Note 11 - Fair Value of Financial Instruments and Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2018

Fair Value, by Balance Sheet Grouping [Table Text Block]

	Fair Value Measurements at
	September 30, 2018
	Carrying		Estimated		Level		Level		Level
	Value		Fair Value		1		2		3

Assets
Cash and Short-Term Investments	$	31,913	$	31,913	$	31,913	$	-	$	-
Investment Securities Available for Sale		318,032		318,032		-		311,402		6,630
Federal Home Loan Bank Stock		3,594		3,594		3,594		-		-
Loans, Net		771,773		769,207		-		764,022		5,185
Bank-Owned Life Insurance		17,457		17,457		17,457		-		-

Liabilities
Deposits		1,011,059		1,012,953		694,034		318,919		-
Subordinated Debentures		24,229		24,229		-		24,229		-
Other Borrowed Money		58,500		58,472		-		58,472		-

	Fair Value Measurements at
	December 31, 2017
	Carrying		Estimated		Level		Level		Level
	Value		Fair Value		1		2		3

Assets
Cash and Short-Term Investments	$	57,813	$	57,813	$	57,813	$	-	$	-
Investment Securities Available for Sale		354,247		354,247		-		346,950		7,297
Federal Home Loan Bank Stock		3,043		3,043		3,043		-		-
Loans, Net		757,281		757,163		-		752,287		4,876
Bank-Owned Life Insurance		17,089		17,089		17,089		-		-

Liabilities
Deposits		1,067,985		1,068,392		727,818		340,574		-
Subordinated Debentures		24,229		24,229		-		24,229		-
Other Borrowed Money		47,500		47,626		-		47,626		-

Fair Value Measurements, Recurring and Nonrecurring [Table Text Block]

			Fair Value Measurements at Reporting Date Using
			Quoted Prices in				Significant
			Active Markets for		Significant Other		Unobservable
	Total Fair		Identical Assets		Observable		Inputs
September 30, 2018	Value		(Level 1)		Inputs (Level 2)		(Level 3)

Recurring Securities Available for Sale
U.S. Government Agencies
Mortgage-Backed	$	311,178	$	-	$	306,763	$	4,415
State, County and Municipal		3,972		-		3,757		215
Corporate Bonds		2,882				882		2,000
	$	318,032	$	-	$	311,402	$	6,630

Nonrecurring
Impaired Loans	$	5,185	$	-	$	-	$	5,185

Other Real Estate	$	1,468	$	-	$	-	$	1,468

			Fair Value Measurements at Reporting Date Using
			Quoted Prices in				Significant
			Active Markets for		Significant Other		Unobservable
	Total Fair		Identical Assets		Observable		Inputs
December 31, 2017	Value		(Level 1)		Inputs (Level 2)		(Level 3)

Recurring Securities Available for Sale
U.S. Government Agencies
Mortgage-Backed	$	346,723	$	-	$	341,701	$	5,022
State, County and Municipal		4,493		-		4,277		216
Corporate		2,060				-		2,060
Asset-Backed		971				971		-

	$	354,247	$	-	$	346,949	$	7,298

Nonrecurring
Impaired Loans	$	4,876	$	-	$	-	$	4,876

Other Real Estate	$	2,015	$	-	$	-	$	2,015

Fair Value Measurement Inputs and Valuation Techniques [Table Text Block]

			Valuation	Unobservable	Range
	September 30, 2018		Techniques	Inputs	Weighted Avg

Real Estate
Commercial Construction	$	427	Sales Comparison	Adjustment for Differences		(16.00)%	-	1975.00%
				Between the Comparable Sales			979.50%

				Management Adjustments for		0.00%	-	10.00%
				Age of Appraisals and/or Current			5.00%
				Market Conditions

Residential Real Estate		15	Sales Comparison	Adjustment for Differences		(43.30)%	-	66.70%
				Between the Comparable Sales			11.70%

				Management Adjustments for		10.00%	-	25.00%
				Age of Appraisals and/or Current			17.50%
				Market Conditions

