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CONSOLIDATED STATEMENTS OF CASH FLOWS - Statements of Cash Flows - USD ($)
$ in Thousands
6 Months Ended
Jun. 30, 2017
Jun. 30, 2016
Operating Activities    
Net income $ 3,487 $ 3,247
(Accretion), amortization and depreciation:    
Securities 77 133
Bank premises and equipment 648 604
Core deposit intangible 253 307
Modification fees on Federal Home Loan Bank of Boston advances 114 116
Subordinated debt issuance costs 11 12
Mortgage servicing rights 136 116
Fair value adjustment on loans (744) (988)
Fair value adjustment on deposits (47) (72)
(Gains) and losses, including write-downs    
Loss (gain) and write-downs on sales and calls of securities, available-for-sale, net 14 (148)
Gains on sales of loans, excluding capitalized servicing rights (59) (96)
Write-downs of other real estate owned 145
Loss on sale/disposals of premises and equipment 1 13
Provision for loan losses 716 988
Proceeds from loans sold 3,463 2,048
Loans originated for sale (3,998) (1,189)
Decrease (increase) in deferred loan origination fees and costs, net 47 (81)
Mortgage servicing rights originated (38) (45)
Increase in mortgage servicing rights impairment reserve 1 21
Decrease in interest receivable 133 90
(Increase) decrease in prepaid expenses (104) 64
Increase in cash surrender value of life insurance policies (173) (177)
Decrease in income tax receivable 76 414
Decrease in other assets 802 234
Decrease in accrued expenses (996) (32)
Decrease in interest payable (2) (32)
Increase in other liabilities 58 890
Stock based compensation - restricted stock awards 122 93
Net cash provided by operating activities 4,143 6,530
Investing Activities    
Purchase of Federal Home Loan Bank of Boston stock, net of redemptions (241) (260)
Purchases of securities available-for-sale (25,116) (32,536)
Proceeds from sales of securities available for sale 3,800
Proceeds from calls of securities available-for-sale 9,221 9,661
Proceeds from maturities of securities available-for-sale 14,547 15,320
Loan originations and principle collections, net (2,091) (50,488)
Recoveries of loans previously charged off 100 64
Proceeds from sales of other real estate owned 177
Capital expenditures (795) (817)
Cash and cash equivalents acquired from acquisition 22,375
Net cash provided (utilized) by investing activities 18,177 (55,256)
Financing Activities    
(Decrease) increase in deposit transaction accounts, net (2,418) 973
Increase (decrease) in time deposits, net 603 (963)
Decrease in securities sold under agreements to repurchase, net (3,409) (559)
Federal Home Loan Bank of Boston advances 10,000 19,994
Principal payments on Federal Home Loan Bank of Boston advances (6)
Principal payments on note payable (17) (18)
Decrease in capital lease obligation (11) (2)
Stock options exercised 313 87
Issuance of shares for directors' fees 81 142
Common stock dividends paid (1,555) (1,542)
Net cash provided (utilized) by financing activities 3,587 18,106
Net increase (decrease) in cash and cash equivalents 25,907 (30,620)
Cash and cash equivalents, beginning of period 35,485 62,118
Cash and cash equivalents, end of period 61,392 31,498
Cash paid during year    
Interest 1,903 1,977
Income taxes 1,133 782
Non-cash investing and financing activities    
Transfer from loans to other real estate owned 403
Empire State Bank branch acquisition    
Cash and cash equivalents acquired 22,375  
Net loans acquired 7,097  
Fixed assets acquired (including capital lease) 1,605  
Accrued interest receivable acquired 12  
Other assets acquired 20  
Core deposit intangible 632  
Goodwill 1,275  
Deposits assumed 31,433  
Capital lease assumed 1,580  
Other liabilities assumed $ 3