Fair Values (Tables)

12 Months Ended

Dec. 31, 2016

Fair Value Measurements on Differing Levels



	December 31, 2016
							Assets at
(Dollars in thousands)	Level 1		Level 2		Level 3		Fair Value
Assets Measured at Fair Value on a Recurring Basis
US Government agency obligations	$	-	$	52,309	$	-	$	52,309
GSE mortgage-backed securities		-		30,140		-		30,140
Collateralized mortgage obligations GSE		-		12,573		-		12,573
Corporate bonds		-		15,180		-		15,180
State and municipal tax-exempt		-		4,956		-		4,956
Asset-backed security		-		26		-		26
Total assets measured at fair value on a recurring basis	$	-	$	115,184	$	-	$	115,184
Assets Measured at Fair Value on a Nonrecurring Basis
Impaired loans	$	-	$	-	$	1,538	$	1,538
OREO & other repossessed property		-		-		2,485		2,485
Total assets measured at fair value on a nonrecurring basis	$	-	$	-	$	4,023	$	4,023



	December 31, 2015
							Assets at
(Dollars in thousands)	Level 1		Level 2		Level 3		Fair Value
Assets Measured at Fair Value on a Recurring Basis
US Government agency obligations	$	-	$	58,208	$	-	$	58,208
GSE mortgage-backed securities		-		40,351		-		40,351
Collateralized mortgage obligations GSE		-		15,806		-		15,806
Corporate bonds		-		20,571		-		20,571
State and municipal tax-exempt		-		17,443		-		17,443
Total assets measured at fair value on a recurring basis	$	-	$	152,379	$	-	$	152,379
Assets Measured at Fair Value on a Nonrecurring Basis
Impaired loans	$	-	$	-	$	964	$	964
OREO & other repossessed property		-		-		682		682
Total assets measured at fair value on a nonrecurring basis	$	-	$	-	$	1,646	$	1,646

Quantitative Information About Level 3 Fair Value Measurements



Quantitative Information about Level 3 Fair Value Measurement
December 31, 2016

	Fair Value		Valuation		Range (Weighted
(Dollars in thousands)	Estimate		Techniques	Unobservable Input	Average)
Impaired loans - Residential mortgage	$	964	Appraisal of	Appraisal adj. (2)	0%	to	-25%	(-22%)
			collateral (1)	Disposal costs (2)	-8%	to	-12%	(-9%)
Impaired loans - Commercial term		79	Appraisal of	Appraisal adj. (2)	-72%	to	-72%	(-72%)
			collateral (1)	Disposal costs (2)	-11%	to	-11%	(-11%)
Impaired loans - Commercial construction		358	Appraisal of	Appraisal adj. (2)	0%	to	0%	(0%)
			collateral (1)	Disposal costs (2)	-8%	to	-8%	(-8%)
Impaired loans - Consumer other		137	Appraisal of	Appraisal adj. (2)	0%	to	0%	(0%)
			collateral (1)	Disposal costs (2)	-8%	to	-8%	(-8%)
Impaired loan total	$	1,538
Other real estate owned	$	2,485		Disposal costs (2)	-8%	to	-8%	(-8%)

Quantitative Information about Level 3 Fair Value Measurement
December 31, 2015

	Fair Value		Valuation		Range (Weighted
(Dollars in thousands)	Estimate		Techniques	Unobservable Input	Average)
Impaired loans - Residential mortgage	$	115	Appraisal of	Appraisal adj. (2)	0%	to	0%	(0%)
			collateral (1)	Disposal costs (2)	-8%	to	-8%	(-8%)
Impaired loans - Commercial mortgage		97	Appraisal of	Appraisal adj. (2)	0%	to	0%	(0%)
			collateral (1)	Disposal costs (2)	-13%	to	-13%	(-13%)
Impaired loans - Commercial term		90	Appraisal of	Appraisal adj. (2)	-72%	to	-72%	(-72%)
			collateral (1)	Disposal costs (2)	-11%	to	-11%	(-11%)
Impaired loans - Commercial construction		559	Appraisal of	Appraisal adj. (2)	0%	to	0%	(0%)
			collateral (1)	Disposal costs (2)	-8%	to	-8%	(-8%)
Impaired loans - Consumer other		103	Appraisal of	Appraisal adj. (2)	0%	to	0%	(0%)
			collateral (1)	Disposal costs (2)	-8%	to	-8%	(-8%)
Impaired loan total	$	964
Other real estate owned	$	682		Disposal costs (2)	-8%	to	-8%	(-8%)

⁽¹⁾

Fair value is generally determined through independent appraisals or sales contracts of the underlying collateral, which generally include various level 3 inputs which are not identifiable.

⁽²⁾

Appraisals are adjusted by management for qualitative factors and disposal costs.

Carrying Amounts and Estimated Fair Values of Financial Instruments



	December 31, 2016
			Estimated
	Carrying		Fair
(Dollars in thousands)	Amount		Value		Level 1		Level 2		Level 3
Financial assets
Cash and cash equivalents	$	22,103	$	22,103	$	22,103	$	-	$	-
AFS investment securities		115,184		115,184		-		115,184		-
HTM investment securities		67,022		66,124		-		64,124		2,000
Restricted stock		5,381		5,381		-		5,381		-
Loans held-for-sale		-		-		-		-		-
Loans, net of allowance, including impaired		812,156		792,190		-		-		792,190
Accrued interest receivable		3,567		3,567		-		3,567		-
Financial liabilities
Deposits:
Non-interest-bearing deposits		173,467		173,467		-		173,467		-
Interest-bearing deposits:		495,178		495,178		-		495,178		-
Time		187,256		186,012		-		186,012		-
Brokered deposits		29,286		28,873		-		28,873		-
Repurchase agreements		11,889		11,889		-		11,889		-
FHLBP advances		55,332		54,734		-		54,734		-
Junior subordinated debentures and other borrowings		9,279		8,637		-		8,637		-
Subordinated debt		9,750		10,493		-		10,493		-
Accrued interest payable		534		534		-		534		-
Off-balance sheet instruments		-		-		-		-		-


	December 31, 2015
			Estimated
	Carrying		Fair
(Dollars in thousands)	Amount		Value		Level 1		Level 2		Level 3
Financial assets
Cash and cash equivalents	$	21,119	$	21,119	$	21,119	$	-	$	-
AFS investment securities		152,379		152,379		-		152,379		-
HTM investment securities		67,829		68,431		-		66,431		2,000
Restricted stock		3,447		3,447		-		3,447		-
Loans held-for-sale		-		-		-		-		-
Loans, net of allowance, including impaired		476,823		461,925		-		-		461,925
Accrued interest receivable		2,410		2,410		-		2,410		-
Financial liabilities
Deposits:
Non-interest-bearing deposits		125,581		125,581		-		125,581		-
Interest-bearing deposits:		396,188		396,188		-		396,188		-
Time		66,018		65,697		-		65,697		-
Brokered deposits		18,488		18,327		-		18,327		-
Repurchase agreements		32,416		32,416		-		32,416		-
FHLBP advances		30,000		30,210		-		30,210		-
Junior subordinated debentures and other borrowings		9,279		7,889		-		7,889		-
Subordinated debt		9,750		9,999		-		9,999		-
Accrued interest payable		345		345		-		345		-
Off-balance sheet instruments		-		-		-		-		-