483		194,048		1,070,745		769,918
Net income	$	749,984	$	497,098	$	2,079,915	$	1,703,531
Earnings per common share
Basic	$	0.46	$	0.26	$	1.25	$	0.85
Diluted	$	0.43	$	0.24	$	1.17	$	0.81
Dividends per common share	$	0.05	$	0.05	$	0.15	$	0.15

The accompanying notes are an integral part of these consolidated financial statements.

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ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2014			2013			2014			2013
Net income	$	749,984		$	497,098		$	2,079,915		$	1,703,531
Other comprehensive income (loss), before tax:
Unrealized holding gains (losses) on securities available for sale		66,857			(270,579	)		492,492			(816,537	)
Income tax (expense) benefit related to other comprehensive income items		(25,406	)		102,820			(187,147	)		310,284
Other comprehensive income (loss), net of tax		41,451			(167,759	)		305,345			(506,253	)
Comprehensive income	$	791,435		$	329,339		$	2,385,260		$	1,197,278

The accompanying notes are an integral part of these consolidated financial statements.

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ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY

Nine Months Ended September 30, 2014

(Unaudited)

	Shares of Common Stock			Common Stock			Additional Paid-In Capital			Retained Earnings			Common Stock Acquired By Benefit Plans			Accumulated Other Comprehensive Income (Loss)			Total
Balance, December 31, 2013		1,890,990		$	18,910		$	18,523,039		$	24,880,822		$	(2,245,895	)	$	(68,681	)	$	41,108,195
Net income					—			—			2,079,915			—			—			2,079,915
Other comprehensive income					—			—			—			—			305,345			305,345
Dividends - $0.15 per share					—			—			(250,400	)		—			—			(250,400	)
Release of restricted stock plan shares					—			(196,696	)		—			196,696			—			—
Stock compensation expense					—			262,821			—			—			—			262,821
Repurchase and retirement of Company common stock		(96,430	)		(964	)		(919,942	)		(1,042,905	)		—			—			(1,963,811	)
Issuance of Company common stock		7,141			71			82,050			—			—			—			82,121
Balance, September 30, 2014		1,801,701		$	18,017		$	17,751,272		$	25,667,432		$	(2,049,199	)	$	236,664		$	41,624,186

The accompanying notes are an integral part of these consolidated financial statements.

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ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

	Nine Months Ended
	September 30, 2014			September 30, 2013
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$	2,079,915		$	1,703,531
Adjustments to reconcile net income to net cash provided byoperating activities:
Depreciation		470,079			412,998
Amortization of securities and other assets		204,039			316,948
Provision for loan losses		85,147			281,090
Deferred income taxes		106,388			90,163
Other gains and losses, net		(39,918	)		(69,394	)
Stock compensation expense		262,821			262,821
Net change in:
Cash surrender value of life insurance, net		(211,820	)		(224,667	)
Accrued interest receivable		16,973			15,034
Accrued interest payable		(16,587	)		(10,703	)
Prepaid FDIC assessment		—			427,353
Other assets and liabilities		(402,391	)		295,426
Net cash provided by operating activities		2,554,646			3,500,600
CASH FLOWS FROM INVESTING ACTIVITIES:
Net change in interest-bearing deposits		—			249,000
Securities available for sale:
Purchases		(2,896,702	)		(7,301,386	)
Maturities, prepayments and calls		5,150,224			8,092,497
Sales		398,763			—
Investments, at cost:
Proceeds from redemption of FHLB stock		199,800			—
Loan originations and principal collections, net		(15,741,002	)		(5,887,485	)
Purchases of premises and equipment		(82,494	)		(414,706	)
Proceeds from sale of foreclosed real estate		209,251			458,703
Net cash used in investing activities		(12,762,160	)		(4,803,377	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Net (decrease) increase in deposits		(1,284,853	)		11,824,623
Net decrease in securities sold under agreements to repurchase		(146,315	)		(1,023,884	)
Net increase (decrease) in Federal Home Loan Bank advances		7,500,000			(3,000,000	)
Repurchase and retirement of Company common stock		(1,963,811	)		(4,889,585	)
Issuance of Company common stock		82,121			—
Dividends paid		(250,400	)		(305,915	)
Net cash provided by financing activities		3,936,742			2,605,239
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS		(6,270,772	)		1,302,462
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD		15,135,387			20,252,112
CASH AND CASH EQUIVALENTS, END OF PERIOD	$	8,864,615		$	21,554,574
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Interest paid on deposits and borrowed funds	$	1,376,979		$	1,644,702
Income taxes paid		987,136			968,013
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING ACTIVITIES:
Acquisition of real estate acquired through foreclosure	$	1,272,086		$	306,633
Financed sales of foreclosed real estate		419,000			321,293

The accompanying notes are an integral part of these consolidated financial statements.

5

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 1. Summary of Significant Accounting Policies

The accounting and reporting policies of Athens Bancshares Corporation (the “Company”) and subsidiary conform with United States generally accepted accounting principles (“GAAP”) and practices within the banking industry. Rules and interpretive releases of the Securities and Exchange Commission (“SEC”) are also sources of authoritative GAAP for SEC registrants.

The policies that materially affect financial condition and results of operations are summarized as follows:

Interim Financial Information (Unaudited)

The accompanying unaudited consolidated financial statements have been prepared in accordance with GAAP for interim financial information and in accordance with the instructions to Form 10-Q and Article 8 of Regulation S-X as promulgated by the SEC. Accordingly, they do not include all the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting only of normal recurring accruals) considered necessary for a fair presentation of the financial condition and results of operations for the periods presented have been included. Operating results for the three and nine months ended September 30, 2014, are not necessarily indicative of the results that may be expected for the full year or in any other period. For further information, refer to the Company’s consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013.

The Company has evaluated events and transactions for potential recognition and disclosure through the date the financial statements were issued.

Nature of operations

The Company is a holding company whose principal activity is the ownership and management of its wholly owned subsidiary, Athens Federal Community Bank (the “Bank”). The Bank provides a variety of financial services to individuals and corporate customers through its seven branches located in Athens, Sweetwater, Etowah, Madisonville, and Cleveland, Tennessee. The Bank’s primary deposit products include checking, savings, certificates of deposit, and IRA accounts. Its primary lending products are one-to-four family residential, commercial real estate, and consumer loans. Southland Finance, Inc. (“Southland”) is a consumer finance company with one branch located in Athens, Tennessee. Ti-Serv, Inc. (“Ti-Serv”) maintains the Bank’s investment in Valley Title Services, LLC (“Valley Title”). Southland and Ti-Serv are wholly-owned subsidiaries of the Bank. Valley Title is a wholly-owned subsidiary of Ti-Serv.

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ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 1. Summary of Significant Accounting Policies (Continued)

Use of estimates

The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the valuation of deferred tax assets, other-than-temporary impairment of securities, and the fair value of financial instruments.

Recent Accounting Pronouncements

In May 2014, the FASB issued Accounting Standards Update 2014-09, “Revenue from Contracts with Customers.” This update is a joint project with the International Accounting Standards Board initiated to clarify the principles for recognizing revenue and to develop a common revenue standard that is meant to remove inconsistencies and weaknesses in revenue requirements, provide a more robust framework for addressing revenue issues, improve comparability of revenue recognition practices, provide more useful information to users of financial statements and simplify the preparation of financial statements. The guidance in this update supersedes the revenue recognition requirements in Topic 605, “Revenue Recognition” and most industry-specific guidance throughout the Industry Topics of Codification. This update is effective for annual and interim periods beginning after December 15, 2016. The Company does not believe this update will have a significant impact on the consolidated financial statements.

The Company has determined that all other recently issued accounting pronouncements will not have a significant impact on its consolidated financial statements or do not apply to its operations.

Earnings Per Common Share

Basic earnings per share are computed by dividing income available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the Company.

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ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 1. Summary of Significant Accounting Policies (Continued)

The following is a summary of the basic and diluted earnings per share for the three months ended September 30, 2014 and 2013:

	Three Months Ended September 30,
	2014		2013
Numerator:
Net income	$	749,984	$	497,098
Denominator:
Weighted average common shares outstanding		1,638,797		1,947,833
Effect of dilutive stock options		116,772		83,807
Diluted shares		1,755,569		2,031,640
Basic earnings per share	$	0.46	$	0.26
Diluted earnings per share	$	0.43	$	0.24

The following is a summary of the basic and diluted earnings per share for the nine months ended September 30, 2014 and 2013:

	Nine Months Ended September 30,
	2014		2013
Numerator:
Net income	$	2,079,915	$	1,703,531
Denominator:
Weighted average common shares outstanding		1,663,191		2,011,161
Effect of dilutive stock options		108,856		84,674
Diluted shares		1,772,047		2,095,835
Basic earnings per share	$	1.25	$	0.85
Diluted earnings per share	$	1.17	$	0.81

Reclassifications

Certain amounts from prior period financial statements have been reclassified to conform to the current period’s presentation. The reclassifications had no effect on net income, total assets or stockholders’ equity as previously reported.

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ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 2. Securities

The amortized cost and estimated fair value of securities classified as available for sale and held to maturity at September 30, 2014 and December 31, 2013 are as follows:

	September 30, 2014
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Securities of U.S. Government agencies and corporations	$	2,659,618	$	5,127	$	(39,580	)	$	2,625,165
Mortgage-backed and related securities (1)		13,468,331		187,012		( 25,029	)		13,630,314
State and municipal securities		12,761,809		339,383		(85,197	)		13,015,995
	$	28,889,758	$	531,522	$	(149,806	)	$	29,271,474

	December 31, 2013
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Securities of U.S. Government agencies and corporations	$	5,825,027	$	14,733	$	(93,496	)	$	5,746,264
Mortgage-backed and related securities (1)		14,514,702		189,224		(66,861	)		14,637,065
State and municipal securities		11,351,230		153,436		(307,812	)		11,196,854
	$	31,690,959	$	357,393	$	(468,169	)	$	31,580,183

(1) Collateralized by residential mortgages and guaranteed by U.S. Government sponsored entities.

As of September 30, 2014 and December 31, 2013, the Company did not have any securities classified as held-to-maturity or as trading securities.

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ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 2. Securities (Continued)

The amortized cost and estimated market value of securities at September 30, 2014, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

	Amortized Cost		Fair Value
Due in one year or less	$	77,681	$	78,247
Due after one year through five years		6,141,439		6,171,221
Due five years to ten years		7,838,398		8,012,314
Due after ten years		1,363,909		1,379,378
Mortgage-backed securities		13,468,331		13,630,314
Total	$	28,889,758	$	29,271,474

The Company had no realized gains or losses for the nine month periods ended September 30, 2014 and 2013.

The Company has pledged securities with carrying values of approximately $17,259,000 and $17,507,000 to secure deposits of public and private funds as of September 30, 2014 and December 31, 2013, respectively.

Securities with gross unrealized losses at September 30, 2014 and December 31, 2013, aggregated by investment category and length of time that individual securities have been in a continuous loss position, are as follows:

	September 30, 2014
	Less than 12 Months					12 Months or Greater					Total
	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
	(dollars in thousands)
Securities of U.S. Government agencies and corporations	$	997	$	(3	)	$	962	$	(37	)	$	1,959	$	(40	)
State and municipal securities		—		—			3,110		(85	)		3,110		(85	)
Mortgage-backed and related securities		2,911		(17	)		826		(8	)		3,737		(25	)
	$	3,908	$	(20	)	$	4,898	$	(130	)	$	8,806	$	(150	)

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ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 2. Securities (Continued)

	December 31, 2013
	Less than 12 Months					12 Months or Greater					Total
	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
	(dollars in thousands)
Securities of U.S. Government agencies and corporations	$	1,905	$	(93	)	$	—	$	—		$	1,905	$	(93	)
State and municipal securities		5,104		(283	)		411		(25	)		5,515		(308	)
Mortgage-backed and related securities		8,332		(67	)		—		—			8,332		(67	)
	$	15,341	$	(443	)	$	411	$	(25	)	$	15,752	$	(468	)

Management performs periodic reviews for impairment in accordance with ASC Topic 320, Investments – Debt and Equity Securities.

At September 30, 2014, the 12 securities with unrealized losses had depreciated 1.67 percent from the Company’s amortized cost basis. At December 31, 2013, the 22 securities with unrealized losses had depreciated 2.89 percent from the Company’s amortized cost basis.

Most of these securities are guaranteed by either U.S. government corporations or agencies or had investment grade ratings upon purchase. Further, the issuers of these securities have not established any cause for default. The unrealized losses associated with these investment securities are primarily driven by changes in interest rates and are not due to the credit quality of the securities. These securities will continue to be monitored as a part of the Company’s ongoing impairment analysis, but are expected to perform even if the rating agencies reduce the credit rating of the bond insurers. Management evaluates the financial performance of each issuer on a quarterly basis to determine if it is probable that the issuers can make all contractual principal and interest payments.

Upon acquisition of a security, the Company determines the appropriate impairment model that is applicable. If the security is a beneficial interest in securitized financial assets, the Company uses the beneficial interests in securitized financial assets impairment model. If the security is not a beneficial interest in securitized financial assets, the Company uses the debt and equity securities impairment model. The Company conducts periodic reviews to evaluate each security to determine whether an other-than-temporary impairment has occurred. The Company does not have any securities that have been classified as other-than-temporarily-impaired at September 30, 2014.

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ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 3. Investments, at Cost

The Bank carries the following investments at cost because they are not readily marketable and there is no established market price for the investments. These investments are normally redeemed by the issuer at par value and may carry call or put options under certain circumstances. Investments carried at cost at September 30, 2014 and December 31, 2013 consist of:

	September 30, 2014		December 31, 2013
Federal Home Loan Bank of Cincinnati common stock	$	2,549,000	$	2,898,800
Tenth Street Fund III, L.P. investment		900,000		750,000
	$	3,449,000	$	3,648,800

Note 4. Loans and Allowances for Loan Losses

The Bank and Southland provide mortgage, consumer, and commercial lending services to individuals and businesses primarily in the East Tennessee area.

The Company’s loans consist of the following at September 30, 2014 and December 31, 2013:

	September 30, 2014			December 31, 2013
Mortgage loans on real estate:
Residential 1-4 family	$	90,948,984		$	88,414,921
Commercial real estate and multi-family		84,185,890			74,497,078
Construction and land		31,083,960			30,720,741
		206,218,834			193,632,740
Commercial loans		14,958,674			13,058,544
Consumer and equity lines of credit		24,993,800			24,732,518
Total loans		246,171,308			231,423,802
Less: Allowance for loan losses		(3,962,540	)		(4,432,069	)
Unearned interest and fees		(364,916	)		(396,470	)
Net deferred loan origination fees		(383,438	)		(389,249	)
Loans, net	$	241,460,414		$	226,206,014

12

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 4. Loans and Allowances for Loan Losses (Continued)

The following presents activity in the allowance for loan losses for the nine months ended September 30, 2014 and the year ended December 31, 2013:

	September 30, 2014			December 31, 2013
Beginning balance	$	4,432,069		$	4,475,302
Provision for loan losses		85,147			316,393
Loans charged-off		(613,999	)		(594,470	)
Recoveries		59,323			234,844
Ending balance	$	3,962,540		$	4,432,069

Loan impairment and any related valuation allowance is determined under the provisions established by ASC Topic 310. For all periods presented, impaired loans without a valuation allowance represent loans for which management believes that the collateral value of the loan is higher than the carrying value of that loan.

The allocation of the allowance for loan losses and recorded investment in loans by portfolio segment are as follows:

	September 30, 2014
	Commercial		Residential 1-4 Family		Commercial Real Estate and Multi- Family		Construction and Land		Consumer and Other		Unallocated		Total
Specified reserves- impaired loans	$	60,196	$	306,437	$	102,092	$	11,569	$	71,511	$	—	$	551,805
General reserves		285,273		864,735		1,140,145		610,692		456,154		53,736		3,410,735
Total reserves	$	345,469	$	1,171,172	$	1,242,237	$	622,261	$	527,665	$	53,736	$	3,962,540
Impaired loans	$	1,813,735	$	4,254,044	$	494,340	$	675,101	$	454,097	$	—	$	7,691,317
Performing loans		13,144,939		86,694,940		83,691,550		30,408,859		24,539,703		—		238,479,991
Total	$	14,958,674	$	90,948,984	$	84,185,890	$	31,083,960	$	24,993,800	$	—	$	246,171,308

13

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 4. Loans and Allowances for Loan Losses (Continued)

	December 31, 2013
	Commercial		Residential 1-4 Family		Commercial Real Estate and Multi- Family		Construction and Land		Consumer and Other		Unallocated		Total
Specified reserves- impaired loans	$	86,958	$	545,126	$	85,175	$	303,752	$	69,049	$	—	$	1,090,060
General reserves		244,980		897,380		1,023,783		652,974		461,508		61,384		3,342,009
Total reserves	$	331,938	$	1,442,506	$	1,108,958	$	956,726	$	530,557	$	61,384	$	4,432,069
Impaired loans	$	1,901,209	$	5,821,575	$	449,597	$	1,815,293	$	328,373	$	—	$	10,316,047
Performing loans		11,157,335		82,593,346		74,047,481		28,905,448		24,404,145		—		221,107,755
Total	$	13,058,544	$	88,414,921	$	74,497,078	$	30,720,741	$	24,732,518	$	—	$	231,423,802

The following table details the changes in the allowance for loan losses from December 31, 2012 to September 30, 2014 by class of loan:

	Commercial			Residential 1-4 Family			Commercial Real Estate and Multi- Family			Construction and Land			Consumer and Other			Unallocated			Total
Balance, December 31, 2012	$	686,065		$	1,348,922		$	1,074,995		$	818,984		$	545,476		$	860		$	4,475,302
Provision (reallocation) for loan losses		(500,574	)		257,300			33,963			235,242			229,938			60,524			316,393
Loans charged-off		—			(194,671	)		—			(97,500	)		(302,299	)		—			(594,470	)
Recoveries		146,447			30,955			—			—			57,442			—			234,844
Balance, December 31, 2013		331,938			1,442,506			1,108,958			956,726			530,557			61,384			4,432,069
Provision (reallocation) for loan losses		13,531			(238,709	)		371,978			(158,779	)		104,774			(7,648	)		85,147
Loans charged-off		—			(35,088	)		(238,699	)		(175,686	)		(164,526	)		—			(613,999	)
Recoveries		—			2,463			—			—			56,860			—			59,323
Balance, September 30, 2014	$	345,469		$	1,171,172		$	1,242,237		$	622,261		$	527,665		$	53,736		$	3,962,540

14

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 4. Loans and Allowances for Loan Losses (Continued)

The following tables present loans individually evaluated for impairment by class of loans as of September 30, 2014 and December 31, 2013:

	September 30, 2014
	Commercial		Residential 1-4 Family		Commercial Real Estate and Multi- Family		Construction and Land		Consumer and Other		Total
Impaired loans:
Without a valuation allowance	$	24,617	$	3,068,564	$	234,796	$	597,974		196,873	$	4,122,824
With a valuation allowance		1,789,118		1,185,480		259,544		77,127		257,224		3,568,493
Recorded investment in impaired loans	$	1,813,735	$	4,254,044	$	494,340	$	675,101	$	454,097	$	7,691,317
Unpaid principal balance of impaired loans	$	1,853,583	$	4,646,071	$	494,340	$	1,200,258	$	454,256	$	8,648,508
Valuation allowance related to impaired loans	$	60,196	$	306,437	$	102,092	$	11,569	$	71,511	$	551,805
Average investment in impaired loans	$	1,848,296	$	4,485,130	$	508,936	$	1,046,852	$	384,378	$	8,273,592
Interest income recognized on impaired loans	$	71,604	$	116,796	$	20,732	$	27,035	$	13,494	$	249,661

	December 31, 2013
	Commercial		Residential 1-4 Family		Commercial Real Estate and Multi- Family		Construction and Land		Consumer and Other		Total
Impaired loans:
Without a valuation allowance	$	47,141	$	3,285,685	$	247,422	$	346,571	$	78,393	$	4,005,212
With a valuation allowance		1,854,068		2,535,890		202,175		1,468,722		249,980		6,310,835
Recorded investment in impaired loans	$	1,901,209	$	5,821,575	$	449,597	$	1,815,293	$	328,373	$	10,316,047
Unpaid principal balance of impaired loans	$	1,941,056	$	6,232,048	$	449,597	$	2,752,396	$	328,843	$	11,703,940
Valuation allowance related to impaired loans	$	86,958	$	545,126	$	85,175	$	303,752	$	69,049	$	1,090,060
Average investment in impaired loans	$	1,878,458	$	8,658,167	$	880,839	$	1,869,016	$	327,904	$	13,614,384
Interest income recognized on impaired loans	$	101,112	$	353,260	$	55,697	$	7,275	$	20,066	$	537,410

15

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 4. Loans and Allowances for Loan Losses (Continued)

The following tables present an aged analysis of past due loans:

	September 30, 2014
	30-89 Days Past Due		Greater Than 90 Days Past Due and Non- Accrual		Total Past Due		Current Loans		Total Loans		Recorded Investment ³ 90 Days Past Due and Accruing
Residential 1-4 family	$	280,432	$	2,852,597	$	3,133,029	$	87,815,955	$	90,948,984	$	—
Commercial real estate and multifamily		—		320,624		320,624		83,865,266		84,185,890		—
Construction and land		34,338		309,701		344,039		30,739,921		31,083,960		—
Commercial		26,315		—		26,315		14,932,359		14,958,674		—
Consumer and other		209,740		61,814		271,554		24,722,246		24,993,800		14,739
Total	$	550,825	$	3,544,736	$	4,095,561	$	242,075,747	$	246,171,308	$	14,739

	December 31, 2013
	30-89 Days Past Due		Greater Than 90 Days Past Due and Non- Accrual		Total Past Due		Current Loans		Total Loans		Recorded Investment ³ 90 Days Past Due and Accruing
Residential 1-4 family	$	915,785	$	2,440,384	$	3,356,169	$	85,058,752	$	88,414,921	$	20,128
Commercial real estate and multifamily		—		96,055		96,055		74,401,023		74,497,078		—
Construction and land		381,336		1,402,960		1,784,296		28,936,445		30,720,741		—
Commercial		24,515		47,141		71,656		12,986,888		13,058,544		—
Consumer and other		341,647		56,953		398,600		24,333,918		24,732,518		27,182
Total	$	1,663,283	$	4,043,493	$	5,706,776	$	225,717,026	$	231,423,802	$	47,310

Credit quality indicators:

Federal regulations require the Company to review and classify its assets on a regular basis. There are three classifications for problem assets: substandard, doubtful, and loss. “Substandard assets” must have one or more defined weaknesses and are characterized by the distinct possibility that we will sustain some loss if the deficiencies are not corrected. “Doubtful assets” have the weaknesses of substandard assets with the additional characteristic that the weaknesses make collection or liquidation in full on the basis of currently existing facts, conditions and values questionable, and there is a high possibility of loss. An asset classified “loss” is considered uncollectible and of such little value that continuance as an asset of the institution is not warranted. The regulations also provide for a “special mention” category, described as assets which do not currently expose an institution to a sufficient degree of risk to warrant classification but do possess credit deficiencies or potential weaknesses deserving close attention. When the Company classifies an asset as substandard or doubtful, it may establish a specific allowance for loan losses.

