Loans (Tables)

3 Months Ended

Mar. 31, 2013

Loans [Abstract]

Schedule of net loans

Total net loans at March 31, 2013 and December 31, 2012 are summarized as follows:

	March 31, 2013			December 31, 2012
Commercial, industrial, and agricultural	$	259,355		$	257,091
Commercial mortgages		266,021			261,791
Residential real estate		347,197			347,904
Consumer		57,882			58,668
Credit cards		4,604			4,800
Overdrafts		946			971
Less:     unearned discount		(3,309	)		(3,401	)
allowance for loan losses		(13,897	)		(14,060	)
Loans, net	$	918,799		$	913,764

Allowance for loan losses

Transactions in the allowance for loan losses for the three months ended March 31, 2013 were as follows:

	Commercial,					Residential
	Industrial, and		Commercial			Real						Credit
	Agricultural		Mortgages			Estate			Consumer			Cards			Overdrafts			Total
Allowance for loan losses, January 1, 2013	$	4,940	$	4,697		$	2,466		$	1,699		$	83		$	175		$	14,060
Charge-offs		0		(607	)		(172	)		(331	)		(12	)		(47	)		(1,169	)
Recoveries		0		1			1			41			2			31			76
Provision (benefit) for loan losses		331		208			100			298			4			(11	)		930
Allowance for loan losses, March 31, 2013	$	5,271	$	4,299		$	2,395		$	1,707		$	77		$	148		$	13,897

Transactions in the allowance for loan losses for the three months ended March 31, 2012 were as follows:

	Commercial,						Residential
	Industrial, and			Commercial			Real						Credit
	Agricultural			Mortgages			Estate			Consumer			Cards			Overdrafts			Total
Allowance for loan losses, January 1, 2012	$	4,511		$	4,470		$	1,991		$	1,404		$	71		$	168		$	12,615
Charge-offs		(225	)		(115	)		(87	)		(256	)		(19	)		(67	)		(769	)
Recoveries		3			—			—			27			1			34			65
Provision for loan losses		653			22			93			260			43			33			1,104
Allowance for loan losses, March 31, 2012	$	4,942		$	4,377		$	1,997		$	1,435		$	96		$	168		$	13,015

Allowance for loan losses and the recorded investment in loans by portfolio segment

The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and is based on the Corporation’s impairment method as of March 31, 2013 and December 31, 2012.

March 31, 2013

	Commercial, Industrial, and Agricultural		Commercial Mortgages		Residential Real Estate		Consumer		Credit Cards		Overdrafts		Total
Allowance for loan losses:
Ending allowance balance attributable to loans:
Individually evaluated for impairment	$	541	$	151	$	28	$	0	$	0	$	0	$	720
Collectively evaluated for impairment		4,730		3,512		2,367		1,707		77		148		12,541
Modified in a troubled debt restructuring		0		636		0		0		0		0		636
Total ending allowance balance	$	5,271	$	4,299	$	2,395	$	1,707	$	77	$	148	$	13,897
Loans:
Loans individually evaluated for impairment	$	2,307	$	10,678	$	201	$	0	$	0	$	0	$	13,186
Loans collectively evaluated for impairment		255,662		246,847		346,996		54,573		4,604		946		909,628
Loans modified in a troubled debt restructuring		1,386		8,496		0		0		0		0		9,882
Total ending loans balance	$	259,355	$	266,021	$	347,197	$	54,573	$	4,604	$	946	$	932,696

December 31, 2012

	Commercial, Industrial, and Agricultural		Commercial Mortgages		Residential Real Estate		Consumer		Credit Cards		Overdrafts		Total
Allowance for loan losses:
Ending allowance balance attributable to loans:
Individually evaluated for impairment	$	541	$	131	$	81	$	0	$	0	$	0	$	753
Collectively evaluated for impairment		4,399		3,467		2,385		1,699		83		175		12,208
Modified in a troubled debt restructuring		0		1,099		0		0		0		0		1,099
Total ending allowance balance	$	4,940	$	4,697	$	2,466	$	1,699	$	83	$	175	$	14,060
Loans:
Loans individually evaluated for impairment	$	2,623	$	10,683	$	593	$	0	$	0	$	0	$	13,899
Loans collectively evaluated for impairment		253,048		240,907		347,311		55,267		4,800		971		902,304
Loans modified in a troubled debt restructuring		1,420		10,201		0		0		0		0		11,621
Total ending loans balance	$	257,091	$	261,791	$	347,904	$	55,267	$	4,800	$	971	$	927,824

