Fair Value Measurements and Fair Value of Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2013

Fair Value Measurements and Fair Value of Financial Instruments [Abstract]

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis

			Fair Value Measurements at Reporting Date Using
Assets Measured at Fair Value on a Recurring Basis	June 30, 2013		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in thousands)
U.S. Treasury & agency securities	$	42,138	$	42,138	$	—	$	—
Federal agency obligations		13,858		—		13,858		—
Residential mortgage pass-through securities		49,386		—		49,386		—
Commercial mortgage pass-through securities		9,421		—		9,421		—
Obligations of U.S. states and political subdivisions		40,408		—		40,408		—
Trust preferred securities		19,687		—		19,615		72
Corporate bonds and notes		218,802		—		218,802		—
Asset-backed securities		19,281		—		19,281		—
Certificates of deposit		2,403		—		2,403		—
Equity securities		255		255		—		—
Other securities		4,134		4,134		—		—
Investment securities available-for-sale	$	419,773	$	46,527	$	373,174	$	72

			Fair Value Measurements at Reporting Date Using
Assets Measured at Fair Value on a Recurring Basis	December 31, 2012		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in thousands)
U.S. treasury and agency securities	$	11,909	$	11,909	$	—	$	—
Federal agency obligations		20,535		—		20,535		—
Residential mortgage pass-through securities		53,784		—		53,784		—
Commercial mortgage pass-through securities		9,969		—		9,969		—
Obligations of U.S. states and political subdivisions		107,714		469		107,245		—
Trust preferred securities		21,249		—		21,213		36
Corporate bonds and notes		237,405		—		237,405		—
Collateralized mortgage obligations		2,120		—		2,120		—
Asset-backed securities		19,742		—		19,742		—
Certificates of deposit		2,865		—		2,865		—
Equity securities		325		325		—		—
Other securities		9,198		9,198		—		—
Securities available-for-sale	$	496,815	$	21,901	$	474,878	$	36

Schedule of Changes in Investment Securities Available-for-Sale

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2013		2012		2013		2012
	(in thousands)
Balance, beginning of the period	$	44	$	1,963	$	36	$	2,115
Interest payment deferrals		15		34		29		68
Principal repayments		—		(112)		—		(170)
Total net losses included in net income		—		(28)		—		(28)
Total net unrealized (losses) gains		13		(1)		7		(129)
Balance, end of the period	$	72	$	1,856	$	72	$	1,856

Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques

For assets measured at fair value on a non-recurring basis, the fair value measurements used at June 30, 2013 and December 31, 2012 were as follows:

Impaired Loans	Valuation Techniques	Range of Unobservable Inputs
Residential	Appraisals of collateral value	Adjustment for age of comparable sales, generally a decline of 0-25%
Commercial	Discounted cash flow model	Discount rate from 0% to 6%
Commercial Real Estate	Appraisals of collateral value	Market capitalization rates between 8% to 12%. Market rental rates for similar properties
Construction	Appraisals of collateral value	Adjustment for age comparable sales. Generally a decline of 5% to no change
Other Real Estate Owned
Residential	Appraisals of collateral value	Adjustment for age of comparable sales, generally a decline of 0-25%
Commercial	Appraisals of collateral value	Adjustment for age of comparable sales, generally a decline of 15% to no change

Schedule of Assets at Fair Value on a Non-recurring Basis

			Fair Value Measurements at  Reporting Date Using
Assets Measured at Fair Value on a Non- Recurring Basis	June 30, 2013		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in thousands)
Impaired loans	$	112	$	—	$	—	$	112
Other real estate owned		220		—		—		220

			Fair Value Measurements at  Reporting Date Using
Assets Measured at Fair Value on a Non-Recurring Basis	December 31, 2012		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in thousands)
Impaired loans	$	4,790	$	—	$	—	$	4,790
Other real estate owned		1,300		—		—		1,300

Schedule of Fair Value Hierarchy

					Fair Value Measurements
	Carrying  Amount		Fair Value		Quoted  Prices in  Active  Markets for  Identical  Assets  (Level 1)		Significant  Other  Observable  Inputs  (Level 2)		Significant  Unobservable  Inputs  (Level 3)
	(in thousands)
June 30, 2013
Financial assets
Cash and due from banks	$	61,959	$	61,959	$	61,959	$	—	$	—
Investment securities available-for-sale		419,773		419,773		46,527		373,174		72
Investment securities held-to-maturity		136,786		135,354		—		135,354		—
Restricted investment in bank stocks		8,986		8,986		—		8,986		—
Loans held for sale		585		585		585		—		—
Net loans		892,620		896,236		—		—		896,236
Accrued interest receivable		6,850		6,850		—		4,393		2,457
Financial liabilities
Non interest-bearing deposits		219,669		219,669		—		219,669		—
Interest-bearing deposits		1,061,225		1,061,989		—		1,061,989		—
Long-term borrowings		146,000		158,608		—		158,608		—
Subordinated debentures		5,155		5,024		—		5,024		—
Accrued interest payable		811		811		—		811		—
December 31, 2012
Financial assets
Cash and due from banks	$	104,134	$	104,134	$	104,134	$	—	$	—
Interest bearing deposits with banks		2,004		2,004		2,004		—		—
Investment securities available-for-sale		496,815		496,815		21,901		474,878		36
Investment securities held-to-maturity		58,064		62,431		—		62,431		—
Restricted investment in bank stocks		8,964		8,964		—		8,964		—
Loans held for sale		1,491		1,491		1,491		—		—
Net loans		879,435		897,030		—		—		897,030
Accrued interest receivable		6,849		6,849		—		4,465		2,384
Financial liabilities
Non interest-bearing deposits		215,071		215,071		—		215,071		—
Interest-bearing deposits		1,091,851		1,092,822		—		1,092,822		—
Long-term borrowings		146,000		162,992		—		162,992		—
Subordinated debentures		5,155		5,046		—		5,046		—
Accrued interest payable		874		874		—		874		—