16

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 4. Loans and Allowances for Loan Losses (Continued)

The following outlines the amount of each loan classification and the amount categorized into each risk rating class:

	September 30, 2014
	Pass		Special Mention		Substandard		Doubtful		Loss		Total
Residential 1-4 family	$	84,187,210	$	2,507,730	$	4,254,044	$	—	$	—	$	90,948,984
Commercial real estate and multifamily		83,691,550		—		494,340		—		—		84,185,890
Construction and land		28,744,715		1,664,144		675,101		—		—		31,083,960
Commercial		13,129,481		15,458		1,813,735		—		—		14,958,674
Consumer and other		24,293,410		246,293		454,097		—		—		24,993,800
Total	$	234,046,366	$	4,433,625	$	7,691,317	$	—	$	—	$	246,171,308

	December 31, 2013
	Pass		Special Mention		Substandard		Doubtful		Loss		Total
Residential 1-4 family	$	81,288,044	$	1,305,302	$	5,821,575	$	—	$	—	$	88,414,921
Commercial real estate and multifamily		73,918,715		128,766		449,597		—		—		74,497,078
Construction and land		27,155,327		1,750,121		1,815,293		—		—		30,720,741
Commercial		11,157,335		—		1,901,209		—		—		13,058,544
Consumer and other		24,159,285		244,860		328,373		—		—		24,732,518
Total	$	217,678,706	$	3,429,049	$	10,316,047	$	—	$	—	$	231,423,802

A modification of a loan constitutes a troubled debt restructuring (“TDR”) when a borrower is experiencing financial difficulty and the modification constitutes a concession. By granting the concession, the Company expects to increase the probability of collection by more than would be expected by not granting the concession. The Company’s determination of whether a modification is a TDR considers the facts and circumstances surrounding each respective modification.

The following tables present information related to loans modified in a TDR:

	Nine Months Ended September 30, 2014
	Number Of Loans		Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Residential 1-4 family		—	$	—	$	—
Commercial real estate and multifamily		—		—		—
Construction and land		—		—		—
Commercial		—		—		—
Consumer and other		10		10,921		10,921
		10	$	10,921	$	10,921

17

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 4. Loans and Allowances for Loan Losses (Continued)

	Nine Months Ended September 30, 2013
	Number Of Loans		Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Residential 1-4 family		1	$	64,586	$	64,586
Commercial real estate and multifamily		—		—		—
Construction and land		—		—		—
Commercial		—		—		—
Consumer and other		8		36,183		18,081
		9	$	100,769	$	82,667

The following tables set forth loans modified in a TDR from October 1 through September 30, for each respective period, that subsequently defaulted (i.e., 60 days or more past due following a modification):

	Twelve Months Ended September 30, 2014
	Number Of Loans		Outstanding Recorded Investment at Default
Residential 1-4 family		—	$	—
Commercial real estate and multifamily		—		—
Construction and land		—		—
Commercial		—		—
Consumer and other		2		11,258
		2	$	11,258

	Twelve Months Ended September 30, 2013
	Number Of Loans		Outstanding Recorded Investment at Default
Residential 1-4 family		—	$	—
Commercial real estate and multifamily		1		5,353
Construction and land		—		—
Commercial		—		—
Consumer and other		2		7,205
		3	$	12,558

18

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 5. Fair Value Disclosures

The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. In accordance with ASC Topic 820, Fair Value Measurements and Disclosures, the fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is best determined based upon quoted market prices. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument.

ASC Topic 820 provides a consistent definition of fair value, which focuses on exit price in an orderly transaction between market participants at the measurement date under current market conditions. If there has been a significant decrease in the volume and level of activity for the asset or liability, a change in valuation technique or the use of multiple valuation techniques may be appropriate. In such instances, determining the price at which willing market participants would transact at the measurement date under current market conditions depends on the facts and circumstances and requires the use of significant judgment. The fair value is a reasonable point within the range that is most representative of fair value under current market conditions.

ASC Topic 820 also establishes a three-tier fair value which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value, as follows:

Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access.

Level 2 - Significant other observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities in active markets, quoted prices in markets that are not active and other inputs that are observable or can be corroborated by observable market data.

Level 3 - Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability.

A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. There have been no changes in the methodologies used at September 30, 2014 and December 31, 2013.

The following methods and assumptions were used by the Company in estimating fair value disclosures for financial instruments.

19

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 5. Fair Value Disclosures (Continued)

Cash, cash equivalents, and interest-bearing deposits in banks:

The carrying amounts of cash, cash equivalents, and interest-bearing deposits in banks approximate fair values based on the short-term nature of the assets. These assets are included in Level 1 of the valuation hierarchy.

Securities:

Fair values are estimated using pricing models and discounted cash flows that consider standard input factors such as observable market data, benchmark yields, interest rate volatilities, broker/dealer quotes, and credit spreads. Securities classified as available for sale are reported at fair value utilizing Level 2 inputs.

Investments, at cost:

The carrying value of investments at cost approximate fair value. These assets are included in Level 3 of the valuation hierarchy.

Loans:

For variable-rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values. Fair value for fixed-rate loans are estimated using discounted cash flow analyses, using market interest rates for comparable loans. These are reflected within Level 3 of the valuation hierarchy. The Company does not record loans at fair value on a recurring basis. However, from time to time, a loan is considered impaired and an allowance for loan losses is established. Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement are considered impaired. Once a loan is identified as individually impaired, management measures impairment in accordance with ASC Topic 310, Receivables. The fair value of impaired loans is estimated using several methods including collateral value, liquidation value and discounted cash flows. Those impaired loans not requiring an allowance represent loans for which the fair value of the expected repayments or collateral exceed the recorded investments in such loans. At September 30, 2014, substantially all of the total impaired loans were evaluated based on the fair value of collateral. In accordance with ASC Topic 310, impaired loans where an allowance is established based on the fair value of collateral require classification in the fair value hierarchy. When the fair value of the collateral is based on the observable market price or a current, independent appraised value, the Company records the impaired loan as nonrecurring Level 2. The Company records the impaired loan as nonrecurring Level 3 when management has become aware of events that have significantly impacted the condition or marketability of the collateral since the most recent appraisal which are not observable market prices. Also, certain impaired loans recorded as nonrecurring Level 3 are evaluated based on a discounted cash flow methodology comparing the contractual rate against the modified rate. In this case, management will reduce the appraisal value based on factors determined by their judgment and collective knowledge of the collateral and market conditions.

20

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 5. Fair Value Disclosures (Continued)

Cash surrender value of bank owned life insurance:

The carrying amounts of cash surrender value of bank owned life insurance approximate their fair value. The carrying amount is based on information received from the insurance carriers indicating the financial performance of the policies and the amount the Company would receive should the policies be surrendered. The Company reflects these assets within Level 2 of the valuation hierarchy.

Foreclosed real estate:

Foreclosed real estate consisting of properties obtained through foreclosure or in satisfaction of loans is initially recorded at fair value, determined on the basis of current appraisals, comparable sales, and other estimates of value obtained principally from independent sources, adjusted for estimated selling costs. At the time of foreclosure, any excess of the loan balance over the fair value of the real estate held as collateral is treated as a charge against the allowance for loan losses. Gains or losses on sale and any subsequent adjustments to the fair value are recorded as a component of foreclosed real estate expense. Foreclosed real estate is included in Level 2 of the valuation hierarchy.

Deposits:

The fair value of deposits with no stated maturity, such as noninterest-bearing demand deposits and NOW, money market, and savings accounts, is equal to the amount payable on demand at the reporting date. The fair value of time deposits is based on the discounted value of contractual cash flows, and is included in Level 3 of the valuation hierarchy. The discount rate is estimated using the rates currently offered for deposits of similar remaining maturities.

Securities sold under agreements to repurchase:

The estimated fair value of these liabilities, which are extremely short term, approximates their carrying value. These liabilities are included in Level 3 of the valuation hierarchy.

Federal Home Loan Bank advances:

Rates currently available to the Company for debt with similar terms and remaining maturities are used to estimate the fair value of existing debt. These liabilities are included in Level 3 of the valuation hierarchy.

Accrued interest:

The carrying amounts of accrued interest approximate fair value. These assets and liabilities are included in Level 3 of the valuation hierarchy.

21

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 5. Fair Value Disclosures (Continued)

Commitments to extend credit, letters of credit and lines of credit:

The fair value of commitments is estimated using the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counterparties. For fixed-rate loan commitments, fair value also considers the difference between current levels of interest rates and the committed rates.

The tables below present the recorded amount of assets measured at fair value on a recurring basis:

	Balance as of September 30, 2014		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Unobservable Inputs (Level 3)
Securities available for sale:
Securities of U.S. Government agencies and corporations	$	2,625,165	$	—	$	2,625,165	$	—
Mortgage-backed securities		13,630,314		—		13,630,314		—
State and municipal securities		13,015,995		—		13,015,995		—
Total securities available for sale	$	29,271,474	$	—	$	29,271,474	$	—

	Balance as of December 31, 2013		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Unobservable Inputs (Level 3)
Securities available for sale:
Securities of U.S. Government agencies and corporations	$	5,746,264	$	—	$	5,746,264	$	—
Mortgage-backed securities		14,637,065		—		14,637,065		—
State and municipal securities		11,196,854		—		11,196,854		—
Total securities available for sale	$	31,580,183	$	—	$	31,580,183	$	—

At September 30, 2014 and December 31, 2013, the Company had no assets or liabilities whose fair values are measured on a recurring basis using Level 3 inputs. Additionally, there were no transfers between Levels 1 and 2 during the nine months ended September 30, 2014.

22

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 5. Fair Value Disclosures (Continued)

The tables below present information about assets for which a nonrecurring change in fair value was recorded:

	Balance as of September 30, 2014		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Unobservable Inputs (Level 3)
Impaired loans	$	3,016,688	$	—	$	1,286,973	$	1,729,715
Foreclosed real estate		1,092,500		—		1,092,500		—

	Balance as of December 31, 2013		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Unobservable Inputs (Level 3)
Impaired loans	$	5,220,775	$	—	$	2,623,325	$	2,597,450
Foreclosed real estate		413,150		—		413,150		—

The carrying amount and estimated fair value of the Company’s financial instruments at September 30, 2014 and December 31, 2013 are as follows:

	September 30, 2014				December 31, 2013
	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
Financial assets:
Cash and cash equivalents	$	8,864,615	$	8,864,615	$	15,135,387	$	15,135,387
Securities available for sale		29,271,474		29,271,474		31,580,183		31,580,183
Investments, at cost		3,449,000		3,449,000		3,648,800		3,648,800
Loans, net		241,460,414		241,456,667		226,206,014		227,272,387
Cash surrender value of bank owned life insurance		10,024,505		10,024,505		9,812,685		9,812,685
Accrued interest receivable		961,228		961,228		978,201		978,201
Financial liabilities:
Deposits		246,887,199		250,800,116		248,172,052		252,724,560
Securities sold under agreements to repurchase		1,157,474		1,157,474		1,303,789		1,303,789
Federal Home Loan Bank advances		7,500,000		7,500,000		—		—
Accrued interest payable		136,310		136,310		152,897		152,897
Unrecognized financial instruments (net of contract amount):
Commitments to extend credit		—		—		—		—
Letters of credit		—		—		—		—
Lines of credit		—		—		—		—

23

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 6. Stock Options, ESOP, and Restricted Shares

2010 Equity Incentive Plan

The Athens Bancshares Corporation 2010 Equity Incentive Plan (“the 2010 Plan”) was approved by the Company’s stockholders at the annual meeting of stockholders held on July 14, 2010. Under the terms of the 2010 Plan, the Company may grant restricted stock awards and stock options to its employees, officers, and directors. The purpose of the 2010 Plan is to promote the success of the Company by linking the personal interests of its employees, officers, and directors to the interest of the Company’s shareholders, and by providing participants with an incentive for remarkable performance. All of the Company’s employees, officers, and directors are eligible to participate in the 2010 Plan.

Under terms of the 2010 Plan, the Company is authorized to issue up to 277,725 stock options and up to 111,090 shares of restricted stock.

Stock Options:

The Company granted stock options to its directors, officers, and employees on December 15, 2010. Both incentive stock options and non-qualified stock options were granted under the 2010 Plan. The exercise price for each option was equal to the market price of the Company’s stock on the date of grant and the maximum term of each option is ten years. The vesting period for all options is five years, pro rata, from the date of grant. The Company recognizes compensation expense over the vesting period, based on the grant-date fair value of the options granted. The fair value of each option granted is estimated on the date of grant using the Black-Scholes option-pricing model. For both the nine months ended September 30, 2014 and 2013, the Company recorded stock compensation expense of $40,612. At September 30, 2014, the total remaining compensation cost to be recognized on non-vested options is approximately $54,150.

A summary of the activity in the 2010 Plan for the nine months ended September 30, 2014, is presented in the following table:

	Nine Months Ended September 30, 2014
	Shares			Average Exercise Price		Aggregate Intrinsic Value (1)
Outstanding at December 31, 2013		236,062		$	11.50		—
Granted		—			N/A		—
Exercised		(7,141	)	$	11.50		—
Forfeited		—			N/A		—
Outstanding at September 30, 2014		228,921		$	11.50	$	2,339,573
Options exercisable at September 30, 2014		134,496		$	11.50	$	1,374,549

(1) The aggregate intrinsic value of a stock option in the table above represents the total pre-tax intrinsic value (the amount by which the current market value of the underlying stock exceeds the exercise price of the option) that would have been received by the option holders had all option holders exercised their options on September 30, 2014. This amount changes based on changes in the market value of the Company’s stock.

24

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 6. Stock Options, ESOP, and Restricted Shares (Continued)

2010 Equity Incentive Plan (Continued)

Other information regarding options outstanding and exercisable as of September 30, 2014, is as follows:

	Options Outstanding						Options Exercisable
Exercise Price	Number of Shares		Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life In Years		Number of Shares		Weighted- Average Exercise Price
$11.50		228,921	$	11.50		6.25		134,496	$	11.50

Information pertaining to non-vested options for the nine months ended September 30, 2014, is as follows:

	Number of Shares		Weighted Average Grant Date Fair Value
Non-vested options, December 31, 2013		94,425	$	1.27
Granted		—		—
Vested		—		—
Forfeited		—		—
Non-vested options, September 30, 2014		94,425	$	1.27

Restricted Stock:

On January 19, 2011, the Company awarded 94,426 shares of restricted stock to its directors, officers, and employees pursuant to the terms of the 2010 Plan. Compensation expense associated with the performance-based share awards is recognized over the time period that the restrictions associated with the awards lapse based on the total cost of the award, which is the fair market value of the stock on the date of the grant. The closing price on the date of the grants issued on January 19, 2011 was $12.75 per share.

On December 19, 2012, the Company awarded 16,664 shares of restricted stock to its officers and employees pursuant to the terms of the 2010 Plan. The closing price on the date of the grants issued on December 19, 2012 was $16.65.

For both the nine months ended September 30, 2014 and 2013, the Company recognized $222,209 in compensation expense attributable to restricted shares that have been awarded. At September 30, 2014, the total remaining compensation cost to be recognized on non-vested restricted stock is approximately $721,861.

25

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 6. Stock Options, ESOP, and Restricted Shares (Continued)

2010 Equity Incentive Plan (Continued)

A summary of activity for unvested restricted awards for the nine months ended September 30, 2014 is as follows:

	Number			Grant Date Weighted- Average Cost
Unvested at December 31, 2013		69,987		$	13.49
Shares awarded		—			—
Restrictions lapsed and shares released		(18,885	)		12.75
Shares forfeited		—			—
Unvested at September 30, 2014		51,102		$	13.76

Employee Stock Ownership Plan (ESOP)

The Bank sponsors a leveraged ESOP that covers substantially all employees who meet certain age and eligibility requirements. As part of the Company’s initial public offering, the ESOP purchased 222,180 shares, or approximately 8% of the 2,777,250 shares issued, with the proceeds of a 15 year loan from the Company which is payable in annual installments and bears interest at 3.25% per annum.

The Bank has committed to make contributions to the ESOP sufficient to support the debt service of the loan. The loan is secured by the unallocated shares, which are held in a suspense account, and are allocated among the participants as the loan is repaid. Cash dividends paid on allocated shares are distributed to the participant and cash dividends paid on unallocated shares are used to repay the outstanding debt of the ESOP.

ESOP shares are held by the plan trustee in a suspense account until allocated to participant accounts. Shares released from the suspense account are allocated to participants on the basis of their relative compensation in the year of allocation. Participants become vested in the allocated shares upon four years of employment with the Bank. Any forfeited shares are allocated to other participants in the same proportion as contributions.

As ESOP shares are allocated to participants, the Bank recognizes compensation expense equal to the fair value of the earned ESOP shares. No compensation expense has been recorded for the nine months ended September 30, 2014 or 2013.

26

ATHENS BANCSHARES CORPORATION AND SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 6. Stock Options, ESOP, and Restricted Shares (Continued)

Employee Stock Ownership Plan (ESOP) (Continued)

A detail of ESOP shares is as follows:

	September 30, 2014		December 31, 2013
Allocated shares		59,248		59,248
Unallocated shares		162,932		162,932
Total ESOP shares		222,180		222,180
Fair value of unallocated shares	$	3,538,883	$	3,229,312

Note 7. Federal Home Loan Bank Advances

At September 30, 2014, the Bank had a short term advance outstanding of $7,500,000 with interest accruing at a rate of 0.13%. Pursuant to collateral agreements with the FHLB, the advance described above is secured by the Bank’s FHLB stock and qualifying first mortgage loans. The Bank had no outstanding balances at September 30, 2013.

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operation

Safe Harbor Statement for Forward-Looking Statements

This report may contain forward-looking statements within the meaning of the federal securities laws. These statements are not historical facts; rather they are statements based on the Company’s current expectations regarding its business strategies and their intended results and its future performance. Forward-looking statements are preceded by terms such as “expects,” “believes,” “anticipates,” “intends” and similar expressions.

Forward-looking statements are not guarantees of future performance. Numerous risks and uncertainties could cause or contribute to the Company’s actual results, performance and achievements being materially different from those expressed or implied by the forward-looking statements. Factors that may cause or contribute to these differences include, without limitation, general economic conditions, including changes in market interest rates and changes in monetary and fiscal policies of the federal government; legislative and regulatory changes; the quality and composition of the loan and investment securities portfolio; loan demand; deposit flows; competition; and changes in accounting principles and guidelines. Additional factors that may affect our results are discussed in our Annual Report on Form 10-K for the year ended December 31, 2013 under “Item 1A. Risk Factors.” These factors should be considered in evaluating the forward-looking statements and undue reliance should not be placed on such statements. Except as required by applicable law or regulation, the Company assumes no obligation and disclaims any obligation to update any forward-looking statements.

Critical Accounting Policies

During the nine-month period ended September 30, 2014, there was no significant change in the Company’s critical accounting policies or the application of critical accounting policies as disclosed in the Company’s audited consolidated financial statements and related footnotes for the year ended December 31, 2013 included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013.

Comparison of Financial Condition at September 30, 2014 and December 31, 2013

Assets. Total assets increased from $294.8 million at December 31, 2013 to $301.8 million at September 30, 2014.

Cash and Cash Equivalents. Total cash and cash equivalents decreased $6.2 million, or 41.4%, from $15.1 million at December 31, 2013 to $8.9 million at September 30, 2014. This decrease is due primarily to a $1.3 million decrease in interest bearing deposits in banks, a $15.7 million increase in gross loans, repurchases of Company common stock of $1.9 million and proceeds from sale of foreclosed real estate of $209,000, partially offset by increases in cash as a result of a $2.9 million reduction in securities and investments at cost and $7.5 million proceeds from a Federal Home Loan Bank advance. Other changes resulted in cash inflow from operating activities of $2.5 million.

Securities. Securities decreased $2.3 million, or 7.3%, from $31.6 million at December 31, 2013 to $29.3 million at September 30, 2014, primarily as a result of calls and principal repayments of agency, mortgage-backed and municipal securities of $3.1 million, $2.0 million and $55,000, respectively along with the sale of $399,000 of municipal securities. These items were partially offset by purchases of $1.9 million in municipal securities and $1.0 million in mortgage-backed securities. The remaining change in securities was due primarily to amortization and mark-to-market adjustments.

Loans. Net loans receivable increased $15.3 million, or 6.7%, from $226.2 million at December 31, 2013 to $241.5 million at September 30, 2014, primarily as a result of $2.5 million, $9.7 million, $363,000, $1.9 million and $261,000 increases in 1-4 family residential real estate, commercial real estate and multifamily loans, construction and land loans, commercial loans, and consumer and equity lines of credit, respectively. Other increases of $507,000 are a result of reduction in allowance for loan losses and unearned and deferred interest and fees. The increase in 1-4 family residential real estate is primarily a result of new loans generated from a newly implemented first-time homebuyers program and an increase in loans secured by 1-4 family residential properties used as rental properties. The increase in commercial real estate and multifamily loans was due primarily to the conversion of a $4.1 million hotel construction loan to permanent financing and two loans secured by assisted living facilities totaling $5.0 million, construction and land loans increased primarily due to advances on continuing construction projects, while commercial loans and consumer loans increased due to increased demand and additional marketing efforts.

