VERMONT | 03-0283552 |
Common Stock, $2.00 par value | Nasdaq Stock Market | |||
(Title of class) | (Exchanges registered on) |
Large accelerated filer [ ] | Accelerated filer [ X ] |
Non-accelerated filer [ ] (Do not check if a smaller reporting company) | Smaller reporting company [ ] |
Common Stock, $2 par value | 4,459,655 | shares |
PART II OTHER INFORMATION | |
Item 1A. Risk Factors. | |
September 30, 2016 | December 31, 2015 | |||||
(Unaudited) | ||||||
Assets | (Dollars in thousands) | |||||
Cash and due from banks | $ | 3,952 | $ | 4,217 | ||
Federal funds sold and overnight deposits | 31,622 | 13,744 | ||||
Cash and cash equivalents | 35,574 | 17,961 | ||||
Interest bearing deposits in banks | 9,753 | 12,753 | ||||
Investment securities available-for-sale | 59,671 | 54,110 | ||||
Investment securities held-to-maturity (fair value $1.0 million and $5.1 million at September 30, 2016 and December 31, 2015, respectively) | 999 | 5,217 | ||||
Loans held for sale | 10,214 | 5,635 | ||||
Loans | 522,361 | 500,506 | ||||
Allowance for loan losses | (5,226 | ) | (5,201 | ) | ||
Net deferred loan costs | 649 | 515 | ||||
Net loans | 517,784 | 495,820 | ||||
Accrued interest receivable | 1,962 | 1,832 | ||||
Premises and equipment, net | 13,377 | 13,055 | ||||
Core deposit intangible | 797 | 925 | ||||
Goodwill | 2,223 | 2,223 | ||||
Investment in real estate limited partnerships | 2,957 | 2,373 | ||||
Company-owned life insurance | 8,556 | 8,800 | ||||
Other assets | 8,712 | 8,175 | ||||
Total assets | $ | 672,579 | $ | 628,879 | ||
Liabilities and Stockholders’ Equity | ||||||
Liabilities | ||||||
Deposits | ||||||
Noninterest bearing | $ | 116,381 | $ | 99,826 | ||
Interest bearing | 350,376 | 310,203 | ||||
Time | 105,429 | 150,379 | ||||
Total deposits | 572,186 | 560,408 | ||||
Borrowed funds | 37,513 | 9,564 | ||||
Accrued interest and other liabilities | 6,075 | 5,339 | ||||
Total liabilities | 615,774 | 575,311 | ||||
Commitments and Contingencies | ||||||
Stockholders’ Equity | ||||||
Common stock, $2.00 par value; 7,500,000 shares authorized; 4,934,296 shares issued at September 30, 2016 and 4,931,796 shares issued at December 31, 2015 | 9,869 | 9,864 | ||||
Additional paid-in capital | 605 | 501 | ||||
Retained earnings | 51,989 | 49,524 | ||||
Treasury stock at cost; 474,642 shares at September 30, 2016 and 474,619 shares at December 31, 2015 | (4,023 | ) | (4,019 | ) | ||
Accumulated other comprehensive loss | (1,635 | ) | (2,302 | ) | ||
Total stockholders' equity | 56,805 | 53,568 | ||||
Total liabilities and stockholders' equity | $ | 672,579 | $ | 628,879 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||
2016 | 2015 | 2016 | 2015 | |||||||||
(Dollars in thousands, except per share data) | ||||||||||||
Interest and dividend income | ||||||||||||
Interest and fees on loans | $ | 6,355 | $ | 5,962 | $ | 18,604 | $ | 17,553 | ||||
Interest on debt securities: | ||||||||||||
Taxable | 211 | 242 | 683 | 714 | ||||||||
Tax exempt | 144 | 109 | 427 | 322 | ||||||||
Dividends | 27 | 16 | 62 | 40 | ||||||||
Interest on federal funds sold and overnight deposits | 12 | 1 | 23 | 13 | ||||||||
Interest on interest bearing deposits in banks | 37 | 43 | 123 | 124 | ||||||||
Total interest and dividend income | 6,786 | 6,373 | 19,922 | 18,766 | ||||||||
Interest expense | ||||||||||||
Interest on deposits | 363 | 375 | 1,200 | 1,285 | ||||||||
Interest on borrowed funds | 108 | 86 | 303 | 262 | ||||||||
Total interest expense | 471 | 461 | 1,503 | 1,547 | ||||||||
Net interest income | 6,315 | 5,912 | 18,419 | 17,219 | ||||||||
Provision for loan losses | — | 150 | 150 | 400 | ||||||||
Net interest income after provision for loan losses | 6,315 | 5,762 | 18,269 | 16,819 | ||||||||
Noninterest income | ||||||||||||
Trust income | 171 | 171 | 523 | 538 | ||||||||
Service fees | 1,538 | 1,439 | 4,377 | 4,133 | ||||||||
Net gains on sales of investment securities available-for-sale | 53 | 41 | 71 | 41 | ||||||||
Net gains on sales of loans held for sale | 921 | 700 | 2,196 | 2,214 | ||||||||
Other income | 121 | 182 | 420 | 468 | ||||||||
Total noninterest income | 2,804 | 2,533 | 7,587 | 7,394 | ||||||||
Noninterest expenses | ||||||||||||
Salaries and wages | 2,622 | 2,426 | 7,522 | 7,080 | ||||||||
Pension and employee benefits | 865 | 739 | 2,659 | 2,242 | ||||||||
Occupancy expense, net | 297 | 293 | 923 | 986 | ||||||||
Equipment expense | 553 | 479 | 1,603 | 1,346 | ||||||||
Other expenses | 1,842 | 1,737 | 5,219 | 4,966 | ||||||||
Total noninterest expenses | 6,179 | 5,674 | 17,926 | 16,620 | ||||||||
Income before provision for income taxes | 2,940 | 2,621 | 7,930 | 7,593 | ||||||||
Provision for income taxes | 672 | 571 | 1,764 | 1,642 | ||||||||
Net income | $ | 2,268 | $ | 2,050 | $ | 6,166 | $ | 5,951 | ||||
Earnings per common share | $ | 0.51 | $ | 0.45 | $ | 1.38 | $ | 1.33 | ||||
Weighted average number of common shares outstanding | 4,459,602 | 4,458,345 | 4,458,755 | 4,458,323 | ||||||||
Dividends per common share | $ | 0.28 | $ | 0.27 | $ | 0.83 | $ | 0.81 | ||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||
2016 | 2015 | 2016 | 2015 | |||||||||
(Dollars in thousands) | ||||||||||||
Net income | $ | 2,268 | $ | 2,050 | $ | 6,166 | $ | 5,951 | ||||
Other comprehensive (loss) income, net of tax: | ||||||||||||
Investment securities available-for-sale: | ||||||||||||
Net unrealized holding (losses) gains arising during the period on investment securities available-for-sale | (182 | ) | 299 | 714 | 81 | |||||||
Reclassification adjustment for net gains on sales of investment securities available-for-sale realized in net income | (35 | ) | (27 | ) | (47 | ) | (27 | ) | ||||
Total other comprehensive (loss) income | (217 | ) | 272 | 667 | 54 | |||||||
Total comprehensive income | $ | 2,051 | $ | 2,322 | $ | 6,833 | $ | 6,005 |
Common Stock | ||||||||||||||||||||
Shares, net of treasury | Amount | Additional paid-in capital | Retained earnings | Treasury stock | Accumulated other comprehensive loss | Total stockholders’ equity | ||||||||||||||
(Dollars in thousands, except per share data) | ||||||||||||||||||||
Balances, December 31, 2015 | 4,457,177 | $ | 9,864 | $ | 501 | $ | 49,524 | $ | (4,019 | ) | $ | (2,302 | ) | $ | 53,568 | |||||
Net income | — | — | — | 6,166 | — | — | 6,166 | |||||||||||||
Other comprehensive income | — | — | — | — | — | 667 | 667 | |||||||||||||
Issuance of common stock | 190 | — | 4 | — | 2 | — | 6 | |||||||||||||
Cash dividends declared ($0.83 per share) | — | — | — | (3,701 | ) | — | — | (3,701 | ) | |||||||||||
Stock based compensation expense | — | — | 49 | — | — | — | 49 | |||||||||||||
Exercise of stock options | 2,500 | 5 | 51 | — | — | — | 56 | |||||||||||||
Purchase of treasury stock | (213 | ) | — | — | — | (6 | ) | — | (6 | ) | ||||||||||
Balances, September 30, 2016 | 4,459,654 | $ | 9,869 | $ | 605 | $ | 51,989 | $ | (4,023 | ) | $ | (1,635 | ) | $ | 56,805 | |||||
Balances, December 31, 2014 | 4,458,430 | $ | 9,859 | $ | 418 | $ | 46,462 | $ | (3,925 | ) | $ | (1,380 | ) | $ | 51,434 | |||||
Net income | — | — | — | 5,951 | — | — | 5,951 | |||||||||||||
Other comprehensive income | — | — | — | — | — | 54 | 54 | |||||||||||||
Cash dividends declared ($0.81 per share) | — | — | — | (3,612 | ) | — | — | (3,612 | ) | |||||||||||
Stock based compensation expense | — | — | 29 | — | — | — | 29 | |||||||||||||
Exercise of stock options | 2,500 | 5 | 48 | — | — | — | 53 | |||||||||||||
Purchase of treasury stock | (3,638 | ) | — | — | — | (91 | ) | — | (91 | ) | ||||||||||
Balances, September 30, 2015 | 4,457,292 | $ | 9,864 | $ | 495 | $ | 48,801 | $ | (4,016 | ) | $ | (1,326 | ) | $ | 53,818 |
Nine Months Ended September 30, | ||||||
2016 | 2015 | |||||
(Dollars in thousands) | ||||||
Cash Flows From Operating Activities | ||||||
Net income | $ | 6,166 | $ | 5,951 | ||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||
Depreciation | 967 | 785 | ||||
Provision for loan losses | 150 | 400 | ||||
Deferred income tax provision | 259 | 93 | ||||
Net amortization of investment securities | 261 | 151 | ||||
Equity in losses of limited partnerships | 391 | 365 | ||||
Stock based compensation expense | 49 | 29 | ||||
Net increase in unamortized loan costs | (134 | ) | (136 | ) | ||
Proceeds from sales of loans held for sale | 101,213 | 104,642 | ||||
Origination of loans held for sale | (103,596 | ) | (98,941 | ) | ||
Net gains on sales of loans held for sale | (2,196 | ) | (2,214 | ) | ||
Net loss on disposals of premises and equipment | — | 6 | ||||
Net gains on sales of investment securities available-for-sale | (71 | ) | (41 | ) | ||
Write-downs of impaired assets | — | 29 | ||||
Net gains on sales of other real estate owned | — | (28 | ) | |||
Increase in accrued interest receivable | (130 | ) | (34 | ) | ||
Amortization of core deposit intangible | 129 | 129 | ||||
Increase in other assets | (403 | ) | (1,105 | ) | ||
Contribution to defined benefit pension plan | (750 | ) | — | |||
Increase (decrease) in other liabilities | 1,486 | (305 | ) | |||
Net cash provided by operating activities | 3,791 | 9,776 | ||||
Cash Flows From Investing Activities | ||||||
Interest bearing deposits in banks | ||||||
Proceeds from maturities and redemptions | 3,995 | 2,832 | ||||
Purchases | (996 | ) | (3,333 | ) | ||
Investment securities held-to-maturity | ||||||
Proceeds from maturities, calls and paydowns | 4,220 | 2,000 | ||||
Investment securities available-for-sale | ||||||
Proceeds from sales | 6,617 | 11,040 | ||||
Proceeds from maturities, calls and paydowns | 8,403 | 5,203 | ||||
Purchases | (19,761 | ) | (21,487 | ) | ||
Purchase of nonmarketable stock, net | (567 | ) | — | |||
Net increase in loans | (22,015 | ) | (18,074 | ) | ||
Recoveries of loans charged off | 35 | 44 | ||||
Purchases of premises and equipment | (1,289 | ) | (1,798 | ) | ||
Purchase of Company-owned life insurance | — | (5,000 | ) | |||
Proceeds from Company-owned life insurance death benefit | 73 | — | ||||
Investments in limited partnerships | (975 | ) | (32 | ) | ||
Proceeds from sales of other real estate owned | — | 295 | ||||
Net cash used in investing activities | (22,260 | ) | (28,310 | ) | ||
Cash Flows From Financing Activities | ||||||
Advances on long-term borrowings | 25,452 | — | ||||
Repayment of long-term debt | (229 | ) | (219 | ) | ||
Net increase in short-term borrowings outstanding | 2,726 | 2,522 | ||||
Net increase in noninterest bearing deposits | 16,555 | 13,229 | ||||
Net increase in interest bearing deposits | 40,173 | 6,224 | ||||
Net decrease in time deposits | (44,950 | ) | (27,632 | ) | ||
Issuance of common stock | 62 | 53 | ||||
Purchase of treasury stock | (6 | ) | (91 | ) | ||
Dividends paid | (3,701 | ) | (3,612 | ) | ||
Net cash provided by (used in) financing activities | 36,082 | (9,526 | ) | |||
Net increase (decrease) in cash and cash equivalents | 17,613 | (28,060 | ) | |||
Cash and cash equivalents | ||||||
Beginning of period | 17,961 | 41,744 | ||||
End of period | $ | 35,574 | $ | 13,684 | ||
Supplemental Disclosures of Cash Flow Information | ||||||
Interest paid | $ | 1,674 | $ | 1,679 | ||
Income taxes paid | $ | 975 | $ | 1,460 | ||
Supplemental Schedule of Noncash Investing and Financing Activities | ||||||
Other real estate acquired in settlement of loans | $ | — | $ | 59 | ||
Investment in limited partnerships acquired by capital contributions payable | $ | 287 | $ | — | ||
Note 1. | Basis of Presentation |
AFS: | Available-for-sale | IRS: | Internal Revenue Service |
ALCO: | Asset Liability Committee | MBS: | Mortgage-backed security |
ALL: | Allowance for loan losses | MSRs: | Mortgage servicing rights |
ASC: | Accounting Standards Codification | OAO: | Other assets owned |
ASU: | Accounting Standards Update | OCI: | Other comprehensive income (loss) |
Board: | Board of Directors | OFAC: | U.S. Office of Foreign Assets Control |
bp or bps: | Basis point(s) | OREO: | Other real estate owned |
Branch Acquisition: | The acquisition of three New Hampshire branches in May 2011 | OTTI: | Other-than-temporary impairment |
CDARS: | Certificate of Deposit Accounts Registry Service of the Promontory Interfinancial Network | OTT: | Other-than-temporary |
Company: | Union Bankshares, Inc. and Subsidiary | Plan: | The Union Bank Pension Plan |
DRIP: | Dividend Reinvestment Plan | RD: | USDA Rural Development |
FASB: | Financial Accounting Standards Board | RSU: | Restricted Stock Unit |
FDIC: | Federal Deposit Insurance Corporation | SBA: | U.S. Small Business Administration |
FHA: | U.S. Federal Housing Administration | SEC: | U.S. Securities and Exchange Commission |
FHLB: | Federal Home Loan Bank of Boston | TDR: | Troubled-debt restructuring |
FRB: | Federal Reserve Board | Union: | Union Bank, the sole subsidiary of Union Bankshares, Inc |
FHLMC/Freddie Mac: | Federal Home Loan Mortgage Corporation | USDA: | U.S. Department of Agriculture |
GAAP: | Generally Accepted Accounting Principles in the United States | VA: | U.S. Veterans Administration |
HTM: | Held-to-maturity | 2008 ISO Plan: | 2008 Incentive Stock Option Plan of the Company |
HUD: | U.S. Department of Housing and Urban Development | 2014 Equity Plan: | 2014 Equity Incentive Plan |
ICS: | Insured Cash Sweeps of the Promontory Interfinancial Network |
(Dollars in thousands) | |||
2016 | $ | 43 | |
2017 | 171 | ||
2018 | 171 | ||
2019 | 171 | ||
2020 | 171 | ||
Thereafter | 70 | ||
Total | $ | 797 |
September 30, 2016 | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | ||||||||
(Dollars in thousands) | ||||||||||||
Available-for-sale | ||||||||||||
Debt securities: | ||||||||||||
U.S. Government-sponsored enterprises | $ | 7,263 | $ | 55 | $ | (26 | ) | $ | 7,292 | |||
Agency mortgage-backed | 16,331 | 235 | (16 | ) | 16,550 | |||||||
State and political subdivisions | 25,004 | 486 | (38 | ) | 25,452 | |||||||
Corporate | 9,748 | 342 | (69 | ) | 10,021 | |||||||
Total debt securities | 58,346 | 1,118 | (149 | ) | 59,315 | |||||||
Mutual funds | 356 | — | — | 356 | ||||||||
Total | $ | 58,702 | $ | 1,118 | $ | (149 | ) | $ | 59,671 | |||
Held-to-maturity | ||||||||||||
U.S. Government-sponsored enterprises | $ | 999 | $ | 2 | $ | — | $ | 1,001 |
December 31, 2015 | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | ||||||||
(Dollars in thousands) | ||||||||||||
Available-for-sale | ||||||||||||
Debt securities: | ||||||||||||
U.S. Government-sponsored enterprises | $ | 10,805 | $ | 30 | $ | (143 | ) | $ | 10,692 | |||
Agency mortgage-backed | 11,083 | 39 | (64 | ) | 11,058 | |||||||
State and political subdivisions | 19,653 | 404 | (25 | ) | 20,032 | |||||||
Corporate | 12,266 | 76 | (359 | ) | 11,983 | |||||||
Total debt securities | 53,807 | 549 | (591 | ) | 53,765 | |||||||
Mutual funds | 345 | — | — | 345 | ||||||||
Total | $ | 54,152 | $ | 549 | $ | (591 | ) | $ | 54,110 | |||
Held-to-maturity | ||||||||||||
U.S. Government-sponsored enterprises | $ | 5,217 | $ | — | $ | (101 | ) | $ | 5,116 |
Amortized Cost | Fair Value | |||||
(Dollars in thousands) | ||||||
Available-for-sale | ||||||
Due in one year or less | $ | 378 | $ | 384 | ||
Due from one to five years | 4,127 | 4,256 | ||||
Due from five to ten years | 22,391 | 22,896 | ||||
Due after ten years | 15,119 | 15,229 | ||||
42,015 | 42,765 | |||||
Agency mortgage-backed | 16,331 | 16,550 | ||||
