FAIR VALUE (Tables)

6 Months Ended

Jun. 30, 2018

ESTIMATED FAIR VALUE OF FINANCIAL INSTRUMENTS

Schedule of assets and liabilities measured on a recurring basis

	June 30, 2018
			Fair Value Measurements 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	$	28,738		$	28,738
State and municipal obligations		37,948			37,948
U.S. GSE residential mortgage-backed securities		98,196			98,196
U.S. GSE residential collateralized mortgage obligations		332,047			332,047
U.S. GSE commercial mortgage-backed securities		3,517			3,517
U.S. GSE commercial collateralized mortgage obligations		92,407			92,407
Other asset backed securities		23,523			23,523
Corporate bonds		42,700			42,700
Total available for sale securities	$	659,076		$	659,076
Derivatives	$	8,743		$	8,743
Financial liabilities:
Derivatives	$	2,451		$	2,451

	December 31, 2017
			Fair Value Measurements 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	$	56,814		$	56,814
State and municipal obligations		87,022			87,022
U.S. GSE residential mortgage-backed securities		186,901			186,901
U.S. GSE residential collateralized mortgage obligations		307,390			307,390
U.S. GSE commercial mortgage-backed securities		5,979			5,979
U.S. GSE commercial collateralized mortgage obligations		48,716			48,716
Other asset backed securities		23,401			23,401
Corporate bonds		43,693			43,693
Total available for sale securities	$	759,916		$	759,916
Derivatives	$	4,546		$	4,546
Financial liabilities:
Derivatives	$	1,823		$	1,823

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

	June 30, 2018
			Fair Value Measurements 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	$	-			$	-
Other real estate owned	$	175			$	175

	December 31, 2017
			Fair Value Measurements 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	$	-			$	-
Other real estate owned	$	-			$	-

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

	June 30, 2018
			Fair Value Measurements Using:
					Significant
			Quoted Prices In		Other		Significant
			Active Markets for		Observable		Unobservable		Total
	Carrying		Identical Assets		Inputs		Inputs		Fair
(In thousands)	Amount		(Level 1)		(Level 2)		(Level 3)		Value
Financial assets:
Cash and due from banks	$	74,255	$	74,255	$	—	$	—	$	74,255
Interest earning deposits with banks		31,636		31,636		—		—		31,636
Securities available for sale		659,076		—		659,076		—		659,076
Securities restricted		26,747		n/a		n/a		n/a		n/a
Securities held to maturity		169,717		—		165,606		—		165,606
Loans held for sale		6,338		—		6,852		—		6,852
Loans, net		3,149,024		—		—		3,129,139		3,129,139
Derivatives		8,743		—		8,743		—		8,743
Accrued interest receivable		11,625		—		2,881		8,744		11,625
Financial liabilities:
Certificates of deposit		326,219		—		323,551		—		323,551
Demand and other deposits		3,226,978		3,226,978		—		—		3,226,978
Federal Home Loan Bank advances		300,863		10,000		284,531		—		294,531
Repurchase agreements		1,437		—		1,437		—		1,437
Subordinated debentures		78,711		—		74,913		—		74,913
Derivatives		2,451		—		2,451		—		2,451
Accrued interest payable		1,639		—		1,639		—		1,639

	December 31, 2017
			Fair Value Measurements Using:
					Significant
			Quoted Prices In		Other		Significant
			Active Markets for		Observable		Unobservable		Total
	Carrying		Identical Assets		Inputs		Inputs		Fair
(In thousands)	Amount		(Level 1)		(Level 2)		(Level 3)		Value
Financial assets:
Cash and due from banks	$	76,614	$	76,614	$	-	$	-	$	76,614
Interest earning deposits with banks		18,133		18,133		-		-		18,133
Securities available for sale		759,916		-		759,916		-		759,916
Securities restricted		35,349		n/a		n/a		n/a		n/a
Securities held to maturity		180,866		-		179,885		-		179,885
Loans, net		3,071,045		-		-		3,010,023		3,010,023
Derivatives		4,546		-		4,546		-		4,546
Accrued interest receivable		11,652		-		3,211		8,441		11,652
Financial liabilities:
Certificates of deposit		222,364		-		220,775		-		220,775
Demand and other deposits		3,112,179		3,112,179		-		-		3,112,179
Federal funds purchased		50,000		50,000		-		-		50,000
Federal Home Loan Bank advances		501,374		185,000		313,558		-		498,558
Repurchase agreements		877		-		877		-		877
Subordinated debentures		78,641		-		77,933		-		77,933
Derivatives		1,823		-		1,823		-		1,823
Accrued interest payable		1,574		-		1,574		-		1,574