Maryland | 35-2379633 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | |
4390 Davisville Road, Hatboro, Pennsylvania | 19040 | |
(Address of principal executive offices) | (Zip Code) |
Large Accelerated Filer [ ] | Accelerated Filer [X ] | |
Non-Accelerated Filer [ ] | Smaller Reporting Company [ ] | |
(Do not check if a smaller reporting company) |
FOX CHASE BANCORP, INC. | ||
Table of Contents | ||
Page No. | ||
Consolidated Statements of Condition at March 31, 2016 (Unaudited) and December 31, 2015 | ||
Consolidated Statements of Operations for the Three Months Ended March 31, 2016 and 2015 (Unaudited) | ||
Consolidated Statements of Comprehensive Income for the Three Months Ended March 31, 2016 and 2015 (Unaudited) | ||
Consolidated Statements of Changes in Equity for the Three Months Ended March 31, 2016 and 2015 (Unaudited) | ||
Consolidated Statements of Cash Flows for the Three Months Ended March 31, 2016 and 2015 (Unaudited) | ||
March 31, 2016 | December 31, 2015 | ||||||||
(Unaudited) | |||||||||
ASSETS | |||||||||
Cash and due from banks | $ | 3,737 | $ | 3,413 | |||||
Interest-earning demand deposits in other banks | 5,375 | 4,385 | |||||||
Total cash and cash equivalents | 9,112 | 7,798 | |||||||
Investment securities available-for-sale | 135,826 | 139,751 | |||||||
Investment securities held-to-maturity (fair value of $146,655 at March 31, 2016 and $149,850 at December 31, 2015) | 144,528 | 150,190 | |||||||
Loans, net of allowance for loan losses of $10,570 at March 31, 2016 and $10,562 at December 31, 2015 | 776,669 | 767,683 | |||||||
Federal Home Loan Bank stock, at cost | 6,186 | 6,734 | |||||||
Bank-owned life insurance | 25,902 | 25,687 | |||||||
Premises and equipment, net | 8,895 | 9,030 | |||||||
Assets acquired through foreclosure | 2,615 | 2,623 | |||||||
Real estate held for investment | 1,620 | 1,620 | |||||||
Accrued interest receivable | 3,348 | 3,145 | |||||||
Mortgage servicing rights, net | 97 | 104 | |||||||
Deferred tax asset, net | 3,993 | 5,142 | |||||||
Other assets | 12,950 | 6,096 | |||||||
Total Assets | $ | 1,131,741 | $ | 1,125,603 | |||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||
LIABILITIES | |||||||||
Deposits | $ | 815,708 | $ | 764,974 | |||||
Short-term borrowings | 15,000 | 38,496 | |||||||
Federal Home Loan Bank advances | 90,000 | 110,000 | |||||||
Other borrowed funds | 30,000 | 30,000 | |||||||
Advances from borrowers for taxes and insurance | 1,350 | 1,422 | |||||||
Accrued interest payable | 302 | 319 | |||||||
Accrued expenses and other liabilities | 1,541 | 3,478 | |||||||
Total Liabilities | 953,901 | 948,689 | |||||||
STOCKHOLDERS’ EQUITY | |||||||||
Preferred stock ($.01 par value; 1,000,000 shares authorized, none issued and outstanding at March 31, 2016 and December 31, 2015) | — | — | |||||||
Common stock ($.01 par value; 60,000,000 shares authorized, 11,767,590 shares outstanding at March 31, 2016 and December 31, 2015) | 149 | 149 | |||||||
Additional paid-in capital | 141,833 | 142,189 | |||||||
Treasury stock, at cost (3,141,201 shares at March 31, 2016 and December 31, 2015) | (44,468 | ) | (44,468 | ) | |||||
Common stock acquired by benefit plans | (5,876 | ) | (6,717 | ) | |||||
Retained earnings | 85,542 | 86,241 | |||||||
Accumulated other comprehensive income (loss), net | 660 | (480 | ) | ||||||
Total Stockholders’ Equity | 177,840 | 176,914 | |||||||
Total Liabilities and Stockholders’ Equity | $ | 1,131,741 | $ | 1,125,603 |
Three Months Ended March 31, | ||||||||
2016 | 2015 | |||||||
INTEREST INCOME | ||||||||
Interest and fees on loans | $ | 8,506 | $ | 8,139 | ||||
Interest and dividends on investment securities | 1,632 | 1,982 | ||||||
Other interest income | 9 | 3 | ||||||
Total Interest Income | 10,147 | 10,124 | ||||||
INTEREST EXPENSE | ||||||||
Deposits | 807 | 715 | ||||||
Short-term borrowings | 59 | 32 | ||||||
Federal Home Loan Bank advances | 557 | 539 | ||||||
Other borrowed funds | 180 | 166 | ||||||
Total Interest Expense | 1,603 | 1,452 | ||||||
Net Interest Income | 8,544 | 8,672 | ||||||
Provision for loan losses | 45 | 472 | ||||||
Net Interest Income after Provision for Loan Losses | 8,499 | 8,200 | ||||||
NONINTEREST INCOME | ||||||||
Service charges and other fee income | 362 | 384 | ||||||
Income on bank-owned life insurance | 215 | 120 | ||||||
Equity in earnings of affiliate | (5 | ) | 40 | |||||
Other | 94 | 27 | ||||||
Total Noninterest Income | 666 | 571 | ||||||
NONINTEREST EXPENSE | ||||||||
Salaries, benefits and other compensation | 3,943 | 3,719 | ||||||
Occupancy expense | 430 | 477 | ||||||
Furniture and equipment expense | 77 | 83 | ||||||
Data processing costs | 408 | 573 | ||||||
Professional fees | 538 | 363 | ||||||
Marketing expense | 24 | 41 | ||||||
FDIC premiums | 134 | 119 | ||||||
Assets acquired through foreclosure expense | 30 | 30 | ||||||
Other | 301 | 360 | ||||||
Total Noninterest Expense | 5,885 | 5,765 | ||||||
Income Before Income Taxes | 3,280 | 3,006 | ||||||
Income tax provision | 1,031 | 727 | ||||||
Net Income | $ | 2,249 | $ | 2,279 | ||||
Earnings per share: | ||||||||
Basic | $ | 0.20 | $ | 0.21 | ||||
Diluted | $ | 0.20 | $ | 0.20 |
Three Months Ended March 31, | |||||||||
2016 | 2015 | ||||||||
Net income | $ | 2,249 | $ | 2,279 | |||||
Other comprehensive income: | |||||||||
Unrealized holding gains on investment securities | 1,694 | 800 | |||||||
Tax effect | (583 | ) | (276 | ) | |||||
Net of tax amount | 1,111 | 524 | |||||||
Accretion of unrealized loss on securities reclassified to held-to-maturity | 46 | 41 | |||||||
Tax effect | (17 | ) | (15 | ) | |||||
Net of tax amount | 29 | 26 | |||||||
Other comprehensive income | 1,140 | 550 | |||||||
Comprehensive income | $ | 3,389 | $ | 2,829 |
Common Stock | Additional Paid-in Capital | Treasury Stock | Common Stock Acquired by Benefit Plans | Retained Earnings | Accumulated Other Comprehensive Income, net | Total Equity | |||||||||||||||||||||
BALANCE - DECEMBER 31, 2014 | $ | 147 | $ | 139,177 | $ | (39,698 | ) | $ | (8,056 | ) | $ | 84,225 | $ | 116 | $ | 175,911 | |||||||||||
Purchase of treasury stock (69,800 shares) | — | — | (1,137 | ) | — | — | — | (1,137 | ) | ||||||||||||||||||
Stock based compensation expense | — | 310 | — | — | — | — | 310 | ||||||||||||||||||||
ESOP shares allocated to employees | — | 113 | — | 156 | — | — | 269 | ||||||||||||||||||||
Issuance of stock for vested equity awards | — | (333 | ) | — | 254 | 79 | — | — | |||||||||||||||||||
Common stock issued for exercise of vested stock options | — | — | — | — | — | — | — | ||||||||||||||||||||
Excess tax benefit from exercise of stock options and vesting of restricted stock | — | (3 | ) | — | — | — | — | (3 | ) | ||||||||||||||||||
Dividends paid ($0.26 per share) | — | — | — | — | (2,940 | ) | — | (2,940 | ) | ||||||||||||||||||
Net income | — | — | — | — | 2,279 | — | 2,279 | ||||||||||||||||||||
Other comprehensive income | — | — | — | — | — | 550 | 550 | ||||||||||||||||||||
BALANCE - MARCH 31, 2015 | $ | 147 | $ | 139,264 | $ | (40,835 | ) | $ | (7,646 | ) | $ | 83,643 | $ | 666 | $ | 175,239 | |||||||||||
Common Stock | Additional Paid-in Capital | Treasury Stock | Common Stock Acquired by Benefit Plans | Retained Earnings | Accumulated Other Comprehensive (Loss) Income, net | Total Equity | |||||||||||||||||||||
BALANCE - DECEMBER 31, 2015 | $ | 149 | $ | 142,189 | $ | (44,468 | ) | $ | (6,717 | ) | $ | 86,241 | $ | (480 | ) | $ | 176,914 | ||||||||||
Purchase of treasury stock | — | — | — | — | — | — | — | ||||||||||||||||||||
Stock based compensation expense | — | 349 | — | — | — | — | 349 | ||||||||||||||||||||
ESOP shares allocated to employees | — | 158 | — | 156 | — | — | 314 | ||||||||||||||||||||
Issuance of stock for vested equity awards | — | (913 | ) | — | 685 | 228 | — | — | |||||||||||||||||||
Common stock issued for exercise of vested stock options | — | — | — | — | — | — | — | ||||||||||||||||||||
Excess tax benefit from exercise of stock options and vesting of restricted stock | — | 50 | — | — | — | — | 50 | ||||||||||||||||||||
Dividends paid ($0.28 per share) | — | — | — | — | (3,176 | ) | — | (3,176 | ) | ||||||||||||||||||
Net income | — | — | — | — | 2,249 | — | 2,249 | ||||||||||||||||||||
Other comprehensive income | — | — | — | — | — | 1,140 | 1,140 | ||||||||||||||||||||
BALANCE - MARCH 31, 2016 | $ | 149 | $ | 141,833 | $ | (44,468 | ) | $ | (5,876 | ) | $ | 85,542 | $ | 660 | $ | 177,840 |
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
Cash Flows From Operating Activities | |||||||
Net income | $ | 2,249 | $ | 2,279 | |||
Adjustments to reconcile net income to net cash (used in) provided by operating activities: | |||||||
Provision for loan losses | 45 | 472 | |||||
Valuation adjustment for assets acquired through foreclosure | 16 | 15 | |||||
Depreciation | 135 | 163 | |||||
Net amortization of securities premiums and discounts | 366 | 423 | |||||
Deferred income tax benefit (expense) | 550 | (16 | ) | ||||
Stock compensation from benefit plans | 663 | 579 | |||||
Income on bank-owned life insurance | (215 | ) | (120 | ) | |||
Excess tax (benefit) expense from exercise of stock options and vesting of restricted stock | (50 | ) | 3 | ||||
Decrease in mortgage servicing rights, net | 7 | 5 | |||||
(Increase) decrease in accrued interest receivable and other assets | (7,110 | ) | 2,675 | ||||
Decrease in accrued interest payable, accrued expenses and other liabilities | (1,954 | ) | (716 | ) | |||
Net Cash (Used in) Provided by Operating Activities | (5,298 | ) | 5,762 | ||||
Cash Flows from Investing Activities | |||||||
Investment securities - available-for-sale: | |||||||
Purchases | — | (8,056 | ) | ||||
Proceeds from maturities, calls and principal repayments | 5,536 | 7,967 | |||||
Investment securities - held-to-maturity: | |||||||
Purchases | — | (5,823 | ) | ||||
Proceeds from maturities, calls and principal repayments | 5,527 | 5,817 | |||||
Net increase in loans | (9,031 | ) | (9,651 | ) | |||
Purchases of loans and loan participations | — | (20,968 | ) | ||||
Net decrease in Federal Home Loan Bank stock | 548 | 1,000 | |||||
Purchases of premises and equipment | — | (37 | ) | ||||
Additions to assets acquired through foreclosure | (8 | ) | (5 | ) | |||
Net Cash Provided by (Used in) Investing Activities | 2,572 | (29,756 | ) | ||||
Cash Flows from Financing Activities | |||||||
Net increase in deposits | 50,734 | 91,120 | |||||
Decrease in advances from borrowers for taxes and insurance | (72 | ) | (192 | ) | |||
Principal payments on Federal Home Loan Bank advances | (20,000 | ) | (10,000 | ) | |||
Net decrease in short-term borrowings | (23,496 | ) | (50,000 | ) | |||
Excess tax benefit (expense) from exercise of stock options and vesting of restricted stock | 50 | (3 | ) | ||||
Purchase of treasury stock | — | (1,137 | ) | ||||
Cash dividends paid | (3,176 | ) | (2,940 | ) | |||
Net Cash Provided by Financing Activities | 4,040 | 26,848 | |||||
Net Increase in Cash and Cash Equivalents | 1,314 | 2,854 | |||||
Cash and Cash Equivalents – Beginning | 7,798 | 17,213 | |||||
Cash and Cash Equivalents – Ending | $ | 9,112 | $ | 20,067 | |||
