Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2016

Fair Value Disclosures [Abstract]

Schedule of fair value measurements by level within the fair value hierarchy and the basis of measurement used

For assets measured at fair value, the fair value measurements by level within the fair value hierarchy, and the basis of measurement used, at September 30, 2016, and December 31, 2015, are as follows:

		September 30, 2016
In thousands	Basis	Total		Level 1		Level 2		Level 3
U.S. Government and agencies		$	76,236	$	—	$	76,236	$	—
Mortgage-backed securities, residential		35,215		—		35,215		—
State and municipal		25,663		—		25,663		—
Corporate bonds		5,045		—		5,045		—
CRA mutual fund		1,068		1,068		—		—
Stock in other banks		713		713		—		—
Total securities available for sale	Recurring	$	143,940	$	1,781	$	142,159	$	—
Impaired loans	Nonrecurring	$	4,249	$	—	$	—	$	4,249

		December 31, 2015
In thousands	Basis	Total		Level 1		Level 2		Level 3
U.S. Government and agencies		$	46,029	$	—	$	46,029	$	—
Mortgage-backed securities, residential		42,839		—		42,839		—
State and municipal		28,078		—		28,078		—
Corporate bonds		6,955		—		6,955		—
CRA mutual fund		1,053		1,053		—		—
Stock in other banks		739		739		—		—
Total securities available for sale	Recurring	$	125,693	$	1,792	$	123,901	$	—
Impaired loans	Nonrecurring	$	4,451	$	—	$	—	$	4,451

Schedule of additional quantitative information about assets measured at fair value on a nonrecurring basis

The following table presents additional quantitative information about assets measured at fair value on a nonrecurring basis for which the Corporation has utilized Level 3 inputs to determine fair value:

	Quantitative Information about Level 3 Fair Value Measurements
Dollars in thousands	Fair Value Estimate		Valuation Technique		Unobservable Input		Range	Weighted Average
September 30, 2016
Impaired loans	$	4,249	Appraisal of collateral	(a)	Appraisal adjustments	(b)	(10) - (50)%	(22)%
December 31, 2015
Impaired loans	$	4,451	Appraisal of collateral	(a)	Appraisal adjustments	(b)	(10) - (50)%	(16)%

(a) Fair value is generally determined through independent third-party appraisals of the underlying collateral, which generally includes various Level 3 inputs which are not observable.

(b) Appraisals may be adjusted downward by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range of liquidation expenses and other appraisal adjustments are presented as a percentage of the appraisal. Higher downward adjustments are caused by negative changes to the collateral or conditions in the real estate market, actual offers or sales contracts received, and/or age of the appraisal.

Schedule of carrying amount, fair value and placement in the fair value hierarchy

The following presents the carrying amount, fair value, and placement in the fair value hierarchy of the Corporation’s financial instruments as of September 30, 2016, and December 31, 2015:

	September 30, 2016
In thousands	Carrying Amount		Fair Value		Level 1		Level 2		Level 3
Financial assets:
Cash and due from banks	$	13,705	$	13,705	$	6,379	$	7,326	$	—
Interest-bearing deposits in banks	41,686		41,686		41,686		—		—
Investment securities available for sale	143,940		143,940		1,781		142,159		—
Investment securities held to maturity	57,562		58,566		—		58,566		—
Loans held for sale	1,877		1,877		—		1,877		—
Loans, less allowance for loan losses	857,535		872,169		—		—		872,169
Accrued interest receivable	2,987		2,987		—		2,987		—
Restricted investment in bank stocks	4,191		4,191		—		4,191		—
Financial liabilities:
Deposits	965,547		965,914		—		965,914		—
Short-term borrowings	35,503		35,503		—		35,503		—
Long-term borrowings	76,500		77,562		—		77,562		—
Accrued interest payable	805		805		—		805		—
Off-balance sheet financial instruments	—		—		—		—		—

	December 31, 2015
In thousands	Carrying Amount		Fair Value		Level 1		Level 2		Level 3
Financial assets:
Cash and due from banks	$	13,468	$	13,468	$	6,746	$	6,722	$	—
Interest-bearing deposits in banks	5,289		5,289		5,289		—		—
Investment securities available for sale	125,693		125,693		1,792		123,901		—
Investment securities held to maturity	71,542		71,363		—		71,363		—
Loans held for sale	1,835		1,835		—		1,835		—
Loans, less allowance for loan losses	838,213		842,169		—		—		842,169
Accrued interest receivable	3,016		3,016		—		3,016		—
Restricted investment in bank stocks	4,414		4,414		—		4,414		—
Financial liabilities:
Deposits	912,980		913,188		—		913,188		—
Short-term borrowings	35,202		35,202		—		35,202		—
Long-term borrowings	76,500		77,545		—		77,545		—
Accrued interest payable	815		815		—		815		—
Off-balance sheet financial instruments	—		—		—		—		—