FAIR VALUE (Tables)

3 Months Ended

Mar. 31, 2017

ESTIMATED FAIR VALUE OF FINANCIAL INSTRUMENTS

Schedule of assets and liabilities measured on a recurring basis

	March 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	$	63,833		$	63,833
State and municipal obligations		115,731			115,731
U.S. GSE residential mortgage-backed securities		179,822			179,822
U.S. GSE residential collateralized mortgage obligations		351,488			351,488
U.S. GSE commercial mortgage-backed securities		6,284			6,284
U.S. GSE commercial collateralized mortgage obligations		53,345			53,345
Other asset backed securities		22,795			22,795
Corporate bonds		30,217			30,217
Total available for sale securities	$	823,515		$	823,515
Derivatives	$	2,752		$	2,752
Financial liabilities:
Derivatives	$	1,611		$	1,611
	December 31, 2016
			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	$	63,649		$	63,649
State and municipal obligations		116,165			116,165
U.S. GSE residential mortgage-backed securities		158,048			158,048
U.S. GSE residential collateralized mortgage obligations		367,511			367,511
U.S. GSE commercial mortgage-backed securities		6,307			6,307
U.S. GSE commercial collateralized mortgage obligations		55,192			55,192
Other asset backed securities		22,553			22,553
Corporate bonds		30,297			30,297
Total available for sale securities	$	819,722		$	819,722
Derivatives	$	2,510		$	2,510
Financial liabilities:
Derivatives	$	1,670		$	1,670

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

	March 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	$	58			$	58
	December 31, 2016
			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	$	64			$	64

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

	March 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	$	47,541	$	47,541	$	-	$	-	$	47,541
Interest bearing deposits with banks		23,423		23,423		-		-		23,423
Securities available for sale		823,515		-		823,515		-		823,515
Securities restricted		35,249		n/a		n/a		n/a		n/a
Securities held to maturity		214,961		-		214,622		-		214,622
Loans, net		2,630,901		-		-		2,593,409		2,593,409
Derivatives		2,752		-		2,752		-		2,752
Accrued interest receivable		10,259		-		4,008		6,251		10,259
Financial liabilities:
Certificates of deposit		209,887		-		209,304		-		209,304
Demand and other deposits		2,772,980		2,772,980		-		-		2,772,980
Federal funds purchased		50,000		50,000		-		-		50,000
Federal Home Loan Bank advances		491,177		43,000		447,354		-		490,354
Repurchase agreements		707		-		707		-		707
Subordinated debentures		78,537		-		-		78,048		78,048
Junior subordinated debentures		-		-		-		-		-
Derivatives		1,611		-		1,611		-		1,611
Accrued interest payable		550		-		538		12		550
	December 31, 2016
			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	$	102,280	$	102,280	$	-	$	-	$	102,280
Interest bearing deposits with banks		11,558		11,558		-		-		11,558
Securities available for sale		819,722		-		819,722		-		819,722
Securities restricted		34,743		n/a		n/a		n/a		n/a
Securities held to maturity		223,237		-		222,878		-		222,878
Loans, net		2,574,536		-		-		2,542,395		2,542,395
Derivatives		2,510		-		2,510		-		2,510
Accrued interest receivable		10,233		-		3,480		6,753		10,233
Financial liabilities:
Certificates of deposit		206,732		-		206,026		-		206,026
Demand and other deposits		2,719,277		2,719,277		-		-		2,719,277
Federal funds purchased		100,000		100,000		-		-		100,000
Federal Home Loan Bank advances		496,684		175,000		321,249		-		496,249
Repurchase agreements		674		-		674		-		674
Subordinated debentures		78,502		-		-		78,303		78,303
Junior subordinated debentures		15,244		-		-		15,258		15,258
Derivatives		1,670		-		1,670		-		1,670
Accrued interest payable		1,849		87		316		1,446		1,849