Total debt securities available-for-sale | $ | 58,346 | $ | 59,315 | ||
Held-to-maturity | ||||||
Due from one to five years | $ | 999 | $ | 1,001 | ||
Total debt securities held-to-maturity | $ | 999 | $ | 1,001 |
September 30, 2016 | Less Than 12 Months | 12 Months and over | Total | |||||||||||||||||||||
Number of Securities | Fair Value | Gross Unrealized Losses | Number of Securities | Fair Value | Gross Unrealized Losses | Number of Securities | Fair Value | Gross Unrealized Losses | ||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||
U.S. Government- sponsored enterprises | 3 | $ | 1,238 | $ | (11 | ) | 2 | $ | 952 | $ | (15 | ) | 5 | $ | 2,190 | $ | (26 | ) | ||||||
Agency mortgage-backed | 2 | 2,047 | (9 | ) | 1 | 384 | (7 | ) | 3 | 2,431 | (16 | ) | ||||||||||||
State and political subdivisions | 9 | 3,689 | (38 | ) | — | — | — | 9 | 3,689 | (38 | ) | |||||||||||||
Corporate | 2 | 975 | (25 | ) | 2 | 655 | (44 | ) | 4 | 1,630 | (69 | ) | ||||||||||||
Total | 16 | $ | 7,949 | $ | (83 | ) | 5 | $ | 1,991 | $ | (66 | ) | 21 | $ | 9,940 | $ | (149 | ) |
December 31, 2015 | Less Than 12 Months | 12 Months and over | Total | |||||||||||||||||||||
Number of Securities | Fair Value | Gross Unrealized Losses | Number of Securities | Fair Value | Gross Unrealized Losses | Number of Securities | Fair Value | Gross Unrealized Losses | ||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||
U.S. Government- sponsored enterprises | 12 | $ | 9,081 | $ | (157 | ) | 5 | $ | 3,607 | $ | (87 | ) | 17 | $ | 12,688 | $ | (244 | ) | ||||||
Agency mortgage-backed | 12 | 7,459 | (58 | ) | 1 | 259 | (6 | ) | 13 | 7,718 | (64 | ) | ||||||||||||
State and political subdivisions | 4 | 1,512 | (14 | ) | 2 | 785 | (11 | ) | 6 | 2,297 | (25 | ) | ||||||||||||
Corporate | 12 | 5,750 | (277 | ) | 4 | 1,632 | (82 | ) | 16 | 7,382 | (359 | ) | ||||||||||||
Total | 40 | $ | 23,802 | $ | (506 | ) | 12 | $ | 6,283 | $ | (186 | ) | 52 | $ | 30,085 | $ | (692 | ) |
• | The length of time, and extent to which, the fair value has been less than the amortized cost; |
• | Adverse conditions specifically related to the security, industry, or geographic area; |
• | The historical and implied volatility of the fair value of the security; |
• | The payment structure of the debt security and the likelihood of the issuer being able to make payments that may increase in the future; |
• | Failure of the issuer of the security to make scheduled interest or principal payments; |
• | Any changes to the rating of the security by a rating agency; |
• | Recoveries or additional declines in fair value subsequent to the balance sheet date; and |
• | The nature of the issuer, including whether it is a private company, public entity or government-sponsored enterprise, and the existence or likelihood of any government or third party guaranty. |
For The Three Months Ended September 30, | For The Nine Months Ended September 30, | |||||||||||
2016 | 2015 | 2016 | 2015 | |||||||||
(Dollars in thousands) | ||||||||||||
Proceeds | $ | 3,944 | $ | 11,040 | $ | 6,617 | $ | 11,040 | ||||
Gross gains | 112 | 54 | 131 | 54 | ||||||||
Gross losses | (59 | ) | (13 | ) | (60 | ) | (13 | ) | ||||
Net gains on sales of investment securities AFS | $ | 53 | $ | 41 | $ | 71 | $ | 41 |
For The Three Months Ended September 30, | For The Nine Months Ended September 30, | |||||||||||
2016 | 2015 | 2016 | 2015 | |||||||||
(Dollars in thousands) | ||||||||||||
Balance at beginning of period | $ | — | $ | 256 | $ | — | $ | 292 | ||||
Loan premium amortization | — | (26 | ) | — | (62 | ) | ||||||
Balance at end of period | $ | — | $ | 230 | $ | — | $ | 230 |
September 30, 2016 | December 31, 2015 | |||||
(Dollars in thousands) | ||||||
Residential real estate | $ | 166,602 | $ | 165,396 | ||
Construction real estate | 35,531 | 42,889 | ||||
Commercial real estate | 245,642 | 230,442 | ||||
Commercial | 32,884 | 21,397 | ||||
Consumer | 3,914 | 3,963 | ||||
Municipal | 37,788 | 36,419 | ||||
Gross loans | 522,361 | 500,506 | ||||
Allowance for loan losses | (5,226 | ) | (5,201 | ) | ||
Net deferred loan costs | 649 | 515 | ||||
Net loans | $ | 517,784 | $ | 495,820 |
September 30, 2016 | Current | 30-59 Days | 60-89 Days | 90 Days and Over and Accruing | Nonaccrual | Total | ||||||||||||
(Dollars in thousands) | ||||||||||||||||||
Residential real estate | $ | 163,439 | $ | 63 | $ | 545 | $ | 694 | $ | 1,861 | $ | 166,602 | ||||||
Construction real estate | 35,494 | 12 | — | — | 25 | 35,531 | ||||||||||||
Commercial real estate | 244,523 | — | 299 | 308 | 512 | 245,642 | ||||||||||||
Commercial | 32,833 | 35 | — | — | 16 | 32,884 | ||||||||||||
Consumer | 3,898 | 15 | 1 | — | — | 3,914 | ||||||||||||
Municipal | 37,788 | — | — | — | — | 37,788 | ||||||||||||
Total | $ | 517,975 | $ | 125 | $ | 845 | $ | 1,002 | $ | 2,414 | $ | 522,361 |
December 31, 2015 | Current | 30-59 Days | 60-89 Days | 90 Days and Over and Accruing | Nonaccrual | Total | ||||||||||||
(Dollars in thousands) | ||||||||||||||||||
Residential real estate | $ | 159,895 | $ | 2,034 | $ | 1,195 | $ | 368 | $ | 1,904 | $ | 165,396 | ||||||
Construction real estate | 42,616 | 7 | 204 | 34 | 28 | 42,889 | ||||||||||||
Commercial real estate | 228,513 | 667 | 641 | 111 | 510 | 230,442 | ||||||||||||
Commercial | 20,977 | — | 20 | 321 | 79 | 21,397 | ||||||||||||
Consumer | 3,950 | 10 | 1 | 2 | — | 3,963 | ||||||||||||
Municipal | 36,419 | — | — | — | — | 36,419 | ||||||||||||
Total | $ | 492,370 | $ | 2,718 | $ | 2,061 | $ | 836 | $ | 2,521 | $ | 500,506 |
• | Residential real estate - Loans in this segment are collateralized by owner-occupied 1-4 family residential real estate, second and vacation homes, 1-4 family investment properties, home equity and second mortgage loans. Repayment is dependent on the credit quality of the individual borrower. The overall health of the economy, including unemployment rates and housing prices, could have an effect on the credit quality of this segment. |
• | Construction real estate - Loans in this segment include residential and commercial construction properties, commercial real estate development loans (while in the construction phase of the projects), land and land development loans. Repayment is dependent on the credit quality of the individual borrower and/or the underlying cash flows generated by the properties being constructed. The overall health of the economy, including unemployment rates, housing prices, vacancy rates and material costs, could have an effect on the credit quality of this segment. |
• | Commercial real estate - Loans in this segment are primarily properties occupied by businesses or income-producing properties. The underlying cash flows generated by the properties may be adversely impacted by a downturn in the economy as evidenced by a general slowdown in business or increased vacancy rates which, in turn, could have an effect on the credit quality of this segment. Management requests business financial statements at least annually and monitors the cash flows of these loans. |
• | Commercial - Loans in this segment are made to businesses and are generally secured by non-real estate assets of the business. Repayment is expected from the cash flows of the business. A weakened economy, and resultant decreased consumer or business spending, could have an effect on the credit quality of this segment. |
• | Consumer - Loans in this segment are made to individuals for personal expenditures, such as an automobile purchase, and include unsecured loans. Repayment is primarily dependent on the credit quality of the individual borrower. The overall health of the economy, including unemployment, could have an effect on the credit quality of this segment. |
• | Municipal - Loans in this segment are made to municipalities located within the Company's service area. Repayment is primarily dependent on taxes or other funds collected by the municipalities. Management considers there to be minimal risk surrounding the credit quality of this segment. |
For The Three Months Ended September 30, 2016 | Residential Real Estate | Construction Real Estate | Commercial Real Estate | Commercial | Consumer | Municipal | Unallocated | Total | ||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||
Balance, June 30, 2016 | $ | 1,382 | $ | 373 | $ | 2,837 | $ | 240 | $ | 27 | $ | 26 | $ | 341 | $ | 5,226 | ||||||||
Provision (credit) for loan losses | 11 | 28 | (64 | ) | 5 | 4 | 20 | (4 | ) | — | ||||||||||||||
Recoveries of amounts charged off | — | 3 | — | 1 | — | — | — | 4 | ||||||||||||||||
1,393 | 404 | 2,773 | 246 | 31 | 46 | 337 | 5,230 | |||||||||||||||||
Amounts charged off | — | — | — | — | (4 | ) | — | — | (4 | ) | ||||||||||||||
Balance, September 30, 2016 | $ | 1,393 | $ | 404 | $ | 2,773 | $ | 246 | $ | 27 | $ | 46 | $ | 337 | $ | 5,226 |
For The Three Months Ended September 30, 2015 | Residential Real Estate | Construction Real Estate | Commercial Real Estate | Commercial | Consumer | Municipal | Unallocated | Total | ||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||
Balance, June 30, 2015 | $ | 1,322 | $ | 397 | $ | 2,819 | $ | 192 | $ | 26 | $ | 25 | $ | 138 | $ | 4,919 | ||||||||
Provision (credit) for loan losses | 62 | 84 | (80 | ) | 21 | (1 | ) | 24 | 40 | 150 | ||||||||||||||
Recoveries of amounts charged off | 10 | 3 | — | 6 | — | — | — | 19 | ||||||||||||||||
1,394 | 484 | 2,739 | 219 | 25 | 49 | 178 | 5,088 | |||||||||||||||||
Amounts charged off | (28 | ) | — | — | (16 | ) | — | — | — | (44 | ) | |||||||||||||
Balance, September 30, 2015 | $ | 1,366 | $ | 484 | $ | 2,739 | $ | 203 | $ | 25 | $ | 49 | $ | 178 | $ | 5,044 |
For The Nine Months Ended September 30, 2016 | Residential Real Estate | Construction Real Estate | Commercial Real Estate | Commercial | Consumer | Municipal | Unallocated | Total | ||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||
Balance, December 31, 2015 | $ | 1,419 | $ | 514 | $ | 2,792 | $ | 209 | $ | 28 | $ | 38 | $ | 201 | $ | 5,201 | ||||||||
Provision (credit) for loan losses | 79 | (119 | ) | (19 | ) | 62 | 3 | 8 | 136 | 150 | ||||||||||||||
Recoveries of amounts charged off | 15 | 9 | — | 8 | 3 | — | — | 35 | ||||||||||||||||
1,513 | 404 | 2,773 | 279 | 34 | 46 | 337 | 5,386 | |||||||||||||||||
Amounts charged off | (120 | ) | — | — | (33 | ) | (7 | ) | — | — | (160 | ) | ||||||||||||
Balance, September 30, 2016 | $ | 1,393 | $ | 404 | $ | 2,773 | $ | 246 | $ | 27 | $ | 46 | $ | 337 | $ | 5,226 |
For The Nine Months Ended September 30, 2015 | Residential Real Estate | Construction Real Estate | Commercial Real Estate | Commercial | Consumer | Municipal | Unallocated | Total | ||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||
Balance, December 31, 2014 | $ | 1,330 | $ | 439 | $ | 2,417 | $ | 176 | $ | 27 | $ | 42 | $ | 263 | $ | 4,694 | ||||||||
Provision (credit) for loan losses | 77 | 20 | 322 | 50 | 9 | 7 | (85 | ) | 400 | |||||||||||||||
Recoveries of amounts charged off | 10 | 25 | — | 6 | 3 | — | — | 44 | ||||||||||||||||
1,417 | 484 | 2,739 | 232 | 39 | 49 | 178 | 5,138 | |||||||||||||||||
Amounts charged off | (51 | ) | — | — | (29 | ) | (14 | ) | — | — | (94 | ) | ||||||||||||
Balance, September 30, 2015 | $ | 1,366 | $ | 484 | $ | 2,739 | $ | 203 | $ | 25 | $ | 49 | $ | 178 | $ | 5,044 |
September 30, 2016 | Residential Real Estate | Construction Real Estate | Commercial Real Estate | Commercial | Consumer | Municipal | Unallocated | Total | ||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||
Individually evaluated for impairment | $ | 57 | $ | — | $ | 61 | $ | — | $ | — | $ | — | $ | — | $ | 118 | ||||||||
Collectively evaluated for impairment | 1,336 | 404 | 2,712 | 246 | 27 | 46 | 337 | 5,108 | ||||||||||||||||
Total allocated | $ | 1,393 | $ | 404 | $ | 2,773 | $ | 246 | $ | 27 | $ | 46 | $ | 337 | $ | 5,226 |
December 31, 2015 | Residential Real Estate | Construction Real Estate | Commercial Real Estate | Commercial | Consumer | Municipal | Unallocated | Total | ||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||
Individually evaluated for impairment | $ | 109 | $ | — | $ | 227 | $ | 21 | $ | — | $ | — | $ | — | $ | 357 | ||||||||
Collectively evaluated for impairment | 1,310 | 514 | 2,565 | 188 | 28 | 38 | 201 | 4,844 | ||||||||||||||||
Total allocated | $ | 1,419 | $ | 514 | $ | 2,792 | $ | 209 | $ | 28 | $ | 38 | $ | 201 | $ | 5,201 |
September 30, 2016 | Residential Real Estate | Construction Real Estate | Commercial Real Estate | Commercial | Consumer | Municipal | Total | ||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Individually evaluated for impairment | $ | 1,388 | $ | 89 | $ | 2,883 | $ | 451 | $ | — | $ | — | $ | 4,811 | |||||||
Collectively evaluated for impairment | 165,214 | 35,442 | 242,759 | 32,433 | 3,914 | 37,788 | 517,550 | ||||||||||||||
Total | $ | 166,602 | $ | 35,531 | $ | 245,642 | $ | 32,884 | $ | 3,914 | $ | 37,788 | $ | 522,361 |
December 31, 2015 | Residential Real Estate | Construction Real Estate | Commercial Real Estate | Commercial | Consumer | Municipal | Total | ||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Individually evaluated for impairment | $ | 1,197 | $ | 92 | $ | 3,094 | $ | 493 | $ | — | $ | — | $ | 4,876 | |||||||
Collectively evaluated for impairment | 164,199 | 42,797 | 227,348 | 20,904 | 3,963 | 36,419 | 495,630 | ||||||||||||||
Total | $ | 165,396 | $ | 42,889 | $ | 230,442 | $ | 21,397 | $ | 3,963 | $ | 36,419 | $ | 500,506 |
September 30, 2016 | Residential Real Estate | Construction Real Estate | Commercial Real Estate | Commercial | Consumer | Municipal | Total | ||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Pass | $ | 152,180 | $ | 31,198 | $ | 171,007 | $ | 29,626 | $ | 3,880 | $ | 37,788 | $ | 425,679 | |||||||
Satisfactory/Monitor | 10,316 | 4,219 | 70,428 | 2,589 | 33 | — | 87,585 | ||||||||||||||
Substandard | 4,106 | 114 | 4,207 | 669 | 1 | — | 9,097 | ||||||||||||||
Total | $ | 166,602 | $ | 35,531 | $ | 245,642 | $ | 32,884 | $ | 3,914 | $ | 37,788 | $ | 522,361 |
December 31, 2015 | Residential Real Estate | Construction Real Estate | Commercial Real Estate | Commercial | Consumer | Municipal | Total | ||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Pass | $ | 150,535 | $ | 37,750 | $ | 175,438 | $ | 18,347 | $ | 3,902 | $ | 36,419 | $ | 422,391 | |||||||
Satisfactory/Monitor | 11,329 | 4,968 | 49,745 | 2,384 | 61 | — | 68,487 | ||||||||||||||
Substandard | 3,532 | 171 | 5,259 | 666 | — | — | 9,628 | ||||||||||||||
Total | $ | 165,396 | $ | 42,889 | $ | 230,442 | $ | 21,397 | $ | 3,963 | $ | 36,419 | $ | 500,506 |
As of September 30, 2016 | For The Three Months Ended September 30, 2016 | For The Nine Months Ended September 30, 2016 | |||||||||||||||||||
Recorded Investment (1) | Principal Balance (1) | Related Allowance | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | |||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Residential real estate | $ | 258 | $ | 267 | $ | 57 | |||||||||||||||
Commercial real estate | 501 | 530 | 61 | ||||||||||||||||||
With an allowance recorded | 759 | 797 | 118 | ||||||||||||||||||
Residential real estate | 1,130 | 1,521 | — | ||||||||||||||||||
Construction real estate | 89 | 89 | — | ||||||||||||||||||
Commercial real estate | 2,382 | 2,451 | — | ||||||||||||||||||
Commercial | 451 | 451 | — | ||||||||||||||||||
