Fair Value of Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2017

Fair Value of Financial Instruments [Abstract]

Assets and liabilities measured at fair value on a recurring basis

Assets and liabilities measured at fair value under ASC 820 on a recurring basis are summarized below:

	Fair Value Measurements at March 31, 2017 Using:
	Carrying Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
(dollars in thousands)
Securities available for sale:
U.S. government sponsored enterprises	$	162,341	$	-	$	162,341	$	-
State and political subdivisions		887		-		887		-
Corporate bonds		40,612		-		40,612		-
Mortgage backed securities and collateralized mortgage obligations - residential		357,683		-		357,683		-
Small Business Administration-guaranteed participation securities		75,429		-		75,429		-
Mortgage backed securities and collateralized mortgage obligations - commercial		9,923		-		9,923		-
Other securities		685		35		650		-
Total securities available for sale	$	647,560	$	35	$	647,525	$	-

	Fair Value Measurements at
	December 31, 2016 Using:
	Carrying Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
(dollars in thousands)
Securities available for sale:
U.S. government sponsored enterprises	$	117,266	$	-	$	117,266	$	-
State and political subdivisions		886		-		886		-
Mortgage backed securities and collateralized mortgage obligations - residential		372,308		-		372,308		-
Corporate bonds		40,705		-		40,705		-
Small Business Administration-guaranteed participation securities		78,499		-		78,499		-
Mortgage backed securities and collateralized mortgage obligations - commercial		10,011		-		10,011		-
Other securities		685		35		650		-
Total securities available for sale	$	620,360	$	35	$	620,325	$	-

Assets measured at fair value on a non-recurring basis

Assets measured at fair value on a non-recurring basis are summarized below:

	Fair Value Measurements at March 31, 2017 Using:
	Carrying Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Valuation technique	Unobservable inputs	Range (Weighted Average)
(dollars in thousands)
Other real estate owned	$	3,191	$	-	$	-	$	3,191	Sales comparison approach	Adjustments for differences between comparable sales		2% - 13% (4%)
Impaired loans:
Commercial real estate		542		-		-		542	Sales comparison approach	Adjustments for differences between comparable sales		11% - 22% (20%)
Real estate mortgage - 1 to 4 family		920		-		-		920	Sales comparison approach	Adjustments for differences between comparable sales		5% - 17% (10%)

	Fair Value Measurements at December 31, 2016 Using:
	Carrying Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Valuation technique	Unobservable inputs	Range (Weighted Average)
(dollars in thousands)
Other real estate owned	$	4,268	$	-	$	-	$	4,268	Sales comparison approach	Adjustments for differences between comparable sales		1% - 14% (7%)
Impaired loans:
Commercial real estate		1,250		-		-		1,250	Sales comparison approach	Adjustments for differences between comparable sales		7% - 35% (23%)
Real estate mortgage - 1 to 4 family		458		-		-		458	Sales comparison approach	Adjustments for differences between comparable sales		5% - 14% (10%)

Carrying amounts and estimated fair values of financial instruments

In accordance with FASB Topic 825, Financial Instruments (“ASC 825”), the carrying amounts and estimated fair values of financial instruments, at March 31, 2017 and December 31, 2016 are as follows:

(dollars in thousands)	Carrying		Fair Value Measurements at March 31, 2017 Using:
	Value		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and cash equivalents	$	683,191		683,191		-		-		683,191
Securities available for sale		647,560		35		647,525		-		647,560
Held to maturity securities		43,270		-		45,015		-		45,015
Federal Reserve Bank and Federal Home Loan Bank stock		9,579		N/A		N/A		N/A		N/A
Net loans		3,404,888		-		-		3,399,832		3,399,832
Accrued interest receivable		10,742		34		2,855		7,853		10,742
Financial liabilities:
Demand deposits		373,930		373,930		-		-		373,930
Interest bearing deposits		3,824,539		2,710,647		1,108,640		-		3,819,287
Short-term borrowings		220,946		-		220,946		-		220,946
Accrued interest payable		510		91		419		-		510

(dollars in thousands)	Carrying		Fair Value Measurements at December 31, 2016 Using:
	Value		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and cash equivalents	$	707,274		707,274		-		-		707,274
Securities available for sale		620,360		35		620,325		-		620,360
Held to maturity securities		45,490		-		47,526		-		47,526
Federal Reserve Bank and Federal Home Loan Bank stock		9,579		N/A		N/A		N/A		N/A
Net loans		3,386,696		-		-		3,370,976		3,370,976
Accrued interest receivable		11,070		145		2,654		8,271		11,070
Financial liabilities:
Demand deposits		377,755		377,755		-		-		377,755
Interest bearing deposits		3,818,408		2,658,945		1,156,025		-		3,814,970
Short-term borrowings		209,406		-		209,406		-		209,406
Accrued interest payable		526		82		444		-		526