XML 31 R21.htm IDEA: XBRL DOCUMENT v3.10.0.1
LOANS (Tables)
9 Months Ended
Sep. 30, 2018
Receivables [Abstract]  
Portfolio of Loans Outstanding
The portfolios of loans receivable at September 30, 2018 and December 31, 2017, consist of the following:
 
September 30, 2018
 
December 31, 2017
 
Amount
 
Amount
 
(amounts in thousands)
Commercial and Industrial
$
37,689

 
$
38,972

Construction
134,436

 
95,625

Real Estate Mortgage:
 

 
 

Commercial – Owner Occupied
130,491

 
126,250

Commercial – Non-owner Occupied
291,700

 
270,472

Residential – 1 to 4 Family
518,561

 
416,317

Residential – Multifamily
52,038

 
47,832

Consumer
14,934

 
16,249

Total Loans
$
1,179,849

 
$
1,011,717

Age Analysis of Past Due Loans by Class
An age analysis of past due loans by class at September 30, 2018 and December 31, 2017 as follows:

September 30, 2018
30-59
Days Past
Due
 
60-89
Days Past
Due
 
Greater
than 90
Days and
Not
Accruing
 
Total Past
Due
 
Current
 
Total
Loans
 
Loans > 90 Days and Accruing
 
(amounts in thousands)
 
 
Commercial and Industrial
$
—

 
$
128

 
$
14

 
$
142

 
$
37,547

 
$
37,689

 
$
—

Construction
—

 
—

 
1,365

 
1,365

 
133,071

 
134,436

 
—

Real Estate Mortgage:
 

 
 

 
 

 
 

 
 

 
 

 
 
Commercial – Owner Occupied
—

 
—

 
—

 
—

 
130,491

 
130,491

 
—

        Commercial – Non-owner Occupied
—

 
—

 
290

 
290

 
291,410

 
291,700

 
—

Residential – 1 to 4 Family


 
928

 
1,417

 
2,345

 
516,216

 
518,561

 
—

Residential – Multifamily
—

 
—

 
—

 
—

 
52,038

 
52,038

 
—

Consumer
134

 
—

 
—

 
134

 
14,800

 
14,934

 
—

Total Loans
$
134

 
$
1,056

 
$
3,086

 
$
4,276

 
$
1,175,573

 
$
1,179,849

 
$
—


December 31, 2017
30-59
Days Past
Due
 
60-89
Days Past
Due
 
Greater
than 90
Days and
Not
Accruing
 
Total Past
Due
 
Current
 
Total
Loans
 
Loans > 90 Days and Accruing
 
(amounts in thousands)
 
 
Commercial and Industrial
$
—

 
$
—

 
$
17

 
$
17

 
$
38,955

 
$
38,972

 
$
—

Construction
—

 
—

 
1,392

 
1,392

 
94,233

 
95,625

 
—

Real Estate Mortgage:
 

 
 

 
 

 
 

 
 

 
 

 
 
Commercial – Owner Occupied
—

 
—

 
155

 
155

 
126,095

 
126,250

 
—

Commercial – Non-owner Occupied
—

 
—

 
597

 
597

 
269,875

 
270,472

 
—

Residential – 1 to 4 Family
—

 
352

 
2,292

 
2,644

 
413,673

 
416,317

 
—

Residential – Multifamily
—

 
—

 
—

 
—

 
47,832

 
47,832

 
—

Consumer
92

 
—

 
81

 
173

 
16,076

 
16,249

 
—

Total Loans
$
92

 
$
352

 
$
4,534

 
$
4,978

 
$
1,006,739

 
$
1,011,717

 
$
—

Analysis of Allowance for Loan Losses
The following tables present the information regarding the allowance for loan and lease losses and associated loan data:
 
 
 
 
 
Real Estate Mortgage
 
 
 
 
 
Commercial and Industrial
 
Construction
 
Commercial Owner Occupied
 
Commercial Non-owner Occupied
 
Residential 1 to 4 Family
 
Residential Multifamily
 
Consumer
 
Total
Allowance for loan losses
(amounts in thousands)
Three months ended Sept.30, 2018
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
June 30, 2018
$
539

