XML 30 R20.htm IDEA: XBRL DOCUMENT v3.8.0.1
LOANS (Tables)
 9 Months Ended
Sep. 30, 2017
LOANS [Abstract]  
Schedule of Loans Receivable

Loans, net consist of the following as of September 30, 2017 and December 31, 2016 (in thousands):









 

 

 

 

 

 



 

 

 

 

 

 

 

 

September 30, 2017

 

December 31, 2016

Real estate

 

 

 

 

 

 

     Commercial

 

$

 736,487 

 

$

 547,711 

     Construction

 

 

 37,723 

 

 

 29,447 

     Multifamily

 

 

 187,753 

 

 

 117,373 

     One-to-four family

 

 

 25,777 

 

 

 26,480 



 

 

 987,740 

 

 

 721,011 



 

 

 

 

 

 

Commercial and industrial

 

 

 346,738 

 

 

 315,870 

Consumer

 

 

 47,171 

 

 

 18,825 

     Total loans

 

 

 1,381,649 

 

 

 1,055,706 

     Deferred fees

 

 

 (820)

 

 

 (1,160)

Allowance for loan and lease losses

 

 

 (15,075)

 

 

 (11,815)

Balance at the end of the period

 

$

 1,365,754 

 

$

 1,042,731 



Activity in the Allowance for Loan Losses by Segment

The following table presents the activity in the allowance for loan and lease losses by segment for the three and nine months ending September 30, 2017 and 2016 (dollars in thousands):



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the three months ended
September 30, 2017

 

Commercial Real Estate

 

Commercial & Industrial

 

Construction

 

Multifamily

 

One-to-four Family

 

Consumer

 

Total

Allowance for loan and lease losses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning balance

 

$

 6,487 

 

$

 5,560 

 

$

 557 

 

$

 958 

 

$

 85 

 

$

 262 

 

$

 13,909 

Provision (credit) for loan and lease losses

 

 

 637 

 

 

 443 

 

 

 (33)

 

 

 34 

 

 

 2 

 

 

 117 

 

 

 1,200 

Charge-offs

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 (34)

 

 

 (34)

Recoveries

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 -

Total ending allowance balance

 

$

 7,124 

 

$

 6,003 

 

$

 524 

 

$

 992 

 

$

 87 

 

$

 345 

 

$

 15,075 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the three months ended
September 30, 2016

 

Commercial Real Estate

 

Commercial & Industrial

 

Construction

 

Multifamily

 

One-to-four Family

 

Consumer

 

Total

Allowance for loan and lease losses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning balance

 

$

 4,835 

 

$

 5,562 

 

$

 458 

 

$

 404 

 

$

 385 

 

$

 60 

 

$

 11,704 

Provision (credit) for loan and lease losses

 

 

 440 

 

 

 (352)

 

 

 33 

 

 

 35 

 

 

 5 

 

 

 29 

 

 

 190 

Charge-offs

 

 

 -

 

 

 (123)

 

 

 -

 

 

 -

 

 

 (274)

 

 

 -

 

 

 (397)

Recoveries

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 -

Total ending allowance balance

 

$

 5,275 

 

$

 5,087 

 

$

 491 

 

$

 439 

 

$

 116 

 

$

 89 

 

$

 11,497 





NOTE 3 – LOANS (Continued)







 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the nine months ended
September 30, 2017

 

Commercial Real Estate

 

Commercial & Industrial

 

Construction

 

Multifamily

 

One-to-four Family

 

Consumer

 

Total

Allowance for loan and lease losses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning balance

 

$

 5,206 

 

$

 5,364 

 

$

 409 

 

$

 620 

 

$

 109 

 

$

 107 

 

$

 11,815 

Provision (credit) for loan and lease losses

 

 

 1,918 

 

 

 859 

 

 

 115 

 

 

 372 

 

 

 (22)

 

 

 318 

 

 

 3,560 

Charge-offs

 

 

                  -

 

 

 (220)

 

 

                   -

 

 

            -

 

 

             -

 

 

 (80)

 

 

 (300)

Recoveries

 

 

                  -

 

 

                  -

 

 

                   -

 

 

            -

 

 

             -

 

 

              -

 

 

 -

Total ending allowance balance

 

$

 7,124 

 

$

 6,003 

 

$

 524 

 

$

 992 

 

$

 87 

 

$

 345 

 

$

 15,075 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the nine months ended
September 30, 2016

 

Commercial Real Estate

 

Commercial & Industrial

 

Construction

 

Multifamily

 

One-to-four Family

 

Consumer

 

Total

Allowance for loan and lease losses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning balance

 

$

 3,650 

 

$

 4,254 

 

$

 589 

 

$

 986 

 