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Deposits. Total deposits decreased $1.3 million, or 0.5%, from $248.2 million at December 31, 2013 to $246.9 million at September 30, 2014. The primary reason for the decrease in deposits was primarily due to decreases in certificates of deposit and money market accounts of $6.2 million and $2.3 million, respectively, partially offset by increases in demand and now accounts and savings accounts of $4.9 million and $2.3 million respectively. The decrease in certificates of deposit was primarily due to non-renewal of maturing certificates due to continued low market interest rates. The increase in demand and NOW accounts was primarily due to increased balances of three public entities and several small businesses together with an overall increase in the number of accounts.

Borrowings. As of September 30, 2014, a $7.5 million short term advance was outstanding from the Federal Home Loan Bank.

Stockholders’ Equity. Stockholders’ equity increased $516,000, or 1.3%, from $41.1 million at December 31, 2013 to $41.6 million at September 30, 2014. The primary reasons for the increase was net income for the first nine months of 2014 of $2.1 million, an unrealized gain on securities available for sale (net of tax) of $305,000 and increases of $263,000 and $82,000 in additional paid-in capital related to stock compensation expense for the period and issuance of additional common stock for the exercise of stock options, respectively. These increases were partially offset by decreases of $1.9 million and $250,000 related to repurchase and retirement of common stock and dividends declared and paid on outstanding shares (other than unallocated ESOP shares), respectively.

Results of Operations for the Three Months Ended September 30, 2014 and 2013

Overview. The Company reported net income of $750,000, or $0.46 basic earnings per share, for the three-month period ended September 30, 2014, compared to net income of $497,000, or $0.26 basic earnings per share, for the same period in 2013.

Net Interest Income. Net interest income after provision for loan losses increased $207,000, or 7.4%, to $3.0 million for the three months ended September 30, 2014 compared to $2.8 million for the same period in 2013.

Total interest and dividend income increased $70,000, or 2.1%, from $3.4 million for the three months ended September 30, 2013 to $3.4 million for the three months ended September 30, 2014. The increase was primarily the result of a $60,000 increase in interest on loans as well as an increase in dividends of $13,000, partially offset by a decrease in securities and interest bearing deposits in other banks of $4,000. The increase in interest on loans was due primarily to the combined effect of higher average outstanding balances and slightly higher average interest rates. Dividends increased primarily due to dividends on the investment in Tenth Street Fund during the 2014 period.

Total interest expense decreased $95,000, or 18.1%, from $526,000 for the three months ended September 30, 2013 to $431,000 for the three months ended September 30, 2014. The decrease was primarily a result of a $82,000 decrease in interest on deposits as well as a $13,000 decrease in interest on Federal Home Loan Bank advances. The primary reason for the decrease in interest on deposits was a reduction in market interest rates and decrease in certificates of deposits. The decrease in interest on Federal Home Loan Bank advances was due to the combined effect of lower average outstanding balances combined with lower average interest rates.

Provision for Loan Losses. The provision for loan losses was $32,000 for the three months ended September 30, 2014 compared to $73,000 for the same period in 2013.

Non-performing loans increased $900,000 from $2.6 million at June 30, 2014 to $3.5 million at September 30, 2014. Non-performing residential mortgage loans, commercial real estate and multifamily loans and construction and land loans increased $659,000, $231,000 and $84,000, respectively, while nonperforming consumer loans increased $32,000. The balance of non-performing loans at September 30, 2014 includes nonaccrual loans of $3.5 million. Residential mortgage loans of $15,000 were over 90 days past due but still accruing interest at September 30, 2014. The balance of nonaccrual loans at September 30, 2014 consists of $2.9 million in residential mortgage loans, $310,000 in construction and land loans, $321,000 in commercial real estate and multifamily and $47,000 in consumer loans.

29

Net charge-offs were $23,000 for the three months ended September 30, 2014 compared to $114,000 for the same period in 2013. Charge-offs totaling $46,000 were recorded during the quarter ended September 30, 2014 in connection consumer loans.

The allowance for loan losses was $4.0 million at September 30, 2014. Management has deemed this amount as adequate at that date based on its best estimate of probable known and inherent loan losses at that date.

Non-interest Income. Non-interest income increased $117,000, or 7.4%, to $1.4 million for the three months ended September 30, 2014 compared to $1.3 million for the same period in 2013, primarily due to increases in fees related to the origination, sale and servicing of mortgage loans on the secondary market, the origination and servicing of consumer and commercial loans, deposit related fees, investment sales commissions and an increase in income from Valley Title Services LLC of $66,000, $14,000, $17,000, $3,000 and $21,000, respectively. These increases were partially offset by a $4,000 decrease in the change in value of bank owned life insurance period over period.

The increase in fees related to the origination, sale and servicing of mortgage loans on the secondary market is primarily due to increased volume of these loans during the three months ended September 30, 2014 as compared to the same period in 2013. The increased volume is primarily a result of a decrease in market rates period over period. The increase in fees related to origination and servicing of consumer and commercial loans is primarily the result of increased volume as a result of increased marketing efforts. The increase in income from Valley Title Services, LLC is primarily due to an increase in mortgage volumes due to lower market interest rates period over period.

Non-interest Expense. Non-interest expense decreased $103,000, or 3.1%, to $3.3 million for the three months ended September 30, 2014 compared to $3.4 million for the same period in 2013. The primary factors effecting the change was a decrease in data processing expense and FDIC premiums of $134,000 and $8,000, respectively, partially offset by increases in advertising and other operating expense, occupancy and equipment expense, and salary and employee benefits expense of $21,000, $12,000 and $6,000, respectively.

The decreases in data processing expenses were the result of certain one-time costs from the Bank’s conversion to a new core processing system incurred in 2013, which were not repeated in 2014. The primary reason for the increase in advertising and other operating expense was increased marketing efforts and increase in charges related to debit cards due to an increase in the number of cards issued. The primary reason for the increase in occupancy and equipment expense was additional depreciation expense on computer hardware and software due to purchases. Salary and benefits expenses increased primarily because of cost of living adjustments.

Income Tax Expense. The Company had income tax expense of $367,000 for the three month period ended September 30, 2014 as compared to $194,000 for the same period in 2013. The increase in income tax expense was due primarily to the increase in taxable income period over period.

Total Comprehensive Income. Total comprehensive income for the periods presented consists of net income and the change in unrealized gains (losses) on securities available for sale, net of tax. Total comprehensive income was $791,000 for the three month period ended September 30, 2014 compared to total comprehensive income of $329,000 for the three month period ended September 30, 2013. The increase was primarily a result of a positive change of $209,000 in unrealized gains and losses on securities available for sale, net of tax and an increase in net income period over period of $253,000.

Results of Operations for the Nine Months Ended September 30, 2014 and 2013

Overview. The Company reported net income of $2.1 million, or $1.25 basic earnings per share, for the nine-month period ended September 30, 2014, compared to net income of $1.7 million, or $0.85 basic earnings per share, for the same period in 2013.

Net Interest Income. Net interest income after provision for loan losses increased $497,000, or 5.9%, to $8.9 million for the nine months ended September 30, 2014 compared to $8.4 million for the same period in 2013.

30

Total interest and dividend income increased $27,000, or 0.3%, from $10.3 million for the nine months ended September 30, 2013 to $10.3 million for the nine months ended September 30, 2014. The increase was primarily the result of a $28,000 increase in dividends on the Bank’s investment in Tenth Street Fund.

Total interest expense decreased $274,000, or 16.7%, from $1.6 million for the nine months ended September 30, 2013 to $1.3 million for the nine months ended September 30, 2014. The decrease was primarily a result of a $195,000 decrease in interest on deposits as well as a $78,000 decrease in interest on Federal Home Loan Bank advances. The primary reason for the decrease in interest on deposits was a reduction in market interest rates. The decrease in interest on Federal Home Loan Bank advances was due to lower balances of outstanding advances and lower interest rates period over period.

Provision for Loan Losses. The provision for loan losses was $85,000 for the nine months ended September 30, 2014 compared to $281,000 for the same period in 2013.

Non-performing loans decreased $545,000 from $4.1 million at December 31, 2013 to $3.5 million at September 30, 2014. Non-performing residential mortgage loans and commercial real estate and multifamily loans increased $407,000 and $225,000, respectively, while nonperforming construction and land loans, commercial loans and consumer loans decreased $1.9 million, $47,000 and $37,000, respectively. The decrease in construction and land loans was primarily due to the foreclosure and transfer to other real estate owned of a $1.1 million participation interest in a commercial development secured by land in Sevierville, Tennessee. The balance of non-performing loans at September 30, 2014 includes nonaccrual loans of $3.5 million. Residential mortgage loans of $15,000 were over 90 days past due but still accruing interest at September 30, 2014. The balance of nonaccrual loans at September 30, 2014 consists of $2.9 million in residential mortgage loans, $310,000 in construction and land loans, $321,000 in commercial real estate and multifamily and $47,000 in consumer loans.

Net charge-offs were $555,000 for the nine months ended September 30, 2014 compared to $280,000 for the same period in 2013. Charge-offs totaling $614,000 were recorded during the nine months ended September 30, 2014 in connection with residential mortgage loans ($35,000), commercial real estate and multifamily loans ($239,000), construction and land loans ($175,000), and consumer loans ($165,000).

The allowance for loan losses was $4.0 million at September 30, 2014. Management has deemed this amount as adequate at that date based on its best estimate of probable known and inherent loan losses at that date.

Non-interest Income. Non-interest income decreased $3,000, or 0.1%, to $3.9 million for the nine months ended September 30, 2014 compared to $3.9 million for the same period in 2013, primarily due to decreases in fees related to the origination, sale and servicing of mortgage loans on the secondary market, the change of market value of bank owned life insurance and income from Valley Title Services, LLC of $135,000, $10,000 and $8,000, respectively. These decreases were partially offset by increases income related to investment sales commissions, an increase of gain on sale of foreclosed real estate and other repossessed assets, increase in fees related to origination and servicing of consumer and commercial loans and an increase of fees on deposit accounts of $45,000, $49,000, $19,000 and $36,000, respectively. All other non-interest income decreased $1,000, net.

The decrease in fees related to the origination, sale and servicing of mortgage loans on the secondary market is primarily due to decreased volume of these loans during the nine months ended September 30, 2014 as compared to the same period in 2013. The decreased volume is primarily a result of an increase in market rates period over period. The reduction in income from Valley Title Services, LLC is primarily due to a decrease in mortgage volumes period over period. The increase in income related to investment sales commission was primarily due to increased sales of investment products during the first three months of 2014 as a result of a partial recovery of investment markets and customers seeking higher yielding investment alternatives in the continued low rate environment. The gain on sale of foreclosed real estate and other repossessed assets was primarily the result of gain on sale of real estate in Reliance, TN. The increase in fees related to the origination and servicing of consumer and commercial loans was primarily due to an increase in volume in these types of loans due to increased marketing efforts. The increase in deposit related fees was primarily the result of increased debit card related fees and the restructuring of deposit account fee structures, partially offset by a reduction in non-sufficient funds charges.

Non-interest Expense. Non-interest expense decreased $184,000, or 1.9%, to $9.6 million for the nine months ended September 30, 2014 compared to $9.8 million for the same period in 2013. The primary factors effecting the change were decreases in expenses related to data processing, federal deposit insurance premiums and other operating expenses of $234,000, 4,000 and $60,000, respectively. These decreases were partially offset by increases in occupancy and equipment expense, advertising expense and salary and employee benefits expense of

31

$53,000, $35,000 and $26,000, respectively. The decreases in data processing and other operating expenses were the result of certain one-time costs from the Bank’s conversion to a new core processing system incurred in 2013, which were not repeated in 2014. The primary reason for the increase in occupancy and equipment expense was additional depreciation expense on computer hardware and software due to purchases. Salary and benefits expenses increased primarily because of cost of living adjustments.

Income Tax Expense. The Company had an income tax expense of $1.1 million for the nine month period ended September 30, 2014 as compared to $770,000 for the same period in 2013. The increase in income tax expense was due primarily to the increase in taxable income period over period.

Total Comprehensive Income. Total comprehensive income for the periods presented consists of net income and the change in unrealized gains (losses) on securities available for sale, net of tax. Total comprehensive income was $2.4 million for the nine-month period ended September 30, 2014 compared to total comprehensive income of $1.2 million for the nine-month period ended September 30, 2013. The increase was primarily a result of a positive change of $812,000 in unrealized gains and losses on securities available for sale, net of tax and an increase in net income period over period of $376,000.

Liquidity and Capital Resources

Liquidity Management. Liquidity is the ability to meet current and future financial obligations of a short-term nature. The Bank’s primary sources of funds consist of deposit inflows, loan repayments, maturities and sales of investment securities and borrowings from the Federal Home Loan Bank of Cincinnati. While maturities and scheduled amortization of loans and securities are predictable sources of funds, deposit flows and mortgage prepayments are greatly influenced by general interest rates, economic conditions and competition.

The Bank regularly adjusts its investments in liquid assets based upon an assessment of (i) expected loan demand, (ii) expected deposit flows, (iii) yields available on interest-earning deposits and securities and (iv) the objectives of its asset/liability management policy.

The Bank’s most liquid assets are cash and cash equivalents and interest-bearing deposits. The level of these assets depends on the Bank’s operating, financing, lending and investing activities during any given period. At September 30, 2014, cash and cash equivalents totaled $8.9 million. At September 30, 2014, securities classified as available-for-sale and not pledged against deposits, which amounted to $12.0 million, provide an additional source of liquidity. In addition, at September 30, 2014, the Bank had the ability to borrow a total of approximately $38.7 million from the Federal Home Loan Bank of Cincinnati. At September 30, 2014, the Bank had $7.5 million in Federal Home Loan Bank advances outstanding and $11.8 million in letters of credit to secure public funds deposits.

The Bank must maintain an adequate level of liquidity to ensure the availability of sufficient funds to support loan growth and deposit withdrawals, to satisfy financial commitments and to take advantage of investment opportunities. Historically, the Bank has been able to retain a significant amount of its deposits as they mature.

The Company is a separate legal entity from the Bank and must provide for its own liquidity. In addition to its operating expenses, the Company, on a stand-alone basis, is responsible for paying any dividends declared to its shareholders. The Company also seeks liquidity to fund any repurchases of its common stock. The Company’s primary source of income is dividends received from the Bank. The amount of dividends that the Bank may declare and pay to the Company in any calendar year, without the receipt of prior approval from the Office of the Comptroller of the Currency but with prior notice to the Federal Reserve Board, cannot exceed net income for that year to date plus retained net income (as defined) for the preceding two calendar years. On a stand-alone basis, the Company had liquid assets of $5.1 million at September 30, 2014.

Capital Management. The Bank is required to maintain specific amounts of capital pursuant to federal regulatory requirements. As of September 30, 2014, the Bank was in compliance with all regulatory capital requirements, which were effective as of such date, with tangible, core, tier 1 risk-based capital, and total risk-based capital ratios of 11.3%, 11.3 %, 15.5%, and 16.7%, respectively. The regulatory requirements at that date were 1.5%, 4.0%, 4.0%, and 8.0%, respectively. At September 30, 2014, the Bank was considered “well-capitalized” under applicable regulatory guidelines.

32

Dividends. The Board of Directors of the Company declared and paid dividends on the Company’s common stock of $250,000 during the nine months ended September 30, 2014. The dividend payout ratio for the first nine months of 2014, representing dividends per share divided by diluted earnings per share, was 12.8%. The dividend payout is continually reviewed by management and the Board of Directors.

Off-Balance Sheet Arrangements

In the normal course of operations, we engage in a variety of financial transactions that, in accordance with generally accepted accounting principles are not recorded in our financial statements. These transactions involve, to varying degrees, elements of credit, interest rate and liquidity risk. Such transactions are used primarily to manage customers’ requests for funding and take the form of loan commitments, unused lines of credit and letters of credit.

For the nine months ended September 30, 2014, the Company did not engage in any off-balance sheet transactions reasonably likely to have a material effect on the Company’s financial condition, results of operations or cash flows.

Item 3. Quantitative and Qualitative Disclosure About Market Risk

Qualitative Aspects of Market Risk

We manage the interest rate sensitivity of our interest-bearing liabilities and interest-earning assets in an effort to minimize the adverse effects of changes in the interest rate environment. Deposit accounts typically react more quickly to changes in market interest rates than mortgage loans because of the shorter maturities of deposits. To reduce the potential volatility of our earnings, we have sought to improve the match between asset and liability maturities and rates, while maintaining an acceptable interest rate spread. Our strategy for managing interest rate risk emphasizes: adjusting the maturities of borrowings; adjusting the investment portfolio mix and duration and generally selling in the secondary market substantially all newly originated fixed rate one-to-four-family residential real estate loans. We currently do not participate in hedging programs, interest rate swaps or other activities involving the use of derivative financial instruments.

We have an Asset/Liability Management Committee (“ALCO”), which includes members of management selected by the board of directors, to communicate, coordinate and control all aspects involving asset/liability management. The committee establishes and monitors the volume, maturities, pricing and mix of assets and funding sources with the objective of managing assets and funding sources to provide results that are consistent with liquidity, growth, risk limits and profitability goals.

Our goal is to manage asset and liability positions to moderate the effects of interest rate fluctuations on net interest margin and net interest income. Measurements which we use to help us manage interest rate sensitivity include earnings at risk simulation model and economic value of equity model.

Rate sensitivity/Earnings at Risk – The goal is to achieve a strong acceptable and consistent level of earnings over time. The ALCO has established risk tolerances for changes in net interest income from a base case of no change in interest rates to simulate changes in net interest income from rate shocks over a one-year period.

The established risk limits for changes both up and down in rates from the base case, limits in the decline in net interest income are for a 400bp change should not result in a decrease of more than 20%, a 300bp change should not result in a decrease of more than 15%, a 200bp change should not result in a decrease of more than 10% and a 100bp change should not result in a decrease of more than 5%.

Economic Value of Equity (“EVE”) identifies changes in the market value of capital based on exposure to interest rate risk resulting from a change in market value of the bank’s assets and liabilities due to changes in interest rates. The change in value is prepared by discounting the projected cash flows of all balance sheet categories.

The EVE is the difference between the present values of assets and liabilities. The measured change of this economic value, over a range of rate shocks indicates the degree of possible long-term exposure to future earnings. The bank’s EVE risk tolerance limits are that for a 400bp change in interest rates up or down, the EVE should not decrease by more than 25% from the base case; for a 300bp change in interest rates up or down, the EVE should not decrease by more than 20%; for a 200pb change in interest rates up or down the EVE should not decrease by more than 15%; and for a 100bp change in interest rates up or down the EVE should not decrease by more than 10%.

33

Our model results indicated that at we were in compliance with the policies noted above and that our balance sheet is slightly liability-sensitive. Liability-sensitive implies that our liabilities will reprice faster than our assets indicating an increase in interest rates would decrease our net interest margin. We continue to seek opportunities to decrease our cost of funding by reducing the level of funding provided by certificates of deposit and reducing rates as current certificates mature.

Each of the above analyses may not, on its own, be an accurate indicator of how our net interest income will be affected by changes in interest rates. These assumptions relate to interest rates, loan prepayment rates, deposit decay rates and the market values of certain assets under differing interest rate scenarios, among others. As with any method of measuring interest rate risk, certain shortcomings are inherent in the methods of analysis presented in the foregoing tables. For example, although certain assets and liabilities may have similar maturities or periods to repricing, they may react in different degrees to changes in market interest rates. Also, the interest rates on certain types of assets and liabilities may fluctuate in advance of changes in market interest rates, while interest rates on other types may lag behind changes in market rates. Additionally, certain assets, such as adjustable-rate mortgage loans, have features that restrict changes in interest rates on a short-term basis and over the life of the asset. Further, if there is a change in interest rates, expected rates of prepayments on loans and early withdrawals from certificates could deviate significantly from those assumed. Prepayment rates can have a significant impact on interest income. Because of the large percentage of loans and mortgage-backed securities we hold, rising or falling interest rates have a significant impact on the prepayment speeds of our earning assets that in turn affect the rate sensitivity position. When interest rates rise, prepayments tend to slow. When interest rates fall, prepayments tend to rise. Our liability sensitivity would be increased if prepayments slow and vice versa. While we believe these assumptions to be reasonable, there can be no assurance that assumed prepayment rates will approximate actual future mortgage-backed security and loan repayment activity.

Item 4. Controls and Procedures

The Company’s management, including the Company’s principal executive officer and principal financial officer, have evaluated the effectiveness of the Company’s “disclosure controls and procedures,” as such term is defined in Rule 13a-15(e) promulgated under the Securities Exchange Act of 1934, as amended, (the “Exchange Act”). Based upon their evaluation, the principal executive officer and principal financial officer concluded that, as of the end of the period covered by this report, the Company’s disclosure controls and procedures were effective for the purpose of ensuring that the information required to be disclosed in the reports that the Company files or submits under the Exchange Act with the Securities and Exchange Commission (the “SEC”) (1) is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and (2) is accumulated and communicated to the Company’s management, including its principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure. In addition, based on that evaluation, no change in the Company’s internal control over financial reporting occurred during the quarter ended September 30, 2014 that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

PART II. OTHER INFORMATION

Item 1. Legal Proceedings

The Company is not involved in any pending legal proceedings other than routine legal proceedings occurring in the ordinary course of business. The Company’s management believes that such routine legal proceedings, in the aggregate, are immaterial to the Company’s consolidated financial condition and results of operations.

Item 1A. Risk Factors

For information regarding the Company’s risk factors, see “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013, filed with the Securities and Exchange Commission on March 14, 2014. As of September 30, 2014, the risk factors of the Company have not changed materially from those disclosed in the Form 10-K.

34

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

Since the Company completed its initial public offering in January 2010, the Company’s board of directors has authorized seven stock repurchase programs for an aggregate of 1,032,207 shares. All of the repurchase programs have been publicly announced. As of September 30, 2014, the Company had repurchased an aggregate of 982,690 shares under these programs.

Under each repurchase programs, repurchases were or will be conducted through open market purchases, which may include purchases under a trading plan adopted pursuant to SEC Rule 10b5-1, or through privately negotiated transactions. Repurchases will be made from time to time, depending on market conditions and other factors. There is no guarantee as to the exact number of shares to be repurchased by the Company.

The following table provides information with respect to purchases made by or on behalf of the Company or any “affiliated purchaser” (as defined in Rule 10b-18(a)(3) under the Securities Exchange Act of 1934), of the Company’s common stock during the first quarter of 2014.

