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CONSOLIDATED STATEMENTS OF INCOME (Unaudited) (USD $)
In Thousands, except Per Share data, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2014
Jun. 30, 2013
Jun. 30, 2014
Jun. 30, 2013
Non-interest expense        
Net income     $ 1,517 $ 2,084
Statements of Income
       
Interest and dividend income        
Interest and fees on loans 4,731 4,470 9,327 8,898
Interest on debt securities        
Taxable 365 468 745 941
Tax exempt 432 478 878 966
Other interest and dividends 24 18 45 36
Total interest and dividend income 5,552 5,434 10,995 10,841
Interest expense        
Deposits 349 488 700 978
Repurchase agreements 1 1 2 2
Capital lease       18   
Federal Home Loan Bank of Boston advances 297 312 595 624
Total interest expense 647 801 1,315 1,604
Net interest income 4,905 4,633 9,680 9,237
Provision for loan losses 314 240 651 636
Net interest and dividend income after provision for loan losses 4,591 4,393 9,029 8,601
Non-interest income        
Trust and wealth advisory 939 824 1,718 1,549
Service charges and fees 626 575 1,168 1,092
Gains on sales of mortgage loans, net 32 153 43 431
Mortgage servicing, net 11 8 39 34
Other 74 90 152 169
Total non-interest income 1,682 1,650 3,120 3,275
Non-interest expense        
Salaries 1,951 1,835 3,795 3,585
Employee benefits 739 763 1,480 1,448
Premises and equipment 701 583 1,374 1,166
Data processing 435 367 834 787
Professional fees 425 [1] 309 1,044 [1] 689
Collections and OREO 85 75 221 230
FDIC insurance 124 114 221 239
Marketing and community support 127 105 240 228
Amortization of intangibles 63 56 118 111
Other 418 403 851 833
Total non-interest expense 5,068 4,610 10,178 9,316
Income before income taxes 1,205 1,433 1,971 2,560
Income tax provision 239 289 454 476
Net income 966 1,144 1,517 2,084
Net income available to common shareholders $ 926 $ 1,103 $ 1,431 $ 2,003
Basic and diluted earnings per common share $ 0.54 $ 0.65 $ 0.83 $ 1.17
Diluted earnings per common share $ 0.54 $ 0.65 $ 0.83 $ 1.17
Common dividends per share $ 0.28 $ 0.28 $ 0.56 $ 0.56
[1] Includes one-time professional fees of $81,000 and $261,000 incurred in conjunction with the following strategic initiatives for the three and six month periods ended June 30, 2014: (i) the entering of an agreement to acquire the Sharon, CT branch office of Union Savings Bank and related branch deposits and the consolidation of an existing Salisbury branch office in Sharon, CT with such branch, which was consummated in June of 2014, and (ii) the execution of an agreement to merge Riverside Bank of Poughkeepsie, NY with and into Salisbury Bank, which agreement was announced March 19, 2014.