FAIR VALUE (Tables)

6 Months Ended

Jun. 30, 2017

ESTIMATED FAIR VALUE OF FINANCIAL INSTRUMENTS

Schedule of assets and liabilities measured on a recurring basis

	June 30, 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	$	64,113		$	64,113
State and municipal obligations		121,030			121,030
U.S. GSE residential mortgage-backed securities		202,840			202,840
U.S. GSE residential collateralized mortgage obligations		336,496			336,496
U.S. GSE commercial mortgage-backed securities		6,292			6,292
U.S. GSE commercial collateralized mortgage obligations		51,914			51,914
Other asset backed securities		22,977			22,977
Corporate bonds		30,330			30,330
Total available for sale securities	$	835,992		$	835,992
Derivatives	$	2,401		$	2,401
Financial liabilities:
Derivatives	$	2,186		$	2,186

	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

	June 30, 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	$	760			$	760

	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

	June 30, 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	$	62,195	$	62,195	$	-	$	-	$	62,195
Interest earning deposits with banks		22,957		22,957		-		-		22,957
Securities available for sale		835,992		-		835,992		-		835,992
Securities restricted		38,819		n/a		n/a		n/a		n/a
Securities held to maturity		203,907		-		204,576		-		204,576
Loans, net		2,768,765		-		-		2,733,006		2,733,006
Derivatives		2,401		-		2,401		-		2,401
Accrued interest receivable		9,729		-		3,499		6,230		9,729
Financial liabilities:
Certificates of deposit		225,618		-		225,211		-		225,211
Demand and other deposits		2,834,000		2,834,000		-		-		2,834,000
Federal funds purchased		50,000		50,000		-		-		50,000
Federal Home Loan Bank advances		563,974		196,896		367,034		-		563,930
Repurchase agreements		731		-		731		-		731
Subordinated debentures		78,571		-		78,764		-		78,764
Junior subordinated debentures		-		-		-		-		-
Derivatives		2,186		-		2,186		-		2,186
Accrued interest payable		1,501		-		389		1,112		1,501

	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 earning 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