With no allowance recorded | 4,052 | 4,512 | — | ||||||||||||||||||
Residential real estate | 1,388 | 1,788 | 57 | $ | 1,346 | $ | 7 | $ | 1,266 | $ | 23 | ||||||||||
Construction real estate | 89 | 89 | — | 89 | 1 | 91 | 3 | ||||||||||||||
Commercial real estate | 2,883 | 2,981 | 61 | 3,018 | 28 | 3,059 | 59 | ||||||||||||||
Commercial | 451 | 451 | — | 456 | — | 470 | — | ||||||||||||||
Total | $ | 4,811 | $ | 5,309 | $ | 118 | $ | 4,909 | $ | 36 | $ | 4,886 | $ | 85 |
(1) | Does not reflect government guaranties on impaired loans as of September 30, 2016 totaling $654 thousand. |
As of September 30, 2015 | For The Three Months Ended September 30, 2015 | For The Nine Months Ended September 30, 2015 | |||||||||||||||||||
Recorded Investment (1) | Principal Balance (1) | Related Allowance | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | |||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Residential real estate | $ | 1,185 | $ | 1,346 | $ | 63 | $ | 935 | $ | 10 | $ | 878 | $ | 24 | |||||||
Construction real estate | 93 | 93 | 2 | 94 | 1 | 179 | 18 | ||||||||||||||
Commercial real estate | 3,815 | 3,892 | 320 | 3,947 | 46 | 3,630 | 151 | ||||||||||||||
Commercial | — | — | — | — | — | 31 | — | ||||||||||||||
Total | $ | 5,093 | $ | 5,331 | $ | 385 | $ | 4,976 | $ | 57 | $ | 4,718 | $ | 193 |
(1) | Does not reflect government guaranties on impaired loans as of September 30, 2015 totaling $238 thousand. |
December 31, 2015 | |||||||||||
Recorded Investment (1) | Principal Balance (1) | Related Allowance | |||||||||
(Dollars in thousands) | |||||||||||
Residential real estate | $ | 659 | $ | 668 | $ | 109 | |||||
Commercial real estate | 2,142 | 2,161 | 227 | ||||||||
Commercial | 493 | 493 | 21 | ||||||||
With an allowance recorded | 3,294 | 3,322 | 357 | ||||||||
Residential real estate | 538 | 697 | — | ||||||||
Construction real estate | 92 | 92 | — | ||||||||
Commercial real estate | 952 | 1,015 | — | ||||||||
With no allowance recorded | 1,582 | 1,804 | — | ||||||||
Residential real estate | 1,197 | 1,365 | 109 | ||||||||
Construction real estate | 92 | 92 | — | ||||||||
Commercial real estate | 3,094 | 3,176 | 227 | ||||||||
Commercial | 493 | 493 | 21 | ||||||||
Total | $ | 4,876 | $ | 5,126 | $ | 357 |
(1) | Does not reflect government guaranties on impaired loans as of December 31, 2015 totaling $606 thousand. |
September 30, 2016 | December 31, 2015 | |||||||||
Number of Loans | Principal Balance | Number of Loans | Principal Balance | |||||||
(Dollars in thousands) | ||||||||||
Residential real estate | 17 | $ | 1,388 | 11 | $ | 1,197 | ||||
Construction real estate | 1 | 89 | 1 | 92 | ||||||
Commercial real estate | 10 | 1,475 | 5 | 950 | ||||||
Commercial | 2 | 451 | 2 | 493 | ||||||
Total | 30 | $ | 3,403 | 19 | $ | 2,732 |
New TDRs During the | New TDRs During the | |||||||||||||||
Three Months Ended September 30, 2016 | Nine Months Ended September 30, 2016 | |||||||||||||||
Number of Loans | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Number of Loans | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | |||||||||||
(Dollars in thousands) | ||||||||||||||||
Residential real estate | 3 | $ | 89 | $ | 99 | 6 | $ | 278 | $ | 295 | ||||||
Commercial real estate | 4 | 643 | 647 | 6 | 803 | 807 |
New TDRs During the | New TDRs During the | |||||||||||||||
Three Months Ended September 30, 2015 | Nine Months Ended September 30, 2015 | |||||||||||||||
Number of Loans | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Number of Loans | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | |||||||||||
(Dollars in thousands) | ||||||||||||||||
Residential real estate | 5 | $ | 504 | $ | 511 | 5 | $ | 504 | $ | 511 | ||||||
Commercial real estate | — | — | — | 2 | 281 | 281 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||
2016 | 2015 | 2016 | 2015 | |||||||||
(Dollars in thousands) | ||||||||||||
Interest cost on projected benefit obligation | $ | 175 | $ | 170 | $ | 525 | $ | 510 | ||||
Expected return on plan assets | (259 | ) | (286 | ) | (777 | ) | (858 | ) | ||||
Amortization of net loss | 41 | 14 | 123 | 42 | ||||||||
Net periodic benefit | $ | (43 | ) | $ | (102 | ) | $ | (129 | ) | $ | (306 | ) |
• | A total of 5,444 RSUs were granted at a fair value of $27.91 per share, based on the closing market price of the Company's common stock on December 31, 2015, the earned date of the award. 50% of the RSUs awarded were in the form of Time-Based RSUs, which will vest over three years, approximately one-third per year on the anniversary of the earned date; and 50% of the RSUs awarded were in the form of Performance-Based RSUs, which are subject to both performance and time based vesting conditions. The Performance-Based conditions were satisfied during 2015 and vesting of the Performance-Based RSUs will occur over two years, with approximately one-half vesting on each of the next two anniversaries of the earned date. Prior to vesting, the RSUs do not earn dividends or dividend equivalents, nor do they bear any voting rights. The general terms of the awards were described in a 2015 Award Summary, with the final awards and related 2015 performance results and December 31, 2015 stock price, certified by the Board of Directors during the first quarter of 2016. Unrecognized compensation expense related to the unvested RSUs as of September 30, 2016 was $105 thousand. |
• | A total of 4,456 contingent RSUs were provisionally granted at a fair value of $29.10 per share, based on the closing market price of the Company's stock on the March 16, 2016 grant date. The estimated number of contingent RSUs provisionally granted was based on target payout amounts as detailed in the 2016 Award Plan Summary adopted by the Board of Directors. As with the 2015 grants, one half is in the form of Time-Based RSUs and one-half is in the form of Performance-Based RSUs. The actual number of RSUs granted (if any) will be determined as of the earned date of December 31, 2016. The contingent RSUs were granted on substantially the same terms and conditions as the RSUs granted under the 2015 Award Plan Summary. As of September 30, 2016 the estimated unrecognized compensation expense related to the contingent unvested RSUs, based on the closing market price of the Company's stock on the grant date of March 16, 2016 was $130 thousand. |
September 30, 2016 | December 31, 2015 | |||||
(Dollars in thousands) | ||||||
Net unrealized gain (loss) on investment securities available-for-sale | $ | 640 | $ | (27 | ) | |
Defined benefit pension plan net unrealized actuarial loss | (2,275 | ) | (2,275 | ) | ||
Total | $ | (1,635 | ) | $ | (2,302 | ) |
Three Months Ended | ||||||||||||||||||
September 30, 2016 | September 30, 2015 | |||||||||||||||||
Before-Tax Amount | Tax Benefit | Net-of-Tax Amount | Before-Tax Amount | Tax (Expense) Benefit | Net-of-Tax Amount | |||||||||||||
(Dollars in thousands) | ||||||||||||||||||
Investment securities available-for-sale: | ||||||||||||||||||
Net unrealized holding (losses) gains arising during the period on investment securities available-for-sale | $ | (276 | ) | $ | 94 | $ | (182 | ) | $ | 453 | $ | (154 | ) | $ | 299 | |||
Reclassification adjustment for net gains on investment securities available-for-sale realized in net income | (53 | ) | 18 | (35 | ) | (41 | ) | 14 | (27 | ) | ||||||||
Total other comprehensive (loss) income | $ | (329 | ) | $ | 112 | $ | (217 | ) | $ | 412 | $ | (140 | ) | $ | 272 |
Nine Months Ended | ||||||||||||||||||
September 30, 2016 | September 30, 2015 | |||||||||||||||||
Before-Tax Amount | Tax (Expense) Benefit | Net-of-Tax Amount | Before-Tax Amount | Tax (Expense) Benefit | Net-of-Tax Amount | |||||||||||||
(Dollars in thousands) | ||||||||||||||||||
Investment securities available-for-sale: | ||||||||||||||||||
Net unrealized holding gains arising during the period on investment securities available-for-sale | $ | 1,082 | $ | (368 | ) | $ | 714 | $ | 122 | $ | (41 | ) | $ | 81 | ||||
Reclassification adjustment for net gains on investment securities available-for-sale realized in net income | (71 | ) | 24 | (47 | ) | (41 | ) | 14 | (27 | ) | ||||||||
Total other comprehensive income | $ | 1,011 | $ | (344 | ) | $ | 667 | $ | 81 | $ | (27 | ) | $ | 54 |
Three Months Ended | Nine Months Ended | ||||||||||||
Reclassification Adjustment Description | September 30, 2016 | September 30, 2015 | September 30, 2016 | September 30, 2015 | Affected Line Item in Consolidated Statement of Income | ||||||||
(Dollars in thousands) | |||||||||||||
Investment securities available-for-sale: | |||||||||||||
Net gains on investment securities available-for-sale | $ | (53 | ) | $ | (41 | ) | $ | (71 | ) | $ | (41 | ) | Net gains on sales of investment securities available-for-sale |
Tax benefit | 18 | 14 | 24 | 14 | Provision for income taxes | ||||||||
Total reclassifications | $ | (35 | ) | $ | (27 | ) | $ | (47 | ) | $ | (27 | ) | Net income |
• | Level 1 - Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; |
• | Level 2 - Quoted prices for similar assets or liabilities in active markets, quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; |
• | Level 3 - Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported by little or no market activity). |
Fair Value Measurements | ||||||||||||
Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | |||||||||
September 30, 2016: | (Dollars in thousands) | |||||||||||
Investment securities available-for-sale (market approach) | ||||||||||||
Debt securities: | ||||||||||||
U.S. Government-sponsored enterprises | $ | 7,292 | $ | — | $ | 7,292 | $ | — | ||||
Agency mortgage-backed | 16,550 | — | 16,550 | — | ||||||||
State and political subdivisions | 25,452 | — | 25,452 | — | ||||||||
Corporate | 10,021 | — | 10,021 | — | ||||||||
Total debt securities | 59,315 | — | 59,315 | — | ||||||||
Mutual funds | 356 | 356 | — | — | ||||||||
Total | $ | 59,671 | $ | 356 | $ | 59,315 | $ | — | ||||
December 31, 2015: | ||||||||||||
Investment securities available-for-sale (market approach) | ||||||||||||
Debt securities: | ||||||||||||
U.S. Government-sponsored enterprises | $ | 10,692 | $ | — | $ | 10,692 | $ | — | ||||
Agency mortgage-backed | 11,058 | — | 11,058 | — | ||||||||
State and political subdivisions | 20,032 | — | 20,032 | — | ||||||||
Corporate | 11,983 | — | 11,983 | — | ||||||||
Total debt securities | 53,765 | — | 53,765 | — | ||||||||
Mutual funds | 345 | 345 | — | — | ||||||||
Total | $ | 54,110 | $ | 345 | $ | 53,765 | $ | — |
September 30, 2016 | |||||||||||||||
Fair Value Measurements | |||||||||||||||
Carrying Amount | Estimated Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | |||||||||||
(Dollars in thousands) | |||||||||||||||
Financial assets | |||||||||||||||
Cash and cash equivalents | $ | 35,574 | $ | 35,574 | $ | 35,574 | $ | — | $ | — | |||||
Interest bearing deposits in banks | 9,753 | 9,811 | — | 9,811 | — | ||||||||||
Investment securities | 60,670 | 60,672 | 356 | 60,316 | — | ||||||||||
Loans held for sale | 10,214 | 10,459 | — | 10,459 | — | ||||||||||
Loans, net | |||||||||||||||
Residential real estate | 165,416 | 169,166 | — | — | 169,166 | ||||||||||
Construction real estate | 35,171 | 35,672 | — | — | 35,672 | ||||||||||
Commercial real estate | 242,837 | 244,181 | — | — | 244,181 | ||||||||||
Commercial | 32,679 | 32,695 | — | — | 32,695 | ||||||||||
Consumer | 3,892 | 3,988 | — | — | 3,988 | ||||||||||
Municipal | 37,789 | 38,515 | — | — | 38,515 | ||||||||||
Accrued interest receivable | 1,962 | 1,962 | — | 377 | 1,585 | ||||||||||
Nonmarketable equity securities | 2,499 | N/A | N/A | N/A | N/A | ||||||||||
Financial liabilities | |||||||||||||||
Deposits | |||||||||||||||
Noninterest bearing | $ | 116,381 | $ | 116,381 | $ | 116,381 | $ | — | $ | — | |||||
Interest bearing | 350,376 | 350,376 | 350,376 | — | — | ||||||||||
Time | 105,429 | 105,388 | — | 105,388 | — | ||||||||||
Borrowed funds | |||||||||||||||
Short-term | 6,949 | 6,949 | 6,949 | — | — | ||||||||||
Long-term | 30,564 | 28,356 | — | 28,356 | — | ||||||||||
Accrued interest payable | 99 | 99 | — | 99 | — |
December 31, 2015 | |||||||||||||||
Fair Value Measurements | |||||||||||||||
Carrying Amount | Estimated Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | |||||||||||
(Dollars in thousands) | |||||||||||||||
Financial assets | |||||||||||||||
Cash and cash equivalents | $ | 17,961 | $ | 17,961 | $ | 17,961 | $ | — | $ | — | |||||
Interest bearing deposits in banks | 12,753 | 12,610 | — | 12,610 | — | ||||||||||
Investment securities | 59,327 | 59,226 | 345 | 58,881 | — | ||||||||||
Loans held for sale | 5,635 | 5,745 | — | 5,745 | — | ||||||||||
Loans, net | |||||||||||||||
Residential real estate | 164,147 | 164,462 | — | — | 164,462 | ||||||||||
Construction real estate | 42,419 | 41,956 | — | — | 41,956 | ||||||||||
Commercial real estate | 227,686 | 230,282 | — | — | 230,282 | ||||||||||
Commercial | 21,210 | 20,849 | — | — | 20,849 | ||||||||||
Consumer | 3,939 | 4,032 | — | — | 4,032 | ||||||||||
Municipal | 36,419 | 38,131 | — | — | 38,131 | ||||||||||
Accrued interest receivable | 1,832 | 1,832 | — | 389 | 1,443 | ||||||||||
Nonmarketable equity securities | 1,932 | N/A | N/A | N/A | N/A | ||||||||||
Financial liabilities | |||||||||||||||
Deposits | |||||||||||||||
Noninterest bearing | $ | 99,826 | $ | 99,826 | $ | 99,826 | $ | — | $ | — | |||||
Interest bearing | 310,203 | 310,200 | — | 310,200 | — | ||||||||||
Time | 150,379 | 150,665 | — | 150,665 | — | ||||||||||
Borrowed funds | |||||||||||||||
Short-term | 3,622 | 3,621 | 3,621 | — | — | ||||||||||
Long-term | 5,942 | 6,296 | — | 6,296 | — | ||||||||||
Accrued interest payable | 269 | 269 | — | 269 | — |
Three Months Ended or At September 30, | Nine Months Ended or At September 30, | |||||||||||
2016 | 2015 | 2016 | 2015 | |||||||||
Return on average assets (ROA) (1) | 1.40 | % | 1.33 | % | 1.28 | % | 1.28 | % | ||||
Return on average equity (1) | 16.05 | % | 15.36 | % | 14.83 | % | 15.01 | % | ||||
Net interest margin (1)(2) | 4.26 | % | 4.21 | % | 4.21 | % | 4.10 | % | ||||
Efficiency ratio (3) | 66.73 | % | 65.97 | % | 67.59 | % | 66.00 | % | ||||
Net interest spread (4) | 4.18 | % | 4.12 | % | 4.12 | % | 4.01 | % | ||||
Loan to deposit ratio | 93.08 | % | 92.88 | % | 93.08 | % | 92.88 | % | ||||
Net loan charge-offs to average loans not held for sale (1) | — | % | 0.02 | % | 0.03 | % | 0.01 | % | ||||
Allowance for loan losses to loans not held for sale (5) | 1.00 | % | 1.01 | % | 1.00 | % | 1.01 | % | ||||
Nonperforming assets to total assets (6) | 0.51 | % | 0.46 | % | 0.51 | % | 0.46 | % | ||||
Equity to assets | 8.45 | % | 8.68 | % | 8.45 | % | 8.68 | % | ||||
Total capital to risk weighted assets | 13.41 | % | 13.59 | % | 13.41 | % | 13.59 | % | ||||
Book value per share | $ | 12.74 | $ | 12.07 | $ | 12.74 | $ | 12.07 | ||||
Earnings per share | $ | 0.51 | $ | 0.45 | $ | 1.38 | $ | 1.33 | ||||
Dividends paid per share | $ | 0.28 | $ | 0.27 | $ | 0.83 | $ | 0.81 | ||||
Dividend payout ratio (7) | 54.90 | % | 60.00 | % | 60.14 | % | 60.90 | % |
(1) | Annualized. |
(2) | The ratio of tax equivalent net interest income to average earning assets. See pages 30 and 31 for more information. |
(3) | The ratio of noninterest expense to tax equivalent net interest income and noninterest income, excluding securities gains (losses). |