Supplemental Disclosure of Cash Flow Information | |||||||
Interest paid | $ | 1,620 | $ | 1,495 | |||
Income taxes paid | $ | 1 | $ | — | |||
Transfers of loans to assets acquired through foreclosure | $ | — | $ | — | |||
Net charge-offs | $ | 37 | $ | 24 |
Three Months Ended March 31, | |||||||||
2016 | 2015 | ||||||||
(Unaudited) | |||||||||
Net income | $ | 2,249,000 | $ | 2,279,000 | |||||
Weighted-average common shares outstanding (1) | 11,767,590 | 11,768,571 | |||||||
Average common stock acquired by stock benefit plans: | |||||||||
ESOP shares unallocated | (415,800 | ) | (480,852 | ) | |||||
Shares purchased by trust | (195,115 | ) | (260,153 | ) | |||||
Weighted-average common shares used to calculate basic earnings per share | 11,156,675 | 11,027,566 | |||||||
Dilutive effect of: | |||||||||
Restricted stock awards | 43,279 | 46,597 | |||||||
Stock option awards | 114,434 | 193,503 | |||||||
Weighted-average common shares used to calculate diluted earnings per share | 11,314,388 | 11,267,666 | |||||||
Earnings per share - basic | $ | 0.20 | $ | 0.21 | |||||
Earnings per share - diluted | $ | 0.20 | $ | 0.20 | |||||
Outstanding common stock equivalents which are anti-dilutive | 71,668 | 508,610 | |||||||
(1) Excludes treasury stock. |
March 31, 2016 | |||||||||||||||
Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | ||||||||||||
(In thousands, Unaudited) | |||||||||||||||
Available-for-Sale Securities: | |||||||||||||||
Obligations of U.S. government agencies | $ | 301 | $ | 5 | $ | — | $ | 306 | |||||||
Corporate securities | 17,608 | 107 | — | 17,715 | |||||||||||
Agency residential mortgage related securities | 115,592 | 2,258 | (45 | ) | 117,805 | ||||||||||
Total available-for-sale securities | $ | 133,501 | $ | 2,370 | $ | (45 | ) | $ | 135,826 | ||||||
Held-to-Maturity Securities: | |||||||||||||||
Corporate securities | $ | 1,776 | $ | 34 | $ | — | $ | 1,810 | |||||||
Private label residential mortgage related securities | 2,452 | 11 | — | 2,463 | |||||||||||
Agency residential mortgage related securities | 140,300 | 2,182 | (100 | ) | 142,382 | ||||||||||
Total held-to-maturity securities | $ | 144,528 | $ | 2,227 | $ | (100 | ) | $ | 146,655 | ||||||
December 31, 2015 | |||||||||||||||
Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | ||||||||||||
(In thousands) | |||||||||||||||
Available-for-Sale Securities: | |||||||||||||||
Obligations of U.S. government agencies | $ | 301 | $ | — | $ | (2 | ) | $ | 299 | ||||||
Corporate securities | 17,625 | 9 | (93 | ) | 17,541 | ||||||||||
Agency residential mortgage related securities | 121,195 | 1,597 | (881 | ) | 121,911 | ||||||||||
Total available-for-sale securities | $ | 139,121 | $ | 1,606 | $ | (976 | ) | $ | 139,751 | ||||||
Held-to-Maturity Securities: | |||||||||||||||
Corporate securities | $ | 1,776 | $ | — | $ | (11 | ) | $ | 1,765 | ||||||
Private label residential mortgage related securities | 2,522 | — | (25 | ) | 2,497 | ||||||||||
Agency residential mortgage related securities | 145,892 | 663 | (967 | ) | 145,588 | ||||||||||
Total held-to-maturity securities | $ | 150,190 | $ | 663 | $ | (1,003 | ) | $ | 149,850 |
March 31, 2016 | |||||||||||||||||||||||
Less than 12 Months | 12 Months or More | Total | |||||||||||||||||||||
Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | ||||||||||||||||||
(In thousands, Unaudited) | |||||||||||||||||||||||
Available-for-Sale Securities: | |||||||||||||||||||||||
Agency residential mortgage related securities | $ | 2,587 | $ | (4 | ) | $ | 17,179 | $ | (41 | ) | $ | 19,766 | $ | (45 | ) | ||||||||
Total available-for-sale securities | $ | 2,587 | $ | (4 | ) | $ | 17,179 | $ | (41 | ) | $ | 19,766 | $ | (45 | ) | ||||||||
Held-to-Maturity Securities: | |||||||||||||||||||||||
Agency residential mortgage related securities | $ | 1,324 | $ | — | $ | 9,438 | $ | (100 | ) | $ | 10,762 | $ | (100 | ) | |||||||||
Total held-to-maturity securities | $ | 1,324 | $ | — | $ | 9,438 | $ | (100 | ) | $ | 10,762 | $ | (100 | ) | |||||||||
Total temporarily impaired securities | $ | 3,911 | $ | (4 | ) | $ | 26,617 | $ | (141 | ) | $ | 30,528 | $ | (145 | ) | ||||||||
December 31, 2015 | |||||||||||||||||||||||
Less than 12 Months | 12 Months or More | Total | |||||||||||||||||||||
Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | ||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Available-for-Sale Securities: | |||||||||||||||||||||||
Obligations of U.S. government agencies | $ | 299 | $ | (2 | ) | $ | — | $ | — | $ | 299 | $ | (2 | ) | |||||||||
Corporate securities | 15,015 | (93 | ) | — | — | 15,015 | (93 | ) | |||||||||||||||
Agency residential mortgage related securities | 79,995 | (716 | ) | 7,927 | (165 | ) | 87,922 | (881 | ) | ||||||||||||||
Total available-for-sale securities | $ | 95,309 | $ | (811 | ) | $ | 7,927 | $ | (165 | ) | $ | 103,236 | $ | (976 | ) | ||||||||
Held-to-Maturity Securities: | |||||||||||||||||||||||
Corporate securities | $ | 1,766 | $ | (11 | ) | $ | — | $ | — | $ | 1,766 | $ | (11 | ) | |||||||||
Private label residential mortgage related securities | 2,497 | (25 | ) | — | — | 2,497 | (25 | ) | |||||||||||||||
Agency residential mortgage related securities | 80,741 | (709 | ) | 9,768 | (258 | ) | 90,509 | (967 | ) | ||||||||||||||
Total held-to-maturity securities | $ | 85,004 | $ | (745 | ) | $ | 9,768 | $ | (258 | ) | $ | 94,772 | $ | (1,003 | ) | ||||||||
Total temporarily impaired securities | $ | 180,313 | $ | (1,556 | ) | $ | 17,695 | $ | (423 | ) | $ | 198,008 | $ | (1,979 | ) |
Original Cost | Unrealized Loss at Transfer | Post-transfer Accretion | Amortized Cost | ||||||||||||
Securities transferred from available-for-sale | $ | 80,730 | $ | (1,625 | ) | $ | (312 | ) | $ | 78,793 | |||||
Other held-to-maturity securities | 65,735 | — | — | 65,735 | |||||||||||
Total | $ | 146,465 | $ | (1,625 | ) | $ | (312 | ) | $ | 144,528 |
Available-for-Sale | Held-to-Maturity | |||||||||||||||
Amortized Cost | Fair Value | Amortized Cost | Fair Value | |||||||||||||
(In thousands) | ||||||||||||||||
March 31, 2016 (Unaudited) | ||||||||||||||||
Due in one year or less | $ | 2,508 | $ | 2,515 | $ | — | $ | — | ||||||||
Due after one year through five years | 15,401 | 15,506 | 1,776 | 1,810 | ||||||||||||
Due after five years through ten years | — | — | — | — | ||||||||||||
Due after ten years | — | — | — | — | ||||||||||||
Total mortgage related securities | 115,592 | 117,805 | 142,752 | 144,845 | ||||||||||||
$ | 133,501 | $ | 135,826 | $ | 144,528 | $ | 146,655 | |||||||||
December 31, 2015 | ||||||||||||||||
Due in one year or less | $ | 2,517 | $ | 2,526 | $ | — | $ | — | ||||||||
Due after one year through five years | 15,409 | 15,314 | 1,776 | 1,765 | ||||||||||||
Due after five years through ten years | — | — | — | — | ||||||||||||
Due after ten years | — | — | — | — | ||||||||||||
Total mortgage related securities | 121,195 | 121,911 | 148,414 | 148,085 | ||||||||||||
$ | 139,121 | $ | 139,751 | $ | 150,190 | $ | 149,850 |
March 31, 2016 | December 31, 2015 | ||||||
(In thousands) | |||||||
(Unaudited) | |||||||
Real estate loans: | |||||||
One- to four-family | $ | 86,393 | $ | 90,339 | |||
Multi-family and commercial | 449,581 | 442,612 | |||||
Construction | 43,130 | 35,794 | |||||
579,104 | 568,745 | ||||||
Consumer loans | 13,906 | 14,711 | |||||
Commercial and industrial loans | 194,570 | 195,078 | |||||
Total loans | 787,580 | 778,534 | |||||
Deferred loan origination fees, net | (341 | ) | (289 | ) | |||
Allowance for loan losses | (10,570 | ) | (10,562 | ) | |||
Net loans | $ | 776,669 | $ | 767,683 |
Three Months Ended March 31, 2016 | |||||||||||||||||||||||||||
One- to Four-Family | Multi-family and Commercial | Construction | Consumer | Commercial and Industrial | Unallocated | Total | |||||||||||||||||||||
(In thousands, Unaudited) | |||||||||||||||||||||||||||
Balance, beginning | $ | 362 | $ | 6,464 | $ | 580 | $ | 134 | $ | 2,672 | $ | 350 | $ | 10,562 | |||||||||||||
(Credit) provision for loan losses | (23 | ) | 28 | 70 | (12 | ) | 108 | (126 | ) | 45 | |||||||||||||||||
Loans charged off | — | — | — | (54 | ) | — | — | (54 | ) | ||||||||||||||||||
Recoveries | — | 7 | — | 10 | — | — | 17 | ||||||||||||||||||||
Balance, ending | $ | 339 | $ | 6,499 | $ | 650 | $ | 78 | $ | 2,780 | $ | 224 | $ | 10,570 | |||||||||||||
Three Months Ended March 31, 2015 | |||||||||||||||||||||||||||
One- to Four-Family | Multi-family and Commercial | Construction | Consumer | Commercial and Industrial | Unallocated | Total | |||||||||||||||||||||
(In thousands, Unaudited) | |||||||||||||||||||||||||||
Balance, beginning | $ | 405 | $ | 5,990 | $ | 1,038 | $ | 184 | $ | 2,753 | $ | 360 | $ | 10,730 | |||||||||||||
Provision (credit) for loan losses | 26 | 111 | 22 | (47 | ) | 349 | 11 | 472 | |||||||||||||||||||
Loans charged off | (44 | ) | — | — | — | — | — | (44 | ) | ||||||||||||||||||
Recoveries | — | 3 | — | 17 | — | — | 20 | ||||||||||||||||||||
Balance, ending | $ | 387 | $ | 6,104 | $ | 1,060 | $ | 154 | $ | 3,102 | $ | 371 | $ | 11,178 |
As of March 31, 2016 | |||||||||||||||||||||||||||
One- to Four-Family | Multi-family and Commercial | Construction | Consumer | Commercial and Industrial | Unallocated | Total | |||||||||||||||||||||
(In thousands, Unaudited) | |||||||||||||||||||||||||||
Allowance for Loan Losses: | |||||||||||||||||||||||||||
Balance, ending: individually evaluated for impairment | $ | — | $ | 533 | $ | 135 | $ | — | $ | 53 | $ | — | $ | 721 | |||||||||||||
Balance, ending: collectively evaluated for impairment | 339 | 5,966 | 515 | 78 | 2,727 | 224 | 9,849 | ||||||||||||||||||||
Total | $ | 339 | $ | 6,499 | $ | 650 | $ | 78 | $ | 2,780 | $ | 224 | $ | 10,570 | |||||||||||||
Total Loans: | |||||||||||||||||||||||||||
Balance, ending: individually evaluated for impairment | $ | 1,635 | $ | 7,076 | $ | 3,829 | $ | 177 | $ | 702 | $ | — | $ | 13,419 | |||||||||||||
Balance, ending: collectively evaluated for impairment | 84,758 | 442,505 | 39,301 | 13,729 | 193,868 | — | 774,161 | ||||||||||||||||||||
Total | $ | 86,393 | $ | 449,581 | $ | 43,130 | $ | 13,906 | $ | 194,570 | $ | — | $ | 787,580 | |||||||||||||
As of December 31, 2015 | |||||||||||||||||||||||||||
One- to Four-Family | Multi-family and Commercial | Construction | Consumer | Commercial and Industrial | Unallocated | Total | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||
Allowance for Loan Losses: | |||||||||||||||||||||||||||
Balance, ending: individually evaluated for impairment | $ | 3 | $ | 539 | $ | 135 | $ | 56 | $ | 54 | $ | — | $ | 787 | |||||||||||||
Balance, ending: collectively evaluated for impairment | 359 | 5,925 | 445 | 78 | 2,618 | 350 | 9,775 | ||||||||||||||||||||
Total | $ | 362 | $ | 6,464 | $ | 580 | $ | 134 | $ | 2,672 | $ | 350 | $ | 10,562 | |||||||||||||
Total Loans: | |||||||||||||||||||||||||||
Balance, ending: individually evaluated for impairment | $ | 1,460 | $ | 7,111 | $ | 3,866 | $ | 171 | $ | 718 | $ | — | $ | 13,326 | |||||||||||||
Balance, ending: collectively evaluated for impairment | 88,879 | 435,501 | 31,928 | 14,540 | 194,360 | — | 765,208 | ||||||||||||||||||||
Total | $ | 90,339 | $ | 442,612 | $ | 35,794 | $ | 14,711 | $ | 195,078 | $ | — | $ | 778,534 |