 
$
1,998

 
$
1,961

 
$
5,260

 
$
6,666

 
$
619

 
$
230

 
17,273

    Charge-offs
—

 
—

 
—

 
—

 
—

 
—

 
(1
)
 
(1
)
    Recoveries
10

 
—


12


6


18


—


—

 
46

    Provisions
298

 
30

 
(12
)
 
(314
)
 
575

 
32

 
(9
)
 
600

Ending Balance at Sept. 30, 2018
$
847

 
$
2,028

 
$
1,961

 
$
4,952

 
$
7,259

 
$
651

 
$
220

 
$
17,918

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Allowance for loan losses


 




















Nine months ended Sept. 30, 2018
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2017
$
684

 
$
2,068

 
$
2,017

 
$
4,630

 
$
6,277

 
$
627

 
$
230

 
16,533

    Charge-offs
—

 
(27
)
 
—

 
(49
)
 
—

 
—

 
(19
)
 
(95
)
    Recoveries
40

 
—

 
153

 
61

 
26

 
—

 
—

 
280

    Provisions
123

 
(13
)
 
(209
)
 
310

 
956

 
24

 
9

 
1,200

Ending Balance at Sept. 30, 2018
$
847

 
$
2,028

 
$
1,961

 
$
4,952

 
$
7,259

 
$
651

 
$
220

 
$
17,918

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Allowance for loan losses
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Individually evaluated for impairment
$
14

 
$
71

 
$
49

 
$
194

 
$
14

 
$
—

 
$
—

 
$
342

Collectively evaluated for impairment
833

 
1,957

 
1,912

 
4,758

 
7,245

 
651

 
220

 
17,576

Balance at Sept. 30, 2018
$
847

 
$
2,028

 
$
1,961

 
$
4,952

 
$
7,259

 
$
651

 
$
220

 
$
17,918

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Individually evaluated for impairment
$
14

 
$
5,690

 
$
3,320

 
$
11,716

 
$
2,294

 
$
—

 
$
—

 
$
23,034

Collectively evaluated for impairment
37,675

 
128,746

 
127,171

 
279,984

 
516,267

 
52,038

 
14,934

 
1,156,815

Balance at Sept. 30, 2018
$
37,689

 
$
134,436

 
$
130,491

 
$
291,700

 
$
518,561

 
$
52,038

 
$
14,934

 
$
1,179,849


















 
 
 
 
 
Real Estate Mortgage
 
 
 
 
 
Commercial and Industrial
 
Construction
 
Commercial Owner Occupied
 
Commercial Non-owner Occupied
 
Residential 1 to 4 Family
 
Residential Multifamily
 
Consumer
 
Total
Allowance for loan losses
(amounts in thousands)
Three months ended Sept. 30, 2017
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
June 30, 2017
$
1,202

 
$
2,258

 
$
1,835

 
$
4,915

 
$
5,422

 
$
699

 
$
228

 
16,559

    Charge-offs
—

 
(687
)
 
—

 
(621
)
 
—

 
(50
)
 
—

 
(1,358
)
    Recoveries
3

 
—

 
25

 
102

 
10

 
—

 
—

 
140

    Provisions
(549
)
 
454

 
(33
)
 
225

 
386

 
18

 
(1
)
 
500

Ending Balance at Sept. 30, 2017
$
656

 
$
2,025

 
$
1,827

 
$
4,621

 
$
5,818

 
$
667

 
$
227

 
$
15,841

 
 
 


 
 
 
 
 
 
 
 
 
 
 
 
Allowance for loan losses
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Nine months ended Sept. 30, 2017
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2016
$
1,188

 
$
2,764

 
$
2,082

 
$
3,889

 
$4,916
 
$
505

 
$
236

 
$
15,580

    Charge-offs
(134
)
 
(687
)
 
(430
)
 
(622
)
 
(118
)
 
(50
)
 
—

 
(2,041
)
    Recoveries
45

 
—

 
94

 
148

 
15

 
—

 
—

 
302

    Provisions
(443
)
 
(52
)
 
81

 
1,206

 
1,005

 
212

 
(9
)
 
2,000

Ending Balance at Sept. 30, 2017
$
656

 
$
2,025

 
$
1,827

 
$
4,621

 
$
5,818

 
$
667

 
$
227

 
$
15,841

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Allowance for loan losses
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Individually evaluated for impairment
$
—

