Note 18 - Derivative Financial Instruments and Hedging Activities

9 Months Ended

Sep. 30, 2013

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments and Hedging Activities Disclosure [Text Block]

18.     Derivative Financial Instruments and Hedging Activities

At September 30, 2013 and December 31, 2012, the Company’s only derivative instruments related to residential mortgage banking activities.

At September 30, 2013, the notional amount of commitments to originate conforming mortgage loans held for sale totaled $7.3 million. These derivative loan commitments had positive fair values, included within Other assets in the Consolidated Balance Sheets, totaling $261 thousand and negative fair values, included within Other liabilities in the Consolidated Balance Sheets, totaling $1 thousand. At December 31, 2012, the notional amount of commitments to originate conforming mortgage loans held for sale totaled $11.1 million. These derivative loan commitments had positive fair values, included within Other assets in the Consolidated Balance Sheets, totaling $338 thousand. The net change in derivative loan commitment fair values during the three months ended September 30, 2013 and 2012 resulted in income (expense) of $147 thousand and $383 thousand, respectively. The net change in derivative loan commitment fair values during the nine months ended September 30, 2013 and 2012 resulted in income (expense) of ($78) thousand and $454 thousand, respectively.

The notional amount of forward sales commitments totaled $4.7 million at September 30, 2013. These forward sales commitments had positive fair values, included within Other assets in the Consolidated Balance Sheets, totaling $3 thousand and negative fair values, included within Other liabilities in the Consolidated Balance Sheets, totaling $60 thousand. The notional amount of forward sales commitments totaled $11.8 million at December 31, 2012. These forward sales commitments had positive fair values, included within Other assets in the Consolidated Balance Sheets, totaling $33 thousand and negative fair values, included within Other liabilities in the Consolidated Balance Sheets, totaling $5 thousand. The net change in forward sales commitment fair values during the three months ended September 30, 2013 and 2012 resulted in expense of $245 thousand and $570 thousand, respectively. The net change in forward sales commitment fair values during the nine months ended September 30, 2013 and 2012 resulted in expense of $85 thousand and $368 thousand, respectively.