Parent Corporation Only Financial Statements

12 Months Ended

Dec. 31, 2016

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Condensed Financial Information of Parent Company Only Disclosure [Text Block]

Note 23 - Parent Corporation Only Financial Statements

The Parent Corporation operates its wholly-owned subsidiary, the Bank. The earnings of this subsidiary are recognized by the Parent Corporation using the equity method of accounting. Accordingly, earnings are recorded as increases in the Parent Corporation’s investment in the subsidiaries and dividends paid reduce the investment in the subsidiaries. The ability of the Parent Corporation to pay dividends will largely depend upon the dividends paid to it by the Bank. Dividends payable by the Bank to the Parent Corporation are restricted under supervisory regulations (see Note 20 of the Notes to Consolidated Financial Statements).

Condensed financial statements of the Parent Corporation only are as follows:

Condensed Statements of Condition

	At December 31,
	2016		2015
	(dollars in thousands)
ASSETS
Cash and cash equivalents	$	7,008	$	14,857
Investment in subsidiaries		580,048		515,934
Securities available-for-sale		730		533
Other assets		426		2,405
Total assets	$	588,212	$	533,729
LIABILITIES AND STOCKHOLDERS’ EQUITY
Other liabilities	$	2,646	$	1,895
Subordinated debentures		54,534		54,490
Stockholders’ equity		531,032		477,344
Total liabilities and stockholders’ equity	$	588,212	$	533,729

Condensed Statements of Income

	For Years Ended December 31,
	2016		2015		2014
	(dollars in thousands)
Income:
Dividend income from subsidiaries	$	12,400	$	10,537	$	9,276
Other income		8		7		6
Management fees		-		-		100
Total Income		12,408		10,544		9,382
Expenses		(3,252)		(1,705)		(707)
Income before equity in undistributed earnings of subsidiaries		9,156		8,839		8,675
Equity in undistributed earnings of subsidiaries		21,926		32,472		9,890
Net Income	$	31,082	$	41,311	$	18,565

Condensed Statements of Cash Flows

	For Years Ended December 31
	2016		2015		2014
	(dollars in thousands)
Cash flows from operating activities:
Net income	$	31,082	$	41,311	$	18,565
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in undistributed earnings of subsidiary		(21,926)		(32,472)		(9,890)
Increase in other assets		2,023		(820)		(1,979)
Increase (decrease) in other liabilities		544		(1,840)		(1,010)
Net cash provided by operating activities		11,723		7,267		6,191
Cash flows from investing activities:
Capital infusion to subsidiary		(38,439)		(35,000)		-
Net cash used in investing activities		(38,439)		(35,000)		-
Cash flows from financing activities:
Proceeds from subordinated debt		-		50,000		-
Cash dividends on common stock		(9,067)		(8,996)		(6,940)
Cash dividends on preferred stock		(22)		(112)		(140)
Secondary offering and issuance of common stock		38,439		-		-
Redemption of preferred stock		(11,250)		-		-
Proceeds from exercise of stock options		767		1,424		878
Net cash used in financing activities		18,867		42,316		(6,202)
Decrease in cash and cash equivalents		(7,849)		14,583		(11)
Cash and cash equivalents at beginning of year		14,857		274		285
Cash and cash equivalents at the end of year	$	7,008	$	14,857	$	274