March 31, 2016 | |||||||||||||||||||||||
Nonaccrual Loans | Accruing TDRs | Other Impaired Loans | Total Impaired Loans | Impaired Loans with Allowance | Impaired Loans without Allowance | ||||||||||||||||||
(In thousands, Unaudited) | |||||||||||||||||||||||
Real estate loans: | |||||||||||||||||||||||
One- to four-family | $ | 759 | $ | 876 | $ | — | $ | 1,635 | $ | — | $ | 1,635 | |||||||||||
Multi-family and commercial | 1,066 | 1,685 | 4,325 | 7,076 | 6,305 | 771 | |||||||||||||||||
Construction | — | 3,829 | — | 3,829 | 3,829 | — | |||||||||||||||||
Consumer loans | 79 | 98 | — | 177 | — | 177 | |||||||||||||||||
Commercial and industrial | 702 | — | — | 702 | 702 | — | |||||||||||||||||
Total | $ | 2,606 | $ | 6,488 | $ | 4,325 | $ | 13,419 | $ | 10,836 | $ | 2,583 | |||||||||||
December 31, 2015 | |||||||||||||||||||||||
Nonaccrual Loans | Accruing TDRs | Other Impaired Loans | Total Impaired Loans | Impaired Loans with Allowance | Impaired Loans without Allowance | ||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Real estate loans: | |||||||||||||||||||||||
One- to four-family | $ | 583 | $ | 877 | $ | — | $ | 1,460 | $ | 117 | $ | 1,343 | |||||||||||
Multi-family and commercial | 1,074 | 1,685 | 4,352 | 7,111 | 6,340 | 771 | |||||||||||||||||
Construction | — | 3,866 | — | 3,866 | 3,866 | — | |||||||||||||||||
Consumer loans | 159 | 12 | — | 171 | 57 | 114 | |||||||||||||||||
Commercial and industrial | 718 | — | — | 718 | 718 | — | |||||||||||||||||
Total | $ | 2,534 | $ | 6,440 | $ | 4,352 | $ | 13,326 | $ | 11,098 | $ | 2,228 |
March 31, 2016 | Allowance for Loan Losses | ||||||||||||||||||||||
Impaired Loans | |||||||||||||||||||||||
Nonaccrual Loans | Accruing TDRs | Other Impaired Loans | Total Impaired Loans | ||||||||||||||||||||
General | Total | ||||||||||||||||||||||
(In thousands, Unaudited) | |||||||||||||||||||||||
Real estate loans: | |||||||||||||||||||||||
One- to four-family | $ | — | $ | — | $ | — | $ | — | $ | 339 | $ | 339 | |||||||||||
Multi-family and commercial | 118 | 46 | 369 | 533 | 5,966 | 6,499 | |||||||||||||||||
Construction | — | 135 | — | 135 | 515 | 650 | |||||||||||||||||
Consumer loans | — | — | — | — | 78 | 78 | |||||||||||||||||
Commercial and industrial | 53 | — | — | 53 | 2,727 | 2,780 | |||||||||||||||||
Unallocated | — | — | — | — | 224 | 224 | |||||||||||||||||
Total allowance for loan losses | $ | 171 | $ | 181 | $ | 369 | $ | 721 | $ | 9,849 | $ | 10,570 | |||||||||||
December 31, 2015 | Allowance for Loan Losses | ||||||||||||||||||||||
Impaired Loans | |||||||||||||||||||||||
Nonaccrual Loans | Accruing TDRs | Other Impaired Loans | Total Impaired Loans | ||||||||||||||||||||
General | Total | ||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Real estate loans: | |||||||||||||||||||||||
One- to four-family | $ | 3 | $ | — | $ | — | $ | 3 | $ | 359 | $ | 362 | |||||||||||
Multi-family and commercial | 119 | 46 | 374 | 539 | 5,925 | 6,464 | |||||||||||||||||
Construction | — | 135 | — | 135 | 445 | 580 | |||||||||||||||||
Consumer loans | 56 | — | — | 56 | 78 | 134 | |||||||||||||||||
Commercial and industrial | 54 | — | — | 54 | 2,618 | 2,672 | |||||||||||||||||
Unallocated | — | — | — | — | 350 | 350 | |||||||||||||||||
Total allowance for loan losses | $ | 232 | $ | 181 | $ | 374 | $ | 787 | $ | 9,775 | $ | 10,562 |
Three Months Ended March 31, 2016 | ||||||||||||
Restructured Current Period | ||||||||||||
Number of Loans | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Type of Modification | |||||||||
(Dollars in thousands, Unaudited) | ||||||||||||
Real estate loans: | ||||||||||||
One- to four-family | — | $ | — | $ | — | |||||||
Multi-family and commercial | — | — | — | |||||||||
Construction | — | — | — | |||||||||
Consumer loans | 1 | 86 | 86 | Delayed repayment | ||||||||
Commercial and industrial | — | — | — | |||||||||
Total | 1 | $ | 86 | $ | 86 | |||||||
Three Months Ended March 31, 2015 | ||||||||||||
Restructured Current Period | ||||||||||||
Number of Loans | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Type of Modification | |||||||||
(Dollars in thousands, Unaudited) | ||||||||||||
Real estate loans: | ||||||||||||
One- to four-family | — | $ | — | $ | — | |||||||
Multi-family and commercial | 1 | 914 | 914 | Delayed repayment | ||||||||
Construction | — | — | — | |||||||||
Consumer loans | — | — | — | |||||||||
Commercial and industrial | — | — | — | |||||||||
Total | 1 | $ | 914 | $ | 914 |
March 31, 2016 | December 31, 2015 | ||||||||||||||
30-59 Days Past Due | 60-89 Days Past Due | 30-59 Days Past Due | 60-89 Days Past Due | ||||||||||||
(In thousands) | |||||||||||||||
(Unaudited) | |||||||||||||||
One- to four-family real estate | $ | 286 | $ | — | $ | 865 | $ | 685 | |||||||
Multi-family and commercial real estate | — | — | — | — | |||||||||||
Construction | — | — | — | — | |||||||||||
Consumer | 126 | 70 | 156 | — | |||||||||||
Commercial and industrial | — | — | — | — | |||||||||||
Total | $ | 412 | $ | 70 | $ | 1,021 | $ | 685 |
March 31, 2016 | |||||||||||||||||||||||
One- to Four-Family | Multi-family and Commercial | Construction | Consumer | Commercial and Industrial | Total | ||||||||||||||||||
(In thousands, Unaudited) | |||||||||||||||||||||||
Pass and Pass watch | $ | 85,634 | $ | 433,186 | $ | 39,301 | $ | 13,827 | $ | 190,528 | $ | 762,476 | |||||||||||
Special mention | — | 14,376 | — | — | 2,295 | 16,671 | |||||||||||||||||
Substandard | 759 | 2,019 | 3,829 | 79 | 1,747 | 8,433 | |||||||||||||||||
Doubtful | — | — | — | — | — | — | |||||||||||||||||
Total loans | $ | 86,393 | $ | 449,581 | $ | 43,130 | $ | 13,906 | $ | 194,570 | $ | 787,580 | |||||||||||
December 31, 2015 | |||||||||||||||||||||||
One- to Four-Family | Multi-family and Commercial | Construction | Consumer | Commercial and Industrial | Total | ||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
Pass and Pass watch | $ | 89,756 | $ | 427,393 | $ | 31,927 | $ | 14,552 | $ | 191,496 | $ | 755,124 | |||||||||||
Special mention | — | 13,958 | — | — | 1,799 | 15,757 | |||||||||||||||||
Substandard | 583 | 1,261 | 3,867 | 159 | 1,783 | 7,653 | |||||||||||||||||
Doubtful | — | — | — | — | — | — | |||||||||||||||||
Total loans | $ | 90,339 | $ | 442,612 | $ | 35,794 | $ | 14,711 | $ | 195,078 | $ | 778,534 |
March 31, 2016 | December 31, 2015 | ||||||||||||
Weighted Average Interest Rate | Amount | Weighted Average Interest Rate | Amount | ||||||||||
(Dollars in thousands) | |||||||||||||
(Unaudited) | |||||||||||||
Noninterest-bearing demand accounts | — | % | $ | 225,083 | — | % | $ | 170,327 | |||||
NOW accounts | 0.20 | 98,019 | 0.20 | 97,838 | |||||||||
Money market accounts | 0.26 | 105,184 | 0.28 | 93,325 | |||||||||
Savings and club accounts | 0.45 | 145,110 | 0.45 | 142,966 | |||||||||
Brokered deposits | 0.91 | 52,378 | 0.76 | 78,481 | |||||||||
Certificates of deposit | 0.86 | 189,934 | 0.88 | 182,037 | |||||||||
0.40 | % | $ | 815,708 | 0.43 | % | $ | 764,974 |
Maturity Date | Amount | Coupon Rate | Call Date | Rate if Called | |||||||
(In thousands, Unaudited) | |||||||||||
September 2016 | $ | 5,000 | 0.75 | % | Not Applicable | Not Applicable | |||||
September 2016 | 10,000 | 1.04 | Not Applicable | Not Applicable | |||||||
June 2017 | 5,000 | 0.94 | Not Applicable | Not Applicable | |||||||
July 2017 | 10,000 | 0.92 | Not Applicable | Not Applicable | |||||||
November 2017 | 15,000 | 3.62 | May 2016 | 3-month LIBOR + 0.10% | |||||||
November 2017 | 15,000 | 3.87 | May 2016 | 3-month LIBOR + 0.10% | |||||||
December 2017 | 20,000 | 2.83 | June 2016 | 3-month LIBOR + 0.11% | |||||||
July 2018 | 10,000 | 1.32 | Not Applicable | Not Applicable | |||||||
$ | 90,000 | 2.34 | % |
Next Call Date | Subsequent Call Frequency | |||||||||
Maturity Date | Amount | Coupon Rate | ||||||||
(In thousands, Unaudited) | ||||||||||
October 2018 | $ | 5,000 | 3.15% | April 2016 | Quarterly | |||||
December 2018 | 5,000 | 1-month LIBOR + 2.03% | Not Applicable | Not Applicable | ||||||
September 2019 | 10,000 | 1-month LIBOR + 1.89% | Not Applicable | Not Applicable | ||||||
September 2020 | 5,000 | 1-month LIBOR + 1.56% | Not Applicable | Not Applicable | ||||||
November 2020 | 5,000 | 1-month LIBOR + 1.58% | Not Applicable | Not Applicable | ||||||
$ | 30,000 |
Number of Stock Options | Weighted Average Exercise Price | Weighted Average Remaining Contractual Life | Aggregate Intrinsic Value | ||||||||||
(Unaudited) | |||||||||||||
Outstanding at December 31, 2015 | 715,554 | $ | 14.45 | 6.1 years | $ | 4,182,000 | |||||||
Granted | — | — | |||||||||||
Exercised | — | — | |||||||||||
Forfeited/Cancelled | — | — | |||||||||||
Outstanding at March 31, 2016 | 715,554 | $ | 14.45 | 5.9 years | $ | 3,488,000 | |||||||
Exercisable at March 31, 2016 | 428,292 | $ | 13.40 | 4.8 years | $ | 2,537,000 |
Number of Stock Options | Weighted Average Grant Date Fair Value | ||||||
(Unaudited) | |||||||
Unvested at December 31, 2015 | 366,362 | $ | 3.68 | ||||
Granted | — | — | |||||
Vested | (79,100 | ) | 3.88 | ||||
Forfeited / Cancelled | — | — | |||||
Unvested at March 31, 2016 | 287,262 | $ | 3.63 |
Number of Restricted Shares | Weighted Average Grant Date Fair Value | ||||||
(Unaudited) | |||||||
Unvested at December 31, 2015 | 177,073 | $ | 16.04 | ||||
Granted | 18,608 | 17.00 | |||||
Vested | (54,397 | ) | 16.79 | ||||
Forfeited / Cancelled | — | — | |||||
Unvested at March 31, 2016 | 141,284 | $ | 15.87 |
March 31, 2016 | December 31, 2015 | ||||||||||||||||
Fair Value Hierarchy Level | Carrying Amount | Estimated Fair Value | Carrying Amount | Estimated Fair Value | |||||||||||||
(In thousands) | |||||||||||||||||
Financial assets: | (Unaudited) | ||||||||||||||||
Cash and cash equivalents | Level 1 | $ | 9,112 | $ | 9,112 | $ | 7,798 | $ | 7,798 | ||||||||
Investment securities available-for-sale | Level 2 | 135,826 | 135,826 | 139,751 | 139,751 | ||||||||||||
Investment securities held-to-maturity | Level 2 | 144,528 | 146,655 | 150,190 | 149,850 | ||||||||||||
Loans receivable, net | Level 3 | 776,669 | 779,947 | 767,683 | 768,516 | ||||||||||||
FHLB stock | NA | 6,186 | NA | 6,734 | NA | ||||||||||||
Accrued interest receivable | Level 2, 3 | 3,348 | 3,348 | 3,145 | 3,145 | ||||||||||||
Mortgage servicing rights | Level 3 | 97 | 97 | 104 | 104 | ||||||||||||
Financial liabilities: | |||||||||||||||||
Savings and club accounts | Level 2 | 145,110 | 145,110 | 142,966 | 142,966 | ||||||||||||
Demand, NOW and money market deposits | Level 2 | 428,286 | 428,286 | 361,490 | 361,490 | ||||||||||||
Brokered deposits | Level 2 | 52,378 | 52,377 | 78,481 | 78,219 | ||||||||||||
Certificates of deposit | Level 2 | 189,934 | 189,921 | 182,037 | 181,422 | ||||||||||||
Short-term borrowings | Level 2 | 15,000 | 15,000 | 38,496 | 38,496 | ||||||||||||
FHLB advances | Level 2 | 90,000 | 92,012 | 110,000 | 111,985 | ||||||||||||
Other borrowed funds | Level 2 | 30,000 | 31,604 | 30,000 | 31,692 | ||||||||||||
Accrued interest payable | Level 2 | 302 | 302 | 319 | 319 | ||||||||||||
Derivative contracts | Level 2, 3 | 197 | 197 | 154 | 154 |
