ESTIMATED FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

3 Months Ended

Mar. 31, 2013

ESTIMATED FAIR VALUE OF FINANCIAL INSTRUMENTS

Schedule of assets and liabilities measured on a recurring basis

				Fair Value Measurements at March 31, 2013 Using:
					Significant
				Quoted Prices In	Other			Significant
				Active Markets for	Observable			Unobservable
	Carrying			Identical Assets	Inputs			Inputs
(In thousands)	Value			(Level 1)	(Level 2)			(Level 3)
Financial Assets:
Available for sale securities:
U.S. GSE securities	$	136,391			$	136,391
State and municipal obligations	50,093				50,093
U.S. GSE residential mortgage-backed securities	23,577				23,577
U.S. GSE residential collateralized mortgage obligations	216,937				216,937
U.S. GSE commercial mortgage-backed securities	3,111				3,111
U.S. GSE commercial collateralized mortgage obligations	5,342				5,342
Non Agency commercial mortgage-backed securities	4,358				4,358
Other Asset backed securities	15,655				15,655
Total available for sale	$	455,464			$	455,464
Financial Liabilities:
Derivatives	$	(148	)		$	(148	)

				Fair Value Measurements at December 31, 2012 Using:
					Significant
				Quoted Prices In	Other			Significant
				Active Markets for	Observable			Unobservable
	Carrying			Identical Assets	Inputs			Inputs
(In thousands)	Value			(Level 1)	(Level 2)			(Level 3)
Financial Assets:
Available for sale securities:
U.S. GSE securities	$	178,452			$	178,452
State and municipal obligations	59,963				59,963
U.S. GSE residential mortgage-backed securities	20,597				20,597
U.S. GSE residential collateralized mortgage obligations	226,446				226,446
U.S. GSE commercial mortgage-backed securities	3,138				3,138
U.S. GSE commercial collateralized mortgage obligations	9,357				9,357
Non Agency commercial mortgage-backed securities	4,989				4,989
Other Asset backed securities	26,128				26,128
Total available for sale	$	529,070			$	529,070
Financial Liabilities:
Derivatives	$	(176	)		$	(176	)

Schedule of assets measured at fair value on a non-recurring basis

			Fair Value Measurements at March 31, 2013 Using:
				Significant
			Quoted Prices In	Other	Significant
			Active Markets for	Observable	Unobservable
	Carrying		Identical Assets	Inputs	Inputs
(In thousands)	Value		(Level 1)	(Level 2)	(Level 3)
Impaired loans	$	734			$	734

			Fair Value Measurements at December 31, 2012 Using:
				Significant
			Quoted Prices In	Other	Significant
			Active Markets for	Observable	Unobservable
	Carrying		Identical Assets	Inputs	Inputs
(In thousands)	Value		(Level 1)	(Level 2)	(Level 3)
Impaired loans	$	178			$	178

Schedule of estimated fair values and recorded carrying values of financial instruments

			Fair Value Measurements at March 31, 2013 Using:
					Significant
			Quoted Prices In		Other		Significant
			Active Markets for		Observable		Unobservable
	Carrying		Identical Assets		Inputs		Inputs
(In thousands)	Amount		(Level 1)		(Level 2)		(Level 3)		Total
Financial assets:
Cash and due from banks	$	18,404	$	18,404	$	—	$	—	$	18,404
Interest bearing deposits with banks	7,007		—		7,007		—		7,007
Securities available for sale	455,464		—		455,464		—		455,464
Securities restricted	3,037		n/a		n/a		n/a		n/a
Securities held to maturity	196,314		—		199,107		—		199,107
Loans, net	847,172		—		—		866,577		866,577
Accrued interest receivable	5,567		—		2,700		2,867		5,567
Financial liabilities:
Certificates of deposit	159,177		—		160,564		—		160,564
Demand and other deposits	1,215,024		1,215,024		—		—		1,215,024
Federal funds purchased and Federal Home Loan Bank overnight borrowings	29,000		29,000		—		—		29,000
Federal Home Loan Bank term advances	15,000		—		15,155		—		15,155
Repurchase agreements	12,821		—		13,419		—		13,419
Junior Subordinated Debentures	16,002		—		—		16,732		16,732
Derivatives	148		—		148		—		148
Accrued interest payable	158		20		138		—		158

			Fair Value Measurements at December 31, 2012 Using:
					Significant
			Quoted Prices In		Other		Significant
			Active Markets for		Observable		Unobservable
	Carrying		Identical Assets		Inputs		Inputs
(In thousands)	Amount		(Level 1)		(Level 2)		(Level 3)		Total
Financial assets:
Cash and due from banks	$	46,855	$	46,855	$	—	$	—	$	46,855
Interest bearing deposits with banks	4,394		—		4,394		—		4,394
Securities available for sale	529,070		—		529,070		—		529,070
Securities restricted	2,978		n/a		n/a		n/a		n/a
Securities held to maturity	210,735		—		213,702		—		213,702
Loans, net	784,007		—		—		807,597		807,597
Accrued interest receivable	5,436		—		2,945		2,491		5,436
Financial liabilities:
Certificates of deposit	157,248		—		158,764		—		158,764
Demand and other deposits	1,252,074		1,252,074		—		—		1,252,074
Federal funds purchased and Federal Home Loan Bank overnight borrowings	44,500		44,500		—		—		44,500
Federal Home Loan Bank term advances	15,000		—		14,824		—		14,824
Repurchase agreements	12,390		—		13,064		—		13,064
Junior Subordinated Debentures	16,002		—		—		17,101		17,101
Derivatives	176		—		176		—		176
Accrued interest payable	147		1		146		—		147