6. Fair Value (Tables)

9 Months Ended

Sep. 30, 2016

Fair Value Tables

Fair value measurements

For level 3 assets and liabilities measured at fair value on a recurring basis or non-recurring basis as of September 30, 2016 and December 31, 2015 and significant unobservable inputs used in the fair value measurements were as follows (in thousands):

	Fair Value at September 30, 2016		Valuation Technique	Significant Unobservable Inputs	Range
Impaired Loans	$	7,987	Discounted appraised value	Discount for selling costs and age of appraisals		15	%-55%
Other Real Estate Owned	$	2,076	Discounted appraised value	Discount for selling costs and age of appraisals		15	%-55%

	Fair Value at December 31, 2015		Valuation Technique	Significant Unobservable Inputs	Range
Impaired Loans	$	11,315	Discounted appraised value	Discount for selling costs and age of appraisals		15	%-55%
Other Real Estate Owned	$	2,128	Discounted appraised value	Discount for selling costs and age of appraisals		15	%-55%

Schedule Assets and Liabilities at Fair Value on Recurring Basis

The tables below present the recorded amount of assets and liabilities measured at fair value on a recurring basis (in thousands).

September 30, 2016	Total		Level 1		Level 2		Level 3
U. S. Treasuries	$	24,027	$	-	$	24,027	$	-
Government sponsored enterprises		-		-		-		-
Mortgage-backed obligations of federal agencies		697		-		697		-
Marketable Equities		135		-		135		-
Investment securities available for sale	$	24,859		-	$	24,859		-
Total assets at fair value	$	24,859	$	-	$	24,859	$	-
Derivative financial instruments at fair value	$	15		-	$	15		-
Total liabilities at fair value	$	15	$	-	$	15	$	-

December 31, 2015	Total		Level 1		Level 2		Level 3
U. S. Treasuries	$	4,021	$	-	$	4,021	$	-
Government sponsored enterprises		8,074		-		8,074		-
Mortgage-backed obligations of federal agencies		817		-		817		-
Marketable Equities		135		-		135		-
Investment securities available for sale		13,047		-		13,047		-
Total assets at fair value	$	13,047	$	-	$	13,047	$	-
Derivative financial instruments at fair value	$	15		-	$	15		-
Total liabilities at fair value	$	15	$	-	$	15	$	-

Schedule of Assets and Liabilities at Fair Value on Non-recurring Basis

The Company has determined that Other Real Estate Owned and Impaired Loans are Level 3.

September 30, 2016	Total		Level 1		Level 2		Level 3
Other Real Estate Owned	$	2,076		-		-	$	2,076
				-		-
Construction/Land Development		5,235		-		-		5,235
Farmland		-		-		-		-
Real Estate		991		-		-		991
Multi-Family		-		-		-		-
Commercial Real Estate		902		-		-		902
Home Equity – closed end		-		-		-		-
Home Equity – open end		820		-		-		820
Commercial & Industrial – Non-Real Estate		-		-		-		-
Consumer		-		-		-		-
Credit cards		-		-		-		-
Dealer Finance		39		-		-		39
Impaired loans		7,987		-		-		7,987
Loans held for sale		83,164		-		83,164		-
Total assets at fair value	$	93,228	$	-	$	83,164	$	10,064
Total liabilities at fair value	$	-	$	-	$	-	$	-

December 31, 2015	Total		Level 1		Level 2		Level 3
Other Real Estate Owned	$	2,128		-		-	$	2,128
				-		-
Construction/Land Development		9,161		-		-		9,161
Farmland		-		-		-		-
Real Estate		85		-		-		85
Multi-Family		-		-		-		-
Commercial Real Estate		872		-		-		872
Home Equity – closed end		-		-		-		-
Home Equity – open end		1,145		-		-		1,145
Commercial & Industrial – Non-Real Estate		-		-		-		-
Consumer		-		-		-		-
Credit cards		-		-		-		-
Dealer Finance		52		-		-		52
Impaired loans		11,315		-		-		11,315
Loans held for sale		57,806		-		57,806		-
Total assets at fair value	$	71,249		-	$	57,806	$	13,443
Total liabilities at fair value	$	-	$	-	$	-	$	-