• | Two commercial loans, since lending credit risk is not an observable input for these loans (see interest rate swap discussion in Note 5). The unrealized gain on the two loans was $177,000 at March 31, 2016 compared to $137,000 at December 31, 2015. |
• | Credit derivatives are valued based on creditworthiness of the underlying borrower which is a significant unobservable input. The liability resulting from credit derivatives was $8,000 and $6,000 at March 31, 2016 and December 31, 2015, respectively. |
Fair Value Measurements at Reporting Date Using | ||||||||||||||||
Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Other Unobservable Inputs | ||||||||||||||
As of | ||||||||||||||||
Description | March 31, 2016 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
(In thousands, Unaudited) | ||||||||||||||||
Available-for-Sale Securities: | ||||||||||||||||
Obligations of U.S. government agencies | $ | 306 | $ | — | $ | 306 | $ | — | ||||||||
Corporate securities | 17,715 | — | 17,715 | — | ||||||||||||
Agency residential mortgage related securities | 117,805 | — | 117,805 | — | ||||||||||||
Loans (1) | 2,324 | — | — | 2,324 | ||||||||||||
Derivative contracts (1) | (197 | ) | — | (189 | ) | (8 | ) | |||||||||
Fair Value Measurements at Reporting Date Using | ||||||||||||||||
Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Other Unobservable Inputs | ||||||||||||||
As of | ||||||||||||||||
Description | December 31, 2015 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
(In thousands) | ||||||||||||||||
Available-for-Sale Securities: | ||||||||||||||||
Obligations of U.S. government agencies | $ | 299 | $ | — | $ | 299 | $ | — | ||||||||
Corporate securities | 17,541 | — | 17,541 | — | ||||||||||||
Agency residential mortgage related securities | 121,911 | — | 121,911 | — | ||||||||||||
Loans (1) | 2,315 | — | — | 2,315 | ||||||||||||
Derivative contracts (1) | (154 | ) | — | (148 | ) | (6 | ) |
Fair Value Measurements at Reporting Date Using | ||||||||||||||||
Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Other Unobservable Inputs | ||||||||||||||
Balance | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
March 31, 2016 (Unaudited) | (In thousands) | |||||||||||||||
Loans | $ | 1,113 | $ | — | $ | — | $ | 1,113 | ||||||||
Mortgage servicing rights | 97 | — | — | 97 | ||||||||||||
Other real estate owned | 2,615 | — | — | 2,615 | ||||||||||||
Total | $ | 3,825 | $ | — | $ | — | $ | 3,825 | ||||||||
December 31, 2015 | ||||||||||||||||
Loans | $ | 1,239 | $ | — | $ | — | $ | 1,239 | ||||||||
Mortgage servicing rights | 104 | — | — | 104 | ||||||||||||
Other real estate owned | 2,623 | — | — | 2,623 | ||||||||||||
Total | $ | 3,966 | $ | — | $ | — | $ | 3,966 |
Three Months Ended March 31, 2016 | ||||||||||||
Derivative Contracts | Loans | Total | ||||||||||
Beginning balance, December 31, 2015 | $ | (6 | ) | $ | 2,315 | $ | 2,309 | |||||
Purchases/additions | — | — | — | |||||||||
Sales | — | — | — | |||||||||
Payments received | — | (31 | ) | (31 | ) | |||||||
Premium amortization, net | — | — | — | |||||||||
(Decrease) increase in value | (2 | ) | 40 | 38 | ||||||||
Ending balance, March 31, 2016 | $ | (8 | ) | $ | 2,324 | $ | 2,316 | |||||
Three Months Ended March 31, 2015 | ||||||||||||
Derivative Contracts | Loans | Total | ||||||||||
Beginning balance, December 31, 2014 | $ | (12 | ) | $ | 2,451 | $ | 2,439 | |||||
Purchases/additions | (1 | ) | — | (1 | ) | |||||||
Sales | — | — | — | |||||||||
Payments received | — | (30 | ) | (30 | ) | |||||||
Premium amortization, net | — | — | — | |||||||||
Increase in value | 5 | 20 | 25 | |||||||||
Ending balance, March 31, 2015 | $ | (8 | ) | $ | 2,441 | $ | 2,433 |
• | Allowance for Loan Losses |
• | Deferred Income Taxes |
• | Valuation and Other-Than-Temporary Impairment of Investment Securities |
• | Valuation of Assets Acquired Through Foreclosure |
Three Months Ended March 31, | |||||||||||||||||||||
2016 | 2015 | ||||||||||||||||||||
Average Balance | Interest and Dividends | Yield/ Cost | Average Balance | Interest and Dividends | Yield/ Cost | ||||||||||||||||
Assets: | (Dollars in thousands) | ||||||||||||||||||||
Interest-earning assets: | |||||||||||||||||||||
Interest-earning demand deposits | $ | 10,417 | $ | 9 | 0.34 | % | $ | 11,550 | $ | 3 | 0.10 | % | |||||||||
Investment securities | |||||||||||||||||||||
Available-for-sale | 144,788 | 857 | 2.37 | % | 140,485 | 1,092 | 3.11 | % | |||||||||||||
Held-to-maturity | 147,765 | 775 | 2.10 | % | 170,564 | 890 | 2.09 | % | |||||||||||||
Total investment securities | 292,553 | 1,632 | 2.23 | % | 311,049 | 1,982 | 2.55 | % | |||||||||||||
Loans: | |||||||||||||||||||||
Residential loans | 88,751 | 1,024 | 4.62 | % | 107,302 | 1,251 | 4.66 | % | |||||||||||||
Commercial loans | 678,099 | 7,315 | 4.34 | % | 615,474 | 6,669 | 4.39 | % | |||||||||||||
Consumer loans | 14,499 | 167 | 4.60 | % | 19,229 | 219 | 4.57 | % | |||||||||||||
Total Loans | 781,349 | 8,506 | 4.37 | % | 742,005 | 8,139 | 4.44 | % | |||||||||||||
Allowance for loan losses | (10,563 | ) | (10,777 | ) | |||||||||||||||||
Net loans | 770,786 | 8,506 | 731,228 | 8,139 | |||||||||||||||||
Total interest-earning assets | 1,073,756 | 10,147 | 3.80 | % | 1,053,827 | 10,124 | 3.88 | % | |||||||||||||
Noninterest-earning assets | 53,961 | 42,702 | |||||||||||||||||||
Total assets | $ | 1,127,717 | $ | 1,096,529 | |||||||||||||||||
Liabilities and equity: | |||||||||||||||||||||
Interest-bearing liabilities: | |||||||||||||||||||||
NOW and money market deposit accounts | $ | 194,028 | $ | 111 | 0.23 | % | $ | 164,508 | $ | 90 | 0.22 | % | |||||||||
Savings accounts | 143,641 | 161 | 0.45 | % | 130,354 | 120 | 0.37 | % | |||||||||||||
Brokered deposits | 68,651 | 136 | 0.80 | % | 64,266 | 125 | 0.79 | % | |||||||||||||
Certificates of deposit | 185,519 | 399 | 0.87 | % | 187,337 | 380 | 0.82 | % | |||||||||||||
Total interest-bearing deposits | 591,839 | 807 | 0.55 | % | 546,465 | 715 | 0.53 | % | |||||||||||||
Short-term borrowings | 41,615 | 59 | 0.57 | % | 41,097 | 32 | 0.32 | % | |||||||||||||
FHLB advances | 106,483 | 557 | 2.10 | % | 119,032 | 539 | 1.84 | % | |||||||||||||
Other borrowed funds | 30,000 | 180 | 2.41 | % | 30,000 | 166 | 2.24 | % | |||||||||||||
Total borrowings | 178,098 | 796 | 1.80 | % | 190,129 | 737 | 1.57 | % | |||||||||||||
Total interest-bearing liabilities | 769,937 | 1,603 | 0.84 | % | 736,594 | 1,452 | 0.80 | % | |||||||||||||
Noninterest-bearing deposits | 175,527 | 176,389 | |||||||||||||||||||
Other noninterest-bearing liabilities | 4,645 | 7,442 | |||||||||||||||||||
Total liabilities | 950,109 | 920,425 | |||||||||||||||||||
Stockholders’ equity | 177,444 | 175,552 | |||||||||||||||||||
Accumulated comprehensive income | 164 | 552 | |||||||||||||||||||
Total stockholders' equity | 177,608 | 176,104 | |||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 1,127,717 | $ | 1,096,529 | |||||||||||||||||
Net interest income | $ | 8,544 | $ | 8,672 | |||||||||||||||||
Interest rate spread | 2.96 | % | 3.08 | % | |||||||||||||||||
Net interest margin | 3.16 | % | 3.29 | % | |||||||||||||||||
Average interest-earning assets to average interest-bearing liabilities | 139.46 | % | 143.07 | % |
Three Months Ended March 31, 2016 | |||||||||||
Compared to | |||||||||||
Three Months Ended March 31, 2015 | |||||||||||
Increase (Decrease) | |||||||||||
Due to | |||||||||||
Rate | Volume | Net | |||||||||
Interest Income: | (In thousands) | ||||||||||
Interest-earning demand deposits | $ | — | $ | 6 | $ | 6 | |||||
Investment securities | |||||||||||
Available-for-sale | (269 | ) | 34 | (235 | ) | ||||||
Held-to-maturity | 5 | (120 | ) | (115 | ) | ||||||
Total investment securities | (264 | ) | (86 | ) | (350 | ) | |||||
Loans | |||||||||||
Residential loans | (10 | ) | (217 | ) | (227 | ) | |||||
Commercial loans | (33 | ) | 679 | 646 | |||||||
Consumer loans | 1 | (53 | ) | (52 | ) | ||||||
Total loans | (42 | ) | 409 | 367 | |||||||
Total interest-earning assets | (306 | ) | 329 | 23 | |||||||
Interest Expense: | |||||||||||
NOW and money market deposits | 5 | 16 | 21 | ||||||||
Savings accounts | 29 | 12 | 41 | ||||||||
Brokered deposits | 3 | 8 | 11 | ||||||||
Certificates of deposit | 23 | (4 | ) | 19 | |||||||
Total interest-bearing deposits | 60 | 32 | 92 | ||||||||
Short-term borrowings | 26 | 1 | 27 | ||||||||
FHLB advances | 75 | (57 | ) | 18 | |||||||
Other borrowed funds | 14 | — | 14 | ||||||||
Total borrowings | 115 | (56 | ) | 59 | |||||||
Total interest-bearing liabilities | 175 | (24 | ) | 151 | |||||||
Net change in net interest income | $ | (481 | ) | $ | 353 | $ | (128 | ) |
March 31, 2016 | December 31, 2015 | ||||||
(Dollars in thousands) | |||||||
Nonaccruing Loans: | |||||||
One- to four-family real estate | $ | 759 | $ | 583 | |||
Multi-family and commercial real estate | 1,066 | 1,074 | |||||
Construction | — | — | |||||
Consumer | 79 | 159 | |||||
Commercial and industrial | 702 | 718 | |||||
Total | 2,606 | 2,534 | |||||
Accruing Loans Past Due 90 Days or More: | |||||||
Total | $ | — | $ | — | |||
Nonperforming Loans | 2,606 | 2,534 | |||||
Assets Acquired Through Foreclosure | 2,615 | 2,623 | |||||
Total Nonperforming Assets | $ | 5,221 | $ | 5,157 | |||
Total nonperforming loans to total loans | 0.33 | % | 0.33 | % | |||
Total nonperforming assets to total assets | 0.46 | 0.46 | |||||
Impaired Loans: | |||||||
Nonaccruing loans | $ | 2,606 | $ | 2,534 | |||
Accruing troubled debt restructurings | 6,488 | 6,440 | |||||
Other impaired loans | 4,325 | 4,352 | |||||
Total impaired loans | $ | 13,419 | $ | 13,326 |
• | Two multi-family and commercial real estate loans, the largest of which is secured by rental properties located in the greater Philadelphia Area. |
• | One commercial and industrial loan relationship secured by the assets of a professional services firm in the greater Philadelphia area. |
• | Six one- to four-family loans, the largest of which is secured by a single-family home located in Montgomery County, Pennsylvania. |
• | Two consumer loan relationships, which are secured by second or third lien mortgage positions. |
• | Assets acquired through foreclosure consisting of five properties with a total carrying value of $2.6 million. |
Three Months Ended March 31, | $ | % | |||||||||||||
2016 | 2015 | Change | Change | ||||||||||||
(Dollars in thousands) | |||||||||||||||
Service charges and other fee income | $ | 362 | $ | 384 | $ | (22 | ) | (5.7 | )% | ||||||
Income on bank-owned life insurance | 215 | 120 | 95 | 79.2 | |||||||||||
Equity in earnings of affiliate | (5 | ) | 40 | (45 | ) | (112.5 | ) | ||||||||
Other | 94 | 27 | 67 | 248.1 | |||||||||||
Total Noninterest Income | $ | 666 | $ | 571 | $ | 95 | 16.6 | % |
Three Months Ended March 31, | $ | % | |||||||||||||
2016 | 2015 | Change | Change | ||||||||||||
(Dollars in thousands) | |||||||||||||||
Salaries, benefits and other compensation | $ | 3,943 | $ | 3,719 | $ | 224 | 6.0 | % | |||||||
Occupancy expense | 430 | 477 | (47 | ) | (9.9 | ) | |||||||||
Furniture and equipment expense | 77 | 83 | (6 | ) | (7.2 | ) | |||||||||
Data processing costs | 408 | 573 | (165 | ) | (28.8 | ) | |||||||||
Professional fees | 538 | 363 | 175 | 48.2 | |||||||||||