 
$
124

 
$
55

 
$
208

 
$
15

 
$
—

 
$
—

 
$
402

Collectively evaluated for impairment
656

 
1,901

 
1,772

 
4,413

 
5,803

 
667

 
227

 
15,439

Balance at Sept. 30, 2017
$
656

 
$
2,025

 
$
1,827

 
$
4,621

 
$
5,818

 
$
667

 
$
227

 
$
15,841

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Individually evaluated for impairment
$
18

 
$
6,146

 
$
3,881

 
$
12,523

 
$
4,339

 
$
—

 
$
17

 
$
26,924

Collectively evaluated for impairment
28,028

 
81,679

 
110,265

 
262,791

 
377,128

 
50,532

 
15,999

 
926,422

Balance at Sept. 30, 2017
$
28,046

 
$
87,825

 
$
114,146

 
$
275,314

 
$
381,467

 
$
50,532

 
$
16,016

 
$
953,346

Impaired Loans
The following tables provide further detail on impaired loans and the associated ALLL at September 30, 2018 and December 31, 2017:
September 30, 2018
Recorded
Investment
 
Unpaid
Principal
Balance
 
Related
Allowance
 
(amounts in thousands)
With no related allowance recorded:
 
 
 
 
 
Commercial and Industrial
$
—

 
$
—

 
$
—

Construction
—

 
—

 
—

Real Estate Mortgage:
 

 
 

 
 

Commercial – Owner Occupied
—

 
—

 
—

Commercial – Non-owner Occupied
290

 
290

 
—

Residential – 1 to 4 Family
1,417

 
1,417

 
—

Residential – Multifamily
—

 
—

 
—

Consumer
—

 
—

 
—

 
1,707

 
1,707

 
—

With an allowance recorded:
 

 
 

 
 

Commercial and Industrial
14

 
19

 
14

Construction
5,690

 
10,180

 
71

Real Estate Mortgage:
 

 
 

 
 

Commercial – Owner Occupied
3,320

 
3,350

 
49

Commercial – Non-owner Occupied
11,426

 
11,426

 
194

Residential – 1 to 4 Family
877

 
877

 
14

Residential – Multifamily
—

 
—

 
—

Consumer
—

 
—

 
—

 
21,327

 
25,852

 
342

Total:
 

 
 

 
 

Commercial and Industrial
14

 
19

 
14

Construction
5,690

 
10,180

 
71

Real Estate Mortgage:
 

 
 

 
 

Commercial – Owner Occupied
3,320

 
3,350

 
49

Commercial – Non-owner Occupied
11,716

 
11,716

 
194

Residential – 1 to 4 Family
2,294

 
2,294

 
14

Residential – Multifamily
—

 
—

 
—

Consumer
—

 
—

 
—

 
$
23,034

 
$
27,559

 
$
342


December 31, 2017
Recorded
Investment
 
Unpaid
Principal
Balance
 
Related
Allowance
 
(amounts in thousands)
With no related allowance recorded:
 
 
 
 
 
Commercial and Industrial
$
17

 
$
21

 
$
—

Construction
1,365

 
5,856

 
—

Real Estate Mortgage:
 

 
 

 
 

Commercial – Owner Occupied
155

 
155

 
—

Commercial – Non-owner Occupied
277

 
277

 
—

Residential – 1 to 4 Family
2,292

 
2,354

 
—

Residential – Multifamily
—

 
—

 
—

Consumer
81

 
81

 
—

 
4,187

 
8,744

 
—

With an allowance recorded:
 

 
 

 
 

Commercial and Industrial
—

 
—

 
—

Construction
4,587

 
4,684

 
135

Real Estate Mortgage:
 

 
 

 
 

Commercial – Owner Occupied
3,635

 
3,665

 
58

Commercial – Non-owner Occupied
12,124

 
13,941

 
250

Residential – 1 to 4 Family
919

 
919

 
15

Residential – Multifamily
—

 
—

 
—

Consumer
—

 
—

 
—

 
21,265

 
23,209

 
458

Total:
 

 
 

 
 

Commercial and Industrial
17

 
21

 
—

Construction
5,952

 
10,540

 
135

Real Estate Mortgage:
 

 
 

 
 

