STOCKHOLDERS' EQUITY

9 Months Ended

Sep. 30, 2016

STOCKHOLDERS' EQUITY [Abstract]

STOCKHOLDERS' EQUITY

7. STOCKHOLDERS’ EQUITY

The following table summarizes the changes in other comprehensive income (loss) by component, net of tax for the period indicated:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2016			2015			2016			2015
	Unrealized holding gains (losses) on AFS						Unrealized holding gains (losses) on AFS
	(in thousands)
Beginning balance	$	33		$	(122	)	$	(68	)	$	31
Other comprehensive income (loss) before reclassifications		(46	)		92			55			(61	)
Amounts reclassified from accumulated other comprehensive income		-			-			-			-
Net current-period other comprehensive income (loss)		(46	)		92			55			(61	)
Ending Balance	$	(13	)	$	(30	)	$	(13	)	$	(30	)

There were no reclassifications out of accumulated other comprehensive income for the three and nine months ended September 30, 2016 or 2015.

Common Stock

During the first nine months of 2016, the Company repurchased 183,569 common stock shares for an average price of $7.26 a share under the common stock repurchase program.  During the three months ended September 30, 2016, the Company repurchased 45,786 common stock shares at an average price of $7.78 a share.

During the three and nine months ended September 30, 2016, the Company paid common stock dividends of $0.3 million and $0.8 million, respectively.  During the three and nine months ended September 30, 2015, the Company paid common stock dividends of $0.2 million and $0.7 million, respectively.

Common Stock Warrant

The Warrant issued as part of the TARP provides for the purchase of up to 521,158 shares of the common stock, at an exercise price of $4.49 per share (“Warrant Shares”).  The Warrant is immediately exercisable and expires on December 19, 2018.  The exercise price and the ultimate number of shares of common stock that may be issued under the Warrant are subject to certain anti-dilution adjustments, such as upon stock splits or distributions of securities or other assets to holders of the common stock, and upon certain issuances of the common stock at or below a specified price relative to the then current market price of the common stock.  In the second quarter of 2013, the Treasury sold its warrant position to a private investor.  Pursuant to the Securities Purchase Agreement, the private investor has agreed not to exercise voting power with respect to any Warrant Shares.