Marketing expense | 24 | 41 | (17 | ) | (41.5 | ) | |||||||||
FDIC premiums | 134 | 119 | 15 | 12.6 | |||||||||||
Assets acquired through foreclosure expense | 30 | 30 | — | — | |||||||||||
Other | 301 | 360 | (59 | ) | (16.4 | ) | |||||||||
Total Noninterest Expense | $ | 5,885 | $ | 5,765 | $ | 120 | 2.1 | % |
Payments Due by Period | |||||||||||||||||||||
Less Than One Year | One to Three Years | Three to Five Years | More Than Five Years | ||||||||||||||||||
Contractual Obligations | Total | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
March 31, 2016 | |||||||||||||||||||||
Operating lease obligations (1) | $ | 290 | $ | 290 | $ | — | $ | — | $ | — | |||||||||||
FHLB advances and other borrowings (2) | 140,877 | 32,783 | 87,681 | 20,413 | — | ||||||||||||||||
Other long-term obligations (3) | 8,431 | 1,573 | 2,745 | 2,377 | 1,736 | ||||||||||||||||
Total | $ | 149,598 | $ | 34,646 | $ | 90,426 | $ | 22,790 | $ | 1,736 | |||||||||||
Ratio | Minimum to be Well Capitalized | ||||||
March 31, 2016 | |||||||
Common Equity Tier 1 Capital Ratio (to risk-weighted assets) | |||||||
Bancorp | 19.07 | % | 6.5 | % | |||
Bank | 16.66 | 6.5 | |||||
Tier 1 Capital Ratio (to risk-weighted assets) | |||||||
Bancorp | 19.07 | 8.0 | |||||
Bank | 16.66 | 8.0 | |||||
Total Capital Ratio (to risk-weighted assets) | |||||||
Bancorp | 20.03 | 10.0 | |||||
Bank | 17.63 | 10.0 | |||||
Tier 1 Leverage Ratio (to adjusted average assets) | |||||||
Bancorp | 15.73 | 5.0 | |||||
Bank | 13.74 | 5.0 | |||||
December 31, 2015 | |||||||
Common Equity Tier 1 Capital Ratio (to risk-weighted assets) | |||||||
Bancorp | 19.50 | % | 6.5 | % | |||
Bank | 16.69 | 6.5 | |||||
Tier 1 Capital Ratio (to risk-weighted assets) | |||||||
Bancorp | 19.50 | 8.0 | |||||
Bank | 16.69 | 8.0 | |||||
Total Capital Ratio (to risk-weighted assets) | |||||||
Bancorp | 20.48 | 10.0 | |||||
Bank | 17.68 | 10.0 | |||||
Tier 1 Leverage Ratio (to adjusted average assets) | |||||||
Bancorp | 15.85 | 5.0 | |||||
Bank | 13.52 | 5.0 |
Period | Total Number of Shares Purchased | Average Price Paid Per Share | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs (1) | Maximum Number of Shares that May Yet be Purchased Under the Plans or Programs (1) | |||||||||
January 1, 2016 through January 31, 2016 | — | $ | — | — | 817,172 | ||||||||
February 1, 2016 through February 29, 2016 | — | $ | — | — | 817,172 | ||||||||
March 1, 2016 through March 31, 2016 | — | $ | — | — | 817,172 | ||||||||
Total | — | $ | — | — |
3.1 | Articles of Incorporation of Fox Chase Bancorp, Inc. (1) | |||||
3.2 | Bylaws of Fox Chase Bancorp, Inc. (1) | |||||
4.0 | Stock Certificate of Fox Chase Bancorp, Inc. (1) | |||||
31.1 | Rule 13a-14(a)/15d-14(a) Certification of Chief Executive Officer | |||||
31.2 | Rule 13a-14(a)/15d-14(a) Certification of Chief Financial Officer | |||||
32.0 | Section 1350 Certification 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 March 31, 2016, formatted in XBRL (Extensible Business Reporting Language): (i) the Consolidated Statements of Condition, (ii) the Consolidated Statements of Operations, (iii) the Consolidated Statements of Comprehensive Income, (iv) the Consolidated Statements of Changes in Equity, (v) the Consolidated Statements of Cash Flows and (vi) the Notes to the Unaudited Consolidated Financial Statements. | |||||
(1) | Incorporated by reference to this document from the exhibits to the Company’s Registration Statement on Form S-1 as initially filed with the Securities and Exchange Commission on March 12, 2010. |
FOX CHASE BANCORP, INC. | |||
Dated: | May 10, 2016 | By: | /s/ Thomas M. Petro |
Thomas M. Petro | |||
President and Chief Executive Officer | |||
(principal executive officer) | |||
Dated: | May 10, 2016 | By: | /s/ Roger S. Deacon |
Roger S. Deacon | |||
Chief Financial Officer | |||
(principal financial officer) |
I, Thomas M. Petro, certify that: | |
1. | I have reviewed this Quarterly Report on Form 10-Q of Fox Chase Bancorp, Inc.; |
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. |
Date: | May 10, 2016 | /s/ Thomas M. Petro |
Thomas M. Petro | ||
President and Chief Executive Officer |
I, Roger S. Deacon, certify that: | |
1. | I have reviewed this Quarterly Report on Form 10-Q of Fox Chase Bancorp, Inc.; |
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. |
Date: | May 10, 2016 | /s/ Roger S. Deacon |
Roger S. Deacon | ||
Chief Financial Officer |
By: | /s/ Thomas M. Petro | |
Thomas M. Petro | ||
President and Chief Executive Officer | ||
May 10, 2016 | ||
By: | /s/ Roger S. Deacon | |
Roger S. Deacon | ||
Chief Financial Officer | ||
May 10, 2016 |
Document and Entity Information - shares |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Apr. 30, 2016 |
|
Document and Entity Information | ||
Entity Registrant Name | Fox Chase Bancorp Inc | |
Entity Central Index Key | 0001485176 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2016 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Document Fiscal Year Focus | 2016 | |
Document Fiscal Period Focus | Q1 | |
Entity Common Stock, Shares Outstanding | 11,769,390 |
Consolidated Statements of Condition (Parenthetical) - USD ($) $ in Thousands |
Mar. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Statement of Financial Position [Abstract] | ||
Investment securities held to maturity, fair value | $ 146,655 | $ 149,850 |
Loans, allowance for loan losses | $ 10,570 | $ 10,562 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 60,000,000 | 60,000,000 |
Common stock, shares issued | 11,767,590 | 11,767,590 |
Common stock, shares outstanding | 11,767,590 | 11,767,590 |
Treasury stock, shares | 3,141,201 | 3,141,201 |
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 2,249 | $ 2,279 |
Other comprehensive income: | ||
Unrealized holding gains on investment securities | 1,694 | 800 |
Tax effect | (583) | (276) |
Net of tax amount | 1,111 | 524 |
Accretion of unrealized loss on securities reclassified to held-to-maturity | 46 | 41 |
Tax effect | (17) | (15) |
Net of tax amount | 29 | 26 |
Other comprehensive income | 1,140 | 550 |
Comprehensive income | $ 3,389 | $ 2,829 |
Consolidated Statements of Changes in Equity (Parenthetical) - $ / shares |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Statement of Stockholders' Equity [Abstract] | ||
Treasury stock, shares | 0 | 69,800 |
Dividends paid (in dollars per share) | $ 0.28 | $ 0.26 |
PRINCIPLES OF CONSOLIDATION AND PRESENTATION |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
PRINCIPLES OF CONSOLIDATION AND PRESENTATION | PRINCIPLES OF CONSOLIDATION AND PRESENTATION Fox Chase Bancorp, Inc. (the "Bancorp" or "Fox Chase") is a Maryland corporation. The Bancorp’s primary business is holding the common stock of Fox Chase Bank (the "Bank") and making two loans to the Fox Chase Bank Employee Stock Ownership Plan (the "ESOP"). The Bancorp is authorized to pursue other business activities permissible by laws and regulations for bank holding companies. The Bancorp is a bank holding company and is regulated by the Board of Governors of the Federal Reserve System. The Bank is a Pennsylvania state-chartered savings bank and is regulated by the Pennsylvania Department of Banking and Securities and the Federal Deposit Insurance Corporation (the "FDIC"). The Bancorp and the Bank (collectively referred to as the "Company" or the "Corporation") provide a wide variety of financial products and services to individuals and businesses through the Bank’s ten branches in Philadelphia, Richboro, Willow Grove, Warminster, Lahaska, Hatboro, and West Chester, Pennsylvania, and Ocean City, Marmora and Egg Harbor Township, New Jersey. The operations of the Company are managed as a single business segment. The Bank also owns 46.15% of Philadelphia Mortgage Advisors ("PMA"), a mortgage banker with offices in Plymouth Meeting and Doylestown, Pennsylvania and Ocean City, New Jersey. The Company is subject to the regulations of certain federal and state banking agencies. These regulations can and do change significantly from period to period. The Company also undergoes periodic examinations by regulatory agencies, which may subject it to further changes with respect to asset valuations, amounts of required loan loss allowances and operating restrictions resulting from the regulators’ judgments based on information available to them at the time of their examinations. The consolidated financial statements include the accounts of the Bancorp and the Bank. The Bank’s operations include the accounts of its wholly owned subsidiaries, Fox Chase Financial, Inc., Fox Chase Service Corporation, 104 S. Oakland Ave., LLC and Davisville Associates, LLC. Fox Chase Financial, Inc. is a Delaware-chartered investment holding company and its sole purpose is to manage and hold investment securities. Fox Chase Service Corporation is a Pennsylvania-chartered company and its sole purpose is to facilitate the Bank’s investment in PMA. 104 S. Oakland Ave., LLC is a New Jersey-chartered limited liability company formed to secure, manage and hold foreclosed real estate. Davisville Associates, LLC is a Pennsylvania-chartered limited liability company formed to secure, manage and hold foreclosed real estate. All material inter-company transactions and balances have been eliminated in consolidation. Prior period amounts are reclassified, when necessary, to conform with the current year’s presentation. The Company follows accounting principles and reporting practices that are in compliance with U.S. generally accepted accounting principles ("GAAP"). The preparation of the financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclose contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. These interim financial statements do not contain all necessary disclosures required by GAAP for complete financial statements and therefore should be read in conjunction with the audited financial statements and the notes thereto included in Fox Chase Bancorp, Inc.’s Annual Report on Form 10-K for the year ended December 31, 2015, as filed with the Securities and Exchange Commission on March 4, 2016. These financial statements include all normal and recurring adjustments which management believes were necessary in order to conform to GAAP. The results for the three months ended March 31, 2016 are not necessarily indicative of the results that may be expected for the year ending December 31, 2016 or any other period. NOTE 1 - PRINCIPLES OF CONSOLIDATION AND PRESENTATION (CONTINUED) Per Share Information Basic earnings per share excludes dilution and is computed by dividing income available to common stockholders by the weighted-average common shares outstanding during the period. Diluted earnings per share takes into account the potential dilution that could occur if securities or other contracts to issue common stock were exercised and converted into common stock. Average unallocated shares in the ESOP and shares purchased to fund the Bancorp’s equity incentive plans are not included in either basic or diluted earnings per share. The following table presents the reconciliation of the numerators and denominators of the basic and diluted earnings per share computations.