(4) | The difference between the average rate earned on earning assets and the average rate paid on interest bearing liabilities. See pages 30 and 31 for more information. |
(5) | Calculation includes the net carrying amount of loans recorded at fair value from the 2011 Branch Acquisition as of September 30, 2015 ($7.7 million). Excluding such loans, the allowance for loan losses to loans not purchased and not held for sale was 1.03% at September 30, 2015. The acquired loan portfolios were transferred to the Company's existing loan portfolios during the fourth quarter of 2015. |
(6) | Nonperforming assets are loans or investment securities that are in nonaccrual or 90 or more days past due as well as OREO or OAO. |
(7) | Cash dividends declared and paid per share divided by consolidated net income per share. |
Three Months Ended September 30, | ||||||||||||||||
2016 | 2015 | |||||||||||||||
Average Balance | Interest Earned/ Paid | Average Yield/ Rate | Average Balance | Interest Earned/ Paid | Average Yield/ Rate | |||||||||||
(Dollars in thousands) | ||||||||||||||||
Average Assets: | ||||||||||||||||
Federal funds sold and overnight deposits | $ | 15,513 | $ | 12 | 0.30 | % | $ | 8,123 | $ | 1 | 0.06 | % | ||||
Interest bearing deposits in banks | 9,830 | 37 | 1.51 | % | 12,922 | 43 | 1.33 | % | ||||||||
Investment securities (1), (2) | 55,943 | 362 | 3.04 | % | 57,847 | 351 | 2.76 | % | ||||||||
Loans, net (1), (3) | 523,973 | 6,355 | 4.92 | % | 495,678 | 5,962 | 4.89 | % | ||||||||
Nonmarketable equity securities | 2,220 | 20 | 3.61 | % | 2,053 | 16 | 3.16 | % | ||||||||
Total interest earning assets (1) | 607,479 | 6,786 | 4.57 | % | 576,623 | 6,373 | 4.52 | % | ||||||||
Cash and due from banks | 4,688 | 4,465 | ||||||||||||||
Premises and equipment | 13,219 | 12,914 | ||||||||||||||
Other assets | 23,388 | 21,274 | ||||||||||||||
Total assets | $ | 648,774 | $ | 615,276 | ||||||||||||
Average Liabilities and Stockholders' Equity: | ||||||||||||||||
Interest bearing checking accounts | $ | 130,228 | 30 | 0.09 | % | $ | 117,497 | 23 | 0.08 | % | ||||||
Savings/money market accounts | 214,232 | 154 | 0.29 | % | 187,777 | 81 | 0.17 | % | ||||||||
Time deposits | 108,569 | 179 | 0.66 | % | 132,348 | 271 | 0.81 | % | ||||||||
Borrowed funds | 25,169 | 108 | 1.69 | % | 21,621 | 86 | 1.55 | % | ||||||||
Total interest bearing liabilities | 478,198 | 471 | 0.39 | % | 459,243 | 461 | 0.40 | % | ||||||||
Noninterest bearing deposits | 109,077 | 99,126 | ||||||||||||||
Other liabilities | 4,971 | 3,510 | ||||||||||||||
Total liabilities | 592,246 | 561,879 | ||||||||||||||
Stockholders' equity | 56,528 | 53,397 | ||||||||||||||
Total liabilities and stockholders’ equity | $ | 648,774 | $ | 615,276 | ||||||||||||
Net interest income | $ | 6,315 | $ | 5,912 | ||||||||||||
Net interest spread (1) | 4.18 | % | 4.12 | % | ||||||||||||
Net interest margin (1) | 4.26 | % | 4.21 | % |
Nine Months Ended September 30, | ||||||||||||||||
2016 | 2015 | |||||||||||||||
Average Balance | Interest Earned/ Paid | Average Yield/ Rate | Average Balance | Interest Earned/ Paid | Average Yield/ Rate | |||||||||||
(Dollars in thousands) | ||||||||||||||||
Average Assets: | ||||||||||||||||
Federal funds sold and overnight deposits | $ | 12,202 | $ | 23 | 0.25 | % | $ | 12,125 | $ | 13 | 0.14 | % | ||||
Interest bearing deposits in banks | 11,201 | 123 | 1.46 | % | 12,729 | 124 | 1.31 | % | ||||||||
Investment securities (1), (2) | 60,140 | 1,120 | 2.91 | % | 58,814 | 1,042 | 2.69 | % | ||||||||
Loans, net (1), (3) | 517,446 | 18,604 | 4.90 | % | 496,109 | 17,553 | 4.86 | % | ||||||||
Nonmarketable equity securities | 2,121 | 52 | 3.30 | % | 2,053 | 34 | 2.20 | % | ||||||||
Total interest earning assets (1) | 603,110 | 19,922 | 4.54 | % | 581,830 | 18,766 | 4.45 | % | ||||||||
Cash and due from banks | 4,603 | 4,555 | ||||||||||||||
Premises and equipment | 13,091 | 12,553 | ||||||||||||||
Other assets | 22,777 | 20,585 | ||||||||||||||
Total assets | $ | 643,581 | $ | 619,523 | ||||||||||||
Average Liabilities and Stockholders' Equity: | ||||||||||||||||
Interest bearing checking accounts | $ | 125,407 | 79 | 0.08 | % | $ | 116,576 | 68 | 0.08 | % | ||||||
Savings/money market accounts | 196,903 | 325 | 0.22 | % | 187,239 | 241 | 0.17 | % | ||||||||
Time deposits | 133,351 | 796 | 0.80 | % | 143,628 | 976 | 0.91 | % | ||||||||
Borrowed funds | 23,905 | 303 | 1.67 | % | 20,039 | 262 | 1.73 | % | ||||||||
Total interest bearing liabilities | 479,566 | 1,503 | 0.42 | % | 467,482 | 1,547 | 0.44 | % | ||||||||
Noninterest bearing deposits | 103,870 | 95,437 | ||||||||||||||
Other liabilities | 4,693 | 3,729 | ||||||||||||||
Total liabilities | 588,129 | 566,648 | ||||||||||||||
Stockholders' equity | 55,452 | 52,875 | ||||||||||||||
Total liabilities and stockholders’ equity | $ | 643,581 | $ | 619,523 | ||||||||||||
Net interest income | $ | 18,419 | $ | 17,219 | ||||||||||||
Net interest spread (1) | 4.12 | % | 4.01 | % | ||||||||||||
Net interest margin (1) | 4.21 | % | 4.10 | % |
(1) | Average yields reported on a tax equivalent basis using a marginal tax rate of 34%. |
(2) | Average balances of investment securities are calculated on the amortized cost basis and include nonaccrual securities, if applicable. |
(3) | Includes loans held for sale as well as nonaccrual loans, unamortized costs and unamortized premiums and is net of the allowance for loan losses. |
For The Three Months Ended September 30, | For The Nine Months Ended September 30, | |||||||||||
2016 | 2015 | 2016 | 2015 | |||||||||
(Dollars in thousands) | ||||||||||||
Net interest income as presented | $ | 6,315 | $ | 5,912 | $ | 18,419 | $ | 17,219 | ||||
Effect of tax-exempt interest | ||||||||||||
Investment securities | 64 | 49 | 192 | 145 | ||||||||
Loans | 130 | 147 | 395 | 464 | ||||||||
Net interest income, tax equivalent | $ | 6,509 | $ | 6,108 | $ | 19,006 | $ | 17,828 |
• | changes in volume (change in volume multiplied by prior rate); |
• | changes in rate (change in rate multiplied by prior volume); and |
• | total change in rate and volume. |
Three Months Ended September 30, 2016 Compared to Three Months Ended September 30, 2015 Increase/(Decrease) Due to Change In | Nine Months Ended September 30, 2015 Compared to Nine Months Ended September 30, 2014 Increase/(Decrease) Due to Change In | |||||||||||||||||
Volume | Rate | Net | Volume | Rate | Net | |||||||||||||
(Dollars in thousands) | ||||||||||||||||||
Interest earning assets: | ||||||||||||||||||
Federal funds sold and overnight deposits | $ | 3 | $ | 8 | $ | 11 | $ | — | $ | 10 | $ | 10 | ||||||
Interest bearing deposits in banks | (11 | ) | 5 | (6 | ) | (16 | ) | 15 | (1 | ) | ||||||||
Investment securities | (22 | ) | 33 | 11 | 3 | 75 | 78 | |||||||||||
Loans, net | 351 | 42 | 393 | 825 | 226 | 1,051 | ||||||||||||
Nonmarketable equity securities | 1 | 3 | 4 | 1 | 17 | 18 | ||||||||||||
Total interest earning assets | $ | 322 | $ | 91 | $ | 413 | $ | 813 | $ | 343 | $ | 1,156 | ||||||
Interest bearing liabilities: | ||||||||||||||||||
Interest bearing checking accounts | $ | 3 | $ | 4 | $ | 7 | $ | 5 | $ | 6 | $ | 11 | ||||||
Savings/money market accounts | 13 | 60 | 73 | 13 | 71 | 84 | ||||||||||||
Time deposits | (46 | ) | (46 | ) | (92 | ) | (66 | ) | (114 | ) | (180 | ) | ||||||
Borrowed funds | 15 | 7 | 22 | 49 | (8 | ) | 41 | |||||||||||
Total interest bearing liabilities | $ | (15 | ) | $ | 25 | $ | 10 | $ | 1 | $ | (45 | ) | $ | (44 | ) | |||
Net change in net interest income | $ | 337 | $ | 66 | $ | 403 | $ | 812 | $ | 388 | $ | 1,200 |
For The Three Months Ended September 30, | For The Nine Months Ended September 30, | |||||||||||||||||||||
2016 | 2015 | $ Variance | % Variance | 2016 | 2015 | $ Variance | % Variance | |||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||
Trust income | $ | 171 | $ | 171 | $ | — | — | $ | 523 | $ | 538 | $ | (15 | ) | (2.8 | ) | ||||||
Service fees | 1,538 | 1,439 | 99 | 6.9 | 4,377 | 4,133 | 244 | 5.9 | ||||||||||||||
Net gains on sales of loans held for sale | 921 | 700 | 221 | 31.6 | 2,196 | 2,214 | (18 | ) | (0.8 | ) | ||||||||||||
Income from Company-owned life insurance | 64 | 77 | (13 | ) | (16.9 | ) | 278 | 212 | 66 | 31.1 | ||||||||||||
Gain on sale of OREO | — | 25 | (25 | ) | (100.0 | ) | — | 28 | (28 | ) | (100.0 | ) | ||||||||||
Other income | 57 | 80 | (23 | ) | (28.8 | ) | 142 | 228 | (86 | ) | (37.7 | ) | ||||||||||
Net gains on sales of investment securities AFS | 53 | 41 | 12 | 29.3 | 71 | 41 | 30 | 73.2 | ||||||||||||||
Total noninterest income | $ | 2,804 | $ | 2,533 | $ | 271 | 10.7 | $ | 7,587 | $ | 7,394 | $ | 193 | 2.6 |
• | Service fees. Overdraft fees increased $16 thousand and $91 thousand for the three and nine months ended September 30, 2016, respectively, compared to the same periods of 2015. Additionally, increases of $38 thousand and $107 thousand in loan servicing fee income occurred for the three and nine months ended September 30, 2016, respectively, compared to the same periods of 2015. |
• | Net gains on sales of loans held for sale. Continuing the Company's strategy to mitigate long-term interest rate risk, residential and commercial loans totaling $40.7 million were sold during the third quarter of 2016, versus residential loan sales of $34.6 million during the third quarter of 2015. Residential and commercial loans of $99.0 million were sold during the first nine months of 2016, versus residential loan sales of $102.4 million the first nine months of 2015. Loan sales during the first nine months of 2015 included sales of $10.7 million of loans held for sale as of December 31, 2014 versus $5.6 million as of December 31, 2015. There were no sales of commercial loans during the three and nine months ended September 30, 2015. |
• | Income from Company-owned life insurance. During the second quarter of 2016, the administration of the Company's life insurance policies was moved to a single service provider. As a result, the earnings on the older policies are calculated evenly throughout a calendar year rather than as of the June 30th anniversary date of the policies which was the practice in prior years. Additionally, during the second quarter of 2016, the Company received proceeds from the death benefit on an insurance policy on the life of a former director, resulting in $73 thousand of additional income. This increase was partially offset by the administrative change mentioned previously. Lastly, the Company purchased $5.0 million of company-owned life insurance covering certain officers of Union during March of 2015. Nine months of income was recognized on these policies in 2016 versus seven months in 2015. |
• | Other income. Mortgage servicing rights income decreased $22 thousand for the three months ended September 30, 2016 and $100 thousand for the nine months ended September 30, 2016 compared to the same periods in 2015. The decrease was partially offset by an increase in gas and oil royalty income of $14 thousand during the first three months of 2016. |
For The Three Months Ended September 30, | For The Nine Months Ended September 30, | ||||||||||||||||||||
2016 | 2015 | $ Variance | % Variance | 2016 | 2015 | $ Variance | % Variance | ||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Salaries and wages | $ | 2,622 | $ | 2,426 | $ | 196 | 8.1 | $ | 7,522 | $ | 7,080 | $ | 442 | 6.2 | |||||||
Pension and employee benefits | 865 | 739 | 126 | 17.1 | 2,659 | 2,242 | 417 | 18.6 | |||||||||||||
Occupancy expense, net | 297 | 293 | 4 | 1.4 | 923 | 986 | (63 | ) | (6.4 | ) | |||||||||||
Equipment expense | 553 | 479 | 74 | 15.4 | 1,603 | 1,346 | 257 | 19.1 | |||||||||||||
Vermont franchise tax | 139 | 136 | 3 | 2.2 | 414 | 402 | 12 | 3.0 | |||||||||||||
FDIC insurance assessment | 81 | 79 | 2 | 2.5 | 246 | 266 | (20 | ) | (7.5 | ) | |||||||||||
Equity in losses of affordable housing investments | 155 | 118 | 37 | 31.4 | 391 | 365 | 26 | 7.1 | |||||||||||||
Other expenses | 1,467 | 1,404 | 63 | 4.5 | 4,168 | 3,933 | 235 | 6.0 | |||||||||||||
Total noninterest expense | $ | 6,179 | $ | 5,674 | $ | 505 | 8.9 | $ | 17,926 | $ | 16,620 | $ | 1,306 | 7.9 |
• | Salaries and wages. The increase reflects an $89 thousand and $165 thousand increase in accruals for short and long term incentive plan benefits for the three and nine month comparison periods, respectively, as well as normal annual salary increases. |
• | Pension and employee benefits. The cost of the Company's medical plan increased $49 thousand and $130 thousand for the three and nine month comparison periods, respectively, as premium rates increased between years. The Company began accruing for a profit sharing contribution to the 401k plan at the beginning of the year rather than half way through the year. As a result an accrual of $227 thousand was recorded for the first nine months of 2016 compared to $175 thousand in the first nine months of 2015, or an increase of $52 thousand between periods. Lastly, the benefit received from the pension plan was reduced by $59 thousand and $178 thousand for the three and nine month comparison periods, respectively, as a result of the most recent actuarial valuation report prepared as of December 31, 2015 for the 2016 fiscal year . |
• | Occupancy expense. The Company experienced cost savings of $54 thousand in utilities between the nine month periods ended September 30, 2016 and 2015 as a result of the mild winter experienced in Vermont and New Hampshire. Also, repairs and maintenance on the Company's facilities decreased $13 thousand and $32 thousand for the three and nine month comparison periods, respectively. |
• | Equipment expense. Equipment depreciation increased $25 thousand and $119 thousand for the three and nine month comparison periods, respectively as a result of new technology equipment installed throughout the branch network as well as other infrastructure replacements. Additionally, increases in maintenance contracts of $37 thousand and $122 thousand for the three and nine month comparison periods, respectively occured as a result of the installation of the new equipment. |
September 30, 2016 | December 31, 2015 | |||||||
Loan Class | Amount | Percent | Amount | Percent | ||||
(Dollars in thousands) | ||||||||
Residential real estate | $ | 166,602 | 31.3 | $ | 165,396 | 32.7 | ||
Construction real estate | 35,531 | 6.7 | 42,889 | 8.5 | ||||
Commercial real estate | 245,642 | 46.1 | 230,442 | 45.5 | ||||
Commercial | 32,884 | 6.2 | 21,397 | 4.2 | ||||
Consumer | 3,914 | 0.7 | 3,963 | 0.8 | ||||
Municipal | 37,788 | 7.1 | 36,419 | 7.2 | ||||
Loans held for sale | 10,214 | 1.9 | 5,635 | 1.1 | ||||
Total loans | 532,575 | 100.0 | 506,141 | 100.0 | ||||
Allowance for loan losses | (5,226 | ) | (5,201 | ) | ||||
Unamortized net loan costs | 649 | 515 | ||||||
Net loans and loans held for sale | $ | 527,998 | $ | 501,455 |
As of or for the nine months ended | As of or for the year ended | As of or for the nine months ended | |||||||
September 30, 2016 | December 31, 2015 | September 30, 2015 | |||||||
(Dollars in thousands) | |||||||||
Nonaccrual loans | $ | 2,414 | $ | 2,521 | $ | 2,313 | |||
Accruing loans 90+ days delinquent | 1,002 | 836 | 472 | ||||||
Total nonperforming loans (1) | 3,416 | 3,357 | 2,785 | ||||||
OREO | — | — | 59 | ||||||