Period	Total Number of Shares Purchased		Average Price Paid Per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs		Maximum Number of Shares that May Yet Be Purchased Under the Plans or Programs
July 1 through July 31, 2014		511	$	22.05		511		66,573
August 1 through August 31, 2014		—		—		—		66,573
September 1 through September 30, 2014		4,228		23.05		4,228		62,345
Total		4,739	$	22.94		4,739		62,345

Item 3. Defaults Upon Senior Securities

Not applicable.

Item 4. Mine Safety Disclosures

Not applicable.

Item 5. Other Information.

Not applicable.

35

Item 6. Exhibits

No.	Description
3.1	Amended and Restated Charter of Athens Bancshares Corporation (1)
3.2	Amended and Restated Bylaws of Athens Bancshares Corporation (2)
4.1	Specimen Stock Certificate of Athens Bancshares Corporation (3)
10.1	Employment Agreement between Athens Federal Community Bank and Jeffrey L. Cunningham* (4)
10.2	Employment Agreement between Athens Federal Community Bank and Michael R. Hutsell* (4)
10.3	Employment Agreement between Athens Federal Community Bank and Jay Leggett, Jr*(5)
10.4	Employment Agreement between Athens Bancshares Corporation and Jeffrey L. Cunningham* (4)
10.5	Employment Agreement between Athens Bancshares Corporation and Michael R. Hutsell* (4)
10.6	Supplemental Executive Retirement Plan Agreement between Athens Federal Community Bank and Jeffrey L. Cunningham* (4)
10.7	Supplemental Executive Retirement Plan Agreement between Athens Federal Community Bank and Michael R. Hutsell*(5)
10.8	Supplemental Executive Retirement Plan Agreement between Athens Federal Community Bank and Jay Leggett, Jr*(5)
10.9	Athens Bancshares Corporation 2010 Equity Incentive Plan (6)
31.1	Rule 13a-14(a)/15d-14(a) Certificate of Chief Executive Officer
31.2	Rule 13a-14(a)/15d-14(a) Certificate of Chief Financial Officer
32.0	Section 1350 Certificate of Chief Executive Officer and Chief Financial Officer
101.0	The following materials from the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2014, formatted in XBRL (Extensible Business Reporting Language): (i) the Consolidated Balance Sheets, (ii) the Consolidated Statements of Comprehensive Income, (iii) the Consolidated Statements of Income, (iv) the Consolidated Statement of Changes in Stockholders’ Equity (v) the Consolidated Statements of Cash Flows and (vi) the Notes to the Consolidated Financial Statements.

* Management contract or compensatory plan, contract or arrangement

(1) Incorporated herein by reference to the exhibit to the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on December 10, 2009.

(2) Incorporated herein by reference to the exhibit to the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on November 23, 2009.

(3) Incorporated herein by reference to the exhibits to the Company’s Registration Statement on Form S-1 (File No. 333-144454), as amended, initially filed with the Securities and Exchange Commission on September 17, 2009.

(4) Incorporated herein by reference to the exhibits to the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on April 6, 2010.

(5) Incorporated herein by reference to the exhibits of the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on July 27, 2010.

(6) Incorporated herein by reference to the Company’s Definitive Proxy Statement filed with the Securities and Exchange Commission on June 7, 2010.

36

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

ATHENS BANCSHARES CORPORATION

Dated: November 7, 2014	By:	/s/ Jeffrey L. Cunningham
		Jeffrey L. Cunningham
		President and Chief Executive Officer
		(principal executive officer)

Dated: November 7, 2014	By:	/s/ Michael R. Hutsell
		Michael R. Hutsell
		Treasurer and Chief Financial Officer
		(principal accounting and financial officer)

37

EX-31.1

Exhibit 31.1

Certification

I, Jeffrey L. Cunningham, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Athens Bancshares Corporation;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and in preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report, based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Dated: November 7, 2014	/s/ Jeffrey L. Cunningham
	Jeffrey L. Cunningham
	President and Chief Executive Officer
	(principal executive officer)

EX-31.2

Exhibit 31.2

Certification

I, Michael R. Hutsell, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Athens Bancshares Corporation;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and in preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report, based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Dated: November 7, 2014	/s/ Michael R. Hutsell
	Michael R. Hutsell
	Treasurer and Chief Financial Officer
	(principal accounting and financial officer)

EX-32.0

Exhibit 32.0

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report on Form 10-Q of Athens Bancshares Corporation (the “Company”) for the quarter ended September 30, 2014, as filed with the Securities and Exchange Commission (the “Report”), I hereby certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

2. The information contained in the Report fairly presents, in all material respects, the consolidated financial condition and results of operations of the Company as of and for the period covered by the Report.

By:	/s/ Jeffrey L. Cunningham
	Jeffrey L. Cunningham
	President and Chief Executive Officer
	(principal executive officer)
	November 7, 2014

By:	/s/ Michael R. Hutsell
	Michael R. Hutsell
	Treasurer and Chief Financial Officer
	(principal financial and accounting officer)
	November 7, 2014

XML

Loans and Allowance for Loan Losses - Financial Receivable Modifications Subsequent Default (Detail) (USD $)	12 Months Ended
	Sep. 30, 2014 SecurityLoan	Sep. 30, 2013 SecurityLoan
Financing Receivable, Modifications [Line Items]
Number of Loans, Subsequent Default	2	3
Outstanding Recorded Investment at Default	$ 11,258	$ 12,558
Residential 1-4 Family [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans, Subsequent Default
Outstanding Recorded Investment at Default
Commercial Real Estate and Multi-Family [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans, Subsequent Default		1
Outstanding Recorded Investment at Default		5,353
Construction and Land [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans, Subsequent Default
Outstanding Recorded Investment at Default
Commercial [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans, Subsequent Default
Outstanding Recorded Investment at Default
Consumer and Other [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans, Subsequent Default	2	2
Outstanding Recorded Investment at Default	$ 11,258	$ 7,205

XML

Stock Options, ESOP, and Restricted Shares - Summary of Activity for Unvested Restricted Awards (Detail) (USD $)	0 Months Ended		9 Months Ended
	Dec. 19, 2012	Jan. 19, 2011	Sep. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares awarded, Number of shares			2,777,250
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unvested options, Number of shares, Beginning Balance			69,987
Shares awarded, Number of shares	16,664	94,426
Restrictions lapsed and shares released, Number of shares			(18,885)
Shares forfeited, Number of shares
Unvested options, Number of shares, Ending Balance			51,102
Unvested options, Grant Date Weighted-Average Cost, Beginning Balance			$ 13.49
Shares awarded, Grant Date Weighted-Average Cost	$ 16.65	$ 12.75
Restrictions lapsed and shares released, Grant Date Weighted-Average Cost			$ 12.75
Shares forfeited, Grant Date Weighted-Average Cost
Unvested options, Grant Date Weighted-Average Cost, Ending Balance			$ 13.76

XML

Stock Options, ESOP, and Restricted Shares - Information Regarding Options Outstanding and Exercisable (Detail) (USD $)	9 Months Ended
	Sep. 30, 2014	Dec. 31, 2013
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract]
Exercise Price	$ 11.50
Options Outstanding, Number of Shares	228,921	236,062
Options Outstanding, Weighted-Average Exercise Price	$ 11.50	$ 11.50
Options Outstanding, Weighted Average Remaining Contractual Life In Years	6 years 3 months
Options Exercisable, Number of Shares	134,496
Options Exercisable, Weighted-Average Exercise Price	$ 11.50

XML

Loans and Allowance for Loan Losses - Changes in the Allowance for Loan Losses by Class of Loan (Detail) (USD $)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013	Dec. 31, 2013
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning balance			$ 4,432,069	$ 4,475,302	$ 4,475,302
Provision (reallocation) for loan losses	31,985	73,418	85,147	281,090	316,393
Loans charged-off			(613,999)		(594,470)
Recoveries			59,323		234,844
Ending balance	3,962,540		3,962,540		4,432,069
Commercial [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning balance			331,938	686,065	686,065
Provision (reallocation) for loan losses			13,531		(500,574)
Loans charged-off
Recoveries					146,447
Ending balance	345,469		345,469		331,938
Residential 1-4 Family [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning balance			1,442,506	1,348,922	1,348,922
Provision (reallocation) for loan losses			(238,709)		257,300
Loans charged-off			(35,088)		(194,671)
Recoveries			2,463		30,955
Ending balance	1,171,172		1,171,172		1,442,506
Commercial Real Estate and Multi-Family [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning balance			1,108,958	1,074,995	1,074,995
Provision (reallocation) for loan losses			371,978		33,963
Loans charged-off			(238,699)
Recoveries
Ending balance	1,242,237		1,242,237		1,108,958
Construction and Land [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning balance			956,726	818,984	818,984
Provision (reallocation) for loan losses			(158,779)		235,242
Loans charged-off			(175,686)		(97,500)
Recoveries
Ending balance	622,261		622,261		956,726
Consumer and Other [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning balance			530,557	545,476	545,476
Provision (reallocation) for loan losses			104,774		229,938
Loans charged-off			(164,526)		(302,299)
Recoveries			56,860		57,442
Ending balance	527,665		527,665		530,557
Unallocated [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning balance			61,384	860	860
Provision (reallocation) for loan losses			(7,648)		60,524
Loans charged-off
Recoveries
Ending balance	$ 53,736		$ 53,736		$ 61,384

XML

Securities - Amortized Cost and Estimated Fair Value of Securities Classified as Available for Sale and Held to Maturity (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Schedule of Available-for-sale Securities [Line Items]
Securities Available for Sale, Amortized Cost	$ 28,889,758	$ 31,690,959
Securities Available for Sale, Gross Unrealized Gains	531,522	357,393
Securities Available for Sale, Gross Unrealized Losses	(149,806)	(468,169)
Securities Available for Sale, Total, Fair Value	29,271,474	31,580,183
Securities of U.S. Government Agencies and Corporations [Member]
Schedule of Available-for-sale Securities [Line Items]
Securities Available for Sale, Amortized Cost	2,659,618	5,825,027
Securities Available for Sale, Gross Unrealized Gains	5,127	14,733
Securities Available for Sale, Gross Unrealized Losses	(39,580)	(93,496)
Securities Available for Sale, Total, Fair Value	2,625,165	5,746,264
Mortgage-Backed and Related Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Securities Available for Sale, Amortized Cost	13,468,331	14,514,702
Securities Available for Sale, Gross Unrealized Gains	187,012	189,224
Securities Available for Sale, Gross Unrealized Losses	(25,029)	(66,861)
Securities Available for Sale, Total, Fair Value	13,630,314	14,637,065
State and Municipal Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Securities Available for Sale, Amortized Cost	12,761,809	11,351,230
Securities Available for Sale, Gross Unrealized Gains	339,383	153,436
Securities Available for Sale, Gross Unrealized Losses	(85,197)	(307,812)
Securities Available for Sale, Total, Fair Value	$ 13,015,995	$ 11,196,854

XML

Federal Home Loan Bank Advances - Additional Information (Detail) (USD $)	Sep. 30, 2014	Sep. 30, 2013
Summary Of Debt And Equity Securities [Line Items]
Federal home loan bank short term advances outstanding amount	$ 7,500,000
Federal Home Loan Bank Advances [Member]
Summary Of Debt And Equity Securities [Line Items]
Federal home loan bank short term advances outstanding amount	7,500,000
Federal home loan bank advances outstanding amount		$ 0
Federal home loan bank advances accrued interest rate	0.13%
FHLB advances maturing period	2014

XML

Fair Value Disclosures - Assets for which a Nonrecurring Change in Fair Value was Recorded (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans	$ 241,456,667	$ 227,272,387
Fair Value, Measurements, Nonrecurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans	3,016,688	5,220,775
Foreclosed real estate	1,092,500	413,150
Fair Value, Measurements, Nonrecurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans
Foreclosed real estate
Fair Value, Measurements, Nonrecurring [Member] | Significant Other Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans	1,286,973	2,623,325
Foreclosed real estate	1,092,500	413,150
Fair Value, Measurements, Nonrecurring [Member] | Significant Other Unobservable Inputs (Level 3) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans	1,729,715	2,597,450
Foreclosed real estate

XML

Loans and Allowance for Loan Losses - Modification of Loans as TDR (Detail) (USD $)	9 Months Ended
	Sep. 30, 2014 SecurityLoan	Sep. 30, 2013 SecurityLoan
Financing Receivable, Modifications [Line Items]
Number Of Loans	10	9
Pre-Modification Outstanding Recorded Investment	$ 10,921	$ 100,769
Post-Modification Outstanding Recorded Investment	10,921	82,667
Residential 1-4 Family [Member]
Financing Receivable, Modifications [Line Items]
Number Of Loans		1
Pre-Modification Outstanding Recorded Investment		64,586
Post-Modification Outstanding Recorded Investment		64,586
Commercial Real Estate and Multi-Family [Member]
Financing Receivable, Modifications [Line Items]
Number Of Loans
Pre-Modification Outstanding Recorded Investment
Post-Modification Outstanding Recorded Investment
Construction and Land [Member]
Financing Receivable, Modifications [Line Items]
Number Of Loans
Pre-Modification Outstanding Recorded Investment
Post-Modification Outstanding Recorded Investment
Commercial [Member]
Financing Receivable, Modifications [Line Items]
Number Of Loans
Pre-Modification Outstanding Recorded Investment
Post-Modification Outstanding Recorded Investment
Consumer and Other [Member]
Financing Receivable, Modifications [Line Items]
Number Of Loans	10	8
Pre-Modification Outstanding Recorded Investment	10,921	36,183
Post-Modification Outstanding Recorded Investment	$ 10,921	$ 18,081

XML

Stock Options, ESOP, and Restricted Shares - Non-Vested Options (Detail) (USD $)	9 Months Ended
	Sep. 30, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Non-vested options, Number of Shares, Beginning Balance	94,425
Granted, Number of Shares
Vested, Number of Shares
Forfeited, Number of Shares
Non-vested options, Number of Shares, Ending Balance	94,425
Non-vested options, Weighted Average Grant Date Fair Value, Beginning Balance	$ 1.27
Granted, Weighted Average Grant Date Fair Value
Vested, Weighted Average Grant Date Fair Value
Forfeited, Weighted Average Grant Date Fair Value
Non-vested options, Weighted Average Grant Date Fair Value, Ending Balance	$ 1.27

XML

Summary of Significant Accounting Policies

9 Months Ended

Sep. 30, 2014

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Note 1.     Summary of Significant Accounting Policies

The accounting and reporting policies of Athens Bancshares Corporation (the “Company”) and subsidiary conform with United States generally accepted accounting principles (“GAAP”) and practices within the banking industry. Rules and interpretive releases of the Securities and Exchange Commission (“SEC”) are also sources of authoritative GAAP for SEC registrants.

The policies that materially affect financial condition and results of operations are summarized as follows:

Interim Financial Information (Unaudited)

The accompanying unaudited consolidated financial statements have been prepared in accordance with GAAP for interim financial information and in accordance with the instructions to Form 10-Q and Article 8 of Regulation S-X as promulgated by the SEC. Accordingly, they do not include all the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting only of normal recurring accruals) considered necessary for a fair presentation of the financial condition and results of operations for the periods presented have been included. Operating results for the three and nine months ended September 30, 2014, are not necessarily indicative of the results that may be expected for the full year or in any other period. For further information, refer to the Company’s consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013.

The Company has evaluated events and transactions for potential recognition and disclosure through the date the financial statements were issued.

Nature of operations

The Company is a holding company whose principal activity is the ownership and management of its wholly owned subsidiary, Athens Federal Community Bank (the “Bank”). The Bank provides a variety of financial services to individuals and corporate customers through its seven branches located in Athens, Sweetwater, Etowah, Madisonville, and Cleveland, Tennessee. The Bank’s primary deposit products include checking, savings, certificates of deposit, and IRA accounts. Its primary lending products are one-to-four family residential, commercial real estate, and consumer loans. Southland Finance, Inc. (“Southland”) is a consumer finance company with one branch located in Athens, Tennessee. Ti-Serv, Inc. (“Ti-Serv”) maintains the Bank’s investment in Valley Title Services, LLC (“Valley Title”). Southland and Ti-Serv are wholly-owned subsidiaries of the Bank. Valley Title is a wholly-owned subsidiary of Ti-Serv.

Use of estimates

The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the valuation of deferred tax assets, other-than-temporary impairment of securities, and the fair value of financial instruments.

Recent Accounting Pronouncements

In May 2014, the FASB issued Accounting Standards Update 2014-09, “Revenue from Contracts with Customers.” This update is a joint project with the International Accounting Standards Board initiated to clarify the principles for recognizing revenue and to develop a common revenue standard that is meant to remove inconsistencies and weaknesses in revenue requirements, provide a more robust framework for addressing revenue issues, improve comparability of revenue recognition practices, provide more useful information to users of financial statements and simplify the preparation of financial statements. The guidance in this update supersedes the revenue recognition requirements in Topic 605, “Revenue Recognition” and most industry-specific guidance throughout the Industry Topics of Codification. This update is effective for annual and interim periods beginning after December 15, 2016. The Company does not believe this update will have a significant impact on the consolidated financial statements.

The Company has determined that all other recently issued accounting pronouncements will not have a significant impact on its consolidated financial statements or do not apply to its operations.

Earnings Per Common Share

Basic earnings per share are computed by dividing income available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the Company.

The following is a summary of the basic and diluted earnings per share for the three months ended September 30, 2014 and 2013:

	Three Months Ended September 30,
	2014		2013
Numerator:
Net income	$	749,984	$	497,098
Denominator:
Weighted average common shares outstanding		1,638,797		1,947,833
Effect of dilutive stock options		116,772		83,807
Diluted shares		1,755,569		2,031,640
Basic earnings per share	$	0.46	$	0.26
Diluted earnings per share	$	0.43	$	0.24

The following is a summary of the basic and diluted earnings per share for the nine months ended September 30, 2014 and 2013:

	Nine Months Ended September 30,
	2014		2013
Numerator:
Net income	$	2,079,915	$	1,703,531
Denominator:
Weighted average common shares outstanding		1,663,191		2,011,161
Effect of dilutive stock options		108,856		84,674
Diluted shares		1,772,047		2,095,835
Basic earnings per share	$	1.25	$	0.85
Diluted earnings per share	$	1.17	$	0.81

Reclassifications

Certain amounts from prior period financial statements have been reclassified to conform to the current period’s presentation. The reclassifications had no effect on net income, total assets or stockholders’ equity as previously reported.

.

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Fair Value Disclosures - Carrying Amount and Estimated Fair Value of the Company's Financial Instruments (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013	Sep. 30, 2013	Dec. 31, 2012
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents, Carrying Amount	$ 8,864,615	$ 15,135,387	$ 21,554,574	$ 20,252,112
Securities available for sale, Carrying Amount	29,271,474	31,580,183
Investments, at cost, Carrying Amount	3,449,000	3,648,800
Loans, net, Carrying Amount	241,460,414	226,206,014
Cash surrender value of bank owned life insurance, Carrying Amount	10,024,505	9,812,685
Accrued interest receivable, Carrying Amount	961,228	978,201
Deposits, Carrying Amount	246,887,199	248,172,052
Securities sold under agreements to repurchase, Carrying Amount	1,157,474	1,303,789
Federal Home Loan Bank advances, Carrying Amount	7,500,000
Accrued interest payable, Carrying Amount	136,310	152,897
Cash and cash equivalents, Estimated Fair Value	8,864,615	15,135,387
Securities available for sale, Estimated Fair Value	29,271,474	31,580,183
Investments, at cost, Estimated Fair Value	3,449,000	3,648,800
Loans, net, Estimated Fair Value	241,456,667	227,272,387
Cash surrender value of bank owned life insurance, Estimated Fair Value	10,024,505	9,812,685
Accrued interest receivable, Estimated Fair Value	961,228	978,201
Deposits, Estimated Fair Value	250,800,116	252,724,560
Securities sold under agreements to repurchase, Estimated Fair Value	1,157,474	1,303,789
Federal Home Loan Bank advances, Estimated Fair Value	7,500,000
Accrued interest payable, Estimated Fair Value	136,310	152,897
Carrying Amount [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Commitments to extend credit
Letters of credit
Lines of credit
Estimated Fair Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Commitments to extend credit
Letters of credit
Lines of credit

XML

Investments, at Cost - Investments, at Cost Detailed (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Investments, All Other Investments [Abstract]
Federal Home Loan Bank of Cincinnati common stock	$ 2,549,000	$ 2,898,800
Tenth Street Fund III, L.P. investment	900,000	750,000
Total	$ 3,449,000	$ 3,648,800

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Securities - Summary of Securities with Gross Unrealized Losses, Aggregated by Investment Category (Detail) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Schedule of Available-for-sale Securities [Line Items]
Less than 12 Months, Fair Value	$ 3,908	$ 15,341
Less than 12 Months, Gross Unrealized Losses	(20)	(443)
12 Months or Greater, Fair Value	4,898	411
12 Months or Greater, Gross Unrealized Losses	(130)	(25)
Fair Value, Total	8,806	15,752
Gross Unrealized Losses, Total	(150)	(468)
Securities of U.S. Government Agencies and Corporations [Member]
Schedule of Available-for-sale Securities [Line Items]
Less than 12 Months, Fair Value	997	1,905
Less than 12 Months, Gross Unrealized Losses	(3)	(93)
12 Months or Greater, Fair Value	962
12 Months or Greater, Gross Unrealized Losses	(37)
Fair Value, Total	1,959	1,905
Gross Unrealized Losses, Total	(40)	(93)
State and Municipal Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Less than 12 Months, Fair Value		5,104
Less than 12 Months, Gross Unrealized Losses		(283)
12 Months or Greater, Fair Value	3,110	411
12 Months or Greater, Gross Unrealized Losses	(85)	(25)
Fair Value, Total	3,110	5,515
Gross Unrealized Losses, Total	(85)	(308)
Mortgage-Backed and Related Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Less than 12 Months, Fair Value	2,911	8,332
Less than 12 Months, Gross Unrealized Losses	(17)	(67)
12 Months or Greater, Fair Value	826
12 Months or Greater, Gross Unrealized Losses	(8)
Fair Value, Total	3,737	8,332
Gross Unrealized Losses, Total	$ (25)	$ (67)