|
BUSINESS COMBINATIONS |
3 Months Ended |
---|---|
Mar. 31, 2016 | |
Business Combinations [Abstract] | |
BUSINESS COMBINATIONS | BUSINESS COMBINATIONS Proposed Merger with Univest Corporation of Pennsylvania On December 8, 2015, Univest Corporation of Pennsylvania ("Univest") and Fox Chase entered into a merger agreement (the "Merger Agreement") that provides that the Company will merge with and into Univest, with Univest remaining as the surviving entity. Following the merger, Fox Chase Bank will merge with and into Univest Bank and Trust Co., with Univest Bank and Trust Co. remaining as the surviving entity. At the effective time of the Merger, Fox Chase shareholders will be entitled to elect to receive, for each share of Fox Chase common stock, subject to the election and adjustment procedures described in the joint proxy statement/prospectus, either 0.9731 shares of Univest common stock or $21.00 in cash; provided, however, that 60% of the total number of outstanding shares of Fox Chase common stock will be converted into Univest common stock, and the remaining outstanding shares of Fox Chase common stock will be converted into cash. As a result, if more Fox Chase shareholders elect to receive either Univest common stock or cash than is available as merger consideration under the merger agreement, those Fox Chase shareholders electing the over-subscribed form of consideration may have the over-subscribed consideration proportionately reduced and substituted with consideration in the alternative form. NOTE 2 - BUSINESS COMBINATIONS (CONTINUED) Subject to the satisfaction or waiver of the closing conditions contained in the merger agreement, including the approval of the merger agreement by the Company’s and Univest's shareholders and the receipt of required regulatory approvals, Univest and the Company expect that the merger will be completed during the third quarter of 2016. However, it is possible that factors outside the control of both companies, including whether or when the required regulatory approvals will be received, could result in the merger being completed at a different time or not at all. |
INVESTMENT AND MORTGAGE RELATED SECURITIES |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
INVESTMENT AND MORTGAGE RELATED SECURITIES | INVESTMENT SECURITIES The amortized cost and fair value of securities available-for-sale and held-to-maturity as of March 31, 2016 and December 31, 2015 are summarized as follows:
Obligations of U.S. government agencies represents debt issued by the Federal Home Loan Bank (the "FHLB") and are not backed by the full faith and credit of the United States government. NOTE 3 - INVESTMENT SECURITIES (CONTINUED) The following tables show gross unrealized losses and fair value of securities, aggregated by security category and length of time that individual securities have been in a continuous unrealized loss position, at March 31, 2016 and December 31, 2015.
During the three month periods ended March 31, 2016 and 2015, no securities were sold. There were no net investment securities gains or losses in the consolidated statement of operations for the three month periods ended March 31, 2016 or 2015. The Company evaluates a variety of factors when concluding whether a security is other-than-temporarily impaired. These factors include, but are not limited to, the type and purpose of the security, the underlying rating of the issuer, the presence of credit enhancements, the length of time a security has been in a loss position and the severity of the loss. NOTE 3 - INVESTMENT SECURITIES (CONTINUED) At March 31, 2016, gross unrealized losses totaled $145,000. Fifteen agency residential mortgage related securities, with a fair value of $26.6 million, had an unrealized loss position of $141,000 for twelve months or longer as of March 31, 2016. Additionally, four agency residential mortgage related securities, with a fair value of $3.9 million and an unrealized loss position of $4,000, had unrealized loss positions for less than twelve months as of March 31, 2016. The fair value of these nineteen securities primarily fluctuates with changes in market conditions for the underlying securities and changes in the interest rate environment. The Company does not intend to sell the securities in an unrealized loss position and it is not more likely than not that it will be required to sell these securities before a recovery of fair value, which may be maturity. Upon review of the attributes of the individual securities, the Company concluded these securities were not other-than-temporarily impaired. At March 31, 2016, the amortized cost of held-to-maturity investments consisted of the following (in thousands):
The amortized cost and estimated fair value of investment securities available-for-sale and held-to-maturity at March 31, 2016 and December 31, 2015 by contractual maturity are as follows:
Securities with a fair value of $65.6 million and $48.7 million at March 31, 2016 and December 31, 2015, respectively, were pledged to secure public deposits. Securities with a fair value of $156.0 million and $161.7 million at March 31, 2016 and December 31, 2015, respectively, were used to secure FHLB advances, short-term borrowings, other borrowed funds and related unused borrowing capacities. See Note 7. Securities with a fair value of $1.6 million and $900,000 at March 31, 2016 and December 31, 2015, respectively, were used to secure derivative transactions. See Note 5. |
LOANS |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Receivables [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
LOANS | LOANS The composition of net loans at March 31, 2016 and December 31, 2015 is provided below:
The following tables present changes in the allowance for loan losses by loan segment for the three months ended March 31, 2016 and the three months ended March 31, 2015.
NOTE 4 - LOANS (CONTINUED) The following tables provide details of loans, and associated allowance for loan losses, which are individually or collectively evaluated for impairment as of March 31, 2016 and December 31, 2015.
NOTE 4 - LOANS (CONTINUED) The following tables set forth the breakdown of impaired loans by loan segment as of March 31, 2016 and December 31, 2015.
There were no loans past due 90 days or more and still accruing interest at March 31, 2016 or December 31, 2015. For the three months ended March 31, 2016 and 2015, the average recorded investment in impaired loans was $13.6 million and $12.4 million, respectively. The interest income recognized on these impaired loans was $163,000 and $141,000 for the three months ended March 31, 2016 and 2015, respectively. At both December 31, 2015 and March 31, 2016, two troubled debt restructurings ("TDRs") totaling $1.1 million are excluded from the accruing TDR column above as they are included in nonaccrual loans. Of this amount, $1.0 million relates to one multi-family and commercial real estate loan and $93,000 relates to one residential loan. NOTE 4 - LOANS (CONTINUED) The following tables set forth the allowance for loan loss for impaired loans and general allowance by loan segment as of March 31, 2016 and December 31, 2015.
NOTE 4 - LOANS (CONTINUED) The Company may, under certain circumstances, restructure loans as a concession to borrowers who have experienced financial difficulty, which results in a TDR. TDRs are impaired loans. TDRs typically result from the Company’s loss mitigation activities, which, among other activities, could include extension of maturity, rate reductions, delayed repayment or extension, and/or principal forgiveness. The following table sets forth a summary of the TDR activity for the three month periods ended March 31, 2016 and 2015.
During the three months ended March 31, 2016 and 2015, no TDRs defaulted that were restructured in the prior twelve months. At March 31, 2016 and December 31, 2015, the recorded investment of residential and consumer mortgage loans secured by residential real estate properties, for which formal foreclosure proceedings are in process, totaled $277,000 and $364,000, respectively. At March 31, 2016 and December 31, 2015, there were three foreclosed residential real estate properties, which were carried at $106,000 and $122,000, respectively. NOTE 4 - LOANS (CONTINUED) The following table sets forth past due loans by segment as of March 31, 2016 and December 31, 2015.
We use six primary classifications for loans: pass, pass watch, special mention, substandard, doubtful and loss, of which three classifications are for problem loans: substandard, doubtful and loss. "Substandard loans" must have one or more well defined weaknesses and are characterized by the distinct possibility that we will sustain some loss if the deficiencies are not corrected. "Doubtful loans" have the weaknesses of substandard loans 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. A loan classified "loss" is considered uncollectible and of such little value that continuance as a loan of the institution is not warranted. We also maintain a "special mention" category, described as loans which do not currently expose us to a sufficient degree of risk to warrant classification but do possess credit deficiencies or potential weaknesses deserving our close attention. If we classify an asset as loss, it is recorded as a loan charged off in the current period. The following tables set forth criticized and classified loans by segment as of March 31, 2016 and December 31, 2015.
|
DERIVATIVES AND HEDGING |
3 Months Ended |
---|---|
Mar. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVES AND HEDGING | DERIVATIVES AND HEDGING Interest Rate Swaps On November 3, 2006, the Company entered into an interest rate swap with a current notional amount of $691,000, which is used to hedge a 15-year fixed rate loan that is earning interest at 7.43%. The Company is receiving variable rate payments of 1-month LIBOR plus 224 basis points and is paying fixed rate payments of 7.43%. The swap matures in April 2022 and had a fair value loss position of $97,000 and $92,000 at March 31, 2016 and December 31, 2015, respectively. The interest rate swap is carried at fair value in accordance with FASB ASC 815 "Derivatives and Hedging." The loan is carried at fair value under the fair value option as permitted by FASB ASC 825 "Financial Instruments." On October 12, 2011, the Company entered into an interest rate swap with a current notional amount of $1.5 million, which is used to hedge a 10-year fixed rate loan that is earning interest at 5.83%. The Company is receiving variable rate payments of 1-month LIBOR plus 350 basis points and is paying fixed rate payments of 5.83%. The Company designated this relationship as a fair value hedge. The swap matures in October 2021 and had a fair value loss position of $92,000 and $56,000 at March 31, 2016 and December 31, 2015, respectively. The difference between changes in the fair values of the interest rate swap agreement and the hedged loan represents hedge ineffectiveness and is recorded in other non-interest income in the consolidated statements of operations. Hedge ineffectiveness resulted in expense of $1,000 and $3,000 for the three months ended March 31, 2016 and March 31, 2015, respectively. Credit Derivatives We have entered into agreements with a third-party financial institution whereby the financial institution enters into interest rate derivative contracts and foreign currency swap contracts with customers referred to them by us. By the terms of the agreements, the financial institution has recourse to the Company for any exposure created under each swap contract in the event the customer defaults on the swap agreement and the agreement is in a paying position to the third-party financial institution. These transactions represent credit derivatives and are a customary arrangement that allows financial institutions like ours to provide access to interest rate and foreign currency swap transactions for our customers without creating the swap ourselves. The Company records the fair value of credit derivatives in other liabilities on the consolidated statement of condition. The Company recognizes changes in the fair value of credit derivatives, net of any fees received, as service charges and other fee income in the consolidated statements of operations. At March 31, 2016, there were four variable-rate to fixed-rate interest rate swap transactions between the third-party financial institution and our customers with a notional amount of $12.1 million, and remaining maturities ranging from three to seven years. At December 31, 2015, there were four variable-rate to fixed-rate interest swap transactions between the third-party financial institution and our customers with a notional amount of $12.2 million, and remaining maturities ranging from four to seven years. The fair value of the swaps to the customers was a liability of $360,000 and $53,000 as of March 31, 2016 and December 31, 2015, respectively, and all swaps were in paying positions to the third-party financial institution at March 31, 2016. As of March 31, 2016 and December 31, 2015, the fair value of the Company’s interest rate swap credit derivatives was a liability of $8,000 and $6,000, respectively. During the three months ended March 31, 2016 and 2015, the Company recognized (expense) income of ($2,000) and $3,000, respectively, from interest rate swap credit derivatives. At March 31, 2016 and December 31, 2015, there were no foreign currency swap transactions between the third-party financial institution and our customers. During the three months ended March 31, 2016 and 2015, the Company recognized income of $0 and $2,000, respectively, from foreign currency swap credit derivatives. The maximum potential payments by the Company to the financial institution under these credit derivatives are not estimable as they are contingent on future interest rates and exchange rates, and the agreement does not provide for a limitation of the maximum potential payment amount. |
DEPOSITS |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Banking and Thrift [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
DEPOSITS | DEPOSITS Deposits and their respective weighted average interest rate at March 31, 2016 and December 31, 2015 consist of the following:
|
BORROWINGS |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
BORROWINGS | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
BORROWINGS | BORROWINGS FHLB Advances Pursuant to collateral agreements with the FHLB of Pittsburgh, advances are secured by qualifying first mortgage loans, qualifying fixed-income securities, FHLB stock and an interest-bearing demand deposit account with the FHLB.
For the borrowings which have a "Call Date" disclosed in the above table, if the borrowing is called, the Bank has the option to either pay off the borrowing without penalty or the borrowings' fixed rate resets to a variable 3-month LIBOR based rate, as noted in the above table. Subsequent to the call date, the borrowings are callable by the FHLB quarterly. Accordingly, the contractual maturities above may differ from actual maturities. The Bank had a maximum borrowing capacity with the FHLB of Pittsburgh of approximately $496.1 million at March 31, 2016. As of March 31, 2016, the Bank had qualifying collateral pledged against its advances consisting of loans in the amount of $632.0 million and securities in the amount of $63.7 million. Additionally, as of March 31, 2016, the Bank had a maximum borrowing capacity of $57.6 million with the Federal Reserve Bank of Philadelphia through the Discount Window. This borrowing capacity was generated by pledged securities with a fair value of $58.4 million. As a member of the FHLB of Pittsburgh, the Bank is required to acquire and hold shares of FHLB of Pittsburgh capital stock. The FHLB stock holding requirement is based on a percentage of the Bank's borrowings and a percentage of the Bank's "eligible assets" as defined by the FHLB. Percentages of borrowings and "eligible assets" used to determine the stock holding requirement are set by the FHLB from a defined range. Maximum percentages are 6.00% of its advances plus 1.00% of the Bank’s "eligible assets." Minimum percentages are 2.00% of its advances plus 0.05% of "eligible assets." Current percentages are 4.00% of advances plus 0.10% of "eligible assets." As of March 31, 2016, the Company had a minimum stock obligation of $2.2 million and a maximum stock obligation of $11.6 million. The Company held $6.2 million in FHLB stock at that date. NOTE 7 - BORROWINGS (CONTINUED) Other Borrowed Funds Other borrowed funds obtained from other commercial banks under security repurchase agreements totaled $30.0 million at March 31, 2016. These borrowings contractually mature with dates ranging from October 2018 through November 2020. As disclosed in the table below, one of the borrowings may be called by the lender based on the underlying agreement. Accordingly, the contractual maturity below may differ from actual maturity.
