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Investment Securities (Tables)
 9 Months Ended
Sep. 30, 2012
Marketable Securities [Abstract]  
Schedule of Available-for-sale and Held to Maturity Securities [Table Text Block]

The following is a summary of available-for-sale and held-to-maturity securities (in thousands):

 

  Amortized
Cost		  Gross
Unrealized
Gains		  Gross
Unrealized
Losses		  Fair Value 
At September 30, 2012                
Available-for-Sale Securities:                
                 
Obligations of U.S. government corporations and agencies $21,497  $152  $-  $21,649 
U.S. treasury bonds  2,000   4   -   2,004 
Mortgage-backed securities – residential  82,023   3,472   -   85,495 
REMICs  -   -   -   - 
Collateralized mortgage obligations  63,227   1,815   (12)  65,030 
Trust preferred securities and preferred stock  3,604   35   (2,262)  1,377 
Corporate bonds  8,695   167   (13)  8,849 
Obligations of state and political subdivisions  77,945   6,754   (5)  84,694 
Totals $258,991  $12,399  $(2,292) $269,098 
                 
Held-to-Maturity Securities*:                
FHLMC certificates $72  $-  $-  $72 
FNMA certificates  173   6   -   179 
GNMA certificates  63   3   -   66 
Obligations of state and political subdivisions  277   1   -   278 
Totals $585  $10  $-  $595 
                 
At December 31, 2011                
Available-for-Sale Securities:                
                 
Obligations of U.S. government corporations and agencies $16,989  $96  $-  $17,085 
U.S. treasury bonds  2,000   10   -   2,010 
Mortgage-backed securities – residential  68,400   2,318   (2)  70,716 
REMICs  2,863   31   -   2,894 
Collateralized mortgage obligations  57,083   1,926   -   59,009 
Trust preferred securities and preferred stock  3,790   73   (2,413)  1,450 
Corporate bonds  8,629   -   (377)  8,252 
Obligations of state and political subdivisions  65,928   5,580   (5)  71,503 
Totals $225,682  $10,034  $(2,797) $232,919 
                 
Held-to-Maturity Securities*:                
FHLMC certificates $82  $1  $-  $83 
FNMA certificates  199   4   -   203 
GNMA certificates  72   3   -   75 
Obligations of state and political subdivisions  308   3   -   311 
Totals $661  $11  $-  $672 

 

* FHLMC, FNMA, and GNMA certificates are residential mortgage-backed securities.
Investments Classified by Contractual Maturity Date [Table Text Block]

The amortized cost and fair value of the investment securities portfolio at September 30, 2012 are shown below by contractual maturity.

 

  Available-for-Sale  Held-to-Maturity 
  Amortized  Fair  Amortized  Fair 
  Cost  Value  Cost  Value 
  (In Thousands) 
Due in one year or less $2,595  $2,602  $60  $61 
Due after one year through five years  15,056   15,331   -   - 
Due after five years through ten years  39,530   41,614   217   217 
Due after ten years  56,560   59,026   -   - 
MBS/CMO/REMIC  145,250   150,525   308   317 
  $258,991  $269,098  $585  $595 
Unrealized Gain (Loss) on Investments [Table Text Block]

The following tables summarize First Defiance’s securities that were in an unrealized loss position at September 30, 2012 and December 31, 2011:

 

  Duration of Unrealized Loss Position    
  Less than 12 Months  12 Month or Longer  Total 
     Gross     Gross       
  Fair  Unrealized  Fair  Unrealized  Fair  Unrealized 
  Value  Loss  Value  Loss  Value  Losses 
  (In Thousands) 
At September 30, 2012                        
Available-for-sale securities:                        
Mortgage-backed - residential $1  $-  $-  $-  $1  $- 
Collateralized mortgage obligations and REMICs  4,610   (12)  -   -   4,610   (12)
Corporate bonds  -   -   1,908   (13)  1,908   (13)
Trust preferred stock and preferred stock  -   -   1,308   (2,262)  1,308   (2,262)
Obligations of state and political subdivisions  1,514   (5)  -   -   1,514   (5)
Total temporarily impaired securities $6,125  $(17) $3,216  $(2,275) $9,341  $(2,292)

 

  Duration of Unrealized Loss Position    
  Less than 12 Months  12 Months or Longer  Total 
     Gross     Gross       
  Fair  Unrealized  Fair  Unrealized  Fair  Unrealized 
  Value  Loss  Value  Loss  Value  Loses 
  (In Thousands) 
At December 31, 2011                        
Available-for-sale securities:                        
Mortgage-backed securities - residential $2,030  $(2) $-  $-  $2,030  $(2)
Obligations of state and political subdivisions  -   -   746   (5)  746   (5)
Trust preferred stock and preferred stock  -   -   1,342   (2,413)  1,342   (2,413)
Corporate bonds  8,252   (377)  -   -   8,252   (377)
Total temporarily impaired securities $10,282  $(379) $2,088  $(2,418) $12,370  $(2,797)
Schedule of Other Than Temporary Impairment, Credit Losses Recognized in Earnings [Table Text Block]

