Fair Value Measurement (Tables)

9 Months Ended

Sep. 30, 2020

Fair Value, Assets Measured on Recurring Basis

Assets measured at fair value on a recurring basis at September 30, 2020 and December 31, 2019, segregated by fair value hierarchy level, are summarized below:


	Fair Value Measurements
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
September 30, 2020:	(Dollars in thousands)
Debt securities AFS:
U.S. Government-sponsored enterprises	$	4,758	$	—	$	4,758	$	—
Agency mortgage-backed	45,753		—		45,753		—
State and political subdivisions	29,225		—		29,225		—
Corporate	8,384		—		8,384		—
Total debt securities	$	88,120	$	—	$	88,120	$	—


Other investments:
Mutual funds	$	874	$	874	$	—	$	—


December 31, 2019:
Debt securities AFS:
U.S. Government-sponsored enterprises	$	6,292	$	—	$	6,292	$	—
Agency mortgage-backed	46,024		—		46,024		—
State and political subdivisions	26,965		—		26,965		—
Corporate	8,112		—		8,112		—
Total debt securities	$	87,393	$	—	$	87,393	$	—


Other investments:
Mutual funds	$	690	$	690	$	—	$	—

Fair Values and Carrying Amounts, Significant Financial Instruments

As of the balance sheet dates, the estimated fair values and related carrying amounts of the Company's significant financial instruments were as follows:


	September 30, 2020
	Fair Value Measurements
	Carrying Amount		Estimated Fair 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)
Financial assets
Cash and cash equivalents	$	64,477	$	64,477	$	64,477	$	—	$	—
Interest bearing deposits in banks	8,964		9,174		—		9,174		—
Investment securities	88,994		88,994		874		88,120		—
Loans held for sale	32,803		34,326		—		34,326		—
Loans, net
Residential real estate	181,207		186,566		—		—		186,566
Construction real estate	48,964		49,273		—		—		49,273
Commercial real estate	313,061		328,895		—		—		328,895
Commercial	114,296		111,188		—		—		111,188
Consumer	2,814		2,788		—		—		2,788
Municipal	97,481		97,711		—		—		97,711
Accrued interest receivable	3,647		3,647		—		440		3,207
Nonmarketable equity securities	1,150		N/A		N/A		N/A		N/A
Financial liabilities
Deposits
Noninterest bearing	$	204,555	$	204,555	$	204,555	$	—	$	—
Interest bearing	562,970		562,970		562,970		—		—
Time	142,554		143,724		—		143,724		—
Borrowed funds

Long-term	9,497		9,962		—		9,962		—
Accrued interest payable	107		107		—		107		—


	December 31, 2019
	Fair Value Measurements
	Carrying Amount		Estimated Fair 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)
Financial assets
Cash and cash equivalents	$	51,134	$	51,134	$	51,134	$	—	$	—
Interest bearing deposits in banks	6,565		6,671		—		6,671		—
Investment securities	88,083		88,083		690		87,393		—
Loans held for sale	7,442		7,587		—		7,587		—
Loans, net
Residential real estate	191,032		192,955		—		—		192,955
Construction real estate	68,951		68,381		—		—		68,381
Commercial real estate	286,871		288,931		—		—		288,931
Commercial	47,379		45,872		—		—		45,872
Consumer	3,545		3,483		—		—		3,483
Municipal	67,387		67,103		—		—		67,103
Accrued interest receivable	2,702		2,702		—		435		2,267
Nonmarketable equity securities	2,607		N/A		N/A		N/A		N/A
Financial liabilities
Deposits
Noninterest bearing	$	136,434	$	136,434	$	136,434	$	—	$	—
Interest bearing	458,940		458,940		458,940		—		—
Time	148,653		148,542		—		148,542		—
Borrowed funds
Short-term	40,000		40,000		40,000		—		—
Long-term	7,164		7,416		—		7,416		—
Accrued interest payable	673		673		—		673		—