Mortgage backed securities with a fair value of $33.9 million at March 31, 2016 were used to secure these other borrowed funds. Changes in the fair value of pledged collateral may require the Company to pledge additional securities. Short-term Borrowings Short-term borrowings consist of overnight borrowings plus term borrowings with an original maturity of less than one year. Short-term borrowings are obtained from commercial banks, participants in the Federal Funds market and the FHLB. As of March 31, 2016, the Company had $15.0 million of overnight borrowings with a weighted average rate of 0.52% . As of December 31, 2015, the Company had $38.5 million of overnight borrowings with a weighted average rate of 0.43%. |
STOCK BASED COMPENSATION |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
STOCK BASED COMPENSATION | STOCK BASED COMPENSATION During the three months ended March 31, 2016, the Company recorded $349,000 of stock based compensation expense comprised of stock option expense of $115,000 and restricted stock expense of $234,000. This compares to $310,000 of stock based compensation expense for the three months ended March 31, 2015 comprised of stock option expense of $112,000 and restricted stock expense of $198,000. The following is a summary of the Bancorp’s stock option activity and related information for the three months ended March 31, 2016.
NOTE 8 - STOCK BASED COMPENSATION (CONTINUED) The following is a summary of the Bancorp’s unvested options as of March 31, 2016 and the changes therein during the three months then ended.
Expected future expense relating to the 287,262 non-vested options outstanding as of March 31, 2016 is $900,000 over a weighted average period of 2.6 years. The following is a summary of the status of the Bancorp’s restricted stock as of March 31, 2016 and changes therein during the three months then ended.
Expected future compensation expense relating to the 141,284 restricted shares at March 31, 2016 is $1.9 million over a weighted average period of 2.4 years. Performance-based restricted shares granted in 2013, as discussed in the following paragraph, vest over a five-year period based on continued service with the Bank and the achievement of performance metrics. The performance metrics to be evaluated during the performance period are (1) return on assets, actual and growth rate, compared to a predetermined peer group and (2) earnings per share growth rate compared to peer group ("performance criteria"). Each performance metric has a 50% weight. On the third anniversary of the grant date ("measurement date"), the Company's level of performance relative to the performance criteria are evaluated and the number of shares that will vest at that time and over the following two years will be determined. The number of shares eligible to vest is variable and can range from 0% to 150% of the shares identified on the grant date (the "target shares"). Of the shares that will vest, 50% of the shares vest on the measurement date and 25% vest on each of the fourth and fifth anniversaries of the date of grant. During March 2013, the Company granted performance-based restricted stock to certain executive officers of the Company, of which 39,250 shares remained outstanding at the measurement date. During March 2016, the Company awarded an additional 18,608 shares of performance-based restricted stock, which represented additional shares owed to participants under the March 2013 grant as the Company exceeded the performance targets under the 2013 award. This represented a total grant of 147.4% of the "target shares." The 57,858 shares had a grant date fair value of $17.00. During 2015, the Company granted 8,840 shares of performance-based restricted stock to certain executive officers of the Company. Performance-based restricted shares granted in 2015 utilize similar performance criteria and measurement date as outlined above for the 2012 and 2013 performance based grants. However, the 2015 awards vest 50% at measurement date and 50% on the fourth anniversary of the date of the grant. For the purposes of the above table, the Company is assuming 100% of the "target shares" will be awarded. However, more or less shares may actually be awarded based on the performance of the Company at the applicable measurement date, which is March 13, 2018. |
FAIR VALUE |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
FAIR VALUE | FAIR VALUE Management uses its best judgment in estimating the fair value of the Company’s financial instruments; however, there are inherent weaknesses in any estimation technique. Therefore, for substantially all financial instruments, the fair value estimates herein are not necessarily indicative of the amounts the Company could have realized in a sales transaction on the dates indicated. The estimated fair value amounts have been measured as of the respective quarter ends, and have not been reevaluated or updated for purposes of these consolidated financial statements subsequent to those respective dates. As such, the estimated fair values of these financial instruments subsequent to the respective reporting dates may be different than the amounts reported at each reporting date. The Company determines the fair value of financial instruments using three levels of input: Level 1—Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that are accessible at the measurement date. Level 2—Inputs are other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3—Valuations are derived from unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The following information should not be interpreted as an estimate of the fair value of the entire Company since a fair value calculation is only provided for a limited portion of the Company’s assets and liabilities. Due to a wide range of valuation techniques and the degree of subjectivity used in making the estimates, comparisons between the Company’s disclosures and those of other companies may not be meaningful. The following methods and assumptions were used to estimate the fair values of the Company’s financial instruments at March 31, 2016 and December 31, 2015: Cash and Cash Equivalents The carrying amounts of cash and cash equivalents approximate their fair value. Investment Securities—Available-for-Sale and Held-to-Maturity Fair values for investment securities are obtained from one external pricing service ("primary pricing service") as the provider of pricing on the investment portfolio on a quarterly basis. We generally obtain one quote per investment security. If quoted market prices are not available, fair values are based on quoted market prices of comparable securities. If quoted market prices are not available for comparable securities, fair value is based on quoted bids for the security or comparable securities. The Company made no adjustments to the values obtained from the primary pricing service. Loans Receivable, Net To determine the fair values of loans that are not impaired, we employ discounted cash flow analyses that use interest rates and terms similar to those currently being offered to borrowers. We record fair value adjustments to impaired loans on a nonrecurring basis to reflect full and partial charge-offs due to impairment. For impaired loans, we use a variety of techniques to measure fair value, such as using the current appraised value of the collateral, agreements of sale, discounting the contractual cash flows, and analyzing market data that we may adjust due to specific characteristics of the loan or collateral. The methods utilized to estimate the fair value of loans do not necessarily represent an exit price. FHLB Stock It is not practical to determine the fair value of FHLB stock due to restriction placed on its transferability. Mortgage Servicing Rights The fair value of the mortgage servicing rights ("MSRs") was determined using a valuation model that calculates the present value of estimated future servicing income. The model incorporates assumptions that market participants use in estimating future net servicing income, including estimates of prepayment speeds and discount rates. Accrued Interest Receivable and Accrued Interest Payable The carrying amount of accrued interest receivable and accrued interest payable approximates fair value. NOTE 9 - FAIR VALUE (CONTINUED) Deposit Liabilities Fair values for demand deposits (including NOW accounts), savings and club accounts and money market deposits are, by definition, equal to the amount payable on demand at the reporting date. Fair values of fixed-maturity certificates of deposit, including brokered deposits, are estimated using a discounted cash flow calculation that applies interest rates currently being offered on similar instruments with similar maturities. Short-term Borrowings, FHLB Advances and Other Borrowed Funds Fair values of short-term borrowings, FHLB advances and other borrowed funds are estimated using discounted cash flow analyses, based on rates currently available to the Bank for advances with similar terms and remaining maturities. Derivative Contracts The fair values of derivative contracts are based upon the estimated amount the Company would receive or pay to terminate the contracts or agreements, taking into account underlying interest rates, creditworthiness of underlying customers for credit derivatives and, when appropriate, the creditworthiness of the counterparties. The estimated fair values of the Company’s financial instruments at March 31, 2016 and December 31, 2015 were as follows:
The following financial instruments were classified as Level 3 and carried at fair value on a recurring basis as of the dates indicated below:
NOTE 9 - FAIR VALUE (CONTINUED) The following measures were made on a recurring basis as of March 31, 2016 and December 31, 2015.
(1) Such financial instruments are recorded at fair value as further described in Note 5. The following measures were made on a non-recurring basis as of March 31, 2016 and December 31, 2015: Loans, which were partially charged off at March 31, 2016 and December 31, 2015. The loans’ fair values are based on Level 3 inputs, which are either an appraised value or a sales agreement, less costs to sell. These amounts do not include fully charged-off loans, because we carry fully charged-off loans at zero on our balance sheet. MSRs, the fair value of which was determined using a valuation model that calculates the present value of estimated future servicing income. The model incorporates assumptions that market participants use in estimating future net servicing income, including estimates of prepayment speeds and discount rates. Other real estate owned, for which we used Level 3 inputs, which consist of appraisals, agreements of sale or letters of intent. NOTE 9 - FAIR VALUE (CONTINUED)
The following tables include a roll forward of the financial instruments which fair value is determined on a recurring basis using Significant Other Unobservable Inputs (Level 3) for the periods from December 31, 2015 to March 31, 2016 and December 31, 2014 to March 31, 2015.
There were no transfers made between levels during the three months ended March 31, 2016 or 2015. |
NEW ACCOUNTING PRONOUNCEMENTS |
3 Months Ended |
---|---|
Mar. 31, 2016 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
NEW ACCOUNTING PRONOUNCEMENTS | NEW ACCOUNTING PRONOUNCEMENTS Accounting Standards Update (ASU) No. 2016-01 Financial Instruments-Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities. This new guidance requires all equity investments to be measured at fair value with changes in the fair value recognized through net income (other than those accounted for under equity method of accounting or those that result in consolidation of the investee). The amendments in this update also require an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. For the Company, this guidance is effective for fiscal years and interim periods beginning after December 31, 2017. The Company is currently evaluating this guidance to determine the impact on its consolidated financial statements. ASU No. 2016-02 - Leases (Topic 842). This new guidance requires lessees to recognize assets and liabilities related to certain operating leases on the balance sheet. The new guidance also requires additional disclosures by lessees and contains targeted changes to accounting by lessors. For the Company, this guidance is effective for fiscal years and interim periods beginning after December 31, 2018 and interim periods within those fiscal years. The Company is currently evaluating this guidance to determine the impact on its consolidated financial statements. ASU No. 2016-06 - Derivatives and Hedging (Topic 815): Contingent Put and Call Options in Debt Instruments (a consensus of the Emerging Issues Task Force). This new guidance requires embedded derivatives to be separated from the host contract and accounted for separately as derivatives if certain criteria are met, including the “clearly and closely related” criterion. The amendments in this Update clarify the requirements for assessing whether contingent call (put) options that can accelerate the payment of principal on debt instruments are clearly and closely related to their debt hosts. An entity performing the assessment under the amendments is required to assess the embedded call (put) options solely in accordance with the four-step decision sequence. For the Company, this guidance is effective for fiscal years and interim periods beginning after December 31, 2016 and interim periods within those fiscal years. The Company is currently evaluating this guidance to determine the impact on its consolidated financial statements. ASU No. 2016-09 - Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. This new guidance eliminates the APIC pool for excess tax benefits and requires that all excess tax benefits and tax deficiencies be recognized as an income tax benefit or expense in the income statement. All excess tax benefits and deficiencies are to be recognized in the period they are deducted on the income tax return. They shall not be anticipated when determining the annual estimated effective tax rate. Instead, they are discrete items in the reporting period in which they occur. With regards to forfeitures, entities can elect to continue to apply current U.S. GAAP or to reverse compensation cost of forfeited awards when they occur. With regards to tax withholdings and award classification, entities can withhold up to the maximum individual statutory tax rate in the applicable jurisdiction and classify the entire award as equity. For the Company, this guidance is effective for fiscal years and interim periods beginning after December 31, 2016 and interim periods within those fiscal years. The Company is currently evaluating this guidance to determine the impact on its consolidated financial statements. |
PRINCIPLES OF CONSOLIDATION AND PRESENTATION (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of the reconciliation of the numerators and denominators of the basic and diluted earnings per share computations | The following table presents the reconciliation of the numerators and denominators of the basic and diluted earnings per share computations.
|
INVESTMENT AND MORTGAGE RELATED SECURITIES (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of amortized cost and fair value of securities available-for-sale and held-to-maturity | The amortized cost and fair value of securities available-for-sale and held-to-maturity as of March 31, 2016 and December 31, 2015 are summarized as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of gross unrealized losses and fair value of securities, aggregated by security category and length of time that individual securities have been in a continuous unrealized loss position | The following tables show gross unrealized losses and fair value of securities, aggregated by security category and length of time that individual securities have been in a continuous unrealized loss position, at March 31, 2016 and December 31, 2015.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of amortized cost of held-to-maturity investments | At March 31, 2016, the amortized cost of held-to-maturity investments consisted of the following (in thousands):
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of amortized cost and estimated fair value of investment securities available-for-sale and held-to-maturity by contractual maturity | The amortized cost and estimated fair value of investment securities available-for-sale and held-to-maturity at March 31, 2016 and December 31, 2015 by contractual maturity are as follows:
|
LOANS (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Receivables [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of composition of net loans | The composition of net loans at March 31, 2016 and December 31, 2015 is provided below:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of changes in allowance for loan losses by loan segment | The following tables present changes in the allowance for loan losses by loan segment for the three months ended March 31, 2016 and the three months ended March 31, 2015.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans and allowance for loan losses individually or collectively evaluated for impairment | The following tables provide details of loans, and associated allowance for loan losses, which are individually or collectively evaluated for impairment as of March 31, 2016 and December 31, 2015.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of breakdown of impaired loans by loan segment | The following tables set forth the breakdown of impaired loans by loan segment as of March 31, 2016 and December 31, 2015.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of allowance for loan loss for impaired loans and general allowance by loan segment | The following tables set forth the allowance for loan loss for impaired loans and general allowance by loan segment as of March 31, 2016 and December 31, 2015.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of TDR activity for the periods | The following table sets forth a summary of the TDR activity for the three month periods ended March 31, 2016 and 2015.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of past due loans by segment | The following table sets forth past due loans by segment as of March 31, 2016 and December 31, 2015.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of criticized and classified loans by segment | The following tables set forth criticized and classified loans by segment as of March 31, 2016 and December 31, 2015.
