Merger with Middleburg Financial Corporation (Tables)

12 Months Ended

Dec. 31, 2017

Business Acquisition, Pro Forma Information [Table Text Block]

The Corporation expects to achieve further operating cost savings and other business synergies, including branch closures, as a result of the acquisition which are not reflected in the pro forma amounts below:



	Pro Forma for the Year Ended		Pro Forma for the Year Ended
(In Thousands Except for Per Share Data)	December 31, 2017		December 31, 2016
Revenues (net interest income plus noninterest income)	$	128,049	125,203
Net income	20,814		20,246
Net income per diluted share	$	1.02	$	1.00

Schedule of Fair Value of Identifiable Assets Acquired and Liabilities Assumed

In connection with the acquisition, the consideration paid, and the fair value of identifiable assets acquired and liabilities assumed as of the Acquisition Date are summarized in the following table (dollars in thousands):



Consideration paid:
Common shares issued (9,516,097)	$	285,679
Cash paid to shareholders	608
Value of consideration	286,287

Fair value of assets acquired:
Cash and cash equivalents	$	90,940
Investment securities	244,123
Restricted stock	4,119
Loans	815,785
Bank premises and equipment	21,920
OREO	3,919
Intangibles	21,436
Bank owned life insurance	24,080
Other assets	26,343
Total assets	1,252,665

Fair value of liabilities assumed:
Deposits	1,056,619
Short-term borrowings	26,033
Long-term borrowings	29,892
Trust preferred debentures	3,824
Other liabilities	16,721
Total liabilities	1,133,089

Net assets acquired	119,576
Goodwill resulting from merger with Middleburg	$	166,103

Loans Identified as Impaired at Acquisition Date

The table below shows the average recorded investment in impaired loans for the years ended December 31, 2017, 2016 and 2015.



	Twelve Months Ended
	December 31, 2017		December 31, 2016		December 31, 2015
	Average Recorded Investment		Average Recorded Investment		Average Recorded Investment
	(In Thousands)
Commercial real estate - owner occupied	$	1,075	$	59	$	—
Commercial real estate - non-owner occupied	—		2,099		5,572
Residential real estate	—		120		163
Commercial	3,395		4,885		917
Real estate construction	923		1,009		1,086
Consumer	179		—		—
	$	5,572	$	8,172	$	7,738

The following table presents the acquired impaired loans receivable at the Acquisition Date (dollars in thousands):



Contractual principal and interest at acquisition	$	7,835
Nonaccretable difference	(3,427		)
Expected cash flows at acquisition	4,408
Accretable yield	(186		)
Fair value of purchased impaired loans	$	4,222