CONDENSED FINANCIAL STATEMENTS OF PARENT COMPANY

12 Months Ended

Dec. 31, 2015

CONDENSED FINANCIAL STATEMENTS OF PARENT COMPANY

CONDENSED FINANCIAL STATEMENTS OF PARENT COMPANY

NOTE 20. CONDENSED FINANCIAL STATEMENTS OF PARENT COMPANY

Information relative to the parent company’s condensed balance sheets at December 31, 2015 and 2014, and the related condensed statements of income and cash flows for the years ended December 31, 2015, 2014 and 2013 are presented below:

	December 31
(in thousands)	2015		2014
Condensed Balance Sheets
Assets
Cash	$	3,440	$	5,528
Investment in subsidiaries		145,114		138,399
Other assets		2,887		2,210
Total assets	$	151,441	$	146,137
Liabilities and stockholders’ equity
Other liabilities	$	272	$	533
Long-term debt		33,524		33,524
Total liabilities		33,796		34,057
Total stockholders’ equity		117,645		112,080
Total liabilities and stockholders’ equity	$	151,441	$	146,137

	Year ended December 31,
(in thousands)	2015		2014		2013
Condensed Statements of Income
Income - dividends from bank subsidiary	$	7,744	$	3,112	$	2,666
Expenses - operating		8,988		2,972		499
Income (loss) before income taxes and undistributed earnings		(1,244)		140		2,167
Income tax (benefit)		(1,597)		(992)		(190)
Income after tax		353		1,132		2,357
Equity in undistributed income earnings of subsidiaries		6,463		947		1,663
Net income	$	6,816	$	2,079	$	4,020
Preferred dividends	$	575	$	332	$	85
Net income available to common shareholders’	$	6,241	$	1,747	$	3,935

(in thousands)	2015		2014		2013
Condensed Statements of Cash Flows
OPERATING ACTIVITIES
Net income	$	6,816	$	2,079	$	4,020
Equity in undistributed earnings of subsidiaries		(6,463)		(947)		(1,663)
(Decrease) increase in other assets		(529)		(1,778)		340
(Increase) decrease in other liabilities		(261)		436		57
Stock option expense		413		321		196
Net cash (used in) provided by operating activities		(24)		111		2,950
INVESTING ACTIVITIES
Investment in subsidiary		(400)		(37,042)		(26,469)
Net cash used in investing activities		(400)		(37,042)		(26,469)
FINANCING ACTIVITIES
Proceeds of stock offering		—		5,588		23,109
Dividend reinvestment plan		—		180		913
Proceeds from subordinated debt		—		29,400		—
Preferred stock issuance		—		7,834		—
Common stock options exercised		(448)		63		323
Cash dividends paid on common stock		(641)		(636)		(537)
Cash dividends paid on preferred stock		(575)		(332)		(85)
Net cash (used in) provided by financing activities		(1,664)		42,097		23,723
(Decrease) increase in cash		(2,088)		5,166		204
Cash at beginning of period		5,528		362		158
Cash at end of period	$	3,440	$	5,528	$	362