|
DEPOSITS (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Banking and Thrift [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of components of weighted average interest rate and balance of deposits | Deposits and their respective weighted average interest rate at March 31, 2016 and December 31, 2015 consist of the following:
|
BORROWINGS (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
BORROWINGS | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of FHLB advances |
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of other long-term borrowings |
|
STOCK BASED COMPENSATION (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of stock option activity and related information | The following is a summary of the Bancorp’s stock option activity and related information for the three months ended March 31, 2016.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of assumptions to determine the fair value of the options | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of unvested options and changes during the period | The following is a summary of the Bancorp’s unvested options as of March 31, 2016 and the changes therein during the three months then ended.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of the status of the Company's restricted stock activity and balances | The following is a summary of the status of the Bancorp’s restricted stock as of March 31, 2016 and changes therein during the three months then ended.
|
FAIR VALUE (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair value of financial instruments | The estimated fair values of the Company’s financial instruments at March 31, 2016 and December 31, 2015 were as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of fair value measurements on a recurring basis | The following measures were made on a recurring basis as of March 31, 2016 and December 31, 2015.
(1) Such financial instruments are recorded at fair value as further described in Note 5. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of fair value measurements on a non-recurring basis |
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Rollforward of Level 3 Fair Value Financial Instruments | The following tables include a roll forward of the financial instruments which fair value is determined on a recurring basis using Significant Other Unobservable Inputs (Level 3) for the periods from December 31, 2015 to March 31, 2016 and December 31, 2014 to March 31, 2015.
|
PRINCIPLES OF CONSOLIDATION AND PRESENTATION (Details) |
3 Months Ended |
---|---|
Mar. 31, 2016
branch
loan
| |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of loans to the ESOP by Bancorp | loan | 2 |
Number of branches | branch | 10 |
PMA | |
LOANS | |
Ownership (as a percent) | 46.15% |
PRINCIPLES OF CONSOLIDATION AND PRESENTATION (Earnings Per Share) (Details) - USD ($) $ / shares in Units, $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Earnings per share: | ||
Net income | $ 2,249 | $ 2,279 |
Weighted-average common shares outstanding (in shares) | 11,767,590 | 11,768,571 |
Average common stock acquired by stock benefit plans: | ||
ESOP shares unallocated (shares) | (415,800) | (480,852) |
Shares purchased by trust (shares) | (195,115) | (260,153) |
Weighted-average common shares used to calculate basic earnings per share (in shares) | 11,156,675 | 11,027,566 |
Dilutive effect of: | ||
Restricted stock awards (shares) | 43,279 | 46,597 |
Stock option awards (shares) | 114,434 | 193,503 |
Weighted-average common shares used to calculate diluted earnings per share (in shares) | 11,314,388 | 11,267,666 |
Earnings per share-basic (in dollars per share) | $ 0.20 | $ 0.21 |
Earnings per share-diluted (in dollars per share) | $ 0.20 | $ 0.20 |
Outstanding common stock equivalents which are anti-dilutive (in shares) | 71,668 | 508,610 |
BUSINESS COMBINATIONS (Details) - Univest Corporation of Pennsylvania [Member] - Scenario, Forecast [Member] |
Sep. 30, 2016
$ / shares
shares
|
---|---|
Business Acquisition [Line Items] | |
Number of Shares Exchanged per Common Share | shares | 0.9731 |
Business Acquisition, Share Price | $ / shares | $ 21.00 |
Business Combination, Percent of Total Shares That Will Be Converted Into Acquirer Shares | 60.00% |
INVESTMENT AND MORTGAGE RELATED SECURITIES (Held-to-Maturity Investments) (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Dec. 31, 2015 |
|
Investment Holdings [Line Items] | ||
Held-to-maturity securities, amortized cost before other than temporary impairment | $ 144,528 | $ 150,190 |
Held-to-maturity securities, amortized cost excluding transfer loss | 146,465 | |
Unrealized Loss at Transfer | (1,625) | |
Post-transfer Accretion | (312) | |
Transferred Securities from Available-for-Sale | ||
Investment Holdings [Line Items] | ||
Held-to-maturity securities, amortized cost before other than temporary impairment, transferred securities | 80,730 | |
Held-to-maturity securities, amortized cost before other than temporary impairment | 78,793 | |
Unrealized Loss at Transfer | (1,625) | |
Post-transfer Accretion | (312) | |
Held-to-Maturity, Excluding Transferred Securities | ||
Investment Holdings [Line Items] | ||
Held-to-maturity securities, amortized cost before other than temporary impairment | $ 65,735 |
LOANS (Composition of Net Loans) (Details) - USD ($) $ in Thousands |
Mar. 31, 2016 |
Dec. 31, 2015 |
Mar. 31, 2015 |
Dec. 31, 2014 |
---|---|---|---|---|
LOANS | ||||
Total loans | $ 787,580 | $ 778,534 | ||
Deferred loan origination cost, net | (341) | (289) | ||
Allowance for loan losses | (10,570) | (10,562) | $ (11,178) | $ (10,730) |
Net loans | 776,669 | 767,683 | ||
Real estate loans: | ||||
LOANS | ||||
Total loans | 579,104 | 568,745 | ||
One- to four-family | ||||
LOANS | ||||
Total loans | 86,393 | 90,339 | ||
Allowance for loan losses | (339) | (362) | (387) | (405) |
Multi-family and commercial | ||||
LOANS | ||||
Total loans | 449,581 | 442,612 | ||
Allowance for loan losses | (6,499) | (6,464) | (6,104) | (5,990) |
Construction | ||||
LOANS | ||||
Total loans | 43,130 | 35,794 | ||
Allowance for loan losses | (650) | (580) | (1,060) | (1,038) |
Consumer loans | ||||
LOANS | ||||
Total loans | 13,906 | 14,711 | ||
Allowance for loan losses | (78) | (134) | (154) | (184) |
Commercial and industrial loans | ||||
LOANS | ||||
Total loans | 194,570 | 195,078 | ||
Allowance for loan losses | $ (2,780) | $ (2,672) | $ (3,102) | $ (2,753) |
LOANS (Past Due Loans by Segment) (Details) - USD ($) $ in Thousands |
Mar. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
30-59 Days Past Due | ||
Past due loans | ||
Past due loans | $ 412 | $ 1,021 |
30-59 Days Past Due | One- to four-family | ||
Past due loans | ||
Past due loans | 286 | 865 |
30-59 Days Past Due | Multi-family and commercial | ||
Past due loans | ||
Past due loans | 0 | 0 |
30-59 Days Past Due | Construction | ||
Past due loans | ||
Past due loans | 0 | 0 |
30-59 Days Past Due | Consumer | ||
Past due loans | ||
Past due loans | 126 | 156 |
30-59 Days Past Due | Commercial and industrial | ||
Past due loans | ||
Past due loans | 0 | 0 |
60-89 Days Past Due | ||
Past due loans | ||
Past due loans | 70 | 685 |
60-89 Days Past Due | One- to four-family | ||
Past due loans | ||
Past due loans | 0 | 685 |
60-89 Days Past Due | Multi-family and commercial | ||
Past due loans | ||
Past due loans | 0 | 0 |
60-89 Days Past Due | Construction | ||
Past due loans | ||
Past due loans | 0 | 0 |
60-89 Days Past Due | Consumer | ||
Past due loans | ||
Past due loans | 70 | 0 |
60-89 Days Past Due | Commercial and industrial | ||
Past due loans | ||
Past due loans | $ 0 | $ 0 |
DEPOSITS (Details) - USD ($) $ in Thousands |
Mar. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Weighted Average Interest Rate | ||
NOW accounts | 0.20% | 0.20% |
Money market accounts | 0.26% | 0.28% |
Savings and club accounts | 0.45% | 0.45% |
Brokered deposits | 0.91% | 0.76% |
Certificates of deposit | 0.86% | 0.88% |
Deposits | 0.40% | 0.43% |
Amount | ||
Noninterest-bearing demand accounts | $ 225,083 | $ 170,327 |
NOW accounts | 98,019 | 97,838 |
Money market accounts | 105,184 | 93,325 |
Savings and club accounts | 145,110 | 142,966 |
Brokered deposits | 52,378 | 78,481 |
Certificates of deposit | 189,934 | 182,037 |
Total deposits amount | $ 815,708 | $ 764,974 |
BORROWINGS (Short-term Borrowings) (Details) - USD ($) $ in Thousands |
Mar. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Short-term Debt [Line Items] | ||
Short-term borrowings | $ 15,000 | $ 38,496 |
Overnight Borrowings | ||
Short-term Debt [Line Items] | ||
Blended weighted average interest rate (as a percent) | 0.52% | 0.43% |
TV(B1]E.D8C>.H$*9HYX;UO7([\!^2X;GP? MY> /)6D
WG7)[!&9W!,;?:3;$U
M+9)+VG3^IBM%1*&08R;[.$Y5\1?,"H+@U-!P^)+27"\;CC:JCYQ]=A\G@*L/
MA>M*NR/T^-;Z,K^D&TZ$A8!S;$T^'JF!_EAZ]Y5[*7(*< )'YS^Z2;!4R%N1
M]U R\@1G06]JX*9("SC!2ZV;6V$IZ9R:93[0B;>[.]),>D/H=I/I;3A!3KEN
M%)-M[$ \1+DQB\[B:^[A2?-S2+J#M G!$6>MV=?9F(F"C!!9&(J@.T
ME"*H!Z@+RQ>H^421+/16W)XQIB."P^_E,)Q'M7$8
M',RQNM7#5WO_TV ?TBGAWM;]_#?8W_K!-BXD#)KJ!_Q>VOGW#O_)%(;1 1(#
MY!*PM$,'* Q0;P')W%-0-O?K]VJHMIO.WH/^6DVC+1Y'O)N2C)F#L3/]^)[F
MG-W\IK:;UVVN-M'KE.<#(F=D!XA8B&A,3K8@0RI<5Y0$T%/H.D)2$_#%004@;9,[DI4I5#8&(+**X*&_]60H"9B3)+>
M,TJD'K=/WJ!(9U9R11=EA8C:J4F:H1(9:CALH2AE
:IW- L60$+E@@+WRQ$>0,H@Y!O_G30_6P;B:3RK_XK3>O<';N$!
MY1]1N\Z;S2BIH>="\X/L(TPG40K%#:^"758!VJF4*)XN]I%3JN8_JSSB;:
M94(^$?*%;H*(5R;>F_5C1TT3!R^+8[GZ
M<5.P8Q ZPR3B?L(L".;5+[;(Z25Z'NGY]_3U.7V='*XGA[??"VS.!39)8/._
M$1-F/V/NOC1A)WNJP+3QZEA2X:!=VM*ENMS.^SR>R2>\+'K>PF]N6J$M.:#S
M)QL/H$%TX-MG5]>4=/[]+(F$QH7PUL
X^%RBN!8HD4/QOQ(0Y+IC[?YJPBSU58+IX=2RI
M<=0N;>E:76_G0Q[/Y ->E0/OX"
HQ?)XM_TS25]DSK<)/?[_Q#87@ILD\!V'C&_-F+"'!;,5Q-VMJ<*3!>O
MCB4UCMJE+5VKZ^U\*.*9?,*K&OK1ID+7!9XBCNV##K9\@X)..VBYV2[3ZS$*GZW,,BK/3+)'SA_-X>?QUT4
MFQR 0J6,!='+!5Z 4N.DR7^]Z2?3!%[O1_?OMER=_H%(>.'T3WM4C
JY%8EF;'KA;>*BOE5!&*O!;.L
M/8 [F3I0'F=HAE4 _$K@7L6>E2PHR[-BQM$"T*\$9Q2) \VL$H#\2FA&G3C0
MO$(!_M,.W'%/YE!@;ZT _!_%XC]\(+WW"MU'QX%2G*%_-S:Z^MQWE!],&Q3!
MEAU[:;_VT^K4:E?0M(L+O"H'\AE.B(3\5=I+MW5<3"*?[;V
MYWCRQ^$QC$<-IC(O_=A%,7R\F]Q4U=C3\,W_0*?_?^?8\/IX[OVW:;B#_.>B
M,[FM_BX/_6E0&X?!P1R+MZK_82^_&QA#,G;X8JMN^AN\O'6]K>