Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2014

Fair Value Disclosures [Abstract]

Balances of Assets Measured at Fair Value on a Recurring Basis

The following tables present the balances of assets measured at fair value on a recurring basis as of March 31, 2014 and December 31, 2013.

			Fair Value Measurements at March 31, 2014     (in thousands)
Description	Balance as of March 31, 2014		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets
Securities available for sale
U.S. agency and mortgage-backed securities	$	88,100	$	—	$	88,100	$	—
Obligations of states and political subdivisions		22,454		—		22,454		—
Corporate equity securities		7		7		—		—
	$	110,561	$	7	$	110,554	$	—

			Fair Value Measurements at December 31, 2013 (in thousands)
Description	Balance as of December 31, 2013		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets
Securities available for sale
U.S. agency and mortgage-backed securities	$	84,897	$	—	$	84,897	$	—
Obligations of states and political subdivisions		18,399		—		18,399		—
Corporate equity securities		5		5		—		—
	$	103,301	$	5	$	103,296	$	—

Summary of Assets Measured at Fair Value on a Nonrecurring Basis

The following tables summarize the Company’s assets that were measured at fair value on a nonrecurring basis during the periods:

			Fair Value Measurements at March 31, 2014     (in thousands)
Description	Balance as of March 31, 2014		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets
Impaired loans, net	$	3,598	$	—	$	—	$	3,598
Other real estate owned, net		2,992		—		—		2,992

			Fair Value Measurements at December 31, 2013 (in thousands)
Description	Balance as of December 31, 2013		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets
Impaired loans, net	$	3,972	$	—	$	—	$	3,972
Other real estate owned, net		3,030		—		—		3,030

Quantitative Information about Level 3 Fair Value Measurements

Quantitative information about Level 3 Fair Value Measurements for March 31, 2014 (dollars in thousands)
	Fair Value		Valuation Technique	Unobservable Input	Range (Weighted- Average)
Assets
Impaired loans	$	3,598	Property appraisals	Selling cost	10%
				Discount for lack of marketability and age of appraisal	0-41% (8%)
Other real estate owned	$	2,992	Property appraisals	Selling cost	7%

Carrying Values and Estimated Fair Values of Company's Financial Instruments

The carrying values and estimated fair values of the Company’s financial instruments at March 31, 2014 and December 31, 2013 are as follows:

	(in thousands)
	Fair Value Measurements at March 31, 2014 Using
	Carrying Amount		Quoted Prices in Active Markets for Identical Assets Level 1		Significant Other Observable Inputs Level 2		Significant Unobservable Inputs Level 3		Fair Value
Financial Assets
Cash and short-term investments	$	34,123	$	34,123	$	—	$	—	$	34,123
Securities		110,561		7		110,554		—		110,561
Restricted securities		1,636		—		1,636		—		1,636
Loans, net		349,250		—		—		356,181		356,181
Bank owned life insurance		11,052		—		11,052		—		11,052
Accrued interest receivable		1,305		—		1,305		—		1,305
Financial Liabilities
Deposits	$	461,689	$	—	$	341,538	$	120,569	$	462,107
Other borrowings		6,046		—		—		6,103		6,103
Trust preferred capital notes		9,279		—		—		10,251		10,251
Accrued interest payable		160		—		160		—		160

	(in thousands)
	Fair Value Measurements at December 31, 2013 Using
	Carrying Amount		Quoted Prices in Active Markets for Identical Assets Level 1		Significant Other Observable Inputs Level 2		Significant Unobservable Inputs Level 3		Fair Value
Financial Assets
Cash and short-term investments	$	31,508	$	31,508	$	—	$	—	$	31,508
Securities		103,301		5		103,296		—		103,301
Restricted securities		1,804		—		1,804		—		1,804
Loans, net		346,449		—		—		353,874		353,874
Bank owned life insurance		10,978		—		10,978		—		10,978
Accrued interest receivable		1,302		—		1,302		—		1,302
Financial Liabilities
Deposits	$	450,711	$	—	$	326,955	$	124,422	$	451,377
Other borrowings		6,052		—		—		6,095		6,095
Trust preferred capital notes		9,279		—		—		9,399		9,399
Accrued interest payable		177		—		177		—		177