XML 34 R22.htm IDEA: XBRL DOCUMENT v3.10.0.1
Fair Value (Tables)
 6 Months Ended
Jun. 30, 2018
Fair Value Disclosures [Abstract]  
Assets and Liabilities Measured at Fair Value on Recurring Basis
Assets and liabilities measured at fair value on a recurring basis are as follows at June 30, 2018 and December 31, 2017:
 
 
 
 
Fair Value Measurements at June 30, 2018 Using
 
 
 
Quoted Prices in
Active Markets 
for
Identical Assets
 
Significant Other
Observable Inputs
 
Significant
Unobservable
Inputs
Description
Total
 
(Level 1)
 
(Level 2)
 
(Level 3)
Assets:
 
 
 
 
 
 
 
Securities Available For Sale:
 
 
 
 
 
 
 
U.S. Government sponsored entities
$
124,432

 
$
—

 
$
124,432

 
$
—

States and political subdivisions
134,267

 
—

 
134,267

 
—

Residential and multi-family mortgage
146,467

 
—

 
146,467

 
—

Corporate notes and bonds
12,855

 
—

 
12,855

 
—

Pooled SBA
31,939

 
—

 
31,939

 
—

Other
935

 
935

 
—

 
—

Total Securities Available For Sale
$
450,895

 
$
935

 
$
449,960

 
$
—

Interest Rate swaps
$
153

 
$
—

 
$
153

 
$
—

Trading Securities:
 
 
 
 
 
 
 
Corporate equity securities
$
5,398

 
$
5,398

 
—

 
—

Mutual funds
1,626

 
1,626

 
—

 
—

Certificates of deposit
222

 
222

 
—

 
—

Corporate notes and bonds
248

 
248

 
—

 
—

U.S. Government sponsored entities
51

 
—

 
51

 
—

Total Trading Securities
$
7,545

 
$
7,494

 
$
51

 
$
—

Liabilities,
 
 
 
 
 
 
 
Interest rate swaps
$
(189
)
 
$
—

 
$
(189
)
 
$
—

 
 
 
 
 
 
 
 
 
 
 
Fair Value Measurements at December 31, 2017 Using
 
 
 
Quoted Prices in
 
 
 
Significant
 
 
 
Active Markets 
for
 
Significant Other
 
Unobservable
 
 
 
Identical Assets
 
Observable Inputs
 
Inputs
Description
Total
 
(Level 1)
 
(Level 2)
 
(Level 3)
Assets:
 
 
 
 
 
 
 
Securities Available For Sale:
 
 
 
 
 
 
 
U.S. Government sponsored entities
$
108,148

 
$
—

 
$
108,148

 
$
—

States and political subdivisions
137,723

 
—

 
137,723

 
—

Residential and multi-family mortgage
109,636

 
—

 
109,636

 
—

Corporate notes and bonds
17,200

 
—

 
17,200

 
—

Pooled SBA
36,040

 
—

 
36,040

 
—

Other
962

 
962

 
—

 
—

Total Securities Available For Sale
$
409,709

 
$
962

 
$
408,747

 
$
—

Interest Rate swaps
$
149

 
$
—

 
$
149

 
$
—

Trading Securities:
 
 
 
 
 
 
 
Corporate equity securities
5,125

 
5,125

 
—

 
—

Mutual funds
1,499

 
1,499

 
—

 
—

Certificates of deposit
220

 
220

 
—

 
—

Corporate notes and bonds
254

 
254

 
—

 
—

U.S. Government sponsored entities
52

 
—

 
52

 
—

Total Trading Securities
$
7,150

 
$
7,098

 
52

 
—

Liabilities,
 
 
 
 
 
 
 
Interest rate swaps
$
(310
)
 
$
—

 
$
(310
)
 
$
—
Securities Available for Sale Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3)
The table below presents a reconciliation of the fair value of securities available for sale measured on a recurring basis using significant unobservable inputs (Level 3) for the six months ended June 30, 2018 and 2017:
 
2018
 
2017
Balance, January 1
$
—

 
$
2,049

Total gains:
 
 
 
Included in other comprehensive income (unrealized)
—

 
134

Sale of available-for-sale securities
—

 
(2,183
)
Balance, June 30
$
—

 
$
—
Assets and Liabilities Measured at Fair Value on Non-Recurring Basis
Assets and liabilities measured at fair value on a non-recurring basis are as follows at June 30, 2018 and December 31, 2017:

 
 
 
Fair Value Measurements at June 30, 2018 Using
 
 
 
Quoted Prices in
Active Markets 
for
Identical Assets
 
Significant Other
Observable Inputs
 
Significant
Unobservable
Inputs
Description
Total
 
(Level 1)
 
(Level 2)
 
(Level 3)
Assets:
 
 
 
 
 
 
 
Impaired loans:
 
 
 
 
 
 
 