Loans individually evaluated for impairment by portfolio segment

The following tables present information related to loans individually evaluated for impairment by portfolio segment as of March 31, 2013 and December 31, 2012 and for the three months ended March 31, 2013 and 2012:

March 31, 2013

	Unpaid Principal Balance		Recorded Investment		Allowance for Loan Losses Allocated
With an allowance recorded:
Commercial, industrial, and agricultural	$	2,219	$	1,468	$	541
Commercial mortgage		5,879		4,885		787
Residential real estate		127		123		28
With no related allowance recorded:
Commercial, industrial, and agricultural		2,752		2,225		0
Commercial mortgage		16,062		14,289		0
Residential real estate		158		78		0
Total	$	27,197	$	23,068	$	1,356

December 31, 2012

	Unpaid Principal Balance		Recorded Investment		Allowance for Loan Losses Allocated
With an allowance recorded:
Commercial, industrial, and agricultural	$	2,542	$	1,792	$	541
Commercial mortgage		5,870		5,329		1,230
Residential real estate		416		381		81
With no related allowance recorded:
Commercial, industrial, and agricultural		2,804		2,251		0
Commercial mortgage		17,285		15,555		0
Residential real estate		308		212		0
Total	$	29,225	$	25,520	$	1,852

Impaired financing receivables with related and not related allowances

	Three Months Ended March 31, 2013						Three Months Ended March 31, 2012
	Average		Interest		Cash Basis		Average		Interest		Cash Basis
	Recorded		Income		Interest		Recorded		Income		Interest
	Investment		Recognized		Recognized		Investment		Recognized		Recognized
With an allowance recorded:
Commercial, industrial, and agricultural	$	1,630	$	0	$	0	$	2,673	$	4	$	4
Commercial mortgage		5,107		3		3		4,918		0		0
Residential real estate		252		1		1		169		4		4
With no related allowance recorded:
Commercial, industrial, and agricultural		2,238		0		0		3,412		0		0
Commercial mortgage		14,922		0		0		12,061		0		0
Residential real estate		145		0		0		0		0		0
Total	$	24,294	$	4	$	4	$	23,233	$	8	$	8

Nonaccrual loans and loans past due over 90 days still accruing interest by class of loans

The following table presents the recorded investment in nonaccrual loans and loans past due over 90 days still accruing interest by class of loans as of March 31, 2013 and December 31, 2012:

	March 31, 2013				December 31, 2012
	Nonaccrual		Past Due Over 90 Days Still on Accrual		Nonaccrual		Past Due Over 90 Days Still on Accrual
Commercial, industrial, and agricultural	$	2,725	$	0	$	3,073	$	0
Commercial mortgages		10,986		0		8,570		109
Residential real estate		2,467		0		2,792		18
Consumer		9		208		10		217
Credit cards		0		13		0		13
Total	$	16,187	$	221	$	14,445	$	357

Aging of the recorded investment in past due loans

The following table presents the aging of the recorded investment in past due loans as of March 31, 2013 and December 31, 2012 by class of loans.

