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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Cash Flows from Operating Activities:    
Net income $ 10,555 $ 5,002
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 2,885 2,560
Provision for loan losses 350 200
Deferred tax expense, net 883 1,331
Gain on sale of loans sold in the secondary market (1,032) (698)
Origination of loans held for sale in the secondary market (55,134) (39,568)
Proceeds from sale of loans in the secondary market 56,166 40,266
Loss on sale of other real estate held for sale 18 46
Writedown of other real estate held for sale 59 56
Stock compensation 226 475
Change in other assets (8,350) 1,044
Change in other liabilities 3,509 (252)
Net cash provided by operating activities 10,135 10,462
Cash Flows from Investing Activities:    
Net (increase) decrease in loans (24,650) 2,767
Net decrease in interest bearing deposits in other financial institutions 2,177 4,225
Purchase of securities available for sale (7,776) (1,989)
Proceeds from maturities, sales, calls or paydowns of securities available for sale 18,359 60,245
Capital expenditures (1,828) (2,175)
Acquisition of FFNM   13,268
Proceeds from sale of other real estate, premises and fixed assets 742 1,988
Net cash (used in) provided by investing activities (12,976) 78,329
Cash Flows from Financing Activities:    
Net increase (decrease) in deposits 16,042 (43,655)
Net activity on line of credit   (9,528)
Net (decrease) increase in fed funds purchased (2,905) 11,000
New term debt issuance 25,000  
Principal payments on borrowings (12,457) (52,530)
Proceeds of common stock offering, net of offering costs   32,451
Dividend on common stock (4,072) (3,327)
Net cash provided by (used in) financing activities 21,608 (65,589)
Net (decrease) increase in cash and cash equivalents 18,767 23,202
Cash and cash equivalents at beginning of period 64,157 37,426
Cash and cash equivalents at end of period 82,924 60,628
Cash paid during the year for:    
Interest 7,749 5,831
Income taxes 1,500 725
Noncash Investing and Financing Activities:    
Transfers of Foreclosures from Loans to Other Real Estate Held for Sale 1,331 $ 778
Transfers of Other Real Estate Held for Sale to Fixed Assets $ 1,013