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CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)
$ in Thousands
6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Operating Activities    
Net income $ 4,781 $ 5,137
Amortization (accretion) and depreciation    
Securities 231 137
Bank premises and equipment 720 813
Core deposit intangible 170 203
Modification fees on Federal Home Loan Bank of Boston advances 59 115
Subordinated debt issuance costs 12 12
Mortgage servicing rights 28 24
Fair value adjustment on loans (64)
Fair value adjustment on deposits (2) (4)
Gains on sales and calls of securities available-for-sale, net 182 272
Gain on CRA mutual fund (22) (23)
Gain on sales of loans, excluding capitalized servicing rights (295) (7)
OREO losses and write-downs 322
Provision for loan losses 3,512 445
Proceeds from loans sold 18,117 458
Loans originated for sale (22,803) (854)
Decrease in deferred loan origination fees and costs, net 2,701 92
Mortgage servicing rights originated (143) (5)
Increase in interest receivable (573) (291)
(Increase) decrease in deferred tax benefit (1,026) 125
Decrease in prepaid expenses 367 101
Increase in cash surrender value of life insurance policies (266) (167)
Decrease in income tax receivable 13
(Increase) decrease in other assets (8) 694
Increase in income tax payable 1,728
Decrease in accrued expenses (1,556) (1,072)
Increase in interest payable 109 339
Increase (decrease) in other liabilities 44 (378)
Stock based compensation - restricted stock awards 318 215
Net cash provided by operating activities 6,021 6,108
Investing Activities    
Net (purchases) redemptions of Federal Home Loan Bank of Boston stock (111) 1,657
Purchases of securities available-for-sale (15,417) (41,255)
Proceeds from sales of securities available-for-sale 10,598 28,170
Proceeds from calls of securities available-for-sale 655 25
Proceeds from maturities of securities available-for-sale 8,082 6,982
Reinvestment of CRA mutual fund (8) (10)
Loan originations and principle collections, net (119,192) (1,813)
Recoveries of loans previously charged off 34 46
Proceeds from sales of other real estate owned 314 1,087
Capital expenditures (1,285) (247)
Purchase of life insurance policies (750)
Net cash utilized by investing activities (116,330) (6,108)
Financing Activities    
Increase in deposit transaction accounts, net 144,015 13,442
Increase in time deposits, net 22,080 10,546
(Decrease) increase in securities sold under agreements to repurchase, net (721) 2,204
Federal Home Loan Bank of Boston short-term advances, net change (20,000) (9,500)
Advances (principal payments) on Federal Home Loan Bank of Boston long term advances 25,000 (25,000)
Principal payments on Amortizing FHLB Advances (828)
Principal payments on note payable (18) (17)
Decrease in finance lease obligation (22) (70)
Stock options exercised 53 34
Common stock dividends paid (1,640) (1,571)
Net cash provided (utilized) by financing activities 167,919 (9,932)
Net increase (decrease) in cash and cash equivalents 57,610 (9,932)
Cash and cash equivalents, beginning of period 26,885 58,445
Cash and cash equivalents, end of period 84,495 48,513
Cash paid during period    
Interest 3,078 4,443
Income taxes 245 986
Non-cash investing and financing activities    
Finance lease obligation
Adoption of new accounting principle - Other assets 1,552
Adoption of new accounting principle - Other liabilities $ (1,552)