Commercial – Owner Occupied
3,790

 
3,820

 
58

Commercial – Non-owner Occupied
12,401

 
14,218

 
250

Residential – 1 to 4 Family
3,211

 
3,273

 
15

Residential – Multifamily
—

 
—

 
—

Consumer
81

 
81

 
—

 
$
25,452

 
$
31,953

 
$
458

The following table presents by loan portfolio class, the average recorded investment and interest income recognized on impaired loans for the three and nine months ended September 30, 2018 and 2017:
  
Three Months Ended September 30,
 
2018
 
2017
 
Average
Recorded
Investment
 
Interest
Income
Recognized
 
Average
Recorded
Investment
 
Interest
Income
Recognized
 
(amounts in thousands)
Commercial and Industrial
$
15

 
$
—

 
$
22

 
$
—

Construction
5,735

 
48

 
10,760

 
51

Real Estate Mortgage:
 
 
 
 
 
 
 
Commercial – Owner Occupied
3,465

 
41

 
3,955

 
49

Commercial – Non-owner Occupied
11,773

 
155

 
14,392

 
153

Residential – 1 to 4 Family
2,302

 
10

 
4,410

 
20

Residential – Multifamily
—

 
—

 
—

 
—

Consumer
—

 
—

 
17

 
—

Total
$
23,290

 
$
254

 
$
33,556

 
$
273


  
Nine Months Ended September 30,
 
2018
 
2017
 
Average
Recorded
Investment
 
Interest
Income
Recognized
 
Average
Recorded
Investment
 
Interest
Income
Recognized
 
(amounts in thousands)
Commercial and Industrial
$
16

 
$
1

 
$
23

 
$
1

Construction
5,830

 
145

 
8,863

 
152

Real Estate Mortgage:
 
 
 
 
 
 
 
Commercial – Owner Occupied
3,605

 
137

 
4,018

 
146

Commercial – Non-owner Occupied
11,988

 
451

 
13,733

 
463

Residential – 1 to 4 Family
2,751

 
37

 
4,420

 
63

Residential – Multifamily
—

 
—

 
—

 
—

Consumer
20

 
—

 
18

 
1

Total
$
24,210

 
$
771

 
$
31,075

 
$
826

Analysis of Credit Risk Profile by Internally Assigned Grades
An analysis of the credit risk profile by internally assigned grades as of September 30, 2018 and December 31, 2017 is as follows:

At September 30, 2018
Pass
 
OAEM
 
Substandard
 
Doubtful
 
Total
 
(amounts in thousands)
Commercial and Industrial
$
37,610

 
$
79

 
$
—

 
$
—

 
$
37,689

Construction
121,078

 
5,447

 
7,911

 
—

 
134,436

Real Estate Mortgage:
 

 
 

 
 

 
 

 
 

Commercial – Owner Occupied
128,162

 
2,329

 
—

 
—

 
130,491

Commercial – Non-owner Occupied
291,275

 
—

 
425

 
—

 
291,700

Residential – 1 to 4 Family
516,255

 
764

 
1,542

 
—

 
518,561

Residential – Multifamily
52,038

 
—

 
—

 
—

 
52,038

Consumer
14,934

 
—

 
—

 
—

 
14,934

Total
$
1,161,352

 
$
8,619

 
$
9,878

 
$
—

 
$
1,179,849

 
At December 31, 2017
Pass
 
OAEM
 
Substandard
 
Doubtful
 
Total
 
(amounts in thousands)
Commercial and Industrial
$
38,875

 
$
97

 
$
—

 
$
—

 
$
38,972

Construction
82,351

 
5,056

 
8,218

 
—

 
95,625

Real Estate Mortgage:
 

 
 

 
 

 
 

 
 

Commercial – Owner Occupied
123,491

 
2,604

 
155

 
—

 
126,250

Commercial – Non-owner Occupied
269,736

 
—

 
736

 
—

 
270,472

Residential – 1 to 4 Family
413,327

 
560

 
2,430

 
—

 
416,317

Residential – Multifamily
47,832

 
—

 
—

 
—

 
47,832

Consumer
16,168

 
—

 
81

 
—

 
16,249

Total
$
991,780

 
$
8,317

 
$
11,620

 
$
—

 
$
1,011,717