$

 444 

 

$

 19 

 

$

 9,942 

Provision (credit) for loan and lease losses

 

 

 1,625 

 

 

 1,007 

 

 

 (98)

 

 

 (547)

 

 

 (57)

 

 

 70 

 

 

 2,000 

Charge-offs

 

 

                 -

 

 

 (174)

 

 

                  -

 

 

          -

 

 

 (274)

 

 

               -

 

 

 (448)

Recoveries

 

 

                 -

 

 

                -

 

 

                   -

 

 

          -

 

 

 3 

 

 

               -

 

 

 3 

Total ending allowance balance

 

$

 5,275 

 

$

 5,087 

 

$

 491 

 

$

 439 

 

$

 116 

 

$

 89 

 

$

 11,497 



Allowance for Loan Losses and the Recorded Investment in Loans

The following tables present the balance in the allowance for loan and lease losses and the recorded investment in loans by portfolio segment based on impairment method as of September 30, 2017 and December 31, 2016 (dollars in thousands):







 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 September 30, 2017

 

Commercial Real Estate

 

Commercial & Industrial

 

Construction

 

Multifamily

 

One-to-four Family

 

Consumer

 

Total



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for and lease loan losses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Individually evaluated for impairment

 

$

 -

 

$

 366 

 

$

 -

 

$

 -

 

$

 -

 

$

 63 

 

$

 429 

Collectively evaluated for impairment

 

 

 7,124 

 

 

 5,637 

 

 

 524 

 

 

 992 

 

 

 87 

 

 

 282 

 

 

 14,646 

Total ending allowance balance

 

$

 7,124 

 

$

 6,003 

 

$

 524 

 

$

 992 

 

$

 87 

 

$

 345 

 

$

 15,075 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Individually evaluated for impairment

 

$

 6,299 

 

$

 4,775 

 

$

 -

 

$

 -

 

$

 3,594 

 

$

 125 

 

$

 14,793 

 Collectively evaluated for impairment

 

 

 730,188 

 

 

 341,963 

 

 

 37,723 

 

 

 187,753 

 

 

 22,183 

 

 

 47,046 

 

 

 1,366,856 

Total ending loan balance

 

$

 736,487 

 

$

 346,738 

 

$

 37,723 

 

$

 187,753 

 

$

 25,777 

 

$

 47,171 

 

$

 1,381,649 





NOTE 3 - LOANS (Continued)







 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 December 31, 2016

 

Commercial Real Estate

 

Commercial & Industrial

 

Construction

 

Multifamily

 

One-to-four Family

 

Consumer

 

Total



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for loan and lease  losses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Individually evaluated for impairment

 

$

 -

 

$

 366 

 

$

 -

 

$

 -

 

$

 10 

 

$

 -

 

$

 376 

Collectively evaluated for impairment

 

 

 5,206 

 

 

 4,998 

 

 

 409 

 

 

 620 

 

 

 99 

 

 

 107 

 

 

 11,439 

Total ending allowance balance

 

$

 5,206 

 

$

 5,364 

 

$

 409 

 

$

 620 

 

$

 109 

 

$

 107 

 

$

 11,815 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Individually evaluated for impairment

 

$

 5,504 

 

$

 4,915 

 

$

 -

 

$

 -

 

$

 1,130 

 

$

 -

 

$

 11,549 

 Collectively evaluated for impairment

 

 

 542,207 

 

 

 310,955 

 

 

 29,447 

 

 

 117,373 

 

 

 25,350 

 

 

 18,825 

 

 

 1,044,157 

Total ending loan balance

 

$

 547,711 

 

$

 315,870 

 

$

 29,447 

 

$

 117,373 

 

$

 26,480 

 

$

 18,825 

 

$

 1,055,706 



Loans Individually Evaluated for Impairment

The following table presents loans individually evaluated for impairment recognized as of September 30, 2017 and December 31, 2016 (dollars in thousands):





 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 



 

September 30, 2017

 



 

Unpaid Principal Balance

 

Recorded Investment

 

Allowance for Loan and Lease Losses Allocated

 

With an allowance recorded:

 

 

 

 

 

 

 

 

 

 

    Commercial & industrial

 

$

 8,783 

 

$

 3,660 

 

$

 366 

 

    Consumer

 

 

 125 

 

 

 125 

 

 

 63 

 

Total

 

$

 8,908 

 

$

 3,785 

 

$

 429 

 



 

 

 

 

 

 

 

 

 

 

Without an allowance recorded:

 

 

 

 

 

 

 

 

 

 

    Commercial real estate

 

$

 6,768 

 

$

 6,299 

 

$

 -

 

    Commercial & industrial

 

 

 1,115 

 

 