March 31, 2013

	30-59 Days Past Due		60-89 Days Past Due		Greater Than 90 Days Past Due		Total Past Due		Loans Not Past Due		Total
Commercial, industrial, and agricultural	$	256	$	6	$	2,725	$	2,987	$	256,368	$	259,355
Commercial mortgages		1,467		14		10,986		12,467		253,554		266,021
Residential real estate		765		338		2,467		3,570		343,627		347,197
Consumer		327		149		217		693		53,880		54,573
Credit cards		22		16		13		51		4,553		4,604
Overdrafts		0		0		0		0		946		946
Total	$	2,837	$	523	$	16,408	$	19,768	$	912,928	$	932,696

December 31, 2012

	30-59 Days Past Due		60-89 Days Past Due		Greater Than 90 Days Past Due		Total Past Due		Loans Not Past Due		Total
Commercial, industrial, and agricultural	$	724	$	157	$	2,968	$	3,849	$	253,242	$	257,091
Commercial mortgages		1,162		3,197		8,679		13,038		248,753		261,791
Residential real estate		1,390		641		2,700		4,731		343,173		347,904
Consumer		724		203		227		1,154		54,113		55,267
Credit cards		39		9		13		61		4,739		4,800
Overdrafts		0		0		0		0		971		971
Total	$	4,039	$	4,207	$	14,587	$	22,833	$	904,991	$	927,824

Restructured in a troubled debt

The following table presents the number of loans, loan balances, and specific reserves for loans that have been restructured in a troubled debt restructuring as of March 31, 2013 and December 31, 2012.

	March 31, 2013						December 31, 2012
	Number of Loans		Loan Balance		Specific Reserve		Number of Loans		Loan Balance		Specific Reserve
Commercial, industrial, and agricultural		2	$	1,386	$	0		2	$	1,420	$	0
Commercial mortgages		9		8,496		636		8		10,201		1,099
Residential real estate		0		0		0		0		0		0
Consumer		0		0		0		0		0		0
Credit cards		0		0		0		0		0		0
Total		11	$	9,882	$	636		10	$	11,621	$	1,099

Loans by Class Modified as Troubled Debt Restructurings

The following table presents loans by class modified as troubled debt restructurings that occurred during the three months ended March 31, 2013 and 2012:

	Three Months Ended March 31, 2013
	Number of Loans		Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Commercial, industrial, and agricultural		0	$	0	$	0
Commercial mortgages		1		346		403
Residential real estate		0		0		0
Consumer		0		0		0
Credit cards		0		0		0
Total		1	$	346	$	403

	Three Months Ended March 31, 2012
	Number of Loans		Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Commercial, industrial, and agricultural		0	$	0	$	0
Commercial mortgages		4		2,556		2,556
Residential real estate		0		0		0
Consumer		0		0		0
Credit cards		0		0		0
Total		4	$	2,556	$	2,556

Schedule of loan assigned a risk rating within 12 months of the balance sheet date

All loans included in the following tables have been assigned a risk rating within 12 months of the balance sheet date.

March 31, 2013

			Special
	Pass		Mention		Substandard		Doubtful		Total
Commercial, industrial, and agricultural	$	231,712	$	7,975	$	19,523	$	145	$	259,355
Commercial mortgages		233,224		9,487		22,612		698		266,021
Total	$	464,936	$	17,462	$	42,135	$	843	$	525,376

December 31, 2012

			Special
	Pass		Mention		Substandard		Doubtful		Total
Commercial, industrial, and agricultural	$	234,835	$	6,641	$	15,459	$	156	$	257,091
Commercial mortgages		225,294		12,294		23,501		702		261,791
Total	$	460,129	$	18,935	$	38,960	$	858	$	518,882

Recorded investment in residential and consumer loan based on payment activity

The following table presents the recorded investment in residential, consumer, and credit card loans based on payment activity as of March 31, 2013 and December 31, 2012:

	March 31, 2013						December 31, 2012
	Residential				Credit		Residential				Credit
	Real Estate		Consumer		Cards		Real Estate		Consumer		Cards
Performing	$	344,730	$	54,356	$	4,591	$	345,094	$	55,040	$	4,787
Non-performing		2,467		217		13		2,810		227		13
Total	$	347,197	$	54,573	$	4,604	$	347,904	$	55,267	$	4,800

Summary of holiday's loan portfolio

Holiday’s loan portfolio is summarized as follows at March 31, 2013 and December 31, 2012:

	March 31,			December 31,
	2013			2012
Consumer	$	20,756		$	21,535
Residential real estate		1,012			954
Less: unearned discount		(3,309	)		(3,401	)
Total	$	18,459		$	19,088