The following table details the six securities with OTTI, their lowest credit rating at September 30, 2012 and the related credit losses recognized in earnings for the three month periods ended March 31, 2012, June 30, 2012, and September 30, 2012 (In Thousands):

 

  TPREF
Funding II
Rated		  Alesco
VIII		  Preferred
Term
Security
XXVII		  Trapeza
CDO I
Rated		  Alesco
Preferred
Funding
VIII		  Alesco
Preferred
Funding
IX		    
  Caa3  Rated Ca  Rated C  Ca  Not Rated  Not Rated  Total 
Cumulative OTTI related to credit loss at January 1, 2012 $318  $1,000  $78  $857  $453  $465  $3,171 
Addition – Qtr 1  -   -   -   -   -   -   - 
Cumulative OTTI related to credit loss at March 31, 2012 $318  $1,000  $78  $857  $453  $465  $3,171 
Addition – Qtr 2  -   -   -   -   -   -   - 
Cumulative OTTI related to credit loss at June 30, 2012 $318  $1,000  $78  $857  $453  $465  $3,171 
Addition – Qtr 3  -   -   -   -   -   -   - 
Cumulative OTTI related to credit loss at September 30, 2012 $318  $1,000  $78  $857  $453  $465  $3,171 
Investment [Table Text Block]

The following table provides additional information related to the four CDO investments for which a balance remains as of September 30, 2012 (dollars in thousands):

 

CDO Class  Amortized
Cost		  Fair
Value		  Unrealized
Loss		  OTTI
Losses
2012		  Lowest
Rating		 Current
Number of
Banks and
Insurance
Companies		  Actual
Deferrals
and
Defaults
as a % of
Current
Collateral		  Expected
Deferrals
and
Defaults as
a % of
Remaining
Performing
Collateral		  Excess 
Sub-
ordination 
as a % of 
Current
Performing
Collateral		 
TPREF Funding II  B  $677  $225  $(452)  -  Caa3  17   38.81%  15.53%  - 
I-Preferred Term Sec I  B-1   1,000   456   (544)  -  CCC  14   17.24%  14.70%  27.44%
Dekania II CDO  C-1   990   421   (569)  -  CCC  32   -%  13.87%  29.18%
Preferred Term Sec XXVII  C-1   903   206   (697)  -  Ca  34   26.68%  22.84%  6.09%
Total     $3,570  $1,308  $(2,262) $-                   
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Table Text Block]

The table below presents a roll-forward of the credit losses relating to debt securities recognized in earnings for the three and nine month periods ended September 30, 2012 and 2011 (in thousands):

 

  Three Months Ended  Nine Months Ended 
  September 30,  September 30, 
  2012  2011  2012  2011 
Beginning balance $3,171  $3,251  $3,251  $3,249 
Additions for amounts related to credit loss for which an OTTI was not previously recognized  -   -   -   - 
                 
Reductions for amounts realized for securities sold/redeemed during the period  -   -   (80)  - 
                 
Reductions for amounts related to securities for which the Company intends to sell or that it will be more than likely than not that the Company will be required to sell prior to recovery of amortized cost basis  -   -   -   - 
                 
Reductions for increase in cash flows expected to be collected that are recognized over the remaining life of the security  -   -   -   - 
                 
Increases to the amount related to the credit loss for which other-than-temporary was previously recognized  -   -   -   2 
                 
Ending balance $3,171  $3,251  $3,171  $3,251 
Investment Securities

The proceeds from the sales and calls of securities and the associated gains are listed below:

 

  Three Months Ended
September 30,		  Nine Months Ended
September 30,		 
  2012  2011  2012  2011 
  (In thousands)  (In thousands) 
Proceeds $2,122  $-  $8,538  $1,982 
Gross realized gains  103   -   528   49 
Gross realized losses  -   -   -   - 
Comprehensive Income (Loss) Note [Text Block]

The following table summarizes the changes within each classification of accumulated other comprehensive income for the quarters ended September 30, 2012 and 2011:

 

  Unrealized gains
(losses) on
available for sale
securities		  Postretirement
Benefit		  Accumulated
other
comprehensive
income (loss),
net		 
  (In Thousands) 
Balance at December 31, 2011 $4,704  $(707) $3,997 
Other comprehensive income (loss), net  1,866   -   1,866 
Balance at September 30, 2012 $6,570  $(707) $5,863 

 

  Unrealized gains
(losses) on
available for sale
securities		  Postretirement
Benefit		  Accumulated
other
comprehensive
income (loss),
net		 
  (In Thousands) 
Balance at December 31, 2010 $32  $(374) $(342)
Other comprehensive income (loss), net  4,521   -   4,521 
Balance at September 30, 2011 $4,553  $(374) $4,179