 1,115 

 

 

 -

 

    One-to-four family

 

 

 3,871 

 

 

 3,594 

 

 

 -

 

Total

 

$

 11,754 

 

$

 11,008 

 

$

 -

 











NOTE 3 - LOANS (Continued)







 

 

 

 

 

 

 

 

 



 

December 31, 2016



 

Unpaid Principal Balance

 

Recorded Investment

 

Allowance for Loan and Lease Losses Allocated

With an allowance recorded:

 

 

 

 

 

 

 

 

 

    Commercial & industrial

 

$

 8,783 

 

$

 3,660 

 

$

 366 

    One-to-four family

 

 

 694 

 

 

 565 

 

 

 10 

Total

 

$

 9,477 

 

$

 4,225 

 

$

 376 



 

 

 

 

 

 

 

 

 

Without an allowance recorded:

 

 

 

 

 

 

 

 

 

    Commercial real estate

 

$

 5,974 

 

$

 5,504 

 

$

 -

    Commercial & industrial

 

 

 1,255 

 

 

 1,255 

 

 

 -

    One-to-four family

 

 

 713 

 

 

 565 

 

 

 -

Total

 

$

 7,942 

 

$

 7,324 

 

$

 -











The following table presents the average recorded investment and interest income of loans individually evaluated for impairment recognized by class of loans as of and for the three month periods ended September 30, 2017 and 2016 (in thousands):







 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 



 

For the three months ended September 30,



 

2017

2016



 

Average Recorded Investment

 

Interest Income Recognized

 

Average Recorded Investment

 

Interest Income Recognized

 

With an allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial & industrial

 

$

 3,660 

 

$

 -

 

$

 -

 

$

 -

 

One-to-four family

 

 

 -

 

 

 -

 

 

 564 

 

 

 7 

 

Consumer

 

 

 125 

 

 

 -

 

 

              -

 

 

 -

 

Total

 

$

 3,785 

 

$

 -

 

$

 564 

 

$

 7 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

Without an allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial real estate

 

$

 6,307 

 

$

 50 

 

$

 11,463 

 

$

 121 

 

Commercial & industrial

 

 

 1,130 

 

 

 12 

 

 

 1,300 

 

 

 13 

 

One-to-four family

 

 

 3,604 

 

 

 37 

 

 

 1,087 

 

 

 6 

 

Total

 

$

 11,041 

 

$

 99 

 

$

 13,850 

 

$

 140 

 





NOTE 3 - LOANS (Continued)



The following table presents the average recorded investment and interest income of loans individually evaluated for impairment recognized by class of loans as of and for the nine month periods ended September 30, 2017 and 2016 (in thousands):







 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 



 

For the nine months ended September 30,



 

2017

2016



 

Average Recorded Investment

 

Interest Income Recognized

 

Average Recorded Investment

 

Interest Income Recognized

With an allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

Commercial & industrial

 

$

 3,660 

 

$

 -

 

$

        -

 

$

 -

One-to-four family

 

 

 -

 

 

 -

 

 

 564 

 

 

 16 

Consumer

 

 

 127 

 

 

 4 

 

 

 -

 

 

 -

Total

 

$

 3,787 

 

$

 4 

 

$

 564 

 

$

 16 



 

 

 

 

 

 

 

 

 

 

 

 

Without an allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

Commercial real estate

 

$

 6,380 

 

$

 227 

 

$

 11,587 

 

$

 382 

Commercial & industrial

 

 

 1,185 

 

 

 36 

 

 

 1,355 

 

 

 41 

One-to-four family

 

 

 3,616 

 

 

 96 

 

 

 1,087 

 

 

 17 

Total

 

$

 11,181 

 

$

 359 

 

$

 14,029 

 

$

 440 



Schedule of Recorded Investment in Non-Accrual Loans

The following tables present the recorded investment in non-accrual loans and loans past due over 90 days still on accrual by class of loans as of September 30, 2017 and December 31, 2016 (dollars in thousands):





 

 

 

 

 

 



 

 

 

 

 

 

 September 30, 2017

 

Nonaccrual

 

Loans Past Due Over 90 Days Still Accruing



 

 

 

 

 

 

Commercial real estate

 

$

 841 

 

$

 -

Commercial & industrial

 

 

 3,660 

 

 

 -

One-to-four family

 

 

 2,466 

 

 

 -

Consumer

 

 

 125 

 

 

 -

Total

 

$

 7,092 

 

$

 -





Aging of the Recorded Investment in Past Due Loans



NOTE 3 - LOANS (Continued)



The following tables present the aging of the recorded investment in past due loans by class of loans as of September 30, 2017 and December 31, 2016 (dollars in thousands):





 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 September 30, 2017

 

