Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2018

Fair Value Disclosures [Abstract]

Schedule Of Assets And Liabilities Measured At Fair Value On A Recurring And Nonrecurring Basis

The following table presents assets and liabilities measured at fair value (in thousands):

	Total		Level 1		Level 2		Level 3		Total Gains (Losses)
June 30, 2018
Recurring fair value measurements
Financial Assets
U.S. Government agencies	$	1	$	—	$	1	$	—
Obligations of states and political subdivisions	93,040		—		93,040		—
Mortgage-backed securities:
U.S. Government agencies	435,784		—		435,784		—
Private label	563		—		563		—
Trust preferred securities	4,797		—		4,537		260
Corporate securities	16,963		—		16,963		—
Marketable equity securities	11,175		11,175		—		—
Investment funds	1,455		1,455		—		—
Derivative assets	25,248		—		25,248		—
Financial Liabilities
Derivative liabilities	24,933		—		24,933		—
Nonrecurring fair value measurements
Financial Assets
Impaired loans	$	10,377	$	—	$	—	$	10,377	$	(320	)
Non-Financial Assets
Other real estate owned	3,636		—		—		3,636		(259		)
December 31, 2017
Recurring fair value measurements
Financial Assets
U.S. Government agencies	$	2	$	—	$	2	$	—
Obligations of states and political subdivisions	96,196		—		96,196		—
Mortgage-backed securities:
U.S. Government agencies	419,347		—		419,347		—
Private label	652		—		652		—
Trust preferred securities	4,736		—		4,475		261
Corporate securities	22,268		—		22,268		—
Marketable equity securities	5,699		5,699		—		—
Investment funds	1,489		1,489		—		—
Derivative assets	14,502		—		14,502		—
Financial Liabilities
Derivative liabilities	14,390		—		14,390		—
Nonrecurring fair value measurements
Financial Assets
Impaired loans	$	9,020	$	—	$	—	$	9,020	$	(647	)
Non-Financial Assets
Other real estate owned	3,585		—		—		3,585		(374		)
Other assets	—		—		—		—		(170		)

Schedule Of Reconciliation Of Investment Securities Available For Sale Measured At Fair Value On A Recurring Basis Level 3 Assets

The table below presents a reconcilement of the Company’s financial assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3), which consist solely of trust preferred securities (in thousands):

	Six months ended June 30,
	2018			2017
Beginning balance	$	261		$	2,535
Included in other comprehensive income	(1		)	(975		)
Dispositions	—			(1,300		)
Transfers into Level 3	—			—
Ending balance	$	260		$	260

Schedule Of Level 3 Financial Assets And Liabilities Measured On A Non-Recurring Basis

The table below presents a reconcilement of the Company's financial assets and liabilities measured at fair value on a nonrecurring basis using significant unobservable inputs (Level 3), which solely relates to impaired loans that were remeasured and reported at fair value through a specific valuation allowance allocation of the allowance for loan losses based upon the fair value of the underlying collateral (in thousands).  The fair value of impaired loans is estimated using one of several methods, including collateral value, liquidation value and discounted cash flows.  The significant unobservable inputs used in the fair value measurement of collateral for collateral-dependent impaired loans primarily relate to discounts applied to the customers’ reported amount of collateral.  The amount of collateral discount depends upon the marketability of the underlying collateral.  During the six months ended June 30, 2018 and 2017, collateral discounts ranged from 20% to 30%. During the six months ended June 30, 2018 and 2017, the Company had no Level 2 financial assets and liabilities that were measured on a nonrecurring basis.

	Six months ended June 30,
	2018			2017
Beginning balance	$	9,020		$	6,916
Loans classified as impaired during the period	2,432			3,006
Specific valuation allowance allocations	—			—
Loans classified as impaired during the period, net of specific valuation allowances	2,432			3,006
(Additional) reduction in specific valuation allowance allocations	(326		)	(69		)
Paydowns, payoffs, other activity	(749		)	(408		)
Ending balance	$	10,377		$	9,445

Schedule Of Level 3 Non-Financial Assets and Liabilities Measured On a Non-Recurring Basis

The table below presents OREO that was remeasured and reported at fair value based on significant unobservable inputs (Level 3) (in thousands):

	Six months ended June 30,
	2018			2017
Beginning balance	$	3,585		$	4,588
OREO remeasured at initial recognition:
Carrying value of foreclosed assets prior to remeasurement	1,737			1,996
Charge-offs recognized in the allowance for loan losses	(536		)	(743		)
Fair value	1,201			1,253
OREO remeasured subsequent to initial recognition:
Carrying value of foreclosed assets prior to remeasurement	1,618			1,464
Fair value	1,359			1,206
Write-downs included in other non-interest expense	(259		)	(258		)
Disposed	(891		)	(1,379		)
Ending balance	$	3,636		$	4,204

Schedule Of Estimates Of Fair Value Of Financial Instruments

The following table represents the estimates of fair value of financial instruments (in thousands). This table excludes financial instruments for which the carrying amount approximates fair value. For short-term financial assets such as cash and cash equivalents, the carrying amount is a reasonable estimate of fair value due to the relatively short time between the origination of the instrument and its expected realization. For financial liabilities such as noninterest-bearing demand, interest-bearing demand and savings deposits, the carrying amount is a reasonable estimate of fair value due to these products having no stated maturity.

	Carrying Amount		Fair Value		Level 1		Level 2		Level 3
June 30, 2018
Assets:
Cash and cash equivalents	$	265,524	$	265,524	$	265,524	$	—	$	—
Securities available-for-sale	552,603		552,603		1,455		550,888		260
Securities held-to-maturity	60,030		59,628		—		59,628		—
Other securities	28,920		28,920		11,175		17,745		—
Net loans	3,138,592		3,091,568		—		—		3,091,568
Accrued interest receivable	9,348		9,348		9,348		—		—
Derivative assets	25,248		25,248		—		25,248		—
Liabilities:
Deposits	3,421,778		3,426,574		2,288,094		1,138,480		—
Short-term debt	378,010		378,027		—		378,027		—
Long-term debt	16,495		16,439		—		16,439		—
Derivative liabilities	24,933		24,933		—		24,933		—
December 31, 2017
Assets:
Cash and cash equivalents	82,508		82,508		82,508		—		—
Securities available-for-sale	550,389		550,389		7,188		542,940		261
Securities held-to-maturity	64,449		65,646		—		65,646		—
Other securities	14,147		14,147		—		14,147		—
Net loans	3,108,574		3,014,425		—		—		3,014,425
Accrued interest receivable	9,223		9,223		9,223		—		—
Derivative assets	14,502		14,502		—		14,502		—
Liabilities:
Deposits	3,315,634		3,309,910		2,232,159		1,077,751		—
Short-term debt	252,219		252,219		—		252,219		—
Long-term debt	16,495		16,444		—		16,444		—
Derivative liabilities	14,390		14,390		—		14,390		—