Note 7 - Fair Value Measurement (Tables)

9 Months Ended

Sep. 30, 2018

Notes Tables

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block]

(Dollars in Thousands)			Carrying value at September 30, 2018
Description	Balance as of September 30, 2018		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
U.S. Government agency securities	$	10,800	$	–	$	10,800	$	–
Mortgage-backed securities and CMO’s		19,325		–		19,325		–
Corporate securities		6,588		–		6,588		–
Municipal securities		8,991		–		8,991		–

(Dollars in Thousands)			Carrying value at December 31, 2017
Description	Balance as of December 31, 2017		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
U.S. Government agency securities	$	13,435	$	–	$	13,435	$	–
Mortgage-backed securities and CMO’s		23,981		–		23,981		–
Corporate securities		7,067		–		7,067		–
Municipal securities		10,861		–		10,861		–

Fair Value Measurements, Nonrecurring [Table Text Block]

(Dollars in Thousands)			Carrying value at September 30, 2018
Description	Balance as of September 30, 2018		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Loans held for sale	$	1,378	$	–	$	1,378	$	–
Other real estate owned		3,196		–		697		2,499

(Dollars in Thousands)			Carrying value at December 31, 2017
Description	Balance as of December 31, 2017		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Loans held for sale	$	1,587	$	–	$	1,587	$	–
Other real estate owned		3,249		–		–		3,249

Fair Value Measurement Inputs and Valuation Techniques [Table Text Block]

(Dollars in Thousands)	Quantitative information about Level 3 Fair Value Measurements for September 30, 2018
Assets	Fair Value		Valuation Technique(s)	Unobservable input	Range (Weighted Average)
Other real estate owned	$	1,922	Discounted appraised value	Selling cost	6%	-	10%	(8%)
				Discount for lack of marketability and age of appraisal	0%	-	10%	(0%)
	$	577	Internal evaluations	Internal evaluations	29%	-	29%	(29%)

(Dollars in Thousands)	Quantitative information about Level 3 Fair Value Measurements for December 31, 2017
Assets	Fair Value		Valuation Technique(s)	Unobservable input	Range (Weighted Average)
Other real estate owned	$	2,254	Discounted appraised value	Selling cost	6%	-	10%	(8%)
				Discount for lack of marketability and age of appraisal	0%	-	43%	(7%)
	$	995	Internal evaluations	Internal evaluations	19%	-	19%	(19%)

Fair Value, by Balance Sheet Grouping [Table Text Block]

(Dollars in Thousands)			Fair value at September 30, 2018
Description	Carrying value as of September 30, 2018		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Approximate Fair Values
Financial assets
Cash and due from banks	$	18,126	$	18,126	$	–	$	–	$	18,126
Federal funds sold		193		193		–		–		193
Securities available for sale		45,704		–		45,704		–		45,704
Restricted equity securities		2,359		–		2,359		–		2,359
Loans held for sale		1,378		–		1,378		–		1,378
Loans, net		462,396		–		–		453,266		453,266
Bank owned life insurance		8,147		–		8,147		–		8,147
Accrued income		2,639		–		2,639		–		2,639
Financial liabilities
Total deposits		483,497		–		483,157		–		483,157
FHLB borrowings		10,728		–		10,710		–		10,710
Subordinated notes		7,277		–		7,622		–		7,622
Other borrowings		1,348		–		1,348		–		1,348
Accrued interest payable		556		–		556		–		556

(Dollars in Thousands)			Fair value at December 31, 2017
Description	Carrying value as of December 31, 2017		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Approximate Fair Values
Financial assets
Cash and due from banks	$	21,714	$	21,714	$	–	$	–	$	21,714
Federal funds sold		180		180		–		–		180
Securities available for sale		55,344		–		55,344		–		55,344
Restricted equity securities		2,371		–		2,371		–		2,371
Loans held for sale		1,587		–		1,587		–		1,587
Loans, net		440,437		–		–		438,449		438,449
Bank owned life insurance		8,669		–		8,669		–		8,669
Accrued income		2,681		–		2,681		–		2,681
Financial liabilities
Total deposits		477,320		–		477,599		–		477,599
FHLB borrowings		11,028		–		11,150		–		11,150
Subordinated notes		7,254		–		7,890		–		7,890
Other borrowings		1,558		–		1,558		–		1,558
Accrued interest payable		368		–		368		–		368