Total nonperforming assets | $ | 3,416 | $ | 3,357 | $ | 2,844 | |||
Allowance for loan losses to loans not held for sale (2) | 1.00 | % | 1.04 | % | 1.01 | % | |||
Allowance for loan losses to nonperforming loans | 152.99 | % | 154.93 | % | 181.11 | % | |||
Nonperforming loans to total loans | 0.64 | % | 0.66 | % | 0.55 | % | |||
Nonperforming assets to total assets | 0.51 | % | 0.53 | % | 0.46 | % | |||
Delinquent loans (30 days to nonaccruing) to total loans | 0.82 | % | 1.61 | % | 1.05 | % | |||
Net charge-offs (annualized) to average loans not held for sale | 0.03 | % | 0.01 | % | 0.01 | % |
(1) | The Company had guarantees of U.S. or state government agencies on the above nonperforming loans totaling $500 thousand at September 30, 2016, $291 thousand at December 31, 2015, and $346 thousand at September 30, 2015. The acquired loan portfolios from the 2011 Branch Acquisition were transferred to the Company's existing loan portfolios during the fourth quarter of 2015. |
(2) | Calculation includes the net carrying amount of loans recorded at fair value from the 2011 Branch Acquisition as of September 30, 2015 ($7.7 million). Excluding such loans, the ALL to loans not purchased and not held for sale was 1.03% at September 30, 2015. |
For The Three Months Ended September 30, | For The Nine Months Ended September 30, | |||||||||||
2016 | 2015 | 2016 | 2015 | |||||||||
(Dollars in thousands) | ||||||||||||
Balance at beginning of period | $ | 5,226 | $ | 4,919 | $ | 5,201 | $ | 4,694 | ||||
Charge-offs | (4 | ) | (44 | ) | (160 | ) | (94 | ) | ||||
Recoveries | 4 | 19 | 35 | 44 | ||||||||
Net charge-offs | — | (25 | ) | (125 | ) | (50 | ) | |||||
Provision for loan losses | — | 150 | 150 | 400 | ||||||||
Balance at end of period | $ | 5,226 | $ | 5,044 | $ | 5,226 | $ | 5,044 |
September 30, 2016 | December 31, 2015 | |||||||
Amount | Percent | Amount | Percent | |||||
(Dollars in thousands) | ||||||||
Residential real estate | $ | 1,393 | 31.9 | $ | 1,419 | 33.0 | ||
Construction real estate | 404 | 6.8 | 514 | 8.6 | ||||
Commercial real estate | 2,773 | 47.0 | 2,792 | 46.0 | ||||
Commercial | 246 | 6.3 | 209 | 4.3 | ||||
Consumer | 27 | 0.8 | 28 | 0.8 | ||||
Municipal | 46 | 7.2 | 38 | 7.3 | ||||
Unallocated | 337 | — | 201 | — | ||||
Total | $ | 5,226 | 100.0 | $ | 5,201 | 100.0 |
Nine Months Ended September 30, 2016 | Year Ended December 31, 2015 | |||||||||||
Average Amount | Percent of Total Deposits | Average Rate | Average Amount | Percent of Total Deposits | Average Rate | |||||||
(Dollars in thousands) | ||||||||||||
Nontime deposits: | ||||||||||||
Noninterest bearing deposits | $ | 103,870 | 18.6 | — | $ | 96,994 | 17.8 | — | ||||
Interest bearing checking accounts | 125,407 | 22.4 | 0.08 | % | 118,344 | 21.7 | 0.08 | % | ||||
Money market accounts | 104,552 | 18.7 | 0.28 | % | 100,128 | 18.4 | 0.19 | % | ||||
Savings accounts | 92,351 | 16.5 | 0.15 | % | 87,551 | 16.1 | 0.15 | % | ||||
Total nontime deposits | 426,180 | 76.2 | 0.13 | % | 403,017 | 74.0 | 0.10 | % | ||||
Time deposits: | ||||||||||||
Less than $100,000 | 63,953 | 11.4 | 0.65 | % | 64,254 | 11.8 | 0.67 | % | ||||
$100,000 and over | 69,398 | 12.4 | 0.93 | % | 77,327 | 14.2 | 1.08 | % | ||||
Total time deposits | 133,351 | 23.8 | 0.80 | % | 141,581 | 26.0 | 0.89 | % | ||||
Total deposits | $ | 559,531 | 100.0 | 0.29 | % | $ | 544,598 | 100.0 | 0.31 | % |
September 30, 2016 | December 31, 2015 | |||||
(Dollars in thousands) | ||||||
Within 3 months | $ | 6,991 | $ | 7,456 | ||
3 to 6 months | 6,343 | 54,776 | ||||
6 to 12 months | 15,361 | 12,964 | ||||
Over 12 months | 13,504 | 13,444 | ||||
$ | 42,199 | $ | 88,640 |
September 30, 2016 | December 31, 2015 | |||||
(Dollars in thousands) | ||||||
Commitments to originate loans | $ | 29,078 | $ | 24,176 | ||
Unused lines of credit | 80,703 | 77,542 | ||||
Standby and commercial letters of credit | 1,624 | 1,614 | ||||
Credit card arrangements | 1,355 | 1,369 | ||||
FHLB Mortgage Partnership Finance credit enhancement obligation, net | 598 | 572 | ||||
Commitment to purchase investment in a real estate limited partnership | 980 | 980 | ||||
Commitment to purchase investment securities | 526 | 1,336 | ||||
Total | $ | 114,864 | $ | 107,589 |
September 30, 2016 | |||
(Dollars in thousands) | |||
Operating lease commitments | $ | 219 | |
Contractual payments on borrowed funds (1) | 37,513 | ||
Deposits without stated maturity (1) (2) | 466,757 | ||
Certificates of deposit (1) (2) | 105,429 | ||
Deferred compensation payouts | 914 | ||
Total | $ | 610,832 |
(1) | The amounts exclude interest payable. |
(2) | While Union has a contractual obligation to depositors should they wish to withdraw all or some of the funds on deposit, management believes, based on historical analysis as well as current conditions in the financial markets, that the majority of these deposits will remain on deposit for the foreseeable future. |
Actual | For Capital Adequacy Purposes | To Be Well Capitalized Under Prompt Corrective Action Provisions | |||||||||||||
As of September 30, 2016 | Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||
(Dollars in thousands) | |||||||||||||||
Company: | |||||||||||||||
Total capital to risk weighted assets | $ | 60,966 | 13.44 | % | $ | 36,289 | 8.00 | % | N/A | N/A | |||||
Tier I capital to risk weighted assets | 55,740 | 12.29 | % | 27,212 | 6.00 | % | N/A | N/A | |||||||
Common Equity Tier 1 to risk weighted assets | 55,740 | 12.29 | % | 20,409 | 4.50 | % | N/A | N/A | |||||||
Tier I capital to average assets | 55,740 | 8.64 | % | 25,806 | 4.00 | % | N/A | N/A | |||||||
Union: | |||||||||||||||
Total capital to risk weighted assets | $ | 60,729 | 13.41 | % | $ | 36,229 | 8.00 | % | $ | 45,286 | 10.00 | % | |||
Tier I capital to risk weighted assets | 55,503 | 12.26 | % | 27,163 | 6.00 | % | 36,217 | 8.00 | % | ||||||
Common Equity Tier 1 to risk weighted assets | 55,503 | 12.26 | % | 20,372 | 4.50 | % | 29,427 | 6.50 | % | ||||||
Tier I capital to average assets | 55,503 | 8.64 | % | 25,696 | 4.00 | % | 32,120 | 5.00 | % |
• | Current/Flat Rates: If rates remain at current levels net interest income is projected to trend downward for the entire simulation as asset yields will continue to erode while funding costs provide little to no relief. |
• | Rising Rates: Higher rates indicate positive results under all scenarios. Under the rising rate scenarios if rates rise in a parallel fashion, net interest income is projected to increase throughout the simulation as asset yields will reset in the higher rate environment and funding cost increases will lag. |
Rate Change | Percent Change in Net Interest Income Limit | Percent Change in Net Interest Income | |||||
Up 300 basis points | (21.00 | )% | 7.8 | % | |||
Up 200 basis points | (14.00 | )% | 5.2 | % |
31.1 | Certification of the Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. |
31.2 | Certification of the Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. |
32.1 | Certification of the Chief Executive Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.* |
32.2 | Certification of the Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.* |
101 | The following materials from the Company's Quarterly Report on Form 10-Q for the quarter ended September 30, 2016 formatted in eXtensible Business Reporting Language (XBRL): (i) the unaudited consolidated balance sheets, (ii) the unaudited consolidated statements of income for the three and nine months ended September 30, 2016 and 2015, (iii) the unaudited consolidated statements of comprehensive income for the three and nine months ended September 30, 2016 and 2015, (iv) the unaudited consolidated statements of changes in stockholders' equity, (iv) the unaudited consolidated statements of cash flows and (v) related notes. |
* | This exhibit shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, or otherwise subject to the liability of that section, and shall not be deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Securities Exchange Act of 1934. |
Union Bankshares, Inc. | ||
November 9, 2016 | /s/ David S. Silverman | |
David S. Silverman | ||
Director, President and Chief Executive Officer | ||
November 9, 2016 | /s/ Karyn J. Hale | |
Karyn J. Hale | ||
Chief Financial Officer | ||
(Principal Financial Officer) |
31.1 | Certification of the Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. |
31.2 | Certification of the Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. |
32.1 | Certification of the Chief Executive Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.* |
32.2 | Certification of the Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.* |
101 | The following materials from the Company's Quarterly Report on Form 10-Q for the quarter ended September 30, 2016 formatted in eXtensible Business Reporting Language (XBRL): (i) the unaudited consolidated balance sheets, (ii) the unaudited consolidated statements of income for the three and nine months ended September 30, 2016 and 2015, (iii) the unaudited consolidated statements of comprehensive income for the three and nine months ended September 30, 2016 and 2015, (iv) the unaudited consolidated statements of changes in stockholders' equity, (iv) the unaudited consolidated statements of cash flows and (v) related notes. |
* | This exhibit shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, or otherwise subject to the liability of that section, and shall not be deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Securities Exchange Act of 1934. |
1. | I have reviewed this quarterly report on Form 10-Q of Union Bankshares, 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 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 we 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 subsidiary, 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 the 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 evaluations; |
(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 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 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 registrant's board of directors: |
(a) | all significant deficiencies and material weaknesses in the design or operation of internal controls 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 controls over financial reporting. |
/s/ David S. Silverman | |
David S. Silverman Director, President and Chief Executive Officer (Principal Executive Officer) |
1. | I have reviewed this quarterly report on Form 10-Q of Union Bankshares, 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 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 we 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 subsidiary, 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 the 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 evaluations; |
(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 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 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 registrant's board of directors: |
(a) | all significant deficiencies and material weaknesses in the design or operation of internal controls 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 controls over financial reporting. |
/s/ Karyn J. Hale | |
Karyn J. Hale Chief Financial Officer (Principal Financial Officer) |
/s/ David S. Silverman | |
David S. Silverman Chief Executive Officer |
/s/ Karyn J. Hale | |
Karyn J. Hale Chief Financial Officer |
Document and Entity Information Document - shares |
9 Months Ended | |
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Sep. 30, 2016 |
Oct. 29, 2016 |
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Entity Information [Line Items] | ||
Entity Registrant Name | UNION BANKSHARES INC | |
Entity Central Index Key | 0000706863 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2016 | |
Document Fiscal Year Focus | 2016 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 4,459,655 | |
Entity Well-known Seasoned Issuer | No | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes |
Consolidated Balance Sheets (September 30, 2016 Unaudited) Consolidated Balance Sheets Parenthetical - USD ($) $ in Thousands |
Sep. 30, 2016 |
Dec. 31, 2015 |
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Assets | ||
Investment securities held-to-maturity, fair value | $ 1,001 | $ 5,100 |
Stockholders' Equity | ||
Common stock, par value | $ 2.00 | $ 2.00 |
Common stock, shares authorized | 7,500,000 | 7,500,000 |
Common stock, shares issued | 4,934,296 | 4,931,796 |
Treasury stock, shares | 474,642 | 474,619 |
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
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Sep. 30, 2016 |
Sep. 30, 2015 |
Sep. 30, 2016 |
Sep. 30, 2015 |
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Net Income | $ 2,268 | $ 2,050 | $ 6,166 | $ 5,951 |
Investment securities available-for-sale: | ||||
Net unrealized holding (losses) gains arising during the period on investment securities available-for-sale | (182) | 299 | 714 | 81 |
Reclassification adjustment for net gains on sales of investment securities available-for-sale realized in net income | (35) | (27) | (47) | (27) |
Total other comprehensive (loss) income | (217) | 272 | 667 | 54 |
Total comprehensive income | $ 2,051 | $ 2,322 | $ 6,833 | $ 6,005 |
Consolidated Statements of Changes in Stockholders' Equity (Unaudited) Consolidated Statements of Changes in Stockholders' Equity Parenthetical - $ / shares |
3 Months Ended | 9 Months Ended | ||
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Sep. 30, 2016 |
Sep. 30, 2015 |
Sep. 30, 2016 |
Sep. 30, 2015 |
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Dividends per common share | $ 0.28 | $ 0.27 | $ 0.83 | $ 0.81 |
Basis of Presentation |
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Sep. 30, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Significant Accounting Policies [Text Block] | Basis of Presentation The accompanying unaudited interim consolidated financial statements of Union Bankshares, Inc. and Subsidiary (together, the Company) as of September 30, 2016, and for the three and nine months ended September 30, 2016 and 2015, have been prepared in conformity with GAAP for interim financial information, general practices within the banking industry, and the accounting policies described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015. The Company's sole subsidiary is Union Bank. In the opinion of the Company’s management, all adjustments, consisting only of normal recurring adjustments and disclosures necessary for a fair presentation of the information contained herein, have been made. This information should be read in conjunction with the Company’s 2015 Annual Report on Form 10-K. The results of operations for the interim periods are not necessarily indicative of the results of operations to be expected for the full fiscal year ending December 31, 2016, or any interim period. Certain amounts in the 2015 consolidated financial statements have been reclassified to conform to the 2016 presentation. The acronyms, abbreviations and capitalized terms identified below are used throughout this Form 10-Q, including Part I. "Financial Information" and Part II. "Other Information". The following is provided to aid the reader and provide a reference page when reviewing this Form 10-Q.