30-59 Days

 

60-89 Days

 

Greater than 90 days

 

Total Past Due

 

Loans not Past Due

 

Total

Commercial real estate

 

$

 -

 

$

 -

 

$

 841 

 

$

 841 

 

$

 735,646 

 

$

 736,487 

Commercial & industrial

 

 

 88 

 

 

 -

 

 

 3,660 

 

 

 3,748 

 

 

 342,990 

 

 

 346,738 

Construction

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 37,723 

 

 

 37,723 

Multifamily

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 187,753 

 

 

 187,753 

One-to-four family

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 25,777 

 

 

 25,777 

Consumer

 

 

 109 

 

 

 -

 

 

 125 

 

 

 234 

 

 

 46,937 

 

 

 47,171 

     Total

 

$

 197 

 

$

 -

 

$

 4,626 

 

$

 4,823 

 

$

 1,376,826 

 

$

 1,381,649 







 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 December 31, 2016

 

30-59 Days

 

60-89 Days

 

Greater than 90 days

 

Total Past Due

 

Loans not Past Due

 

Total

Commercial real estate

 

$

 -

 

$

 958 

 

$

 -

 

$

 958 

 

$

 546,753 

 

$

 547,711 

Commercial & industrial

 

 

 14 

 

 

 3,922 

 

 

 -

 

 

 3,936 

 

 

 311,934 

 

 

 315,870 

Construction

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 29,447 

 

 

 29,447 

Multifamily

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 117,373 

 

 

 117,373 

One-to-four family

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 26,480 

 

 

 26,480 

Consumer

 

 

 -

 

 

 34 

 

 

 -

 

 

 34 

 

 

 18,791 

 

 

 18,825 

     Total

 

$

 14 

 

$

 4,914 

 

$

 -

 

$

 4,928 

 

$

 1,050,778 

 

$

 1,055,706 



Risk Category of Loans by Class of loans

Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be pass-rated loans.  Based on the most recent analysis performed, the risk category of loans by class of loans is as follows (dollars in thousands):







 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 September 30, 2017

 

Pass

 

Special Mention

 

Substandard

 

Doubtful

 

Total

Commercial real estate

 

$

 727,068 

 

$

 7,399 

 

$

 2,020 

 

$

 -

 

$

 736,487 

Commercial & industrial

 

 

 334,663 

 

 

 8,415 

 

 

 3,660 

 

 

 -

 

 

 346,738 

Construction

 

 

 37,723 

 

 

 -

 

 

                -  

 

 

 -

 

 

 37,723 

Multifamily

 

 

 187,753 

 

 

 -

 

 

                -  

 

 

 -

 

 

 187,753 

    Total

 

$

 1,287,207 

 

$

 15,814 

 

$

 5,680 

 

$

 -

 

$

 1,308,701 







 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 December 31, 2016

 

Pass

 

Special Mention

 

Substandard

 

Doubtful

 

Total

Commercial real estate

 

$

 542,206 

 

$

 4,293 

 

$

 1,212 

 

$

 -

 

$

 547,711 

Commercial & industrial

 

 

 309,295 

 

 

 2,915 

 

 

 3,660 

 

 

 -

 

 

 315,870 

Construction

 

 

 29,447 

 

 

 -

 

 

 -

 

 

 -

 

 

 29,447 

Multifamily

 

 

 117,373 

 

 

 -

 

 

 -

 

 

 -

 

 

 117,373 

Total

 

$

 998,321 

 

$

 7,208 

 

$

 4,872 

 

$

 -

 

$

 1,010,401 



Schedule of Recorded Investment in Family and Consumer Notes, Loans and Financing Receivables by Class [Table Text Block]

For one-to-four family loans and consumer loans, the Bank evaluates credit quality based on the aging status of the loan, which was previously presented, and by performance status. Non-performing loans are loans past due over 90 days or more still accruing interests and loans on non-accrual status.  The following table presents the recorded investment in one-to-four family and consumer loans based on performance status as of September 30, 2017 and December 31, 2016 (dollars in thousands):





 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 September 30, 2017

 

Performing

 

Non-Performing

 

Total

One-to-four family

 

$

 23,311 

 

$

 2,466 

 

$

 25,777 

Consumer

 

 

 47,046 

 

 

 125 

 

 

 47,171 

Total

 

$

 70,357 

 

$

 2,591 

 

$

 72,948 







 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 December 31, 2016

 

Performing

 

Non-Performing

 

Total

One-to-four family

 

$

 26,480 

 

$

 -

 

$

 26,480 

Consumer

 

 

 18,825 

 

 

 -

 

 

 18,825 

Total

 

$

 45,305 

 

$

 -

 

$

 45,305