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Fair Values of Financial Instruments (Tables)
6 Months Ended
Jun. 30, 2023
Fair Values of Financial Instruments  
Schedule of assets measured at fair value on a recurring basis categorized by level of inputs

Fair Value Measurements

at June 30, 2023

Quoted Prices in

Significant Other

Significant

Active Markets for

Observable

Unobservable

Identical Assets

Inputs

Inputs

    

Total

    

(Level 1)

    

(Level 2)

    

(Level 3)

Financial Assets

 

  

 

  

 

  

 

  

Available for sale debt securities:

 

  

 

  

 

  

 

  

U.S. Treasury and Agency securities

$

170,072

$

118,086

$

51,986

$

Mortgage-backed securities

34,510

34,510

Collateralized mortgage obligations

 

129,782

 

 

129,782

 

Collateralized debt obligations

 

144

 

 

 

144

Equity securities

 

4,394

 

4,394

 

 

Fair Value Measurements

at December 31, 2022

Quoted Prices in

Significant Other

Significant

Active Markets for

Observable

Unobservable

Identical Assets

Inputs

Inputs

    

Total

    

(Level 1)

    

(Level 2)

    

(Level 3)

Financial Assets

 

  

 

  

 

  

 

  

Available for sale debt securities:

 

  

 

  

 

  

 

  

U.S. Treasury and Agency securities

$

168,437

$

116,355

$

52,082

$

Mortgage-backed securities

36,733

36,733

Collateralized mortgage obligations

 

138,241

 

 

138,241

 

Collateralized debt obligations

 

147

 

 

 

147

Equity securities

4,396

4,396

Summary of reconciliation for all assets measured at fair value on a recurring basis using significant unobservable inputs

Fair Value

Measurements Using Significant

Unobservable Inputs (Level 3)

Collateralized Debt Obligations

Six Months Ended June 30,

    

2023

    

2022

Balance of recurring Level 3 assets at beginning of period

$

147

$

203

Total gains or losses (realized/unrealized):

 

 

  

Included in other comprehensive income (loss)

 

 

3

Principal maturities/settlements

(3)

(53)

Balance of recurring Level 3 assets at end of period

$

144

$

153

Schedule of assets measured at fair value on a nonrecurring basis categorized by level of inputs

Fair Value Measurements

    

at June 30, 2023 

Quoted Prices in

Significant Other 

Significant 

Active Markets

Observable 

Unobservable 

Fair

Identical Assets

Inputs

Inputs 

Value

(Level 1)

(Level 2)

(Level 3)

Mortgage servicing rights

$

333

$

$

$

333

Fair Value Measurements

    

at December 31, 2022

Quoted Prices in

Significant Other 

Significant 

Active Markets for

Observable 

Unobservable 

Fair

Identical Assets

Inputs

Inputs 

Value

(Level 1)

(Level 2)

(Level 3)

Mortgage servicing rights

$

391

$

$

$

391

Schedule of quantitative information about nonrecurring Level 3 fair value measurements

Quantitative Information about Level 3 Fair Value Measurements at June 30, 2023

Range

    

Fair Value

    

Valuation Technique

    

Unobservable Inputs

    

(Weighted Average) (1)

Mortgage servicing rights

$

333

Discounted cash flow

Discount rate

10.0% - 12.5%

(12.2%)

 

 

  

 

Prepayment speed

7.5% - 22.7%

(19.1%)

Default rate

0.1%-0.2%

(0.2%)

Quantitative Information about Level 3 Fair Value Measurements at December 31, 2022

Range

    

Fair Value

    

Valuation Technique

    

Unobservable Inputs

    

(Weighted Average) (1)

Mortgage servicing rights

$

391

Discounted cash flow

Discount rate

10.0% - 12.5%

(12.2%)

Prepayment speed

7.5% - 22.4%

(19.0%)

Default rate

0.1% - 0.2%

(0.2%)

(1)The range and weighted average for an asset category consisting of a single investment represents the significant unobservable input used in the fair value of the investment.
Schedule of carrying amounts and estimated fair values of financial instruments not carried at fair value

Fair Value Measurements

at June 30, 2023

Carrying

Fair

    

Amount

    

Value

    

Level 1

    

Level 2

    

Level 3

Financial Assets

 

  

  

 

  

 

  

 

  

Cash and due from banks

$

655,391

$

655,391

$

655,391

$

$

Interest-bearing time deposits with other banks

 

934

 

934

 

934

 

 

Loans, net

 

1,449,709

 

1,403,677

 

 

 

1,403,677

Financial Liabilities

 

Time deposits

 

981,298

 

984,901

 

 

984,901

 

Federal Home Loan Bank borrowings

 

50,000

 

48,595

 

 

48,595

 

Subordinated notes, net

 

65,234

 

65,234

 

 

65,234

 

Fair Value Measurements

at December 31, 2022

Carrying

Fair

    

Amount

    

Value

    

Level 1

    

Level 2

    

Level 3

Financial Assets

 

  

  

 

  

 

  

 

  

Cash and due from banks

$

379,798

$

379,798

$

379,798

$

$

Interest-bearing time deposits with other banks

 

934

 

934

 

934

 

 

Loans held for sale

 

7,725

 

7,833

 

 

7,833

 

Loans, net

 

1,613,385

 

1,516,771

 

 

 

1,516,771

Financial Liabilities

 

 

 

 

 

Time deposits

 

861,733

 

855,566

 

 

855,566

 

Federal Home Loan Bank borrowings

 

50,000

 

48,360

 

 

48,360

 

Subordinated notes, net

 

65,271

 

65,355

 

 

65,355