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Legal Contingencies |
9 Months Ended |
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Sep. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Legal Matters and Contingencies Disclosure [Text Block] | Legal Contingencies In the normal course of business, the Company is involved in various legal and other proceedings. In the opinion of management, any liability resulting from such proceedings is not expected to have a material adverse effect on the Company’s consolidated financial condition or results of operations. |
Per Share Information |
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Sep. 30, 2016 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | Per Share Information Earnings per common share are computed based on the weighted average number of shares of common stock outstanding during the period and reduced for shares held in treasury. The assumed conversion of outstanding exercisable stock options and restricted stock units does not result in material dilution and is not included in the calculation. |
Recent Accounting Pronouncements |
9 Months Ended |
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Sep. 30, 2016 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
New Accounting Pronouncements and Changes in Accounting Principles [Text Block] | Recent Accounting Pronouncements In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Liabilities. The ASU was issued to enhance the reporting model for financial instruments to provide users of financial statements with more useful information for decisions. The ASU is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. Early adoption is permitted for only one of the six amendments, otherwise it is not permitted. The Company is evaluating the potential impact of the ASU on its consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). The ASU was issued to increase transparency and comparability among organizations by recognizing lease assets and liabilities (including operating leases) on the balance sheet and disclosing key information about leasing arrangements. Previous lease accounting did not require the inclusion of operating leases in the balance sheet. The ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early application is permitted. The Company is evaluating the potential impact of the ASU on its consolidated financial statements. In March 2016, the FASB issued ASU No. 2016-09, Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. The ASU simplifies several aspects of the accounting for share-based payment award transactions, including: (1) income tax consequences; (2) classification of awards as either equity or liabilities, and (3) classification on the statement of cash flows. The ASU is effective for annual periods beginning after December 15, 2016 and interim periods within those annual periods. Early adoption is permitted. The Company is evaluating the potential impact of the ASU on its consolidated financial statements. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. Under the new guidance, which will replace the existing incurred loss model for recognizing credit losses, banks and other lending institutions will be required to recognize the full amount of expected credit losses. The new guidance, which is referred to as the current expected credit loss model ("CECL"), requires that expected credit losses for financial assets held at the reporting date that are accounted for at amortized cost be measured and recognized based on historical experience and current and reasonably supportable forecasted conditions to reflect the full amount of expected credit losses. A modified version of these requirements also applies to debt securities classified as available for sale. The ASU is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted for fiscal years beginning after December 15, 2018, including interim periods within such years. The Company is evaluating the potential impact of the ASU on its consolidated financial statements. |
Goodwill and Other Intangible Assets |
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Sep. 30, 2016 | |||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Text Block] | Goodwill and Other Intangible Assets As a result of the 2011 Branch Acquisition, the Company recorded goodwill amounting to $2.2 million. The goodwill is not amortizable. Goodwill is evaluated for impairment annually, in accordance with current authoritative accounting guidance. Management assesses qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not that the fair value of the Company, in total, is less than its carrying amount. Management is not aware of any such events or circumstances that would cause it to conclude that the fair value of the Company is less than its carrying amount. The Company also recorded $1.7 million of acquired identifiable intangible assets in connection with the 2011 Branch Acquisition, representing the core deposit intangible which is subject to straight-line amortization over the estimated 10 year average life of the core deposit base, absent any future impairment. Management will evaluate the core deposit intangible for impairment if conditions warrant. Amortization expense for the core deposit intangible was $43 thousand for the three months ended September 30, 2016 and 2015 and was $129 thousand for the nine months ended September 30, 2016 and 2015. The amortization expense is included in other expenses on the consolidated statement of income and is deductible for tax purposes. As of September 30, 2016, the remaining amortization expense related to the core deposit intangible, absent any future impairment, is expected to be as follows:
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Investment Securities |
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Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | Investment Securities Investment securities as of the balance sheet dates consisted of the following:
Investment securities with a carrying amount of $12.6 million and $25.7 million at September 30, 2016 and December 31, 2015, respectively, were pledged as collateral for public deposits and for other purposes as required or permitted by law. The amortized cost and estimated fair value of debt securities by contractual scheduled maturity as of September 30, 2016 were as follows:
Actual maturities may differ for certain debt securities that may be called by the issuer prior to the contractual maturity. Actual maturities usually differ from contractual maturities on agency MBS because the mortgages underlying the securities may be prepaid, usually without any penalties. Therefore, these agency MBS are shown separately and are not included in the contractual maturity categories in the above maturity summary. Information pertaining to all investment securities with gross unrealized losses as of the balance sheet dates, aggregated by investment category and length of time that individual securities have been in a continuous loss position, follows:
The Company evaluates all investment securities on a quarterly basis, and more frequently when economic conditions warrant, to determine if an OTTI exists. A security is considered impaired if the fair value is lower than its amortized cost basis at the report date. If impaired, management then assesses whether the unrealized loss is OTT. An unrealized loss on a debt security is generally deemed to be OTT and a credit loss is deemed to exist if the present value of the expected future cash flows is less than the amortized cost basis of the debt security. The credit loss component of OTTI write-down is recorded, net of tax effect, through net income as a component of net OTTI losses in the consolidated statement of income, while the remaining portion of the impairment loss is recognized in OCI, provided the Company does not intend to sell the underlying debt security and it is "more likely than not" that the Company will not have to sell the debt security prior to recovery. Declines in the fair values of individual equity securities that are deemed by management to be OTT are reflected in noninterest income when identified. Management considers the following factors in determining whether OTTI exists and the period over which the security is expected to recover:
The Company has the ability to hold the investment securities that had unrealized losses at September 30, 2016 for the foreseeable future and no declines were deemed by management to be OTT. The following table presents the proceeds, gross realized gains and gross realized losses from the sale of AFS securities:
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Loans |
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Loans and Leases Receivable Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financing Receivables [Text Block] | Loans Loans receivable that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at their unpaid principal balances, adjusted for any charge-offs, the ALL, and any deferred fees or costs on originated loans and unamortized premiums or discounts on purchased loans. Loan interest income is accrued daily on outstanding balances. The following accounting policies, related to accrual and nonaccrual loans, apply to all portfolio segments and loan classes, which the Company considers to be the same. The accrual of interest is normally discontinued when a loan is specifically determined to be impaired and/or management believes, after considering collection efforts and other factors, that the borrower's financial condition is such that collection of interest is doubtful. Generally, any unpaid interest previously accrued on those loans is reversed against current period interest income. A loan may be restored to accrual status when its financial status has significantly improved and there is no principal or interest past due. A loan may also be restored to accrual status if the borrower makes six consecutive monthly payments or the lump sum equivalent. Income on nonaccrual loans is generally not recognized unless a loan is returned to accrual status or after all principal has been collected. Interest income generally is not recognized on impaired loans unless the likelihood of further loss is remote. Interest payments received on such loans are generally applied as a reduction of the loan principal balance. Delinquency status is determined based on contractual terms for all portfolio segments and loan classes. Loans past due 30 days or more are considered delinquent. Loans are considered in process of foreclosure when a judgment of foreclosure has been issued by the court. Loan origination fees and direct loan origination costs are deferred and amortized as an adjustment of the related loan's yield using methods that approximate the interest method. The Company generally amortizes these amounts over the estimated average life of the related loans. The loans purchased in the 2011 Branch Acquisition were initially recorded at $32.9 million, the estimated fair value at the time of purchase. The estimated fair value contains both accretable and nonaccretable components. The accretable component is amortized as an adjustment to the related loan yield over the average life of the loan. The nonaccretable component represents probable loss due to credit risk and is reviewed by management periodically and adjusted as deemed necessary. At the acquisition date, the fair value of the loans acquired resulted in an accretable loan premium component of $545 thousand, less a nonaccretable credit risk component of $318 thousand. As of September 30, 2016 and December 31, 2015, there was no remaining accretable loan premium component balance and no remaining nonaccretable credit risk component balance due to the transfer of the remaining acquired portfolios to the Company's existing loan portfolios during the fourth quarter of 2015. There were no acquired loans at September 30, 2016 or December 31, 2015. The following table summarizes activity in the accretable loan premium component for the acquired loan portfolio during the three and nine month comparison periods:
Changes in the accretable and nonaccretable components have been charged to Interest and fees on loans on the Company's consolidated statements of income for the periods reported. The composition of Net loans as of the balance sheet dates were as follows:
Residential real estate loans aggregating $17.2 million at December 31, 2015 were pledged as collateral on deposits of municipalities. There were no loans pledged as collateral on deposits of municipalities at September 30, 2016. Qualifying residential first mortgage loans held by Union may be pledged as collateral for borrowings from the FHLB under a blanket lien. A summary of current, past due and nonaccrual loans as of the balance sheet dates follows:
There was one residential real estate loan totaling $50 thousand in process of foreclosure at September 30, 2016. Aggregate interest on nonaccrual loans not recognized was $1.3 million and $1.2 million as of September 30, 2016 and 2015, respectively, and $1.2 million as of December 31, 2015. |
Allowance for loan losses and credit quality |
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Loans and Leases Receivable, Allowance [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for Credit Losses [Text Block] | Allowance for Loan Losses and Credit Quality The ALL is established for estimated losses in the loan portfolio through a provision for loan losses charged to earnings. For all loan classes, loan losses are charged against the ALL when management believes the loan balance is uncollectible or in accordance with federal guidelines. Subsequent recoveries, if any, are credited to the ALL. The ALL is maintained at a level believed by management to be appropriate to absorb probable credit losses inherent in the loan portfolio as of the balance sheet date. The amount of the ALL is based on management's periodic evaluation of the collectability of the loan portfolio, including the nature, volume and risk characteristics of the portfolio, credit concentrations, trends in historical loss experience, estimated value of any underlying collateral, specific impaired loans and economic conditions. There has been no change to the methodology used to estimate the ALL during the third quarter of 2016. While management uses available information to recognize losses on loans, future additions to the ALL may be necessary based on changes in economic conditions or other relevant factors. In addition, various regulatory agencies, as an integral part of their examination process, regularly review the Company's ALL. Such agencies may require the Company to recognize additions to the ALL, with a corresponding charge to earnings, based on their judgments about information available to them at the time of their examination, which may not be currently available to management. The ALL consists of specific, general and unallocated components. The specific component relates to the loans that are classified as impaired. Loans are evaluated for impairment and may be classified as impaired when management believes it is probable that the Company will not collect all the contractual interest and principal payments as scheduled in the loan agreement. Impaired loans may also include troubled loans that are restructured. A TDR occurs when the Company, for economic or legal reasons related to the borrower's financial difficulties, grants a concession to the borrower that would otherwise not be granted. A TDR classification may result from the transfer of assets to the Company in partial satisfaction of a troubled loan, a modification of a loan's terms (such as reduction of stated interest rates below market rates, extension of maturity that does not conform to the Company's policies, reduction of the face amount of the loan, reduction of accrued interest, or reduction or deferment of loan payments), or a combination. A specific reserve amount is allocated to the ALL for individual loans that have been classified as impaired based on management's estimate of the fair value of the collateral for collateral dependent loans, an observable market price, or the present value of anticipated future cash flows. The Company accounts for the change in present value attributable to the passage of time in the loan loss reserve. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Company does not separately identify individual consumer, real estate or small balance commercial loans for impairment evaluation, unless such loans are subject to a restructuring agreement or have been identified as impaired as part of a larger customer relationship. Management has established the threshold for individual impairment evaluation for commercial loans with balances greater than $500 thousand, based on an evaluation of the Company's historical loss experience on substandard commercial loans. The general component represents the level of ALL allocable to each loan portfolio segment with similar risk characteristics and is determined based on historical loss experience, adjusted for qualitative factors, for each class of loan. Management deems a five year average to be an appropriate time frame on which to base historical losses for each portfolio segment. Qualitative factors considered include underwriting, economic and market conditions, portfolio composition, collateral values, delinquencies, lender experience and legal issues. The qualitative factors are determined based on the various risk characteristics of each portfolio segment. Risk characteristics relevant to each portfolio segment are as follows:
An unallocated component is maintained to cover uncertainties that could affect management's estimate of probable losses. The unallocated component of the ALL reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating specific and general losses in the portfolio. All evaluations are inherently subjective as they require estimates that are susceptible to significant revision as more information becomes available or as changes occur in economic conditions or other relevant factors. Despite the allocation shown in the tables below, the ALL is general in nature and is available to absorb losses from any class of loan. Changes in the ALL, by class of loans, for the three and nine months ended September 30, 2016 and 2015 were as follows:
The allocation of the ALL, summarized on the basis of the Company's impairment methodology by class of loan, as of the balance sheet dates were as follows:
The recorded investment in loans, summarized on the basis of the Company's impairment methodology by class of loan, as of the balance sheet dates were as follows:
Risk and collateral ratings are assigned to loans and are subject to ongoing monitoring by lending and credit personnel with such ratings updated annually or more frequently if warranted. The following is an overview of the Company's loan rating system: 1-3 Rating - Pass Risk-rating grades "1" through "3" comprise those loans ranging from those with lower than average credit risk, defined as borrowers with high liquidity, excellent financial condition, strong management, favorable industry trends or loans secured by highly liquid assets, through those with marginal credit risk, defined as borrowers that, while creditworthy, exhibit some characteristics requiring special attention by the account officer. 4/M Rating - Satisfactory/Monitor Borrowers exhibit potential credit weaknesses or downward trends warranting management's attention. While potentially weak, these borrowers are currently marginally acceptable; no loss of principal or interest is envisioned. When warranted, these credits may be monitored on the watch list. 5-7 Rating - Substandard Borrowers exhibit well defined weaknesses that jeopardize the orderly liquidation of debt. The loan may be inadequately protected by the net worth and paying capacity of the obligor and/or the underlying collateral is inadequate. The following tables summarize the loan ratings applied to the Company's loans by class as of the balance sheet dates:
The following table provides information with respect to impaired loans by class of loan as of and for the three and nine months ended September 30, 2016:
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The following table provides information with respect to impaired loans by class of loan as of and for the three and nine months ended September 30, 2015:
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The following table provides information with respect to impaired loans as of December 31, 2015:
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The following is a summary of TDR loans by class of loan as of the balance sheet dates:
The TDR loans above represent loan modifications in which a concession was provided to the borrower, including due date extensions, maturity date extensions, interest rate reductions or the forgiveness of accrued interest. Troubled loans, that are restructured and meet established thresholds, are classified as impaired and a specific reserve amount is allocated to the ALL on the basis of the fair value of the collateral for collateral dependent loans, an observable market price, or the present value of anticipated future cash flows. The following table provides new TDR activity for the three and nine months ended September 30, 2016:
The following table provides new TDR activity for the three and nine months ended September 30, 2015.
There were no TDR loans modified within the previous twelve months that had subsequently defaulted during the three and nine month periods ended September 30, 2016 or September 30, 2015. TDR loans are considered defaulted at 90 days past due. At September 30, 2016 and December 31, 2015, the Company was not committed to lend any additional funds to borrowers whose loans were nonperforming, impaired or restructured. |
Defined Benefit Pension Plan |
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Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pension and Other Postretirement Benefits Disclosure [Text Block] | Defined Benefit Pension Plan Union sponsors a noncontributory defined benefit pension plan covering all eligible employees employed prior to October 5, 2012. On October 5, 2012, the Company closed the Plan to new participants and froze the accrual of retirement benefits for current participants. It is Union's current intent to continue to maintain the frozen Plan and related Trust account and to distribute benefits to participants at such time and in such manner as provided under the terms of the Plan. The Company will continue to recognize the pension benefit and cash funding obligations for the remaining life of the associated liability for the frozen benefits under the Plan. The Plan provides defined benefits based on years of service and final average salary prior to October 5, 2012. Net periodic pension benefit for the three and nine months ended September 30 consisted of the following components:
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Stock Based Compensation |
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Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | Stock Based Compensation The Company's current stock-based compensation plan is the Union Bankshares, Inc. 2014 Equity Incentive Plan. Under the 2014 Equity Plan, 50,000 shares of the Company’s common stock are available for equity awards of incentive stock options, nonqualified stock options, restricted stock and RSUs to eligible officers and (except for awards of incentive stock options) nonemployee directors. Shares available for issuance of awards under the 2014 Equity Plan consist of unissued shares of the Company’s common stock and/or shares held in treasury. During the nine months ended September 30, 2016 the following awards and contingent awards were made to eligible officers under the 2014 Equity Plan:
As of September 30, 2016, 4,500 options granted in December 2014 under the 2014 Equity Plan remained outstanding and exercisable and will expire in December 2021. There was no unrecognized compensation cost related to these options as of September 30, 2016 and all exercisable options were "in the money". As of September 30, 2016, 36,436 shares remained available for future equity awards under the 2014 Equity Plan. As of September 30, 2016, 4,000 options granted under the 2008 ISO Plan remained outstanding and exercisable, with the last of such options expiring in December 2020. There was no unrecognized compensation cost related to these options as of September 30, 2016 and all exercisable options were "in the money". |
Other Comprehensive Income (Loss) |
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Comprehensive Income (Loss) Note [Text Block] | Other Comprehensive Income (Loss) Accounting principles generally require recognized revenue, expenses, gains and losses be included in net income or loss. Certain changes in assets and liabilities, such as the after tax effect of unrealized gains and losses on investment securities AFS that are not OTTI and the unfunded liability for the defined benefit pension plan, are not reflected in the consolidated statements of income. The cumulative effect of such items, net of tax effect, is reported as a separate component of the equity section of the consolidated balance sheet (Accumulated OCI). OCI, along with net income, comprises the Company's total comprehensive income or loss. As of the balance sheet dates, the components of Accumulated OCI, net of tax, were:
The following tables disclose the tax effects allocated to each component of OCI for the three and nine months ended September 30:
The following table discloses information concerning the reclassification adjustments from OCI for the three and nine months ended September 30:
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Fair Value Measurement |
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Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Text Block] | Fair Value Measurement The Company utilizes FASB ASC Topic 820, Fair Value Measurement, as guidance for accounting for assets and liabilities carried at fair value. This standard defines fair value as the price that would be received, without adjustment for transaction costs, to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is a market based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. The guidance in FASB ASC Topic 820 establishes a three-level fair value hierarchy, which prioritizes the inputs used in measuring fair value. A financial instrument’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The three levels of the fair value hierarchy are:
The following is a description of the valuation methodologies used for the Company’s assets that are measured on a recurring basis at estimated fair value: AFS securities: Marketable equity securities and mutual funds have been valued using unadjusted quoted prices from active markets and therefore have been classified as Level 1. However, the majority of the Company’s AFS securities have been valued utilizing Level 2 inputs. For these securities, the Company obtains fair value measurements from an independent pricing service. The fair value measurements consider observable data that may include market maker bids, quotes and pricing models. Inputs to the pricing models include recent trades, benchmark interest rates, spreads and actual and projected cash flows. Assets measured at fair value on a recurring basis at September 30, 2016 and December 31, 2015, segregated by fair value hierarchy level, are summarized below:
There were no significant transfers in or out of Levels 1 and 2 during the three and nine months ended September 30, 2016, nor were there any Level 3 assets at any time during the period. Certain other assets and liabilities are measured at fair value on a nonrecurring basis, that is, the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). Assets and liabilities measured at fair value on a nonrecurring basis in periods after initial recognition, such as impaired loans, HTM securities, MSRs and OREO, were not considered material at September 30, 2016 or December 31, 2015. The Company has not elected to apply the fair value method to any financial assets or liabilities other than those situations where other accounting pronouncements require fair value measurements. FASB ASC Topic 825, Financial Instruments, requires disclosure of the estimated fair value of financial instruments. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for the Company’s various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Management’s estimates and assumptions are inherently subjective and involve uncertainties and matters of significant judgment. Changes in assumptions could dramatically affect the estimated fair values. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument. Certain financial instruments and all nonfinancial instruments may be excluded from disclosure requirements. Thus, the aggregate fair value amounts presented may not necessarily represent the actual underlying fair value of such instruments of the Company. The following methods and assumptions were used by the Company in estimating the fair value of its significant financial instruments: Cash and cash equivalents: The carrying amounts reported in the balance sheet for cash and cash equivalents approximate those assets' fair values and are classified as Level 1. Interest bearing deposits in banks: Fair values for interest bearing deposits in banks are based on discounted present values of cash flows and are classified as Level 2. Investment securities: Fair values for investment securities are based on quoted market prices, where available. If quoted market prices are not available, fair value measurements consider observable data which may include market maker bids, quotes and pricing models. Inputs to the pricing models include recent trades, benchmark interest rates, spreads and actual and projected cash flows. Investment securities are classified as Level 1 or Level 2 depending on availability of recent trade information. Loans held for sale: The fair value of loans held for sale is estimated based on quotes from third party vendors, resulting in a Level 2 classification. Loans: The fair values of loans are estimated for portfolios of loans with similar financial characteristics and segregated by loan class or segment. For variable-rate loan categories that reprice frequently and with no significant change in credit risk, fair values are based on carrying amounts adjusted for credit risk. The fair values for other loans (for example, fixed-rate residential, commercial real estate, and rental property mortgage loans as well as commercial and industrial loans) are estimated using discounted cash flow analysis, based on interest rates currently being offered for loans with similar terms to borrowers of similar credit quality. Loan fair value estimates include judgments regarding future cash flows, future expected loss experience and risk characteristics. Fair values for impaired loans are estimated using discounted cash flow analysis or underlying collateral values, where applicable. The fair value methods and assumptions that utilize unobservable inputs as defined by current accounting standards are classified as Level 3. Accrued interest receivable and payable: The carrying amounts of accrued interest approximate their fair values and are classified as Level 1, 2, or 3 in accordance with the classification of the related principal's valuation. Nonmarketable equity securities: It is not practical to determine the fair value of the nonmarketable securities, such as FHLB stock, due to restrictions placed on their transferability. Deposits: The fair values disclosed for noninterest bearing deposits and other interest bearing nontime deposits are, by definition, equal to the amount payable on demand at the reporting date, resulting in a Level 1 classification. The fair values for time deposits are estimated using a discounted cash flow calculation that applies interest rates currently being offered on similar deposits to a schedule of aggregated expected maturities on such deposits, resulting in a Level 2 classification. At December 31, 2015, other interest bearing nontime deposits were classified as Level 2 as the fair value was estimated using a discounted cash flow calculation that applied interest rates that were being offered on similar deposits to a schedule of aggregated expected maturities on such deposits. Borrowed funds: The fair values of the Company’s long-term debt are estimated using discounted cash flow analysis based on interest rates currently being offered on similar debt instruments, resulting in a Level 2 classification. The fair values of the Company’s short-term debt approximate the carrying amounts reported in the balance sheet, resulting in a Level 1 classification. Off-balance-sheet financial instruments: Fair values for off-balance-sheet, credit-related financial instruments are based on fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the counterparties’ credit standing. The only commitments to extend credit that are normally longer than one year in duration are the home equity lines whose interest rates are variable quarterly. The only fees collected for commitments are an annual fee on credit card arrangements and often a flat fee on commercial lines of credit and standby letters of credit. The fair value of off-balance-sheet financial instruments as of the balance sheet dates was not significant. As of the balance sheet dates, the estimated fair values and related carrying amounts of the Company's significant financial instruments were as follows:
The carrying amounts in the preceding tables are included in the consolidated balance sheets under the applicable captions. |
Subsequent Events |
9 Months Ended |
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Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | Subsequent Events Subsequent events represent events or transactions occurring after the balance sheet date but before the financial statements are issued. Financial statements are considered “issued” when they are widely distributed to shareholders and others for general use and reliance in a form and format that complies with GAAP. Events occurring subsequent to September 30, 2016 have been evaluated as to their potential impact to the consolidated financial statements. On October 19, 2016, the Company declared a regular quarterly cash dividend of $0.28 per share, payable November 8, 2016, to stockholders of record on October 29, 2016. |
Basis of Presentation Accounting Policies (Policies) |
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Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||
Basis of financial statement presentation [Policy Text Block] | The accompanying unaudited interim consolidated financial statements of Union Bankshares, Inc. and Subsidiary (together, the Company) as of September 30, 2016, and for the three and nine months ended September 30, 2016 and 2015, have been prepared in conformity with GAAP for interim financial information, general practices within the banking industry, and the accounting policies described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015. The Company's sole subsidiary is Union Bank. In the opinion of the Company’s management, all adjustments, consisting only of normal recurring adjustments and disclosures necessary for a fair presentation of the information contained herein, have been made. This information should be read in conjunction with the Company’s 2015 Annual Report on Form 10-K. The results of operations for the interim periods are not necessarily indicative of the results of operations to be expected for the full fiscal year ending December 31, 2016, or any interim period. Certain amounts in the 2015 consolidated financial statements have been reclassified to conform to the 2016 presentation. |
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Earnings per common share [Policy Text Block] | Earnings per common share are computed based on the weighted average number of shares of common stock outstanding during the period and reduced for shares held in treasury. The assumed conversion of outstanding exercisable stock options and restricted stock units does not result in material dilution and is not included in the calculation. |
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Recent accounting pronouncements [Policy Text Block] | In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Liabilities. The ASU was issued to enhance the reporting model for financial instruments to provide users of financial statements with more useful information for decisions. The ASU is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. Early adoption is permitted for only one of the six amendments, otherwise it is not permitted. The Company is evaluating the potential impact of the ASU on its consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). The ASU was issued to increase transparency and comparability among organizations by recognizing lease assets and liabilities (including operating leases) on the balance sheet and disclosing key information about leasing arrangements. Previous lease accounting did not require the inclusion of operating leases in the balance sheet. The ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early application is permitted. The Company is evaluating the potential impact of the ASU on its consolidated financial statements. In March 2016, the FASB issued ASU No. 2016-09, Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. The ASU simplifies several aspects of the accounting for share-based payment award transactions, including: (1) income tax consequences; (2) classification of awards as either equity or liabilities, and (3) classification on the statement of cash flows. The ASU is effective for annual periods beginning after December 15, 2016 and interim periods within those annual periods. Early adoption is permitted. The Company is evaluating the potential impact of the ASU on its consolidated financial statements. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. Under the new guidance, which will replace the existing incurred loss model for recognizing credit losses, banks and other lending institutions will be required to recognize the full amount of expected credit losses. The new guidance, which is referred to as the current expected credit loss model ("CECL"), requires that expected credit losses for financial assets held at the reporting date that are accounted for at amortized cost be measured and recognized based on historical experience and current and reasonably supportable forecasted conditions to reflect the full amount of expected credit losses. A modified version of these requirements also applies to debt securities classified as available for sale. The ASU is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted for fiscal years beginning after December 15, 2018, including interim periods within such years. The Company is evaluating the potential impact of the ASU on its consolidated financial statements. |
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Intangible assets [Policy Text Block] | As a result of the 2011 Branch Acquisition, the Company recorded goodwill amounting to $2.2 million. The goodwill is not amortizable. Goodwill is evaluated for impairment annually, in accordance with current authoritative accounting guidance. Management assesses qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not that the fair value of the Company, in total, is less than its carrying amount. Management is not aware of any such events or circumstances that would cause it to conclude that the fair value of the Company is less than its carrying amount. The Company also recorded $1.7 million of acquired identifiable intangible assets in connection with the 2011 Branch Acquisition, representing the core deposit intangible which is subject to straight-line amortization over the estimated 10 year average life of the core deposit base, absent any future impairment. Management will evaluate the core deposit intangible for impairment if conditions warrant. |
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Investment securities [Policy Text Block] | The Company evaluates all investment securities on a quarterly basis, and more frequently when economic conditions warrant, to determine if an OTTI exists. A security is considered impaired if the fair value is lower than its amortized cost basis at the report date. If impaired, management then assesses whether the unrealized loss is OTT. An unrealized loss on a debt security is generally deemed to be OTT and a credit loss is deemed to exist if the present value of the expected future cash flows is less than the amortized cost basis of the debt security. The credit loss component of OTTI write-down is recorded, net of tax effect, through net income as a component of net OTTI losses in the consolidated statement of income, while the remaining portion of the impairment loss is recognized in OCI, provided the Company does not intend to sell the underlying debt security and it is "more likely than not" that the Company will not have to sell the debt security prior to recovery. Declines in the fair values of individual equity securities that are deemed by management to be OTT are reflected in noninterest income when identified. Management considers the following factors in determining whether OTTI exists and the period over which the security is expected to recover:
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Loans [Policy Text Block] | Loans receivable that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at their unpaid principal balances, adjusted for any charge-offs, the ALL, and any deferred fees or costs on originated loans and unamortized premiums or discounts on purchased loans. Loan interest income is accrued daily on outstanding balances. The following accounting policies, related to accrual and nonaccrual loans, apply to all portfolio segments and loan classes, which the Company considers to be the same. The accrual of interest is normally discontinued when a loan is specifically determined to be impaired and/or management believes, after considering collection efforts and other factors, that the borrower's financial condition is such that collection of interest is doubtful. Generally, any unpaid interest previously accrued on those loans is reversed against current period interest income. A loan may be restored to accrual status when its financial status has significantly improved and there is no principal or interest past due. A loan may also be restored to accrual status if the borrower makes six consecutive monthly payments or the lump sum equivalent. Income on nonaccrual loans is generally not recognized unless a loan is returned to accrual status or after all principal has been collected. Interest income generally is not recognized on impaired loans unless the likelihood of further loss is remote. Interest payments received on such loans are generally applied as a reduction of the loan principal balance. Delinquency status is determined based on contractual terms for all portfolio segments and loan classes. Loans past due 30 days or more are considered delinquent. Loans are considered in process of foreclosure when a judgment of foreclosure has been issued by the court. Loan origination fees and direct loan origination costs are deferred and amortized as an adjustment of the related loan's yield using methods that approximate the interest method. The Company generally amortizes these amounts over the estimated average life of the related loans. The loans purchased in the 2011 Branch Acquisition were initially recorded at $32.9 million, the estimated fair value at the time of purchase. The estimated fair value contains both accretable and nonaccretable components. The accretable component is amortized as an adjustment to the related loan yield over the average life of the loan. The nonaccretable component represents probable loss due to credit risk and is reviewed by management periodically and adjusted as deemed necessary. |
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Allowance for loan losses [Policy Text Block] | The ALL is established for estimated losses in the loan portfolio through a provision for loan losses charged to earnings. For all loan classes, loan losses are charged against the ALL when management believes the loan balance is uncollectible or in accordance with federal guidelines. Subsequent recoveries, if any, are credited to the ALL. The ALL is maintained at a level believed by management to be appropriate to absorb probable credit losses inherent in the loan portfolio as of the balance sheet date. The amount of the ALL is based on management's periodic evaluation of the collectability of the loan portfolio, including the nature, volume and risk characteristics of the portfolio, credit concentrations, trends in historical loss experience, estimated value of any underlying collateral, specific impaired loans and economic conditions. There has been no change to the methodology used to estimate the ALL during the third quarter of 2016. While management uses available information to recognize losses on loans, future additions to the ALL may be necessary based on changes in economic conditions or other relevant factors. In addition, various regulatory agencies, as an integral part of their examination process, regularly review the Company's ALL. Such agencies may require the Company to recognize additions to the ALL, with a corresponding charge to earnings, based on their judgments about information available to them at the time of their examination, which may not be currently available to management. The ALL consists of specific, general and unallocated components. The specific component relates to the loans that are classified as impaired. Loans are evaluated for impairment and may be classified as impaired when management believes it is probable that the Company will not collect all the contractual interest and principal payments as scheduled in the loan agreement. Impaired loans may also include troubled loans that are restructured. A TDR occurs when the Company, for economic or legal reasons related to the borrower's financial difficulties, grants a concession to the borrower that would otherwise not be granted. A TDR classification may result from the transfer of assets to the Company in partial satisfaction of a troubled loan, a modification of a loan's terms (such as reduction of stated interest rates below market rates, extension of maturity that does not conform to the Company's policies, reduction of the face amount of the loan, reduction of accrued interest, or reduction or deferment of loan payments), or a combination. A specific reserve amount is allocated to the ALL for individual loans that have been classified as impaired based on management's estimate of the fair value of the collateral for collateral dependent loans, an observable market price, or the present value of anticipated future cash flows. The Company accounts for the change in present value attributable to the passage of time in the loan loss reserve. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Company does not separately identify individual consumer, real estate or small balance commercial loans for impairment evaluation, unless such loans are subject to a restructuring agreement or have been identified as impaired as part of a larger customer relationship. Management has established the threshold for individual impairment evaluation for commercial loans with balances greater than $500 thousand, based on an evaluation of the Company's historical loss experience on substandard commercial loans. The general component represents the level of ALL allocable to each loan portfolio segment with similar risk characteristics and is determined based on historical loss experience, adjusted for qualitative factors, for each class of loan. Management deems a five year average to be an appropriate time frame on which to base historical losses for each portfolio segment. Qualitative factors considered include underwriting, economic and market conditions, portfolio composition, collateral values, delinquencies, lender experience and legal issues. The qualitative factors are determined based on the various risk characteristics of each portfolio segment. Risk characteristics relevant to each portfolio segment are as follows:
An unallocated component is maintained to cover uncertainties that could affect management's estimate of probable losses. The unallocated component of the ALL reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating specific and general losses in the portfolio. All evaluations are inherently subjective as they require estimates that are susceptible to significant revision as more information becomes available or as changes occur in economic conditions or other relevant factors. |
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Pension plans [Policy Text Block] | Union sponsors a noncontributory defined benefit pension plan covering all eligible employees employed prior to October 5, 2012. On October 5, 2012, the Company closed the Plan to new participants and froze the accrual of retirement benefits for current participants. It is Union's current intent to continue to maintain the frozen Plan and related Trust account and to distribute benefits to participants at such time and in such manner as provided under the terms of the Plan. The Company will continue to recognize the pension benefit and cash funding obligations for the remaining life of the associated liability for the frozen benefits under the Plan. The Plan provides defined benefits based on years of service and final average salary prior to October 5, 2012. |
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Comprehensive income (loss) [Policy Text Block] | Accounting principles generally require recognized revenue, expenses, gains and losses be included in net income or loss. Certain changes in assets and liabilities, such as the after tax effect of unrealized gains and losses on investment securities AFS that are not OTTI and the unfunded liability for the defined benefit pension plan, are not reflected in the consolidated statements of income. The cumulative effect of such items, net of tax effect, is reported as a separate component of the equity section of the consolidated balance sheet (Accumulated OCI). OCI, along with net income, comprises the Company's total comprehensive income or loss. |
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Fair value measurements [Policy Text Block] | The Company utilizes FASB ASC Topic 820, Fair Value Measurement, as guidance for accounting for assets and liabilities carried at fair value. This standard defines fair value as the price that would be received, without adjustment for transaction costs, to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is a market based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. The guidance in FASB ASC Topic 820 establishes a three-level fair value hierarchy, which prioritizes the inputs used in measuring fair value. A financial instrument’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The three levels of the fair value hierarchy are:
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Goodwill and Other Intangible Assets (Tables) |
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Sep. 30, 2016 | |||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | As of September 30, 2016, the remaining amortization expense related to the core deposit intangible, absent any future impairment, is expected to be as follows:
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Investment Securities (Tables) |
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Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Available-for-sale and held-to-maturity securities [Table Text Block] | Investment securities as of the balance sheet dates consisted of the following:
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Investments Classified by Contractual Maturity Date [Table Text Block] | The amortized cost and estimated fair value of debt securities by contractual scheduled maturity as of September 30, 2016 were as follows:
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Schedule of Unrealized Loss on Investments [Table Text Block] | Information pertaining to all investment securities with gross unrealized losses as of the balance sheet dates, aggregated by investment category and length of time that individual securities have been in a continuous loss position, follows:
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Realized Gain (Loss) on Investments [Table Text Block] | The following table presents the proceeds, gross realized gains and gross realized losses from the sale of AFS securities:
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Loans (Tables) |
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Loans and Leases Receivable Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans Acquired, Accretable Yield Roll Forward [Table Text Block] | The following table summarizes activity in the accretable loan premium component for the acquired loan portfolio during the three and nine month comparison periods:
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Composition of Net Loans [Table Text Block] | The composition of Net loans as of the balance sheet dates were as follows:
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Past Due Financing Receivables [Table Text Block] | A summary of current, past due and nonaccrual loans as of the balance sheet dates follows:
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Allowance for loan losses and credit quality (Tables) |
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Sep. 30, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans and Leases Receivable, Allowance [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for Credit Losses on Financing Receivables [Table Text Block] | Changes in the ALL, by class of loans, for the three and nine months ended September 30, 2016 and 2015 were as follows:
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Allocation of Allowance for Loan Losses by Impairment Methodology [Table Text Block] | The allocation of the ALL, summarized on the basis of the Company's impairment methodology by class of loan, as of the balance sheet dates were as follows:
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Allocation of Investment in Loans by Impairment Methodology [Table Text Block] | The recorded investment in loans, summarized on the basis of the Company's impairment methodology by class of loan, as of the balance sheet dates were as follows:
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Financing Receivable Credit Quality Indicators [Table Text Block] | The following tables summarize the loan ratings applied to the Company's loans by class as of the balance sheet dates:
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Impaired Financing Receivables [Table Text Block] | The following table provides information with respect to impaired loans by class of loan as of and for the three and nine months ended September 30, 2016:
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The following table provides information with respect to impaired loans by class of loan as of and for the three and nine months ended September 30, 2015:
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The following table provides information with respect to impaired loans as of December 31, 2015:
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Troubled Debt Restructurings on Financing Receivables [Table Text Block] | The following is a summary of TDR loans by class of loan as of the balance sheet dates:
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New Troubled Debt Restructurings on Financing Receivables [Table Text Block] | The following table provides new TDR activity for the three and nine months ended September 30, 2016:
The following table provides new TDR activity for the three and nine months ended September 30, 2015.
