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CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($)
$ in Thousands
3 Months Ended
Mar. 31, 2016
Mar. 31, 2015
Cash flows from operating activities:    
Net income $ 831 $ 978
Adjustments to reconcile net income to net cash provided by operating activities:    
Deferred income tax expense 424 0
Provision for depreciation and amortization 162 176
Net amortization of bond premiums and discounts 216 263
Stock based compensation 77 143
Gain on sale of investment securities 0 (56)
Gain on sale of foreclosed assets, net (5) (16)
Valuation adjustment on foreclosed assets 12 116
Earnings on investment in bank-owned life insurance (43) (50)
Gain on sale of mortgage loans held for sale (100) (111)
Originations of mortgage loans held for sale (4,141) (5,879)
Proceeds from sale of loans held for sale 4,656 5,364
Changes in assets and liabilities:    
Other assets (207) 821
Accrued interest receivable 37 80
Other liabilities (557) 597
Accrued interest payable 2 23
Net cash provided by operating activities 1,364 2,449
Cash flows from investing activities:    
Proceeds from sales and calls of investment securities available-for-sale 0 2,609
Proceeds from maturities and calls of investment securities held-to-maturity 100 0
Proceeds from paydowns of investment securities available-for-sale 1,280 1,157
Proceeds from paydowns of investment securities held-to-maturity 2,905 3,409
Purchases of investment securities available-for-sale 0 (2,538)
Redemption of certificates of deposits held for investment 980 99
(Purchase) redemption of FHLB stock (308) 224
Net increase in loans outstanding (18,925) (6,595)
Purchases of bank premises and equipment (224) (68)
Proceeds from sales of foreclosed assets 134 1,036
Net cash used in investing activities (14,058) (667)
Cash flows from financing activities:    
Net proceeds from borrowings 10,000 0
Net increase (decrease) in deposit accounts 19,044 (57,674)
Proceeds from issuance of common stock 26 17
Excess tax benefits from stock options 1 0
Shares withheld for payment of taxes (71) 0
Net cash provided by (used in) financing activities 29,000 (57,657)
Change in cash and cash equivalents 16,306 (55,875)
Cash and cash equivalents at beginning of period 26,755 [1] 158,527
Cash and cash equivalents at end of period 43,061 102,652
Supplemental disclosures of cash flow information:    
Interest paid on deposits and borrowings 1,218 1,691
Supplemental disclosures of noncash investing and financing activities:    
Unrealized gains on investment securities available-for-sale 1,549 571
Amortization of net losses on investment securities transferred to held-to-maturity (11) (16)
Transfer of loans to foreclosed assets 863 619
Loans transferred from held for sale to held for investment 0 105
Loans transferred from held for investment to held for sale 0 113
Available for sale securities purchased, not yet settled $ 0 $ 1,805
[1] Derived from audited consolidated financial statements.