ESTIMATED FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

6 Months Ended

Jun. 30, 2014

ESTIMATED FAIR VALUE OF FINANCIAL INSTRUMENTS

Schedule of assets and liabilities measured on a recurring basis

				Fair Value Measurements at
				June 30, 2014 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	$	122,559			$	122,559
State and municipal obligations	59,149				59,149
U.S. GSE residential mortgage-backed securities	56,004				56,004
U.S. GSE residential collateralized mortgage obligations	287,022				287,022
U.S. GSE commercial mortgage-backed securities	2,912				2,912
U.S. GSE commercial collateralized mortgage obligations	32,200				32,200
Other Asset backed securities	48,301				48,301
Corporate Bonds	20,920				20,920
Total available for sale	$	629,067			$	629,067
Financial Liabilities:
Derivatives	$	(740	)		$	(740	)

				Fair Value Measurements at
				December 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	$	152,757			$	152,757
State and municipal obligations	61,656				61,656
U.S. GSE residential mortgage-backed securities	14,435				14,435
U.S. GSE residential collateralized mortgage obligations	279,191				279,191
U.S. GSE commercial mortgage-backed securities	2,834				2,834
U.S. GSE commercial collateralized mortgage obligations	26,910				26,910
Non Agency commercial mortgage-backed securities	3,578				3,578
Other Asset backed securities	33,818				33,818
Total available for sale	$	575,179			$	575,179
Financial Liabilities:
Derivatives	$	(164	)		$	(164	)

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

			Fair Value Measurements at
			June 30, 2014 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	$	183			$	183
Other real estate owned	557				557

			Fair Value Measurements at
			December 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	$	1,329			$	1,329
Other real estate owned	2,242				2,242

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

			Fair Value Measurements at
			June 30, 2014 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	$	48,419	$	48,419	$	—	$	—	$	48,419
Interest bearing deposits with banks	14,782		—		14,782		—		14,782
Securities available for sale	629,067		—		629,067		—		629,067
Securities restricted	10,690		n/a		n/a		n/a		n/a
Securities held to maturity	205,062		—		205,341		—		205,341
Loans, net	1,184,181		—		—		1,190,015		1,190,015
Accrued interest receivable	6,425		—		2,771		3,654		6,425
Financial liabilities:
Certificates of deposit	167,681		—		168,991		—		168,991
Demand and other deposits	1,583,390		1,583,390		—		—		1,583,390
Federal funds purchased	70,000		70,000		—		—		70,000
Federal Home Loan Bank overnight borrowings	72,000		71,992		—		—		71,992
Federal Home Loan Bank term advances	74,086		—		75,671		—		75,671
Repurchase agreements	11,392		—		11,940		—		11,940
Junior Subordinated Debentures	16,002		—		—		15,903		15,903
Derivatives	740		—		740		—		740
Accrued interest payable	305		76		229		—		305

			Fair Value Measurements at
			December 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	$	39,997	$	39,997	$	—	$	—	$	39,997
Interest bearing deposits with banks	5,576		—		5,576		—		5,576
Securities available for sale	575,179		—		575,179		—		575,179
Securities restricted	7,034		n/a		n/a		n/a		n/a
Securities held to maturity	201,328		—		197,338		—		197,338
Loans, net	997,262		—		—		1,002,314		1,002,314
Accrued interest receivable	5,648		—		2,747		2,901		5,648
Financial liabilities:
Certificates of deposit	100,895		—		101,509		—		101,509
Demand and other deposits	1,438,184		1,438,184		—		—		1,438,184
Federal funds purchased	64,000		64,000				—		64,000
Federal Home Loan Bank overnight borrowings	58,000		57,994		—		—		57,994
Federal Home Loan Bank term advances	40,000		—		40,060		—		40,060
Repurchase agreements	11,370		—		11,803		—		11,803
Junior Subordinated Debentures	16,002		—		—		15,215		15,215
Derivatives	164		—		164		—		164
Accrued interest payable	225		76		149		—		225