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Stock Options, ESOP, and Restricted Shares - Additional Information (Detail) (USD $)	9 Months Ended			9 Months Ended		0 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Dec. 31, 2013	Sep. 30, 2014 Non-Vested Options [Member]	Sep. 30, 2013 Non-Vested Options [Member]	Dec. 19, 2012 Restricted Stock [Member]	Jan. 19, 2011 Restricted Stock [Member]	Sep. 30, 2014 Restricted Stock [Member]	Sep. 30, 2013 Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Maximum number of shares authorized to issue under 2010 Equity Incentive Plan				277,725				111,090
Maximum term of each option				10 years
Vesting period for all options from the date of grant	5 years
Compensation expense recognized attributable to the shares that have been awarded				$ 40,612	$ 40,612			$ 222,209	$ 222,209
Total remaining compensation cost to be recognized on non-vested options				54,150
Share awarded of restricted stock to its officers and employees pursuant to the terms of the 2010 Plan	2,777,250					16,664	94,426
Shares awarded, Grant Date Weighted-Average Cost						$ 16.65	$ 12.75
Total remaining compensation cost to be recognized on non-vested restricted stock								721,861
Number of shares purchased under the Employee Stock Ownership Plan "ESOP"	222,180		222,180
Percentage of shares purchased from the number of shares issued under the Employee Stock Ownership Plan "ESOP"	8.00%
Tenure of loan	15 years
Interest percentage on Term Loan	3.25%
Number of years for participants to become vested in the allocated shares	4 years
Total compensation expense	$ 0	$ 0

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Loans and Allowance for Loan Losses - Company's Loans (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013	Dec. 31, 2012
Accounts, Notes, Loans and Financing Receivable [Line Items]
Mortgage loans on real estate	$ 206,218,834	$ 193,632,740
Total loans	246,171,308	231,423,802
Less: Allowance for loan losses	(3,962,540)	(4,432,069)	(4,475,302)
Unearned interest and fees	(364,916)	(396,470)
Net deferred loan origination fees	(383,438)	(389,249)
Loans, net	241,460,414	226,206,014
Residential 1-4 Family [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Mortgage loans on real estate	90,948,984	88,414,921
Total loans	90,948,984	88,414,921
Less: Allowance for loan losses	(1,171,172)	(1,442,506)	(1,348,922)
Commercial Real Estate and Multi-Family [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Mortgage loans on real estate	84,185,890	74,497,078
Total loans	84,185,890	74,497,078
Less: Allowance for loan losses	(1,242,237)	(1,108,958)	(1,074,995)
Construction and Land [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Mortgage loans on real estate	31,083,960	30,720,741
Total loans	31,083,960	30,720,741
Less: Allowance for loan losses	(622,261)	(956,726)	(818,984)
Commercial [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	14,958,674	13,058,544
Less: Allowance for loan losses	(345,469)	(331,938)	(686,065)
Consumer and Equity Lines of Credit [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 24,993,800	$ 24,732,518

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Loans and Allowance for Loan Losses - Allowance for Loan Losses (Detail) (USD $)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013	Dec. 31, 2013
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance			$ 4,432,069	$ 4,475,302	$ 4,475,302
Provision for loan losses	31,985	73,418	85,147	281,090	316,393
Loans charged-off			(613,999)		(594,470)
Recoveries			59,323		234,844
Ending balance	$ 3,962,540		$ 3,962,540		$ 4,432,069

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Consolidated Statements of Cash Flows (Unaudited) (USD $)	9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 2,079,915	$ 1,703,531
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	470,079	412,998
Amortization of securities and other assets	204,039	316,948
Provision for loan losses	85,147	281,090
Deferred income taxes	106,388	90,163
Other gains and losses, net	(39,918)	(69,394)
Stock compensation expense	262,821	262,821
Net change in:
Cash surrender value of life insurance, net	(211,820)	(224,667)
Accrued interest receivable	16,973	15,034
Accrued interest payable	(16,587)	(10,703)
Prepaid FDIC assessment		427,353
Other assets and liabilities	(402,391)	295,426
Net cash provided by operating activities	2,554,646	3,500,600
CASH FLOWS FROM INVESTING ACTIVITIES:
Net change in interest-bearing deposits		249,000
Securities available for sale, Purchases	(2,896,702)	(7,301,386)
Securities available for sale, Maturities, prepayments and calls	5,150,224	8,092,497
Securities available for sale, Sales	398,763
Investments, at cost, Proceeds from redemption of FHLB stock	199,800
Loan originations and principal collections, net	(15,741,002)	(5,887,485)
Purchases of premises and equipment	(82,494)	(414,706)
Proceeds from sale of foreclosed real estate	209,251	458,703
Net cash used in investing activities	(12,762,160)	(4,803,377)
CASH FLOWS FROM FINANCING ACTIVITIES:
Net (decrease) increase in deposits	(1,284,853)	11,824,623
Net decrease in securities sold under agreements to repurchase	(146,315)	(1,023,884)
Net increase (decrease) in Federal Home Loan Bank advances	7,500,000	(3,000,000)
Repurchase and retirement of Company common stock	(1,963,811)	(4,889,585)
Issuance of Company common stock	82,121
Dividends paid	(250,400)	(305,915)
Net cash provided by financing activities	3,936,742	2,605,239
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS	(6,270,772)	1,302,462
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD	15,135,387	20,252,112
CASH AND CASH EQUIVALENTS, END OF PERIOD	8,864,615	21,554,574
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Interest paid on deposits and borrowed funds	1,376,979	1,644,702
Income taxes paid	987,136	968,013
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING ACTIVITIES:
Acquisition of real estate acquired through foreclosure	1,272,086	306,633
Financed sales of foreclosed real estate	$ 419,000	$ 321,293

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Loans and Allowance for Loan Losses - Allocation of the Allowance for Loan Losses and Recorded Investment in Loans by Portfolio Segment (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013	Dec. 31, 2012
Financing Receivable, Allowance for Credit Losses [Line Items]
Specified reserves-impaired loans	$ 551,805	$ 1,090,060
General reserves	3,410,735	3,342,009
Total reserves	3,962,540	4,432,069	4,475,302
Impaired loans	7,691,317	10,316,047
Performing loans	238,479,991	221,107,755
Total loans	246,171,308	231,423,802
Commercial [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Specified reserves-impaired loans	60,196	86,958
General reserves	285,273	244,980
Total reserves	345,469	331,938	686,065
Impaired loans	1,813,735	1,901,209
Performing loans	13,144,939	11,157,335
Total loans	14,958,674	13,058,544
Residential 1-4 Family [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Specified reserves-impaired loans	306,437	545,126
General reserves	864,735	897,380
Total reserves	1,171,172	1,442,506	1,348,922
Impaired loans	4,254,044	5,821,575
Performing loans	86,694,940	82,593,346
Total loans	90,948,984	88,414,921
Commercial Real Estate and Multi-Family [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Specified reserves-impaired loans	102,092	85,175
General reserves	1,140,145	1,023,783
Total reserves	1,242,237	1,108,958	1,074,995
Impaired loans	494,340	449,597
Performing loans	83,691,550	74,047,481
Total loans	84,185,890	74,497,078
Construction and Land [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Specified reserves-impaired loans	11,569	303,752
General reserves	610,692	652,974
Total reserves	622,261	956,726	818,984
Impaired loans	675,101	1,815,293
Performing loans	30,408,859	28,905,448
Total loans	31,083,960	30,720,741
Consumer and Other [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Specified reserves-impaired loans	71,511	69,049
General reserves	456,154	461,508
Total reserves	527,665	530,557	545,476
Impaired loans	454,097	328,373
Performing loans	24,539,703	24,404,145
Total loans	24,993,800	24,732,518
Unallocated [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Specified reserves-impaired loans
General reserves	53,736	61,384
Total reserves	53,736	61,384	860
Impaired loans
Performing loans
Total loans

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Fair Value Disclosures - Recorded Amount of Assets Measured at Fair Value on Recurring Basis (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Securities available for sale:
Securities available for sale	$ 29,271,474	$ 31,580,183
Securities of U.S. Government Agencies and Corporations [Member]
Securities available for sale:
Securities available for sale	2,625,165	5,746,264
Mortgage-Backed and Related Securities [Member]
Securities available for sale:
Securities available for sale	13,630,314	14,637,065
State and Municipal Securities [Member]
Securities available for sale:
Securities available for sale	13,015,995	11,196,854
Fair Value, Measurements, Recurring [Member]
Securities available for sale:
Securities available for sale	29,271,474	31,580,183
Fair Value, Measurements, Recurring [Member] | Securities of U.S. Government Agencies and Corporations [Member]
Securities available for sale:
Securities available for sale	2,625,165	5,746,264
Fair Value, Measurements, Recurring [Member] | Mortgage-Backed and Related Securities [Member]
Securities available for sale:
Securities available for sale	13,630,314	14,637,065
Fair Value, Measurements, Recurring [Member] | State and Municipal Securities [Member]
Securities available for sale:
Securities available for sale	13,015,995	11,196,854
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Securities available for sale:
Securities available for sale
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Securities of U.S. Government Agencies and Corporations [Member]
Securities available for sale:
Securities available for sale
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Mortgage-Backed and Related Securities [Member]
Securities available for sale:
Securities available for sale
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | State and Municipal Securities [Member]
Securities available for sale:
Securities available for sale
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member]
Securities available for sale:
Securities available for sale	29,271,474	31,580,183
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | Securities of U.S. Government Agencies and Corporations [Member]
Securities available for sale:
Securities available for sale	2,625,165	5,746,264
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | Mortgage-Backed and Related Securities [Member]
Securities available for sale:
Securities available for sale	13,630,314	14,637,065
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | State and Municipal Securities [Member]
Securities available for sale:
Securities available for sale	13,015,995	11,196,854
Fair Value, Measurements, Recurring [Member] | Significant Other Unobservable Inputs (Level 3) [Member]
Securities available for sale:
Securities available for sale
Fair Value, Measurements, Recurring [Member] | Significant Other Unobservable Inputs (Level 3) [Member] | Securities of U.S. Government Agencies and Corporations [Member]
Securities available for sale:
Securities available for sale
Fair Value, Measurements, Recurring [Member] | Significant Other Unobservable Inputs (Level 3) [Member] | Mortgage-Backed and Related Securities [Member]
Securities available for sale:
Securities available for sale
Fair Value, Measurements, Recurring [Member] | Significant Other Unobservable Inputs (Level 3) [Member] | State and Municipal Securities [Member]
Securities available for sale:
Securities available for sale

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Consolidated Balance Sheets (USD $)	Sep. 30, 2014	Dec. 31, 2013
ASSETS
Cash and due from banks	$ 6,848,637	$ 11,119,410
Interest-bearing deposits in banks	2,015,978	4,015,977
Total cash and cash equivalents	8,864,615	15,135,387
Securities available for sale	29,271,474	31,580,183
Investments, at cost	3,449,000	3,648,800
Loans, net of allowance for loan losses of $3,962,540 and $4,432,069 at September 30, 2014 and December 31, 2013, respectively	241,460,414	226,206,014
Premises and equipment, net	4,145,253	4,532,838
Accrued interest receivable	961,228	978,201
Cash surrender value of bank owned life insurance	10,024,505	9,812,685
Foreclosed real estate	1,092,500	413,150
Other assets	2,555,347	2,505,156
Total assets	301,824,336	294,812,414
Deposits:
Noninterest-bearing	22,603,371	18,252,633
Interest-bearing	224,283,828	229,919,419
Total deposits	246,887,199	248,172,052
Accrued interest payable	136,310	152,897
Securities sold under agreements to repurchase	1,157,474	1,303,789
Federal Home Loan Bank advances	7,500,000
Accrued expenses and other liabilities	4,519,167	4,075,481
Total liabilities	260,200,150	253,704,219
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY
Preferred stock, $0.01 par value; 10,000,000 shares authorized; none issued
Common stock, $0.01 par value; 50,000,000 shares authorized; 2,777,250 shares issued and 1,801,701 outstanding at September 30, 2014 and 1,890,990 outstanding at December 31, 2013	18,017	18,910
Additional paid-in capital	17,751,272	18,523,039
Common stock acquired by benefit plans:
Restricted stock	(419,879)	(616,575)
Unallocated common stock held by:
Employee Stock Ownership Plan Trust	(1,629,320)	(1,629,320)
Retained earnings	25,667,432	24,880,822
Accumulated other comprehensive income (loss)	236,664	(68,681)
Total stockholders' equity	41,624,186	41,108,195
Total liabilities and stockholders' equity	$ 301,824,336	$ 294,812,414

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Stock Options, ESOP, and Restricted Shares - Summary of Activity in the 2010 Plan (Detail) (USD $)	9 Months Ended
	Sep. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
Non-vested options, Number of Shares, Beginning Balance	236,062
Granted, Shares
Exercised, Shares	(7,141)
Forfeited, Shares
Non-vested options, Number of Shares, Ending Balance	228,921
Options exercisable, Shares	134,496
Average Exercise Price, Beginning Balance	$ 11.50
Average Exercise Price, Exercised	$ 11.50
Average Exercise Price, Ending Balance	$ 11.50
Options exercisable, Average Exercise Price	$ 11.50
Aggregate Intrinsic Value, Beginning Balance
Granted, Aggregate Intrinsic Value
Exercised, Aggregate Intrinsic Value
Forfeited, Aggregate Intrinsic Value
Aggregate Intrinsic Value, Ending Balance	2,339,573
Options exercisable, Aggregate Intrinsic Value	$ 1,374,549

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Consolidated Statements of Changes in Stockholders' Equity (Unaudited) (USD $)	Total	Common Stock [Member]	Additional Paid-In Capital [Member]	Retained Earnings [Member]	Common Stock Acquired By Benefit Plans [Member]	Accumulated Other Comprehensive Income (Loss) [Member]
Beginning Balance at Dec. 31, 2013	$ 41,108,195	$ 18,910	$ 18,523,039	$ 24,880,822	$ (2,245,895)	$ (68,681)
Beginning Balance, Shares at Dec. 31, 2013	1,890,990	1,890,990
Net income	2,079,915			2,079,915
Other comprehensive income	305,345					305,345
Dividends - $0.15 per share	(250,400)			(250,400)
Release of restricted stock plan shares			(196,696)		196,696
Stock compensation expense	262,821		262,821
Repurchase and retirement of Company common stock	(1,963,811)	(964)	(919,942)	(1,042,905)
Repurchase and retirement of Company common stock, Shares		(96,430)
Issuance of Company common stock	82,121	71	82,050
Issuance of Company common stock, Shares		7,141
Ending Balance at Sep. 30, 2014	$ 41,624,186	$ 18,017	$ 17,751,272	$ 25,667,432	$ (2,049,199)	$ 236,664
Ending Balance, Shares at Sep. 30, 2014	1,801,701	1,801,701

XML

Loans and Allowance for Loan Losses - Aged Analysis of Past Due Loans (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Financing Receivable, Allowance for Credit Losses [Line Items]
30-89 Days Past Due	$ 550,825	$ 1,663,283
Greater Than 90 Days Past Due and Non-Accrual	3,544,736	4,043,493
Total Past Due	4,095,561	5,706,776
Current Loans	242,075,747	225,717,026
Total loans	246,171,308	231,423,802
Recorded Investment Greater than or equal to 90 Days Past Due and Accruing	14,739	47,310
Residential 1-4 Family [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
30-89 Days Past Due	280,432	915,785
Greater Than 90 Days Past Due and Non-Accrual	2,852,597	2,440,384
Total Past Due	3,133,029	3,356,169
Current Loans	87,815,955	85,058,752
Total loans	90,948,984	88,414,921
Recorded Investment Greater than or equal to 90 Days Past Due and Accruing		20,128
Commercial Real Estate and Multi-Family [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
30-89 Days Past Due
Greater Than 90 Days Past Due and Non-Accrual	320,624	96,055
Total Past Due	320,624	96,055
Current Loans	83,865,266	74,401,023
Total loans	84,185,890	74,497,078
Recorded Investment Greater than or equal to 90 Days Past Due and Accruing
Construction and Land [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
30-89 Days Past Due	34,338	381,336
Greater Than 90 Days Past Due and Non-Accrual	309,701	1,402,960
Total Past Due	344,039	1,784,296
Current Loans	30,739,921	28,936,445
Total loans	31,083,960	30,720,741
Recorded Investment Greater than or equal to 90 Days Past Due and Accruing
Commercial [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
30-89 Days Past Due	26,315	24,515
Greater Than 90 Days Past Due and Non-Accrual		47,141
Total Past Due	26,315	71,656
Current Loans	14,932,359	12,986,888
Total loans	14,958,674	13,058,544
Recorded Investment Greater than or equal to 90 Days Past Due and Accruing
Consumer and Other [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
30-89 Days Past Due	209,740	341,647
Greater Than 90 Days Past Due and Non-Accrual	61,814	56,953
Total Past Due	271,554	398,600
Current Loans	24,722,246	24,333,918
Total loans	24,993,800	24,732,518
Recorded Investment Greater than or equal to 90 Days Past Due and Accruing	$ 14,739	$ 27,182

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Stock Options, ESOP, and Restricted Shares (Tables)

9 Months Ended

Sep. 30, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Summary of Activity in the 2010 Plan

A summary of the activity in the 2010 Plan for the nine months ended September 30, 2014, is presented in the following table:

	Nine Months Ended September 30, 2014
	Shares			Average Exercise Price		Aggregate Intrinsic Value (1)
Outstanding at December 31, 2013		236,062		$	11.50		—
Granted		—			N/A		—
Exercised		(7,141	)	$	11.50		—
Forfeited		—			N/A		—
Outstanding at September 30, 2014		228,921		$	11.50	$	2,339,573
Options exercisable at September 30, 2014		134,496		$	11.50	$	1,374,549

(1) The aggregate intrinsic value of a stock option in the table above represents the total pre-tax intrinsic value (the amount by which the current market value of the underlying stock exceeds the exercise price of the option) that would have been received by the option holders had all option holders exercised their options on September 30, 2014. This amount changes based on changes in the market value of the Company’s stock.

Information Regarding Options Outstanding and Exercisable

Other information regarding options outstanding and exercisable as of September 30, 2014, is as follows:

	Options Outstanding						Options Exercisable
Exercise Price	Number of Shares		Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life In Years		Number of Shares		Weighted- Average Exercise Price
$11.50		228,921	$	11.50		6.25		134,496	$	11.50

Non-Vested Options

Information pertaining to non-vested options for the nine months ended September 30, 2014, is as follows:

	Number of Shares		Weighted Average Grant Date Fair Value
Non-vested options, December 31, 2013		94,425	$	1.27
Granted		—		—
Vested		—		—
Forfeited		—		—
Non-vested options, September 30, 2014		94,425	$	1.27

Summary of Activity for Unvested Restricted Awards

A summary of activity for unvested restricted awards for the nine months ended September 30, 2014 is as follows:

	Number			Grant Date Weighted- Average Cost
Unvested at December 31, 2013		69,987		$	13.49
Shares awarded		—			—
Restrictions lapsed and shares released		(18,885	)		12.75
Shares forfeited		—			—
Unvested at September 30, 2014		51,102		$	13.76

ESOP Shares

A detail of ESOP shares is as follows:

	September 30, 2014		December 31, 2013
Allocated shares		59,248		59,248
Unallocated shares		162,932		162,932
Total ESOP shares		222,180		222,180
Fair value of unallocated shares	$	3,538,883	$	3,229,312

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Loans and Allowance for Loan Losses - Amount of Each Loan Classification and the Amount Categorized into Each Risk Rating Class (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Financing Receivable, Recorded Investment [Line Items]
Total	$ 246,171,308	$ 231,423,802
Residential 1-4 Family [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	90,948,984	88,414,921
Commercial Real Estate and Multi-Family [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	84,185,890	74,497,078
Construction and Land [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	31,083,960	30,720,741
Commercial [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	14,958,674	13,058,544
Consumer and Other [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	24,993,800	24,732,518
Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	234,046,366	217,678,706
Pass [Member] | Residential 1-4 Family [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	84,187,210	81,288,044
Pass [Member] | Commercial Real Estate and Multi-Family [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	83,691,550	73,918,715
Pass [Member] | Construction and Land [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	28,744,715	27,155,327
Pass [Member] | Commercial [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	13,129,481	11,157,335
Pass [Member] | Consumer and Other [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	24,293,410	24,159,285
Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	4,433,625	3,429,049
Special Mention [Member] | Residential 1-4 Family [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	2,507,730	1,305,302
Special Mention [Member] | Commercial Real Estate and Multi-Family [Member]
Financing Receivable, Recorded Investment [Line Items]
Total		128,766
Special Mention [Member] | Construction and Land [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	1,664,144	1,750,121
Special Mention [Member] | Commercial [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	15,458
Special Mention [Member] | Consumer and Other [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	246,293	244,860
Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	7,691,317	10,316,047
Substandard [Member] | Residential 1-4 Family [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	4,254,044	5,821,575
Substandard [Member] | Commercial Real Estate and Multi-Family [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	494,340	449,597
Substandard [Member] | Construction and Land [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	675,101	1,815,293
Substandard [Member] | Commercial [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	1,813,735	1,901,209
Substandard [Member] | Consumer and Other [Member]
Financing Receivable, Recorded Investment [Line Items]
Total	454,097	328,373
Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Total
Doubtful [Member] | Residential 1-4 Family [Member]
Financing Receivable, Recorded Investment [Line Items]
Total
Doubtful [Member] | Commercial Real Estate and Multi-Family [Member]
Financing Receivable, Recorded Investment [Line Items]
Total
Doubtful [Member] | Construction and Land [Member]
Financing Receivable, Recorded Investment [Line Items]
Total
Doubtful [Member] | Commercial [Member]
Financing Receivable, Recorded Investment [Line Items]
Total
Doubtful [Member] | Consumer and Other [Member]
Financing Receivable, Recorded Investment [Line Items]
Total
Loss [Member]
Financing Receivable, Recorded Investment [Line Items]
Total
Loss [Member] | Residential 1-4 Family [Member]
Financing Receivable, Recorded Investment [Line Items]
Total
Loss [Member] | Commercial Real Estate and Multi-Family [Member]
Financing Receivable, Recorded Investment [Line Items]
Total
Loss [Member] | Construction and Land [Member]
Financing Receivable, Recorded Investment [Line Items]
Total
Loss [Member] | Commercial [Member]
Financing Receivable, Recorded Investment [Line Items]
Total
Loss [Member] | Consumer and Other [Member]
Financing Receivable, Recorded Investment [Line Items]
Total