Commercial Real Estate		4,406	Income Approach	Capitalization Rate			10.75%

			Sales Contract	Adjustment for Estimated		0.00%	-	0.00%
				Costs to Sell

				Management Adjustments for		0.00%	-	10.00%
				Age of Appraisals and/or Current			4.74%
				Market Conditions

Farmland		337	Sales Comparison	Adjustment for Differences		(71.00)%	-	88.70%
				Between the Comparable Sales			8.85%

				Management Adjustments for		10.00%	-	80.00%
				Age of Appraisals and/or Current			45.00%
				Market Conditions

Other Real Estate Owned		1,468	Sales Comparison	Adjustment for Differences		(47.60)%	-	25.02%
				Between the Comparable Sales			(11.29)%

				Management Adjustments for		9.82%	-	81.21%
				Age of Appraisals and/or Current			34.48%
				Market Conditions

			Income Approach	Discount Rate			10.00%

			Valuation	Unobservable	Range
	December 31, 2017		Techniques	Inputs	Weighted Avg

Real Estate
Commercial Construction	$	427	Sales Comparison	Adjustment for Differences		(16.00)%	-	1,975.00%
				Between the Comparable Sales			979.50%

				Management Adjustments for		0.00%	-	10.00%
				Age of Appraisals and/or Current			5.00%
				Market Conditions

Residential Real Estate		82	Sales Comparison	Adjustment for Differences		(43.30)%	-	83.30%
				Between the Comparable Sales			20.00%

				Management Adjustments for		0.00%	-	25.00%
				Age of Appraisals and/or Current			12.50%
				Market Conditions

Commercial Real Estate		4,017	Income Approach	Management Adjustments for		0.00%	-	10.00%
				Age of Appraisals and/or Current			5.00%
				Market Conditions

				Capitalization Rate			10.75%

Farmland		350	Sales Comparison	Adjustment for Differences		(71.00)%	-	88.70%
				Between the Comparable Sales			8.85%

				Management Adjustments for		10.00%	-	75.00%
				Age of Appraisals and/or Current			42.50%
				Market Conditions

Other Real Estate Owned		2,015	Sales Comparison	Adjustment for Differences		(22.74)%	-	15.00%
				Between the Comparable Sales			(3.87)%

				Management Adjustment for		5.44%	-	87.24%
				Age of Appraisals and/or Current			24.44%
				Market Conditions

			Income Approach	Capitalization Rate			10.00%

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]

	Available for Sale Securities
	September 30, 2018			December 31, 2017

Balance, Beginning	$	7,298		$	576
Transfers out of Level 3		-			-
Maturities		-			(360	)
Loss on OTTI Impairment Included in Noninterest Income		-			-
Purchases		-			7,070
Paydowns		(501	)		-
Unrealized Gains included in Other
Comprehensive Income (Loss)		(167	)		12


Balance, Ending	$	6,630		$	7,298

Fair Value, Inputs, Level 3 [Member]

Notes Tables

Fair Value Measurement Inputs and Valuation Techniques [Table Text Block]

Valuation

Unobservable

Range

September 30, 2018

Fair Value

Techniques

Inputs

(Weighted Avg)

State, County and Municipal

215

Discounted Cash Flow

Discount Rate

N/A*

or Yield

U. S. Government Agencies

4,415

Fundamental Analysis

Discount Rate

N/A*

Mortgage -Backed

or Yield

Corporate

2,000

Option Pricing

Discount Rate

N/A*

or Yield

- Definition

Tabular disclosure of financial instruments measured at fair value, including those classified in shareholders' equity measured on a recurring or nonrecurring basis. Disclosures include, but are not limited to, fair value measurements recorded and the reasons for the measurements, level within the fair value hierarchy in which the fair value measurements are categorized and transfers between levels 1 and 2. Nonrecurring fair value measurements are those that are required or permitted in the statement of financial position in particular circumstances.

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