SEGMENT REPORTING

12 Months Ended

Dec. 31, 2015

Segment Reporting [Abstract]

SEGMENT REPORTING

SEGMENT REPORTING

The Corporation manages its operations through two primary business segments:  core banking and WMG.  The core banking segment provides revenues by attracting deposits from the general public and using such funds to originate consumer, commercial, commercial real estate, and residential mortgage loans, primarily in the Corporation’s local markets and to invest in securities.  The WMG services segment provides revenues by providing trust and investment advisory services to clients.

Accounting policies for the segments are the same as those described in Note 1. Summarized financial information concerning the Corporation’s reportable segments and the reconciliation to the Corporation’s consolidated results are shown in the following table.  Income taxes are allocated based on the separate taxable income of each entity and indirect overhead expenses are allocated based on reasonable and equitable allocations applicable to the reportable segment.  CFS amounts are the primary differences between segment amounts and consolidated totals, and are reflected in the Holding Company and CFS column below, along with amounts to eliminate transactions between segments (in thousands):

Year ended December 31, 2015	Core Banking		WMG		Holding Company and CFS			Consolidated Totals
Interest and dividend income	$	54,240	$	—	$	4		$	54,244
Interest expense	3,602		—		—			$	3,602
Net interest income	50,638		—		4			50,642
Provision for loan losses	1,571		—		—			1,571
Net interest income after provision for loan losses	49,067		—		4			49,071
Other operating income	11,019		8,522		906			20,447
Other operating expenses	48,882		5,517		1,028			55,427
Income (loss) before income tax expense	11,204		3,005		(118		)	14,091
Income tax expense (benefit)	3,620		1,149		(111		)	4,658
Segment net income (loss)	$	7,584	$	1,856	$	(7	)	$	9,433
Segment assets	$	1,614,481	$	4,282	$	1,201		$	1,619,964

Year ended December 31, 2014	Core Banking		WMG			Holding Company and CFS			Consolidated Totals
Interest and dividend income	$	53,201	$	—		$	12		$	53,213
Interest expense	3,645		—			—			$	3,645
Net interest income	$	49,556	$	—		$	12		$	49,568
Provision for loan losses	3,981		—			—			3,981
Net interest income after provision for loan losses	45,575		—			12			45,587
Other operating income	18,186		7,746			824			26,756
Legal settlements	—		4,250			—			4,250
Other operating expenses	49,997		5,355			875			56,227
Income before income tax expense	13,764		(1,859		)	(39		)	11,866
Income tax expense (benefit)	4,507		(715		)	(83		)	3,709
Segment net income	$	9,257	$	(1,144	)	$	44		$	8,157
Segment assets	$	1,518,584	$	4,357		$	1,598		$	1,524,539

Year ended December 31, 2013	Core Banking		WMG		Holding Company and CFS			Consolidated Totals
Interest and dividend income	$	50,653	$	—	$	10		$	50,663
Interest expense	4,032		—		—			4,032
Net interest income	$	46,621	$	—	$	10		$	46,631
Provision for loan losses	2,755		—		—			2,755
Net interest income after provision for loan losses	43,866		—		10			43,876
Other operating income	9,913		7,344		820			18,077
Other operating expenses	43,136		5,480		784			49,400
Income (loss) before income tax expense	10,643		1,864		46			12,553
Income tax expense (benefit)	3,139		717		(34		)	3,822
Segment net income	$	7,504	$	1,147	$	80		$	8,731
Segment assets	$	1,469,482	$	4,943	$	1,718		$	1,476,143