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Summary of Significant Accounting Policies - Summary of the Basic and Diluted Earnings Per Share (Detail) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Earnings Per Share [Abstract]
Numerator: Net income	$ 749,984	$ 497,098	$ 2,079,915	$ 1,703,531
Denominator: Weighted average common shares outstanding	1,638,797	1,947,833	1,663,191	2,011,161
Effect of dilutive stock options	116,772	83,807	108,856	84,674
Diluted shares	1,755,569	2,031,640	1,772,047	2,095,835
Basic earnings per share	$ 0.46	$ 0.26	$ 1.25	$ 0.85
Diluted earnings per share	$ 0.43	$ 0.24	$ 1.17	$ 0.81

XML

Consolidated Statements of Changes in Stockholders' Equity (Unaudited) (Parenthetical) (USD $)	9 Months Ended
	Sep. 30, 2014
Dividends per share	$ 0.15
Retained Earnings [Member]
Dividends per share	$ 0.15

XML

Consolidated Balance Sheets (Parenthetical) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Statement of Financial Position [Abstract]
Allowance for loan losses	$ 3,962,540	$ 4,432,069
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	2,777,250	2,777,250
Common stock, shares outstanding	1,801,701	1,890,990

XML

Summary of Significant Accounting Policies (Tables)

9 Months Ended

Sep. 30, 2014

Accounting Policies [Abstract]

Summary of the Basic and Diluted Earnings Per Share

The following is a summary of the basic and diluted earnings per share for the three months ended September 30, 2014 and 2013:

	Three Months Ended September 30,
	2014		2013
Numerator:
Net income	$	749,984	$	497,098
Denominator:
Weighted average common shares outstanding		1,638,797		1,947,833
Effect of dilutive stock options		116,772		83,807
Diluted shares		1,755,569		2,031,640
Basic earnings per share	$	0.46	$	0.26
Diluted earnings per share	$	0.43	$	0.24

The following is a summary of the basic and diluted earnings per share for the nine months ended September 30, 2014 and 2013:

	Nine Months Ended September 30,
	2014		2013
Numerator:
Net income	$	2,079,915	$	1,703,531
Denominator:
Weighted average common shares outstanding		1,663,191		2,011,161
Effect of dilutive stock options		108,856		84,674
Diluted shares		1,772,047		2,095,835
Basic earnings per share	$	1.25	$	0.85
Diluted earnings per share	$	1.17	$	0.81

XML

Document and Entity Information	9 Months Ended
	Sep. 30, 2014	Nov. 03, 2014
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2014
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	Q3
Trading Symbol	AFCB
Entity Registrant Name	Athens Bancshares Corp
Entity Central Index Key	0001472093
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		1,801,701

XML

Securities (Tables)

9 Months Ended

Sep. 30, 2014

Investments, Debt and Equity Securities [Abstract]

Amortized Cost and Estimated Fair Value of Securities Classified as Available for Sale and Held to Maturity

The amortized cost and estimated fair value of securities classified as available for sale and held to maturity at September 30, 2014 and December 31, 2013 are as follows:

	September 30, 2014
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Securities of U.S. Government agencies and corporations	$	2,659,618	$	5,127	$	(39,580	)	$	2,625,165
Mortgage-backed and related securities (1)		13,468,331		187,012		( 25,029	)		13,630,314
State and municipal securities		12,761,809		339,383		(85,197	)		13,015,995
	$	28,889,758	$	531,522	$	(149,806	)	$	29,271,474

	December 31, 2013
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Securities of U.S. Government agencies and corporations	$	5,825,027	$	14,733	$	(93,496	)	$	5,746,264
Mortgage-backed and related securities (1)		14,514,702		189,224		(66,861	)		14,637,065
State and municipal securities		11,351,230		153,436		(307,812	)		11,196,854
	$	31,690,959	$	357,393	$	(468,169	)	$	31,580,183

(1) Collateralized by residential mortgages and guaranteed by U.S. Government sponsored entities.

Amortized Cost and Estimated Fair Value of Securities, by Contractual Maturity

The amortized cost and estimated market value of securities at September 30, 2014, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

	Amortized Cost		Fair Value
Due in one year or less	$	77,681	$	78,247
Due after one year through five years		6,141,439		6,171,221
Due five years to ten years		7,838,398		8,012,314
Due after ten years		1,363,909		1,379,378
Mortgage-backed securities		13,468,331		13,630,314
Total	$	28,889,758	$	29,271,474

Summary of Securities with Gross Unrealized Losses, Aggregated by Investment Category

Securities with gross unrealized losses at September 30, 2014 and December 31, 2013, aggregated by investment category and length of time that individual securities have been in a continuous loss position, are as follows:

	September 30, 2014
	Less than 12 Months					12 Months or Greater					Total
	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
	(dollars in thousands)
Securities of U.S. Government agencies and corporations	$	997	$	(3	)	$	962	$	(37	)	$	1,959	$	(40	)
State and municipal securities		—		—			3,110		(85	)		3,110		(85	)
Mortgage-backed and related securities		2,911		(17	)		826		(8	)		3,737		(25	)
	$	3,908	$	(20	)	$	4,898	$	(130	)	$	8,806	$	(150	)

	December 31, 2013
	Less than 12 Months					12 Months or Greater					Total
	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
	(dollars in thousands)
Securities of U.S. Government agencies and corporations	$	1,905	$	(93	)	$	—	$	—		$	1,905	$	(93	)
State and municipal securities		5,104		(283	)		411		(25	)		5,515		(308	)
Mortgage-backed and related securities		8,332		(67	)		—		—			8,332		(67	)
	$	15,341	$	(443	)	$	411	$	(25	)	$	15,752	$	(468	)

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Consolidated Statements of Income (Unaudited) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Interest and dividend income:
Loans, including fees	$ 3,224,048	$ 3,163,920	$ 9,626,449	$ 9,624,714
Dividends	44,083	30,715	138,191	110,494
Securities and interest-bearing deposits in other banks	181,194	184,758	543,721	545,704
Total interest and dividend income	3,449,325	3,379,393	10,308,361	10,280,912
Interest expense:
Deposits	430,235	511,850	1,359,319	1,554,503
Fed funds purchased and securities sold under agreements to repurchase	283	346	797	1,218
Federal Home Loan Bank advances	276	13,936	276	78,278
Total interest expense	430,794	526,132	1,360,392	1,633,999
Net interest income	3,018,531	2,853,261	8,947,969	8,646,913
Provision for loan losses	31,985	73,418	85,147	281,090
Net interest income after provision for loan losses	2,986,546	2,779,843	8,862,822	8,365,823
Noninterest income:
Customer service fees	545,509	522,396	1,553,094	1,522,228
Other charges and fees	457,235	402,198	1,224,991	1,233,402
Investment sales commissions	132,036	128,677	442,430	397,204
Increase in cash surrender value of life insurance	87,269	91,694	260,283	269,964
Other noninterest income	165,144	125,427	408,867	470,289
Total noninterest income	1,387,193	1,270,392	3,889,665	3,893,087
Noninterest expenses:
Salaries and employee benefits	1,784,930	1,778,958	5,358,682	5,332,841
Occupancy and equipment	402,069	390,252	1,194,000	1,141,324
Federal deposit insurance premiums	47,000	54,576	138,000	141,948
Data processing	266,156	400,273	760,929	994,586
Advertising	59,074	44,991	154,544	119,513
Other operating expenses	697,043	690,039	1,995,672	2,055,249
Total noninterest expenses	3,256,272	3,359,089	9,601,827	9,785,461
Net income before income taxes	1,117,467	691,146	3,150,660	2,473,449
Income tax expense	367,483	194,048	1,070,745	769,918
Net income	$ 749,984	$ 497,098	$ 2,079,915	$ 1,703,531
Earnings per common share
Basic	$ 0.46	$ 0.26	$ 1.25	$ 0.85
Diluted	$ 0.43	$ 0.24	$ 1.17	$ 0.81
Dividends per common share	$ 0.05	$ 0.05	$ 0.15	$ 0.15

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Loans and Allowances for Loan Losses

9 Months Ended

Sep. 30, 2014

Receivables [Abstract]

Loans and Allowances for Loan Losses

Note 4.     Loans and Allowances for Loan Losses

The Bank and Southland provide mortgage, consumer, and commercial lending services to individuals and businesses primarily in the East Tennessee area.

The Company’s loans consist of the following at September 30, 2014 and December 31, 2013:

	September 30, 2014			December 31, 2013
Mortgage loans on real estate:
Residential 1-4 family	$	90,948,984		$	88,414,921
Commercial real estate and multi-family		84,185,890			74,497,078
Construction and land		31,083,960			30,720,741
		206,218,834			193,632,740
Commercial loans		14,958,674			13,058,544
Consumer and equity lines of credit		24,993,800			24,732,518
Total loans		246,171,308			231,423,802
Less: Allowance for loan losses		(3,962,540	)		(4,432,069	)
Unearned interest and fees		(364,916	)		(396,470	)
Net deferred loan origination fees		(383,438	)		(389,249	)
Loans, net	$	241,460,414		$	226,206,014

The following presents activity in the allowance for loan losses for the nine months ended September 30, 2014 and the year ended December 31, 2013:

	September 30, 2014			December 31, 2013
Beginning balance	$	4,432,069		$	4,475,302
Provision for loan losses		85,147			316,393
Loans charged-off		(613,999	)		(594,470	)
Recoveries		59,323			234,844
Ending balance	$	3,962,540		$	4,432,069

Loan impairment and any related valuation allowance is determined under the provisions established by ASC Topic 310. For all periods presented, impaired loans without a valuation allowance represent loans for which management believes that the collateral value of the loan is higher than the carrying value of that loan.

The allocation of the allowance for loan losses and recorded investment in loans by portfolio segment are as follows:

	September 30, 2014
	Commercial		Residential 1-4 Family		Commercial Real Estate and Multi- Family		Construction and Land		Consumer and Other		Unallocated		Total
Specified reserves- impaired loans	$	60,196	$	306,437	$	102,092	$	11,569	$	71,511	$	—	$	551,805
General reserves		285,273		864,735		1,140,145		610,692		456,154		53,736		3,410,735
Total reserves	$	345,469	$	1,171,172	$	1,242,237	$	622,261	$	527,665	$	53,736	$	3,962,540
Impaired loans	$	1,813,735	$	4,254,044	$	494,340	$	675,101	$	454,097	$	—	$	7,691,317
Performing loans		13,144,939		86,694,940		83,691,550		30,408,859		24,539,703		—		238,479,991
Total	$	14,958,674	$	90,948,984	$	84,185,890	$	31,083,960	$	24,993,800	$	—	$	246,171,308

	December 31, 2013
	Commercial		Residential 1-4 Family		Commercial Real Estate and Multi- Family		Construction and Land		Consumer and Other		Unallocated		Total
Specified reserves- impaired loans	$	86,958	$	545,126	$	85,175	$	303,752	$	69,049	$	—	$	1,090,060
General reserves		244,980		897,380		1,023,783		652,974		461,508		61,384		3,342,009
Total reserves	$	331,938	$	1,442,506	$	1,108,958	$	956,726	$	530,557	$	61,384	$	4,432,069
Impaired loans	$	1,901,209	$	5,821,575	$	449,597	$	1,815,293	$	328,373	$	—	$	10,316,047
Performing loans		11,157,335		82,593,346		74,047,481		28,905,448		24,404,145		—		221,107,755
Total	$	13,058,544	$	88,414,921	$	74,497,078	$	30,720,741	$	24,732,518	$	—	$	231,423,802

The following table details the changes in the allowance for loan losses from December 31, 2012 to September 30, 2014 by class of loan:

	Commercial			Residential 1-4 Family			Commercial Real Estate and Multi- Family			Construction and Land			Consumer and Other			Unallocated			Total
Balance, December 31, 2012	$	686,065		$	1,348,922		$	1,074,995		$	818,984		$	545,476		$	860		$	4,475,302
Provision (reallocation) for loan losses		(500,574	)		257,300			33,963			235,242			229,938			60,524			316,393
Loans charged-off		—			(194,671	)		—			(97,500	)		(302,299	)		—			(594,470	)
Recoveries		146,447			30,955			—			—			57,442			—			234,844
Balance, December 31, 2013		331,938			1,442,506			1,108,958			956,726			530,557			61,384			4,432,069
Provision (reallocation) for loan losses		13,531			(238,709	)		371,978			(158,779	)		104,774			(7,648	)		85,147
Loans charged-off		—			(35,088	)		(238,699	)		(175,686	)		(164,526	)		—			(613,999	)
Recoveries		—			2,463			—			—			56,860			—			59,323
Balance, September 30, 2014	$	345,469		$	1,171,172		$	1,242,237		$	622,261		$	527,665		$	53,736		$	3,962,540

The following tables present loans individually evaluated for impairment by class of loans as of September 30, 2014 and December 31, 2013:

	September 30, 2014
	Commercial		Residential 1-4 Family		Commercial Real Estate and Multi- Family		Construction and Land		Consumer and Other		Total
Impaired loans:
Without a valuation allowance	$	24,617	$	3,068,564	$	234,796	$	597,974		196,873	$	4,122,824
With a valuation allowance		1,789,118		1,185,480		259,544		77,127		257,224		3,568,493
Recorded investment in impaired loans	$	1,813,735	$	4,254,044	$	494,340	$	675,101	$	454,097	$	7,691,317
Unpaid principal balance of impaired loans	$	1,853,583	$	4,646,071	$	494,340	$	1,200,258	$	454,256	$	8,648,508
Valuation allowance related to impaired loans	$	60,196	$	306,437	$	102,092	$	11,569	$	71,511	$	551,805
Average investment in impaired loans	$	1,848,296	$	4,485,130	$	508,936	$	1,046,852	$	384,378	$	8,273,592
Interest income recognized on impaired loans	$	71,604	$	116,796	$	20,732	$	27,035	$	13,494	$	249,661

	December 31, 2013
	Commercial		Residential 1-4 Family		Commercial Real Estate and Multi- Family		Construction and Land		Consumer and Other		Total
Impaired loans:
Without a valuation allowance	$	47,141	$	3,285,685	$	247,422	$	346,571	$	78,393	$	4,005,212
With a valuation allowance		1,854,068		2,535,890		202,175		1,468,722		249,980		6,310,835
Recorded investment in impaired loans	$	1,901,209	$	5,821,575	$	449,597	$	1,815,293	$	328,373	$	10,316,047
Unpaid principal balance of impaired loans	$	1,941,056	$	6,232,048	$	449,597	$	2,752,396	$	328,843	$	11,703,940
Valuation allowance related to impaired loans	$	86,958	$	545,126	$	85,175	$	303,752	$	69,049	$	1,090,060
Average investment in impaired loans	$	1,878,458	$	8,658,167	$	880,839	$	1,869,016	$	327,904	$	13,614,384
Interest income recognized on impaired loans	$	101,112	$	353,260	$	55,697	$	7,275	$	20,066	$	537,410

The following tables present an aged analysis of past due loans:

	September 30, 2014
	30-89 Days Past Due		Greater Than 90 Days Past Due and Non- Accrual		Total Past Due		Current Loans		Total Loans		Recorded Investment ³ 90 Days Past Due and Accruing
Residential 1-4 family	$	280,432	$	2,852,597	$	3,133,029	$	87,815,955	$	90,948,984	$	—
Commercial real estate and multifamily		—		320,624		320,624		83,865,266		84,185,890		—
Construction and land		34,338		309,701		344,039		30,739,921		31,083,960		—
Commercial		26,315		—		26,315		14,932,359		14,958,674		—
Consumer and other		209,740		61,814		271,554		24,722,246		24,993,800		14,739
Total	$	550,825	$	3,544,736	$	4,095,561	$	242,075,747	$	246,171,308	$	14,739

	December 31, 2013
	30-89 Days Past Due		Greater Than 90 Days Past Due and Non- Accrual		Total Past Due		Current Loans		Total Loans		Recorded Investment ³ 90 Days Past Due and Accruing
Residential 1-4 family	$	915,785	$	2,440,384	$	3,356,169	$	85,058,752	$	88,414,921	$	20,128
Commercial real estate and multifamily		—		96,055		96,055		74,401,023		74,497,078		—
Construction and land		381,336		1,402,960		1,784,296		28,936,445		30,720,741		—
Commercial		24,515		47,141		71,656		12,986,888		13,058,544		—
Consumer and other		341,647		56,953		398,600		24,333,918		24,732,518		27,182
Total	$	1,663,283	$	4,043,493	$	5,706,776	$	225,717,026	$	231,423,802	$	47,310

Credit quality indicators:

Federal regulations require the Company to review and classify its assets on a regular basis. There are three classifications for problem assets: substandard, doubtful, and loss. “Substandard assets” must have one or more defined weaknesses and are characterized by the distinct possibility that we will sustain some loss if the deficiencies are not corrected. “Doubtful assets” have the weaknesses of substandard assets with the additional characteristic that the weaknesses make collection or liquidation in full on the basis of currently existing facts, conditions and values questionable, and there is a high possibility of loss. An asset classified “loss” is considered uncollectible and of such little value that continuance as an asset of the institution is not warranted. The regulations also provide for a “special mention” category, described as assets which do not currently expose an institution to a sufficient degree of risk to warrant classification but do possess credit deficiencies or potential weaknesses deserving close attention. When the Company classifies an asset as substandard or doubtful, it may establish a specific allowance for loan losses.

The following outlines the amount of each loan classification and the amount categorized into each risk rating class:

	September 30, 2014
	Pass		Special Mention		Substandard		Doubtful		Loss		Total
Residential 1-4 family	$	84,187,210	$	2,507,730	$	4,254,044	$	—	$	—	$	90,948,984
Commercial real estate and multifamily		83,691,550		—		494,340		—		—		84,185,890
Construction and land		28,744,715		1,664,144		675,101		—		—		31,083,960
Commercial		13,129,481		15,458		1,813,735		—		—		14,958,674
Consumer and other		24,293,410		246,293		454,097		—		—		24,993,800
Total	$	234,046,366	$	4,433,625	$	7,691,317	$	—	$	—	$	246,171,308

	December 31, 2013
	Pass		Special Mention		Substandard		Doubtful		Loss		Total
Residential 1-4 family	$	81,288,044	$	1,305,302	$	5,821,575	$	—	$	—	$	88,414,921
Commercial real estate and multifamily		73,918,715		128,766		449,597		—		—		74,497,078
Construction and land		27,155,327		1,750,121		1,815,293		—		—		30,720,741
Commercial		11,157,335		—		1,901,209		—		—		13,058,544
Consumer and other		24,159,285		244,860		328,373		—		—		24,732,518
Total	$	217,678,706	$	3,429,049	$	10,316,047	$	—	$	—	$	231,423,802

A modification of a loan constitutes a troubled debt restructuring (“TDR”) when a borrower is experiencing financial difficulty and the modification constitutes a concession. By granting the concession, the Company expects to increase the probability of collection by more than would be expected by not granting the concession. The Company’s determination of whether a modification is a TDR considers the facts and circumstances surrounding each respective modification.

The following tables present information related to loans modified in a TDR:

	Nine Months Ended September 30, 2014
	Number Of Loans		Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Residential 1-4 family		—	$	—	$	—
Commercial real estate and multifamily		—		—		—
Construction and land		—		—		—
Commercial		—		—		—
Consumer and other		10		10,921		10,921
		10	$	10,921	$	10,921

	Nine Months Ended September 30, 2013
	Number Of Loans		Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Residential 1-4 family		1	$	64,586	$	64,586
Commercial real estate and multifamily		—		—		—
Construction and land		—		—		—
Commercial		—		—		—
Consumer and other		8		36,183		18,081
		9	$	100,769	$	82,667

The following tables set forth loans modified in a TDR from October 1 through September 30, for each respective period, that subsequently defaulted (i.e., 60 days or more past due following a modification):

	Twelve Months Ended September 30, 2014
	Number Of Loans		Outstanding Recorded Investment at Default
Residential 1-4 family		—	$	—
Commercial real estate and multifamily		—		—
Construction and land		—		—
Commercial		—		—
Consumer and other		2		11,258
		2	$	11,258

	Twelve Months Ended September 30, 2013
	Number Of Loans		Outstanding Recorded Investment at Default
Residential 1-4 family		—	$	—
Commercial real estate and multifamily		1		5,353
Construction and land		—		—
Commercial		—		—
Consumer and other		2		7,205
		3	$	12,558

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Investments, at Cost

9 Months Ended

Sep. 30, 2014

Investments, All Other Investments [Abstract]

Investments, at Cost

Note 3. Investments, at Cost

The Bank carries the following investments at cost because they are not readily marketable and there is no established market price for the investments. These investments are normally redeemed by the issuer at par value and may carry call or put options under certain circumstances. Investments carried at cost at September 30, 2014 and December 31, 2013 consist of:

	September 30, 2014		December 31, 2013
Federal Home Loan Bank of Cincinnati common stock	$	2,549,000	$	2,898,800
Tenth Street Fund III, L.P. investment		900,000		750,000
	$	3,449,000	$	3,648,800

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Summary of Significant Accounting Policies - Additional Information (Detail)	Sep. 30, 2014 Branch
Schedule of Accounting Policies [Line Items]
Number of branches	7
Southland Finance, Inc. [Member]
Schedule of Accounting Policies [Line Items]
Number of branches	1

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Investments, at Cost (Tables)

9 Months Ended

Sep. 30, 2014

Investments, All Other Investments [Abstract]

Investments, at Cost Detailed

Investments carried at cost at September 30, 2014 and December 31, 2013 consist of:

	September 30, 2014		December 31, 2013
Federal Home Loan Bank of Cincinnati common stock	$	2,549,000	$	2,898,800
Tenth Street Fund III, L.P. investment		900,000		750,000
	$	3,449,000	$	3,648,800

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Federal Home Loan Bank Advances

9 Months Ended

Sep. 30, 2014

Banking and Thrift [Abstract]

Federal Home Loan Bank Advances

Note 7. Federal Home Loan Bank Advances

At September 30, 2014, the Bank had a short term advance outstanding of $7,500,000 with interest accruing at a rate of 0.13%. Pursuant to collateral agreements with the FHLB, the advance described above is secured by the Bank’s FHLB stock and qualifying first mortgage loans. The Bank had no outstanding balances at September 30, 2013.