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Defined Benefit Pension Plan (Tables) |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Net Benefit Costs [Table Text Block] | Net periodic pension benefit for the three and nine months ended September 30 consisted of the following components:
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Other Comprehensive Income (Loss) (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | As of the balance sheet dates, the components of Accumulated OCI, net of tax, were:
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Schedule of Comprehensive Income (Loss) [Table Text Block] | The following tables disclose the tax effects allocated to each component of OCI for the three and nine months ended September 30:
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Reclassification out of Accumulated Other Comprehensive Income [Table Text Block] | The following table discloses information concerning the reclassification adjustments from OCI for the three and nine months ended September 30:
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Fair Value Measurement (Tables) |
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Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | Assets measured at fair value on a recurring basis at September 30, 2016 and December 31, 2015, segregated by fair value hierarchy level, are summarized below:
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Fair Values and Carrying Amounts, Significant Financial Instruments [Table Text Block] | As of the balance sheet dates, the estimated fair values and related carrying amounts of the Company's significant financial instruments were as follows:
|
Goodwill and Other Intangible Assets Core Deposit Intangible Amortization (Details) - USD ($) $ in Thousands |
Sep. 30, 2016 |
Dec. 31, 2015 |
---|---|---|
Finite-Lived Intangible Assets [Line Items] | ||
2016 | $ 43 | |
2017 | 171 | |
2018 | 171 | |
2019 | 171 | |
2020 | 171 | |
Thereafter | 70 | |
Total | $ 797 | $ 925 |
Goodwill and Other Intangible Assets Narrative Data (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | |||
---|---|---|---|---|---|
Sep. 30, 2016 |
Sep. 30, 2015 |
Sep. 30, 2016 |
Sep. 30, 2015 |
May 27, 2011 |
|
Finite-Lived Intangible Assets [Line Items] | |||||
Goodwill at Acquisition | $ 2,200 | ||||
Core Deposit Intangible at Acquisition | $ 1,700 | ||||
Amortization of core deposit intangible | $ 43 | $ 43 | $ 129 | $ 129 |
Investment Securities Realized Gain (Loss) on Investments (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2016 |
Sep. 30, 2015 |
Sep. 30, 2016 |
Sep. 30, 2015 |
|
Gain (Loss) on Investments [Line Items] | ||||
Proceeds | $ 3,944 | $ 11,040 | $ 6,617 | $ 11,040 |
Gross gains | 112 | 54 | 131 | 54 |
Gross losses | (59) | (13) | (60) | (13) |
Net gains on sales of investment securities AFS | $ 53 | $ 41 | $ 71 | $ 41 |
Investment Securities Narrative Data (Details) - USD ($) $ in Thousands |
9 Months Ended | |
---|---|---|
Sep. 30, 2016 |
Dec. 31, 2015 |
|
Available-for-sale Securities | ||
Investment securities pledged as collateral | $ 12,600 | $ 25,700 |
Other than temporary declines in investment securities | $ 0 |
Loans Accretable Yield Roll Forward (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2016 |
Sep. 30, 2015 |
Sep. 30, 2016 |
Sep. 30, 2015 |
|
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Balance at beginning of period | $ 0 | $ 256 | $ 0 | $ 292 |
Loan premium amortization | 0 | (26) | 0 | (62) |
Balance at end of period | $ 0 | $ 230 | $ 0 | $ 230 |
Loans Narrative Data (Details) $ in Thousands |
9 Months Ended | 12 Months Ended | |||||
---|---|---|---|---|---|---|---|
Sep. 30, 2016
USD ($)
loans
|
Sep. 30, 2015
USD ($)
|
Dec. 31, 2015
USD ($)
|
Jun. 30, 2016
USD ($)
|
Jun. 30, 2015
USD ($)
|
Dec. 31, 2014
USD ($)
|
May 27, 2011
USD ($)
|
|
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Estimated fair value of loans purchased at acquisition | $ 32,900 | ||||||
Accretable loan premium component | $ 0 | $ 230 | $ 0 | $ 0 | $ 256 | $ 292 | 545 |
Nonaccretable credit risk component | 0 | 0 | $ 318 | ||||
Acquired loans | 0 | 0 | |||||
Loans Pledged as Collateral | $ 0 | 17,200 | |||||
Number of residential real estate loans in process of foreclosure | loans | 1 | ||||||
Recorded investment in residential real estate loans in process of foreclosure | $ 50 | ||||||
Interest on Nonaccrual Loans not recognized | $ 1,300 | $ 1,200 | $ 1,200 |
Allowance for loan losses and credit quality Troubled Debt Restured Loans (Details) $ in Thousands |
Sep. 30, 2016
USD ($)
loans
|
Dec. 31, 2015
USD ($)
loans
|
---|---|---|
Financing Receivable, Modifications [Line Items] | ||
Troubled Debt Restructured Loans, Number of Loans | loans | 30 | 19 |
Troubled Debt Restructured Loans, Principal Balance | $ | $ 3,403 | $ 2,732 |
Residential Real Estate [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled Debt Restructured Loans, Number of Loans | loans | 17 | 11 |
Troubled Debt Restructured Loans, Principal Balance | $ | $ 1,388 | $ 1,197 |
Construction Real Estate [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled Debt Restructured Loans, Number of Loans | loans | 1 | 1 |
Troubled Debt Restructured Loans, Principal Balance | $ | $ 89 | $ 92 |
Commercial Real Estate [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled Debt Restructured Loans, Number of Loans | loans | 10 | 5 |
Troubled Debt Restructured Loans, Principal Balance | $ | $ 1,475 | $ 950 |
Commercial [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled Debt Restructured Loans, Number of Loans | loans | 2 | 2 |
Troubled Debt Restructured Loans, Principal Balance | $ | $ 451 | $ 493 |
Allowance for loan losses and credit quality New Troubled Debt Restructured Loans (Details) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2016
USD ($)
loans
|
Sep. 30, 2015
USD ($)
loans
|
Sep. 30, 2016
USD ($)
loans
|
Sep. 30, 2015
USD ($)
loans
|
|
Residential Real Estate [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
New TDRs, Number of Loans | loans | 3 | 5 | 6 | 5 |
New TDRs, Pre-Modification Outstanding Recorded Investment | $ 89 | $ 504 | $ 278 | $ 504 |
New TDRs, Post-Modification Outstanding Recorded Investment | $ 99 | $ 511 | $ 295 | $ 511 |
Commercial Real Estate [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
New TDRs, Number of Loans | loans | 4 | 0 | 6 | 2 |
New TDRs, Pre-Modification Outstanding Recorded Investment | $ 643 | $ 0 | $ 803 | $ 281 |
New TDRs, Post-Modification Outstanding Recorded Investment | $ 647 | $ 0 | $ 807 | $ 281 |
Allowance for loan losses and credit quality Narrative Data (Details) - loans |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2016 |
Sep. 30, 2015 |
Sep. 30, 2016 |
Sep. 30, 2015 |
|
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Number of TDR loans modified within the previous twelve months that had subsequently defaulted | 0 | 0 | 0 | 0 |
Defined Benefit Pension Plan Net Periodic Pension Benefit Cost (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2016 |
Sep. 30, 2015 |
Sep. 30, 2016 |
Sep. 30, 2015 |
|
Defined Benefit Plan Disclosure [Line Items] | ||||
Interest cost on projected benefit obligation | $ 175 | $ 170 | $ 525 | $ 510 |
Expected return on plan assets | (259) | (286) | (777) | (858) |
Amortization of net loss | 41 | 14 | 123 | 42 |
Net periodic benefit | $ (43) | $ (102) | $ (129) | $ (306) |
Stock Based Compensation Narrative Data (Details) - USD ($) $ / shares in Units, $ in Thousands |
Dec. 31, 2015 |
Sep. 30, 2016 |
Mar. 16, 2016 |
---|---|---|---|
2014 Equity Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares authorized for equity awards | 50,000 | ||
Stock options outstanding | 4,500 | ||
Stock options exercisable | 4,500 | ||
Unrecognized compensation expense, stock options | $ 0 | ||
Shares available for future equity awards | 36,436 | ||
2014 Equity Plan [Member] | Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock units granted | 5,444 | ||
Grant date fair value | $ 27.91 | $ 29.10 | |
Unrecognized compensation expense, unvested restricted stock units | $ 105 | ||
Contingent restricted stock units provisionally granted | 4,456 | ||
Unrecognized compensation expense, contingent unvested restricted stock units | $ 130 | ||
2014 Equity Plan [Member] | Restricted Stock Units (RSUs) [Member] | Time-Based restricted stock units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock units vesting period | 3 years | ||
2014 Equity Plan [Member] | Restricted Stock Units (RSUs) [Member] | Performance-Based restricted stock units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock units vesting period | 2 years | ||
2008 ISO Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock options outstanding | 4,000 | ||
Stock options exercisable | 4,000 | ||
Unrecognized compensation expense, stock options | $ 0 |
Other Comprehensive Income (Loss) Components of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands |
Sep. 30, 2016 |
Dec. 31, 2015 |
---|---|---|
Net unrealized gain (loss) on investment securities available-for-sale | $ 640 | $ (27) |
Defined benefit pension plan net unrealized actuarial loss | (2,275) | (2,275) |
Total | $ (1,635) | $ (2,302) |
Other Comprehensive Income (Loss) Tax Effects Allocated to Each Component of Other Comprehensive Income (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2016 |
Sep. 30, 2015 |
Sep. 30, 2016 |
Sep. 30, 2015 |
|
Other Comprehensive Income, before Tax [Abstract] | ||||
Net unrealized holding (losses) gains arising during the period on investment securities available-for-sale, Before Tax Amount | $ (276) | $ 453 | $ 1,082 | $ 122 |
Reclassification adjustment for net gains on investment securities available-for-sale realized in net income, Before Tax Amount | (53) | (41) | (71) | (41) |
Total other comprehensive (loss) income, Before Tax Amount | (329) | 412 | 1,011 | 81 |
Other Comprehensive Income, Tax [Abstract] | ||||
Net unrealized holding (losses) gains arising during the period on investment securities available-for-sale, Tax | 94 | (154) | (368) | (41) |
Reclassification adjustment for net gains on investment securities available-for-sale realized in net income, Tax | 18 | 14 | 24 | 14 |
Total other comprehensive income (loss) income, Tax | 112 | (140) | (344) | (27) |
Net unrealized holding (losses) gains arising during the period on investment securities available-for-sale | (182) | 299 | 714 | 81 |
Reclassification adjustment for net gains on sales of investment securities available-for-sale realized in net income | (35) | (27) | (47) | (27) |
Total other comprehensive (loss) income, Net of Tax Amount | $ (217) | $ 272 | $ 667 | $ 54 |
Other Comprehensive Income (Loss) Reclassification Adjustments from OCI (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2016 |
Sep. 30, 2015 |
Sep. 30, 2016 |
Sep. 30, 2015 |
|
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassification adjustment for net gains on investment securities available-for-sale realized in net income, Before Tax Amount | $ (53) | $ (41) | $ (71) | $ (41) |
Reclassification adjustment for net gains on investment securities available-for-sale realized in net income, Tax | 18 | 14 | 24 | 14 |
Total reclassifications | $ (35) | $ (27) | $ (47) | $ (27) |
Fair Value Measurement Fair Value, Assets Measured on Recurring Basis (Details) - USD ($) $ in Thousands |
Sep. 30, 2016 |
Dec. 31, 2015 |
---|---|---|
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | $ 59,671 | $ 54,110 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 356 | 345 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 59,315 | 53,765 |
US Government-sponsored enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 7,292 | 10,692 |
US Government-sponsored enterprises [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 7,292 | 10,692 |
Agency mortgage-backed [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 16,550 | 11,058 |
Agency mortgage-backed [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 16,550 | 11,058 |
State and political subdivisions [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 25,452 | 20,032 |
State and political subdivisions [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 25,452 | 20,032 |
Corporate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 10,021 | 11,983 |
Corporate [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 10,021 | 11,983 |
Total debt securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 59,315 | 53,765 |
Total debt securities [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 59,315 | 53,765 |
Mutual funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 356 | 345 |
Mutual funds [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | $ 356 | $ 345 |
Fair Value Measurement Fair Values and Carrying Amounts, Significant Financial Instruments (Details) - USD ($) $ in Thousands |
Sep. 30, 2016 |
Dec. 31, 2015 |
Sep. 30, 2015 |
Dec. 31, 2014 |
---|---|---|---|---|
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash and cash equivalents | $ 35,574 | $ 17,961 | $ 13,684 | $ 41,744 |
Interest bearing deposits in banks | 9,753 | 12,753 | ||
Loans held for sale | 10,214 | 5,635 | ||
Loans, net | 522,361 | 500,506 | ||
Accrued interest receivable | 1,962 | 1,832 | ||
Deposits | ||||
Noninterest bearing | 116,381 | 99,826 | ||
Interest bearing | 350,376 | 310,203 | ||
Time | 105,429 | 150,379 | ||
Residential Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 166,602 | 165,396 | ||
Construction Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 35,531 | 42,889 | ||
Commercial Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 245,642 | 230,442 | ||
Commercial [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 32,884 | 21,397 | ||
Consumer [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 3,914 | 3,963 | ||
Municipal [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 37,788 | 36,419 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash and cash equivalents | 35,574 | 17,961 | ||
Investment securities | 356 | 345 | ||
Deposits | ||||
Noninterest bearing | 116,381 | 99,826 | ||
Interest bearing | 350,376 | |||
Borrowed funds [Abstract] | ||||
Short-term, Fair Value | 6,949 | 3,621 | ||
Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Interest bearing deposits in banks | 9,811 | 12,610 | ||
Investment securities | 60,316 | 58,881 | ||
Loans held for sale | 10,459 | 5,745 | ||
Accrued interest receivable | 377 | 389 | ||
Deposits | ||||
Interest bearing | 310,200 | |||
Time | 105,388 | 150,665 | ||
Borrowed funds [Abstract] | ||||
Long-term, Fair Value | 28,356 | 6,296 | ||
Accrued interest payable | 99 | 269 | ||
Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Accrued interest receivable | 1,585 | 1,443 | ||
Significant Unobservable Inputs (Level 3) [Member] | Residential Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net, Fair Value | 169,166 | 164,462 | ||
Significant Unobservable Inputs (Level 3) [Member] | Construction Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net, Fair Value | 35,672 | 41,956 | ||
Significant Unobservable Inputs (Level 3) [Member] | Commercial Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net, Fair Value | 244,181 | 230,282 | ||
Significant Unobservable Inputs (Level 3) [Member] | Commercial [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net, Fair Value | 32,695 | 20,849 | ||
Significant Unobservable Inputs (Level 3) [Member] | Consumer [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net, Fair Value | 3,988 | 4,032 | ||
Significant Unobservable Inputs (Level 3) [Member] | Municipal [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net, Fair Value | 38,515 | 38,131 | ||
Carrying Amount [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash and cash equivalents | 35,574 | 17,961 | ||
Interest bearing deposits in banks | 9,753 | 12,753 | ||
Investment securities | 60,670 | 59,327 | ||
Loans held for sale | 10,214 | 5,635 | ||
Accrued interest receivable | 1,962 | 1,832 | ||
Nonmarketable equity securities | 2,499 | 1,932 | ||
Deposits | ||||
Noninterest bearing | 116,381 | 99,826 | ||
Interest bearing | 350,376 | 310,203 | ||
Time | 105,429 | 150,379 | ||
Borrowed funds [Abstract] | ||||
Short-term | 6,949 | 3,622 | ||
Long-term | 30,564 | 5,942 | ||
Accrued interest payable | 99 | 269 | ||
Carrying Amount [Member] | Residential Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 165,416 | 164,147 | ||
Carrying Amount [Member] | Construction Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 35,171 | 42,419 | ||
Carrying Amount [Member] | Commercial Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 242,837 | 227,686 | ||
Carrying Amount [Member] | Commercial [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 32,679 | 21,210 | ||
Carrying Amount [Member] | Consumer [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 3,892 | 3,939 | ||
Carrying Amount [Member] | Municipal [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 37,789 | 36,419 | ||
Estimated Fair Value [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash and cash equivalents | 35,574 | 17,961 | ||
Interest bearing deposits in banks | 9,811 | 12,610 | ||
Investment securities | 60,672 | 59,226 | ||
Loans held for sale | 10,459 | 5,745 | ||
Accrued interest receivable | 1,962 | 1,832 | ||
Deposits | ||||
Noninterest bearing | 116,381 | 99,826 | ||
Interest bearing | 350,376 | 310,200 | ||
Time | 105,388 | 150,665 | ||
Borrowed funds [Abstract] | ||||
Short-term, Fair Value | 6,949 | 3,621 | ||
Long-term, Fair Value | 28,356 | 6,296 | ||
Accrued interest payable | 99 | 269 | ||
Estimated Fair Value [Member] | Residential Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net, Fair Value | 169,166 | 164,462 | ||
Estimated Fair Value [Member] | Construction Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net, Fair Value | 35,672 | 41,956 | ||
Estimated Fair Value [Member] | Commercial Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net, Fair Value | 244,181 | 230,282 | ||
Estimated Fair Value [Member] | Commercial [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net, Fair Value | 32,695 | 20,849 | ||
Estimated Fair Value [Member] | Consumer [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net, Fair Value | 3,988 | 4,032 | ||
Estimated Fair Value [Member] | Municipal [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net, Fair Value | $ 38,515 | $ 38,131 |
Subsequent Events Narrative Data (Details) - Dividend Declared [Member] |
9 Months Ended |
---|---|
Sep. 30, 2016
USD ($)
| |
Subsequent Event [Line Items] | |
Date Declared, cash dividend | Oct. 19, 2016 |
Cash Dividend Declared, per share | $ 0.28 |
Payable Date, cash dividend | Nov. 08, 2016 |
Date of Record, cash dividend declared | Oct. 29, 2016 |
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