Commercial mortgages
$
321

 
—

 
—

 
$
321

Commercial, industrial, and agricultural
$
3,004

 
—

 
—

 
$
3,004

 
 
 
 
 
 
 
 
 
 
 
Fair Value Measurements at December 31, 2017 Using
 
 
 
Quoted Prices in
 
 
 
Significant
 
 
 
Active Markets 
for
 
Significant Other
 
Unobservable
 
 
 
Identical Assets
 
Observable Inputs
 
Inputs
Description
Total
 
(Level 1)
 
(Level 2)
 
(Level 3)
Assets:
 
 
 
 
 
 
 
Impaired loans:
 
 
 
 
 
 
 
Commercial mortgages
$
11

 
—

 
—

 
$
11
Quantitative Information about Level 3 Fair Value Measurements for Financial Instruments Measured at Fair Value on Non Recurring Basis
The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at June 30, 2018:
 
 
Fair
value
 
Valuation Technique
 
Unobservable Inputs
 
Weighted Average (Range)
Impaired loans – commercial mortgages
$
321

 
Discounted cash flow method
 
Discount used in discounted cash flow method
 
15% (10-15%)
Impaired loans – commercial, industrial, and agricultural
$
3,004

 
Discounted cash flow method
 
Discount used in discounted cash flow method
 
25% (25-25%)
The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at December 31, 2017:
 
Fair
value
 
Valuation Technique
 
Unobservable Inputs
 
Weighted Average (Range)
Impaired loans – commercial mortgages
$
11

 
Discounted cash flow method
 
Discount used in discounted cash flow method
 
10% (10%)
Carrying Amount and Fair Value of Financial Instruments
The following table presents the carrying amount and fair value of financial instruments at June 30, 2018:
 
 
Carrying
 
Fair Value Measurement Using:
 
Total
 
Amount
 
Level 1
 
Level 2
 
Level 3
 
Fair Value
ASSETS
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
42,327

 
$
42,327

 
$
—

 
$
—

 
$
42,327

Securities available for sale
450,895

 
935

 
449,960

 
—

 
450,895

Trading securities
7,545

 
7,494

 
51

 
—

 
7,545

Loans held for sale
1,661

 
—

 
1,661

 
—

 
1,661

Net loans
2,313,170

 
—

 
—

 
2,283,949

 
2,283,949

FHLB and other restricted interests
17,294

 
n/a

 
n/a

 
n/a

 
n/a

Other equity interests
5,395

 
 
 
 
 
 
 
5,395

Interest rate swaps
153

 
—

 
153

 
—

 
153

Accrued interest receivable
9,924

 
6

 
2,973

 
6,945

 
9,924

LIABILITIES
 
 
 
 
 
 
 
 
 
Deposits
$
(2,401,565
)
 
$
(2,023,795
)
 
$
(379,940
)
 
$
—

 
$
(2,403,735
)
FHLB and other borrowings
(257,812
)
 
—

 
(254,303
)
 
—

 
(254,303
)
Subordinated debentures
(70,620
)
 
—

 
(69,767
)
 
—

 
(69,767
)
Interest rate swaps
(189
)
 
—

 
(189
)
 
—

 
(189
)
Accrued interest payable
(708
)
 
—

 
(708
)
 
—

 
(708
)
The following table presents the carrying amount and fair value of financial instruments at December 31, 2017:
 
Carrying
 
Fair Value Measurement Using:
 
Total
 
Amount
 
Level 1
 
Level 2
 
Level 3
 
Fair Value
ASSETS
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
35,345

 
$
35,345

 
$
—

 
$
—

 
$
35,345

Securities available for sale
409,709

 
962

 
408,747

 
—

 
409,709

Trading securities
7,150

 
7,098

 
52

 
—

 
7,150

Loans held for sale
852

 
—

 
853

 
—

 
853

Net loans
2,126,266

 
—

 
—

 
2,126,824

 
2,126,824

FHLB and other restricted interests
17,035

 
n/a

 
n/a

 
n/a

 
n/a

Other equity interests
4,482

 
 
 
 
 
 
 
4,482

Interest rate swaps
149

 
—

 
149

 
—

 
149

Accrued interest receivable
9,254

 
6

 
2,651

 
6,597

 
9,254

LIABILITIES
 
 
 
 
 
 
 
 
 
Deposits
$
(2,167,815
)
 
$
(1,802,844
)
 
$
(362,756
)
 
$
—

 
$
(2,165,600
)
FHLB and other borrowings
(257,359
)
 
—

 
(257,361
)
 
—

 
(257,361
)
Subordinated debentures
(70,620
)
 
—

 
(63,575
)
 
—

 
(63,575
)
Interest rate swaps
(310
)
 
—

 
(310
)
 
—

 
(310
)
Accrued interest payable
(554
)
 
—

 
(554
)
 
—

 
(554
)