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Fair Value Disclosures

9 Months Ended

Sep. 30, 2014

Fair Value Disclosures [Abstract]

Fair Value Disclosures

Note 5.     Fair Value Disclosures

The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. In accordance with ASC Topic 820, Fair Value Measurements and Disclosures, the fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is best determined based upon quoted market prices. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument.

ASC Topic 820 provides a consistent definition of fair value, which focuses on exit price in an orderly transaction between market participants at the measurement date under current market conditions. If there has been a significant decrease in the volume and level of activity for the asset or liability, a change in valuation technique or the use of multiple valuation techniques may be appropriate. In such instances, determining the price at which willing market participants would transact at the measurement date under current market conditions depends on the facts and circumstances and requires the use of significant judgment. The fair value is a reasonable point within the range that is most representative of fair value under current market conditions.

ASC Topic 820 also establishes a three-tier fair value which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value, as follows:

Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access.

Level 2 - Significant other observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities in active markets, quoted prices in markets that are not active and other inputs that are observable or can be corroborated by observable market data.

Level 3 - Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability.

A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. There have been no changes in the methodologies used at September 30, 2014 and December 31, 2013.

The following methods and assumptions were used by the Company in estimating fair value disclosures for financial instruments.

Cash, cash equivalents, and interest-bearing deposits in banks:

The carrying amounts of cash, cash equivalents, and interest-bearing deposits in banks approximate fair values based on the short-term nature of the assets. These assets are included in Level 1 of the valuation hierarchy.

Securities:

Fair values are estimated using pricing models and discounted cash flows that consider standard input factors such as observable market data, benchmark yields, interest rate volatilities, broker/dealer quotes, and credit spreads. Securities classified as available for sale are reported at fair value utilizing Level 2 inputs.

Investments, at cost:

The carrying value of investments at cost approximate fair value. These assets are included in Level 3 of the valuation hierarchy.

Loans:

For variable-rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values. Fair value for fixed-rate loans are estimated using discounted cash flow analyses, using market interest rates for comparable loans. These are reflected within Level 3 of the valuation hierarchy. The Company does not record loans at fair value on a recurring basis. However, from time to time, a loan is considered impaired and an allowance for loan losses is established. Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement are considered impaired. Once a loan is identified as individually impaired, management measures impairment in accordance with ASC Topic 310,Receivables. The fair value of impaired loans is estimated using several methods including collateral value, liquidation value and discounted cash flows. Those impaired loans not requiring an allowance represent loans for which the fair value of the expected repayments or collateral exceed the recorded investments in such loans. At September 30, 2014, substantially all of the total impaired loans were evaluated based on the fair value of collateral. In accordance with ASC Topic 310, impaired loans where an allowance is established based on the fair value of collateral require classification in the fair value hierarchy. When the fair value of the collateral is based on the observable market price or a current, independent appraised value, the Company records the impaired loan as nonrecurring Level 2. The Company records the impaired loan as nonrecurring Level 3 when management has become aware of events that have significantly impacted the condition or marketability of the collateral since the most recent appraisal which are not observable market prices. Also, certain impaired loans recorded as nonrecurring Level 3 are evaluated based on a discounted cash flow methodology comparing the contractual rate against the modified rate. In this case, management will reduce the appraisal value based on factors determined by their judgment and collective knowledge of the collateral and market conditions.

Cash surrender value of bank owned life insurance:

The carrying amounts of cash surrender value of bank owned life insurance approximate their fair value. The carrying amount is based on information received from the insurance carriers indicating the financial performance of the policies and the amount the Company would receive should the policies be surrendered. The Company reflects these assets within Level 2 of the valuation hierarchy.

Foreclosed real estate:

Foreclosed real estate consisting of properties obtained through foreclosure or in satisfaction of loans is initially recorded at fair value, determined on the basis of current appraisals, comparable sales, and other estimates of value obtained principally from independent sources, adjusted for estimated selling costs. At the time of foreclosure, any excess of the loan balance over the fair value of the real estate held as collateral is treated as a charge against the allowance for loan losses. Gains or losses on sale and any subsequent adjustments to the fair value are recorded as a component of foreclosed real estate expense. Foreclosed real estate is included in Level 2 of the valuation hierarchy.

Deposits:

The fair value of deposits with no stated maturity, such as noninterest-bearing demand deposits and NOW, money market, and savings accounts, is equal to the amount payable on demand at the reporting date. The fair value of time deposits is based on the discounted value of contractual cash flows, and is included in Level 3 of the valuation hierarchy. The discount rate is estimated using the rates currently offered for deposits of similar remaining maturities.

Securities sold under agreements to repurchase:

The estimated fair value of these liabilities, which are extremely short term, approximates their carrying value. These liabilities are included in Level 3 of the valuation hierarchy.

Federal Home Loan Bank advances:

Rates currently available to the Company for debt with similar terms and remaining maturities are used to estimate the fair value of existing debt. These liabilities are included in Level 3 of the valuation hierarchy.

Accrued interest:

The carrying amounts of accrued interest approximate fair value. These assets and liabilities are included in Level 3 of the valuation hierarchy.

Commitments to extend credit, letters of credit and lines of credit:

The fair value of commitments is estimated using the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counterparties. For fixed-rate loan commitments, fair value also considers the difference between current levels of interest rates and the committed rates.

The tables below present the recorded amount of assets measured at fair value on a recurring basis:

	Balance as of September 30, 2014		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Unobservable Inputs (Level 3)
Securities available for sale:
Securities of U.S. Government agencies and corporations	$	2,625,165	$	—	$	2,625,165	$	—
Mortgage-backed securities		13,630,314		—		13,630,314		—
State and municipal securities		13,015,995		—		13,015,995		—
Total securities available for sale	$	29,271,474	$	—	$	29,271,474	$	—

	Balance as of December 31, 2013		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Unobservable Inputs (Level 3)
Securities available for sale:
Securities of U.S. Government agencies and corporations	$	5,746,264	$	—	$	5,746,264	$	—
Mortgage-backed securities		14,637,065		—		14,637,065		—
State and municipal securities		11,196,854		—		11,196,854		—
Total securities available for sale	$	31,580,183	$	—	$	31,580,183	$	—

At September 30, 2014 and December 31, 2013, the Company had no assets or liabilities whose fair values are measured on a recurring basis using Level 3 inputs. Additionally, there were no transfers between Levels 1 and 2 during the nine months ended September 30, 2014.

The tables below present information about assets for which a nonrecurring change in fair value was recorded:

	Balance as of September 30, 2014		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Unobservable Inputs (Level 3)
Impaired loans	$	3,016,688	$	—	$	1,286,973	$	1,729,715
Foreclosed real estate		1,092,500		—		1,092,500		—

	Balance as of December 31, 2013		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Unobservable Inputs (Level 3)
Impaired loans	$	5,220,775	$	—	$	2,623,325	$	2,597,450
Foreclosed real estate		413,150		—		413,150		—

The carrying amount and estimated fair value of the Company’s financial instruments at September 30, 2014 and December 31, 2013 are as follows:

	September 30, 2014				December 31, 2013
	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
Financial assets:
Cash and cash equivalents	$	8,864,615	$	8,864,615	$	15,135,387	$	15,135,387
Securities available for sale		29,271,474		29,271,474		31,580,183		31,580,183
Investments, at cost		3,449,000		3,449,000		3,648,800		3,648,800
Loans, net		241,460,414		241,456,667		226,206,014		227,272,387
Cash surrender value of bank owned life insurance		10,024,505		10,024,505		9,812,685		9,812,685
Accrued interest receivable		961,228		961,228		978,201		978,201
Financial liabilities:
Deposits		246,887,199		250,800,116		248,172,052		252,724,560
Securities sold under agreements to repurchase		1,157,474		1,157,474		1,303,789		1,303,789
Federal Home Loan Bank advances		7,500,000		7,500,000		—		—
Accrued interest payable		136,310		136,310		152,897		152,897
Unrecognized financial instruments (net of contract amount):
Commitments to extend credit		—		—		—		—
Letters of credit		—		—		—		—
Lines of credit		—		—		—		—

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Stock Options, ESOP, and Restricted Shares

9 Months Ended

Sep. 30, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock Options, ESOP, and Restricted Shares

Note 6.     Stock Options, ESOP, and Restricted Shares

2010 Equity Incentive Plan

The Athens Bancshares Corporation 2010 Equity Incentive Plan (“the 2010 Plan”) was approved by the Company’s stockholders at the annual meeting of stockholders held on July 14, 2010. Under the terms of the 2010 Plan, the Company may grant restricted stock awards and stock options to its employees, officers, and directors. The purpose of the 2010 Plan is to promote the success of the Company by linking the personal interests of its employees, officers, and directors to the interest of the Company’s shareholders, and by providing participants with an incentive for remarkable performance. All of the Company’s employees, officers, and directors are eligible to participate in the 2010 Plan.

Under terms of the 2010 Plan, the Company is authorized to issue up to 277,725 stock options and up to 111,090 shares of restricted stock.

Stock Options:

The Company granted stock options to its directors, officers, and employees on December 15, 2010. Both incentive stock options and non-qualified stock options were granted under the 2010 Plan. The exercise price for each option was equal to the market price of the Company’s stock on the date of grant and the maximum term of each option is ten years. The vesting period for all options is five years, pro rata, from the date of grant. The Company recognizes compensation expense over the vesting period, based on the grant-date fair value of the options granted. The fair value of each option granted is estimated on the date of grant using the Black-Scholes option-pricing model. For both the nine months ended September 30, 2014 and 2013, the Company recorded stock compensation expense of $40,612. At September 30, 2014, the total remaining compensation cost to be recognized on non-vested options is approximately $54,150.

A summary of the activity in the 2010 Plan for the nine months ended September 30, 2014, is presented in the following table:

	Nine Months Ended September 30, 2014
	Shares			Average Exercise Price		Aggregate Intrinsic Value (1)
Outstanding at December 31, 2013		236,062		$	11.50		—
Granted		—			N/A		—
Exercised		(7,141	)	$	11.50		—
Forfeited		—			N/A		—
Outstanding at September 30, 2014		228,921		$	11.50	$	2,339,573
Options exercisable at September 30, 2014		134,496		$	11.50	$	1,374,549

(1) The aggregate intrinsic value of a stock option in the table above represents the total pre-tax intrinsic value (the amount by which the current market value of the underlying stock exceeds the exercise price of the option) that would have been received by the option holders had all option holders exercised their options on September 30, 2014. This amount changes based on changes in the market value of the Company’s stock.

Other information regarding options outstanding and exercisable as of September 30, 2014, is as follows:

	Options Outstanding						Options Exercisable
Exercise Price	Number of Shares		Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life In Years		Number of Shares		Weighted- Average Exercise Price
$11.50		228,921	$	11.50		6.25		134,496	$	11.50

Information pertaining to non-vested options for the nine months ended September 30, 2014, is as follows:

	Number of Shares		Weighted Average Grant Date Fair Value
Non-vested options, December 31, 2013		94,425	$	1.27
Granted		—		—
Vested		—		—
Forfeited		—		—
Non-vested options, September 30, 2014		94,425	$	1.27

Restricted Stock:

On January 19, 2011, the Company awarded 94,426 shares of restricted stock to its directors, officers, and employees pursuant to the terms of the 2010 Plan. Compensation expense associated with the performance-based share awards is recognized over the time period that the restrictions associated with the awards lapse based on the total cost of the award, which is the fair market value of the stock on the date of the grant. The closing price on the date of the grants issued on January 19, 2011 was $12.75 per share.

On December 19, 2012, the Company awarded 16,664 shares of restricted stock to its officers and employees pursuant to the terms of the 2010 Plan. The closing price on the date of the grants issued on December 19, 2012 was $16.65.

For both the nine months ended September 30, 2014 and 2013, the Company recognized $222,209 in compensation expense attributable to restricted shares that have been awarded. At September 30, 2014, the total remaining compensation cost to be recognized on non-vested restricted stock is approximately $721,861.

A summary of activity for unvested restricted awards for the nine months ended September 30, 2014 is as follows:

	Number			Grant Date Weighted- Average Cost
Unvested at December 31, 2013		69,987		$	13.49
Shares awarded		—			—
Restrictions lapsed and shares released		(18,885	)		12.75
Shares forfeited		—			—
Unvested at September 30, 2014		51,102		$	13.76

Employee Stock Ownership Plan (ESOP)

The Bank sponsors a leveraged ESOP that covers substantially all employees who meet certain age and eligibility requirements. As part of the Company’s initial public offering, the ESOP purchased 222,180 shares, or approximately 8% of the 2,777,250 shares issued, with the proceeds of a 15 year loan from the Company which is payable in annual installments and bears interest at 3.25% per annum.

The Bank has committed to make contributions to the ESOP sufficient to support the debt service of the loan. The loan is secured by the unallocated shares, which are held in a suspense account, and are allocated among the participants as the loan is repaid. Cash dividends paid on allocated shares are distributed to the participant and cash dividends paid on unallocated shares are used to repay the outstanding debt of the ESOP.

ESOP shares are held by the plan trustee in a suspense account until allocated to participant accounts. Shares released from the suspense account are allocated to participants on the basis of their relative compensation in the year of allocation. Participants become vested in the allocated shares upon four years of employment with the Bank. Any forfeited shares are allocated to other participants in the same proportion as contributions.

As ESOP shares are allocated to participants, the Bank recognizes compensation expense equal to the fair value of the earned ESOP shares. No compensation expense has been recorded for the nine months ended September 30, 2014 or 2013.

A detail of ESOP shares is as follows:

	September 30, 2014		December 31, 2013
Allocated shares		59,248		59,248
Unallocated shares		162,932		162,932
Total ESOP shares		222,180		222,180
Fair value of unallocated shares	$	3,538,883	$	3,229,312

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Summary of Significant Accounting Policies (Policies)

9 Months Ended

Sep. 30, 2014

Accounting Policies [Abstract]

Interim Financial Information (Unaudited)

Interim Financial Information (Unaudited)

The accompanying unaudited consolidated financial statements have been prepared in accordance with GAAP for interim financial information and in accordance with the instructions to Form 10-Q and Article 8 of Regulation S-X as promulgated by the SEC. Accordingly, they do not include all the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting only of normal recurring accruals) considered necessary for a fair presentation of the financial condition and results of operations for the periods presented have been included. Operating results for the three and nine months ended September 30, 2014, are not necessarily indicative of the results that may be expected for the full year or in any other period. For further information, refer to the Company’s consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013.

The Company has evaluated events and transactions for potential recognition and disclosure through the date the financial statements were issued.

Nature of operations

Nature of operations

The Company is a holding company whose principal activity is the ownership and management of its wholly owned subsidiary, Athens Federal Community Bank (the “Bank”). The Bank provides a variety of financial services to individuals and corporate customers through its seven branches located in Athens, Sweetwater, Etowah, Madisonville, and Cleveland, Tennessee. The Bank’s primary deposit products include checking, savings, certificates of deposit, and IRA accounts. Its primary lending products are one-to-four family residential, commercial real estate, and consumer loans. Southland Finance, Inc. (“Southland”) is a consumer finance company with one branch located in Athens, Tennessee. Ti-Serv, Inc. (“Ti-Serv”) maintains the Bank’s investment in Valley Title Services, LLC (“Valley Title”). Southland and Ti-Serv are wholly-owned subsidiaries of the Bank. Valley Title is a wholly-owned subsidiary of Ti-Serv.

Use of estimates

Use of estimates

The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the valuation of deferred tax assets, other-than-temporary impairment of securities, and the fair value of financial instruments.

Recent Accounting Pronouncements

Recent Accounting Pronouncements

In May 2014, the FASB issued Accounting Standards Update 2014-09, “Revenue from Contracts with Customers.” This update is a joint project with the International Accounting Standards Board initiated to clarify the principles for recognizing revenue and to develop a common revenue standard that is meant to remove inconsistencies and weaknesses in revenue requirements, provide a more robust framework for addressing revenue issues, improve comparability of revenue recognition practices, provide more useful information to users of financial statements and simplify the preparation of financial statements. The guidance in this update supersedes the revenue recognition requirements in Topic 605, “Revenue Recognition” and most industry-specific guidance throughout the Industry Topics of Codification. This update is effective for annual and interim periods beginning after December 15, 2016. The Company does not believe this update will have a significant impact on the consolidated financial statements.

The Company has determined that all other recently issued accounting pronouncements will not have a significant impact on its consolidated financial statements or do not apply to its operations.

Earnings Per Common Share

Earnings Per Common Share

Basic earnings per share are computed by dividing income available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the Company.

The following is a summary of the basic and diluted earnings per share for the three months ended September 30, 2014 and 2013:

	Three Months Ended September 30,
	2014		2013
Numerator:
Net income	$	749,984	$	497,098
Denominator:
Weighted average common shares outstanding		1,638,797		1,947,833
Effect of dilutive stock options		116,772		83,807
Diluted shares		1,755,569		2,031,640
Basic earnings per share	$	0.46	$	0.26
Diluted earnings per share	$	0.43	$	0.24

The following is a summary of the basic and diluted earnings per share for the nine months ended September 30, 2014 and 2013:

	Nine Months Ended September 30,
	2014		2013
Numerator:
Net income	$	2,079,915	$	1,703,531
Denominator:
Weighted average common shares outstanding		1,663,191		2,011,161
Effect of dilutive stock options		108,856		84,674
Diluted shares		1,772,047		2,095,835
Basic earnings per share	$	1.25	$	0.85
Diluted earnings per share	$	1.17	$	0.81

Reclassifications

Reclassifications

Certain amounts from prior period financial statements have been reclassified to conform to the current period’s presentation. The reclassifications had no effect on net income, total assets or stockholders’ equity as previously reported.

Fair Value Measurements and Disclosures

The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. In accordance with ASC Topic 820, Fair Value Measurements and Disclosures, the fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is best determined based upon quoted market prices. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument.

ASC Topic 820 provides a consistent definition of fair value, which focuses on exit price in an orderly transaction between market participants at the measurement date under current market conditions. If there has been a significant decrease in the volume and level of activity for the asset or liability, a change in valuation technique or the use of multiple valuation techniques may be appropriate. In such instances, determining the price at which willing market participants would transact at the measurement date under current market conditions depends on the facts and circumstances and requires the use of significant judgment. The fair value is a reasonable point within the range that is most representative of fair value under current market conditions.

ASC Topic 820 also establishes a three-tier fair value which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value, as follows:

Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access.

Level 2 - Significant other observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities in active markets, quoted prices in markets that are not active and other inputs that are observable or can be corroborated by observable market data.

Level 3 - Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability.

A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. There have been no changes in the methodologies used at September 30, 2014 and December 31, 2013.

Receivables

Loans:

For variable-rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values. Fair value for fixed-rate loans are estimated using discounted cash flow analyses, using market interest rates for comparable loans. These are reflected within Level 3 of the valuation hierarchy. The Company does not record loans at fair value on a recurring basis. However, from time to time, a loan is considered impaired and an allowance for loan losses is established. Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement are considered impaired. Once a loan is identified as individually impaired, management measures impairment in accordance with ASC Topic 310, Receivables. The fair value of impaired loans is estimated using several methods including collateral value, liquidation value and discounted cash flows. Those impaired loans not requiring an allowance represent loans for which the fair value of the expected repayments or collateral exceed the recorded investments in such loans. At September 30, 2014, substantially all of the total impaired loans were evaluated based on the fair value of collateral. In accordance with ASC Topic 310, impaired loans where an allowance is established based on the fair value of collateral require classification in the fair value hierarchy. When the fair value of the collateral is based on the observable market price or a current, independent appraised value, the Company records the impaired loan as nonrecurring Level 2. The Company records the impaired loan as nonrecurring Level 3 when management has become aware of events that have significantly impacted the condition or marketability of the collateral since the most recent appraisal which are not observable market prices. Also, certain impaired loans recorded as nonrecurring Level 3 are evaluated based on a discounted cash flow methodology comparing the contractual rate against the modified rate. In this case, management will reduce the appraisal value based on factors determined by their judgment and collective knowledge of the collateral and market conditions.

