FAIR VALUES (Tables)

3 Months Ended

Mar. 31, 2019

Fair Value Disclosures [Abstract]

Summary of assets and liabilities measured at fair value

Assets measured at fair value on a recurring basis are as follows. There were no liabilities measured at fair value on a recurring basis. 

(Dollars are in thousands)		Quoted market price in active markets  (Level 1)		Significant other observable inputs  (Level 2)		Significant unobservable inputs  (Level 3)
March 31, 2019  Available-for-sale investments
U.S. Government Agencies	$	-	$	18,308	$	-
Taxable municipals		-		4,347		-
Corporate bonds		-		5,433		-
Mortgage backed securities		-		29,913		-
Total	$	-	$	58,001	$	-
December 31, 2018  Available-for-sale investments
U.S. Government Agencies	$	-	$	19,389	$	-
Taxable municipals		-		4,313		-
Corporate bonds		-		5,320		-
Mortgage backed securities		-		30,385		-
Total	$	-	$	59,407	$	-

Assets measured at fair value on a non-recurring basis are as follows (for purpose of this table the impaired loans are shown net of the related allowance). There were no liabilities measured at fair value on a non-recurring basis. 

(Dollars are in thousands)		Quoted market price in active markets  (Level 1)			Significant other observable inputs  (Level 2)			Significant unobservable inputs  (Level 3)
March 31, 2019
Other real estate owned	$		-	$		-	$		4,855
Impaired loans			-			-			10,491
Total	$		-	$		-	$		15,346
December 31, 2018
Other real estate owned	$		-	$		-	$		5,937
Impaired loans			-			-			7,658
Total	$		-	$		-	$		13,595

Schedule of significant unobservable inputs in level 3 assets

For Level 3 assets measured at fair value on a recurring or non-recurring basis as of March 31, 2019, the significant unobservable inputs used in the fair value measurements were as follows:

For Level 3 assets measured at fair value on a recurring or non-recurring basis as of March 31, 2014, the significant unobservable inputs used in the fair value measurements were as follows:
(Dollars in thousands)		Fair Value at March 31,  2019		Valuation Technique	Significant Unobservable Inputs	General Range of Significant Unobservable Input Values
Impaired Loans		10,491	$	Appraised Value/Discounted Cash Flows/Market Value of Note	Discounts to reflect current market conditions, ultimate collectability, and estimated costs to sell	0 – 18%
Other Real Estate Owned	$	4,855	$	Appraised Value/Comparable Sales/Other Estimates from Independent Sources	Discounts to reflect current market conditions and estimated costs to sell	0 – 18%

Estimated fair value of financial instruments

The carrying amount and fair value of the Company’s financial instruments that are not required to be measured or reported at fair value on a recurring basis are as follows: 

						Fair Value Measurements
(Dollars are in thousands)		Carrying  Amount		Fair  Value		Quoted market price in active markets  (Level 1)		Significant other observable inputs  (Level 2)		Significant unobservable inputs  (Level 3)
March 31, 2019
Financial Instruments – Assets
Net Loans	$	548,118	$	538,874	$	-	$	528,383	$	10,491
Financial Instruments – Liabilities
Time Deposits		264,889		264,764		-		264,764		-
FHLB Advances		7,000		7,159		-		7,159		-
Trust Preferred Securities		16,496		14,603		-		14,603		-
December 31, 2018
Financial Instruments – Assets
Net Loans	$	541,760	$	534,425	$	-	$	526,767	$	7,658
Financial Instruments – Liabilities
Time Deposits		258,850		258,671		-		258,671		-
FHLB Advances		7,000		7,215		-		7,215		-
Trust Preferred Securities		16,496		14,425		-		14,425		-