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Loans and Allowance for Loan Losses - Loans Individually Evaluated for Impairment by Class of Loans (Detail) (USD $)	9 Months Ended	12 Months Ended
	Sep. 30, 2014	Dec. 31, 2013
Financing Receivable, Allowance for Credit Losses [Line Items]
Without a valuation allowance	$ 4,122,824	$ 4,005,212
With a valuation allowance	3,568,493	6,310,835
Recorded investment in impaired loans	7,691,317	10,316,047
Unpaid principal balance of impaired loans	8,648,508	11,703,940
Valuation allowance related to impaired loans	551,805	1,090,060
Average investment in impaired loans	8,273,592	13,614,384
Interest income recognized on impaired loans	249,661	537,410
Commercial [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Without a valuation allowance	24,617	47,141
With a valuation allowance	1,789,118	1,854,068
Recorded investment in impaired loans	1,813,735	1,901,209
Unpaid principal balance of impaired loans	1,853,583	1,941,056
Valuation allowance related to impaired loans	60,196	86,958
Average investment in impaired loans	1,848,296	1,878,458
Interest income recognized on impaired loans	71,604	101,112
Residential 1-4 Family [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Without a valuation allowance	3,068,564	3,285,685
With a valuation allowance	1,185,480	2,535,890
Recorded investment in impaired loans	4,254,044	5,821,575
Unpaid principal balance of impaired loans	4,646,071	6,232,048
Valuation allowance related to impaired loans	306,437	545,126
Average investment in impaired loans	4,485,130	8,658,167
Interest income recognized on impaired loans	116,796	353,260
Commercial Real Estate and Multi-Family [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Without a valuation allowance	234,796	247,422
With a valuation allowance	259,544	202,175
Recorded investment in impaired loans	494,340	449,597
Unpaid principal balance of impaired loans	494,340	449,597
Valuation allowance related to impaired loans	102,092	85,175
Average investment in impaired loans	508,936	880,839
Interest income recognized on impaired loans	20,732	55,697
Construction and Land [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Without a valuation allowance	597,974	346,571
With a valuation allowance	77,127	1,468,722
Recorded investment in impaired loans	675,101	1,815,293
Unpaid principal balance of impaired loans	1,200,258	2,752,396
Valuation allowance related to impaired loans	11,569	303,752
Average investment in impaired loans	1,046,852	1,869,016
Interest income recognized on impaired loans	27,035	7,275
Consumer and Other [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Without a valuation allowance	196,873	78,393
With a valuation allowance	257,224	249,980
Recorded investment in impaired loans	454,097	328,373
Unpaid principal balance of impaired loans	454,256	328,843
Valuation allowance related to impaired loans	71,511	69,049
Average investment in impaired loans	384,378	327,904
Interest income recognized on impaired loans	$ 13,494	$ 20,066

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Fair Value Disclosures (Tables)

9 Months Ended

Sep. 30, 2014

Fair Value Disclosures [Abstract]

Recorded Amount of Assets Measured at Fair Value on Recurring Basis

The tables below present the recorded amount of assets measured at fair value on a recurring basis:

	Balance as of September 30, 2014		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Unobservable Inputs (Level 3)
Securities available for sale:
Securities of U.S. Government agencies and corporations	$	2,625,165	$	—	$	2,625,165	$	—
Mortgage-backed securities		13,630,314		—		13,630,314		—
State and municipal securities		13,015,995		—		13,015,995		—
Total securities available for sale	$	29,271,474	$	—	$	29,271,474	$	—

	Balance as of December 31, 2013		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Unobservable Inputs (Level 3)
Securities available for sale:
Securities of U.S. Government agencies and corporations	$	5,746,264	$	—	$	5,746,264	$	—
Mortgage-backed securities		14,637,065		—		14,637,065		—
State and municipal securities		11,196,854		—		11,196,854		—
Total securities available for sale	$	31,580,183	$	—	$	31,580,183	$	—

Assets for which a Nonrecurring Change in Fair Value was Recorded

The tables below present information about assets for which a nonrecurring change in fair value was recorded:

	Balance as of September 30, 2014		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Unobservable Inputs (Level 3)
Impaired loans	$	3,016,688	$	—	$	1,286,973	$	1,729,715
Foreclosed real estate		1,092,500		—		1,092,500		—

	Balance as of December 31, 2013		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Unobservable Inputs (Level 3)
Impaired loans	$	5,220,775	$	—	$	2,623,325	$	2,597,450
Foreclosed real estate		413,150		—		413,150		—

Carrying Amount and Estimated Fair Value of the Company's Financial Instruments

The carrying amount and estimated fair value of the Company’s financial instruments at September 30, 2014 and December 31, 2013 are as follows:

	September 30, 2014				December 31, 2013
	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
Financial assets:
Cash and cash equivalents	$	8,864,615	$	8,864,615	$	15,135,387	$	15,135,387
Securities available for sale		29,271,474		29,271,474		31,580,183		31,580,183
Investments, at cost		3,449,000		3,449,000		3,648,800		3,648,800
Loans, net		241,460,414		241,456,667		226,206,014		227,272,387
Cash surrender value of bank owned life insurance		10,024,505		10,024,505		9,812,685		9,812,685
Accrued interest receivable		961,228		961,228		978,201		978,201
Financial liabilities:
Deposits		246,887,199		250,800,116		248,172,052		252,724,560
Securities sold under agreements to repurchase		1,157,474		1,157,474		1,303,789		1,303,789
Federal Home Loan Bank advances		7,500,000		7,500,000		—		—
Accrued interest payable		136,310		136,310		152,897		152,897
Unrecognized financial instruments (net of contract amount):
Commitments to extend credit		—		—		—		—
Letters of credit		—		—		—		—
Lines of credit		—		—		—		—

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Securities - Additional Information (Detail) (USD $)	9 Months Ended		12 Months Ended
	Sep. 30, 2014 Security	Sep. 30, 2013	Dec. 31, 2013 Security
Investments, Debt and Equity Securities [Abstract]
Held-to-maturity securities	$ 0		$ 0
Trading securities	0		0
Gains or losses from marketable securities	0	0
Pledged securities, carrying values	$ 17,259,000		$ 17,507,000
Number of depreciated securities	12		22
Securities with unrealized losses, depreciated from the Company's amortized cost basis	1.67%		2.89%

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Stock Options, ESOP, and Restricted Shares - ESOP Shares (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Employee Stock Ownership Plan (ESOP), Shares in ESOP [Abstract]
Allocated shares	59,248	59,248
Unallocated shares	162,932	162,932
Total ESOP shares	222,180	222,180
Fair value of unallocated shares	$ 3,538,883	$ 3,229,312

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Fair Value Disclosures - Additional Information (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Transfers between levels 1 and 2	$ 0
Fair Value, Measurements, Recurring [Member] | Significant Other Unobservable Inputs (Level 3) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, whose fair values are measured on a recurring basis using Level 3 inputs	0	0
Liabilities, whose fair values are measured on a recurring basis using Level 3 inputs	$ 0	$ 0

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Consolidated Statements of Comprehensive Income (Unaudited) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Statement of Comprehensive Income [Abstract]
Net income	$ 749,984	$ 497,098	$ 2,079,915	$ 1,703,531
Other comprehensive income (loss), before tax:
Unrealized holding gains (losses) on securities available for sale	66,857	(270,579)	492,492	(816,537)
Income tax (expense) benefit related to other comprehensive income items	(25,406)	102,820	(187,147)	310,284
Other comprehensive income (loss), net of tax	41,451	(167,759)	305,345	(506,253)
Comprehensive income	$ 791,435	$ 329,339	$ 2,385,260	$ 1,197,278

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Securities

9 Months Ended

Sep. 30, 2014

Investments, Debt and Equity Securities [Abstract]

Securities

Note 2.    Securities

The amortized cost and estimated fair value of securities classified as available for sale and held to maturity at September 30, 2014 and December 31, 2013 are as follows:

	September 30, 2014
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Securities of U.S. Government agencies and corporations	$	2,659,618	$	5,127	$	(39,580	)	$	2,625,165
Mortgage-backed and related securities (1)		13,468,331		187,012		( 25,029	)		13,630,314
State and municipal securities		12,761,809		339,383		(85,197	)		13,015,995
	$	28,889,758	$	531,522	$	(149,806	)	$	29,271,474

	December 31, 2013
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Securities of U.S. Government agencies and corporations	$	5,825,027	$	14,733	$	(93,496	)	$	5,746,264
Mortgage-backed and related securities (1)		14,514,702		189,224		(66,861	)		14,637,065
State and municipal securities		11,351,230		153,436		(307,812	)		11,196,854
	$	31,690,959	$	357,393	$	(468,169	)	$	31,580,183

(1) Collateralized by residential mortgages and guaranteed by U.S. Government sponsored entities.

As of September 30, 2014 and December 31, 2013, the Company did not have any securities classified as held-to-maturity or as trading securities.

The amortized cost and estimated market value of securities at September 30, 2014, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

	Amortized Cost		Fair Value
Due in one year or less	$	77,681	$	78,247
Due after one year through five years		6,141,439		6,171,221
Due five years to ten years		7,838,398		8,012,314
Due after ten years		1,363,909		1,379,378
Mortgage-backed securities		13,468,331		13,630,314
Total	$	28,889,758	$	29,271,474

The Company had no realized gains or losses for the nine month periods ended September 30, 2014 and 2013.

The Company has pledged securities with carrying values of approximately $17,259,000 and $17,507,000 to secure deposits of public and private funds as of September 30, 2014 and December 31, 2013, respectively.

Securities with gross unrealized losses at September 30, 2014 and December 31, 2013, aggregated by investment category and length of time that individual securities have been in a continuous loss position, are as follows:

	September 30, 2014
	Less than 12 Months					12 Months or Greater					Total
	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
	(dollars in thousands)
Securities of U.S. Government agencies and corporations	$	997	$	(3	)	$	962	$	(37	)	$	1,959	$	(40	)
State and municipal securities		—		—			3,110		(85	)		3,110		(85	)
Mortgage-backed and related securities		2,911		(17	)		826		(8	)		3,737		(25	)
	$	3,908	$	(20	)	$	4,898	$	(130	)	$	8,806	$	(150	)

	December 31, 2013
	Less than 12 Months					12 Months or Greater					Total
	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
	(dollars in thousands)
Securities of U.S. Government agencies and corporations	$	1,905	$	(93	)	$	—	$	—		$	1,905	$	(93	)
State and municipal securities		5,104		(283	)		411		(25	)		5,515		(308	)
Mortgage-backed and related securities		8,332		(67	)		—		—			8,332		(67	)
	$	15,341	$	(443	)	$	411	$	(25	)	$	15,752	$	(468	)

Management performs periodic reviews for impairment in accordance with ASC Topic 320, Investments – Debt and Equity Securities.

At September 30, 2014, the 12 securities with unrealized losses had depreciated 1.67 percent from the Company’s amortized cost basis. At December 31, 2013, the 22 securities with unrealized losses had depreciated 2.89 percent from the Company’s amortized cost basis.

Most of these securities are guaranteed by either U.S. government corporations or agencies or had investment grade ratings upon purchase. Further, the issuers of these securities have not established any cause for default. The unrealized losses associated with these investment securities are primarily driven by changes in interest rates and are not due to the credit quality of the securities. These securities will continue to be monitored as a part of the Company’s ongoing impairment analysis, but are expected to perform even if the rating agencies reduce the credit rating of the bond insurers. Management evaluates the financial performance of each issuer on a quarterly basis to determine if it is probable that the issuers can make all contractual principal and interest payments.

Upon acquisition of a security, the Company determines the appropriate impairment model that is applicable. If the security is a beneficial interest in securitized financial assets, the Company uses the beneficial interests in securitized financial assets impairment model. If the security is not a beneficial interest in securitized financial assets, the Company uses the debt and equity securities impairment model. The Company conducts periodic reviews to evaluate each security to determine whether an other-than-temporary impairment has occurred. The Company does not have any securities that have been classified as other-than-temporarily-impaired at September 30, 2014.

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Securities - Amortized Cost and Estimated Fair Value of Securities, by Contractual Maturity (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Investments, Debt and Equity Securities [Abstract]
Securities Available for Sale, Due in one year or less, Amortized Cost	$ 77,681
Securities Available for Sale, Due after one year through five years, Amortized Cost	6,141,439
Securities Available for Sale, Due five years to ten years, Amortized Cost	7,838,398
Securities Available for Sale, Due after ten years, Amortized Cost	1,363,909
Securities Available for Sale, Mortgage-backed securities, Amortized Cost	13,468,331
Securities Available for Sale, Total, Amortized Cost	28,889,758
Securities Available for Sale, Due in one year or less, Fair Value	78,247
Securities Available for Sale, Due after one year through five years, Fair Value	6,171,221
Securities Available for Sale, Due five years to ten years, Fair Value	8,012,314
Securities Available for Sale, Due after ten years, Fair Value	1,379,378
Securities Available for Sale, Mortgage-backed securities, Fair Value	13,630,314
Securities Available for Sale, Total, Fair Value	$ 29,271,474	$ 31,580,183

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Loans and Allowance for Loan Losses - Additional Information (Detail)	9 Months Ended
	Sep. 30, 2014
Receivables [Abstract]
Loans modified in TDR that subsequently defaulted	60 days

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Loans and Allowances for Loan Losses (Tables)

9 Months Ended

Sep. 30, 2014

Receivables [Abstract]

Company's Loans

The Company’s loans consist of the following at September 30, 2014 and December 31, 2013:

	September 30, 2014			December 31, 2013
Mortgage loans on real estate:
Residential 1-4 family	$	90,948,984		$	88,414,921
Commercial real estate and multi-family		84,185,890			74,497,078
Construction and land		31,083,960			30,720,741
		206,218,834			193,632,740
Commercial loans		14,958,674			13,058,544
Consumer and equity lines of credit		24,993,800			24,732,518
Total loans		246,171,308			231,423,802
Less: Allowance for loan losses		(3,962,540	)		(4,432,069	)
Unearned interest and fees		(364,916	)		(396,470	)
Net deferred loan origination fees		(383,438	)		(389,249	)
Loans, net	$	241,460,414		$	226,206,014

Allowance for Loan Losses

The following presents activity in the allowance for loan losses for the nine months ended September 30, 2014 and the year ended December 31, 2013:

	September 30, 2014			December 31, 2013
Beginning balance	$	4,432,069		$	4,475,302
Provision for loan losses		85,147			316,393
Loans charged-off		(613,999	)		(594,470	)
Recoveries		59,323			234,844
Ending balance	$	3,962,540		$	4,432,069

Allocation of the Allowance for Loan Losses and Recorded Investment in Loans by Portfolio Segment

The allocation of the allowance for loan losses and recorded investment in loans by portfolio segment are as follows:

	September 30, 2014
	Commercial		Residential 1-4 Family		Commercial Real Estate and Multi- Family		Construction and Land		Consumer and Other		Unallocated		Total
Specified reserves- impaired loans	$	60,196	$	306,437	$	102,092	$	11,569	$	71,511	$	—	$	551,805
General reserves		285,273		864,735		1,140,145		610,692		456,154		53,736		3,410,735
Total reserves	$	345,469	$	1,171,172	$	1,242,237	$	622,261	$	527,665	$	53,736	$	3,962,540
Impaired loans	$	1,813,735	$	4,254,044	$	494,340	$	675,101	$	454,097	$	—	$	7,691,317
Performing loans		13,144,939		86,694,940		83,691,550		30,408,859		24,539,703		—		238,479,991
Total	$	14,958,674	$	90,948,984	$	84,185,890	$	31,083,960	$	24,993,800	$	—	$	246,171,308

	December 31, 2013
	Commercial		Residential 1-4 Family		Commercial Real Estate and Multi- Family		Construction and Land		Consumer and Other		Unallocated		Total
Specified reserves- impaired loans	$	86,958	$	545,126	$	85,175	$	303,752	$	69,049	$	—	$	1,090,060
General reserves		244,980		897,380		1,023,783		652,974		461,508		61,384		3,342,009
Total reserves	$	331,938	$	1,442,506	$	1,108,958	$	956,726	$	530,557	$	61,384	$	4,432,069
Impaired loans	$	1,901,209	$	5,821,575	$	449,597	$	1,815,293	$	328,373	$	—	$	10,316,047
Performing loans		11,157,335		82,593,346		74,047,481		28,905,448		24,404,145		—		221,107,755
Total	$	13,058,544	$	88,414,921	$	74,497,078	$	30,720,741	$	24,732,518	$	—	$	231,423,802

Changes in the Allowance for Loan Losses by Class of Loan

The following table details the changes in the allowance for loan losses from December 31, 2012 to September 30, 2014 by class of loan:

	Commercial			Residential 1-4 Family			Commercial Real Estate and Multi- Family			Construction and Land			Consumer and Other			Unallocated			Total
Balance, December 31, 2012	$	686,065		$	1,348,922		$	1,074,995		$	818,984		$	545,476		$	860		$	4,475,302
Provision (reallocation) for loan losses		(500,574	)		257,300			33,963			235,242			229,938			60,524			316,393
Loans charged-off		—			(194,671	)		—			(97,500	)		(302,299	)		—			(594,470	)
Recoveries		146,447			30,955			—			—			57,442			—			234,844
Balance, December 31, 2013		331,938			1,442,506			1,108,958			956,726			530,557			61,384			4,432,069
Provision (reallocation) for loan losses		13,531			(238,709	)		371,978			(158,779	)		104,774			(7,648	)		85,147
Loans charged-off		—			(35,088	)		(238,699	)		(175,686	)		(164,526	)		—			(613,999	)
Recoveries		—			2,463			—			—			56,860			—			59,323
Balance, September 30, 2014	$	345,469		$	1,171,172		$	1,242,237		$	622,261		$	527,665		$	53,736		$	3,962,540

Loans Individually Evaluated for Impairment by Class of Loans

The following tables present loans individually evaluated for impairment by class of loans as of September 30, 2014 and December 31, 2013:

	September 30, 2014
					Commercial
					Real Estate
			Residential		and Multi-		Construction		Consumer
	Commercial		1-4 Family		Family		and Land		and Other		Total
Impaired loans:
Without a valuation allowance	$	24,617	$	3,068,564	$	234,796	$	597,974		196,873	$	4,122,824
With a valuation allowance		1,789,118		1,185,480		259,544		77,127		257,224		3,568,493
Recorded investment in impaired loans	$	1,813,735	$	4,254,044	$	494,340	$	675,101	$	454,097	$	7,691,317
Unpaid principal balance of impaired loans	$	1,853,583	$	4,646,071	$	494,340	$	1,200,258	$	454,256	$	8,648,508
Valuation allowance related to impaired loans	$	60,196	$	306,437	$	102,092	$	11,569	$	71,511	$	551,805
Average investment in impaired loans	$	1,848,296	$	4,485,130	$	508,936	$	1,046,852	$	384,378	$	8,273,592
Interest income recognized on impaired loans	$	71,604	$	116,796	$	20,732	$	27,035	$	13,494	$	249,661

	December 31, 2013
					Commercial
					Real Estate
			Residential		and Multi-		Construction		Consumer
	Commercial		1-4 Family		Family		and Land		and Other		Total
Impaired loans:
Without a valuation allowance	$	47,141	$	3,285,685	$	247,422	$	346,571	$	78,393	$	4,005,212
With a valuation allowance		1,854,068		2,535,890		202,175		1,468,722		249,980		6,310,835
Recorded investment in impaired loans	$	1,901,209	$	5,821,575	$	449,597	$	1,815,293	$	328,373	$	10,316,047
Unpaid principal balance of impaired loans	$	1,941,056	$	6,232,048	$	449,597	$	2,752,396	$	328,843	$	11,703,940
Valuation allowance related to impaired loans	$	86,958	$	545,126	$	85,175	$	303,752	$	69,049	$	1,090,060
Average investment in impaired loans	$	1,878,458	$	8,658,167	$	880,839	$	1,869,016	$	327,904	$	13,614,384
Interest income recognized on impaired loans	$	101,112	$	353,260	$	55,697	$	7,275	$	20,066	$	537,410

Aged Analysis of Past Due Loans

The following tables present an aged analysis of past due loans:

	September 30, 2014
	30-89 Days Past Due		Greater Than 90 Days Past Due and Non- Accrual		Total Past Due		Current Loans		Total Loans		Recorded Investment ³ 90 Days Past Due and Accruing
Residential 1-4 family	$	280,432	$	2,852,597	$	3,133,029	$	87,815,955	$	90,948,984	$	—
Commercial real estate and multifamily		—		320,624		320,624		83,865,266		84,185,890		—
Construction and land		34,338		309,701		344,039		30,739,921		31,083,960		—
Commercial		26,315		—		26,315		14,932,359		14,958,674		—
Consumer and other		209,740		61,814		271,554		24,722,246		24,993,800		14,739
Total	$	550,825	$	3,544,736	$	4,095,561	$	242,075,747	$	246,171,308	$	14,739

	December 31, 2013
	30-89 Days Past Due		Greater Than 90 Days Past Due and Non- Accrual		Total Past Due		Current Loans		Total Loans		Recorded Investment ³ 90 Days Past Due and Accruing
Residential 1-4 family	$	915,785	$	2,440,384	$	3,356,169	$	85,058,752	$	88,414,921	$	20,128
Commercial real estate and multifamily		—		96,055		96,055		74,401,023		74,497,078		—
Construction and land		381,336		1,402,960		1,784,296		28,936,445		30,720,741		—
Commercial		24,515		47,141		71,656		12,986,888		13,058,544		—
Consumer and other		341,647		56,953		398,600		24,333,918		24,732,518		27,182
Total	$	1,663,283	$	4,043,493	$	5,706,776	$	225,717,026	$	231,423,802	$	47,310

Amount of Each Loan Classification and the Amount Categorized into Each Risk Rating Class

The following outlines the amount of each loan classification and the amount categorized into each risk rating class:

	September 30, 2014
	Pass		Special Mention		Substandard		Doubtful		Loss		Total
Residential 1-4 family	$	84,187,210	$	2,507,730	$	4,254,044	$	—	$	—	$	90,948,984
Commercial real estate and multifamily		83,691,550		—		494,340		—		—		84,185,890
Construction and land		28,744,715		1,664,144		675,101		—		—		31,083,960
Commercial		13,129,481		15,458		1,813,735		—		—		14,958,674
Consumer and other		24,293,410		246,293		454,097		—		—		24,993,800
Total	$	234,046,366	$	4,433,625	$	7,691,317	$	—	$	—	$	246,171,308

	December 31, 2013
	Pass		Special Mention		Substandard		Doubtful		Loss		Total
Residential 1-4 family	$	81,288,044	$	1,305,302	$	5,821,575	$	—	$	—	$	88,414,921
Commercial real estate and multifamily		73,918,715		128,766		449,597		—		—		74,497,078
Construction and land		27,155,327		1,750,121		1,815,293		—		—		30,720,741
Commercial		11,157,335		—		1,901,209		—		—		13,058,544
Consumer and other		24,159,285		244,860		328,373		—		—		24,732,518
Total	$	217,678,706	$	3,429,049	$	10,316,047	$	—	$	—	$	231,423,802

Modification of Loans as TDR

The following tables present information related to loans modified in a TDR:

	Nine Months Ended September 30, 2014
	Number Of Loans		Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Residential 1-4 family		—	$	—	$	—
Commercial real estate and multifamily		—		—		—
Construction and land		—		—		—
Commercial		—		—		—
Consumer and other		10		10,921		10,921
		10	$	10,921	$	10,921

	Nine Months Ended September 30, 2013
	Number Of Loans		Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Residential 1-4 family		1	$	64,586	$	64,586
Commercial real estate and multifamily		—		—		—
Construction and land		—		—		—
Commercial		—		—		—
Consumer and other		8		36,183		18,081
		9	$	100,769	$	82,667

Financial Receivable Modifications Subsequent Default

The following tables set forth loans modified in a TDR from October 1 through September 30, for each respective period, that subsequently defaulted (i.e., 60 days or more past due following a modification):

	Twelve Months Ended September 30, 2014
	Number Of Loans		Outstanding Recorded Investment at Default
Residential 1-4 family		—	$	—
Commercial real estate and multifamily		—		—
Construction and land		—		—
Commercial		—		—
Consumer and other		2		11,258
		2	$	11,258

	Twelve Months Ended September 30, 2013
	Number Of Loans		Outstanding Recorded Investment at Default
Residential 1-4 family		—	$	—
Commercial real estate and multifamily		1		5,353
Construction and land		—		—
Commercial		—		—
Consumer and other		2		7,205
		3	$	12,558