Fair Value (Tables)

9 Months Ended

Sep. 30, 2019

Assets Measured at Fair Value on a Recurring Basis



		September 30, 2019

(Dollars in thousands)		Level 1		Level 2		Level 3		Fair Value
Assets Measured at Fair Value on a Recurring Basis
AFS Investment Securities:
US Government agency obligations	$	-	$	24,192	$	-	$	24,192
GSE mortgage-backed securities		-		24,658		-		24,658
Collateralized mortgage obligations GSE		-		8,859		-		8,859
Corporate bonds		-		6,040		-		6,040
State and municipal tax-exempt		-		1,705		-		1,705
Total	$	-	$	65,454	$	-	$	65,454


Assets Measured at Fair Value on a Nonrecurring Basis
Impaired loans	$	-	$	-	$	1,455	$	1,455
OREO and other repossessed property		-		-		1,685		1,685
Total	$	-	$	-	$	3,140	$	3,140



		December 31, 2018

(Dollars in thousands)		Level 1		Level 2		Level 3		Fair Value
Assets Measured at Fair Value on a Recurring Basis
AFS Investment Securities:
US Government agency obligations	$	-	$	47,723	$	-	$	47,723
GSE mortgage-backed securities		-		26,558		-		26,558
Collateralized mortgage obligations GSE		-		9,808		-		9,808
Corporate bonds		-		10,704		-		10,704
State and municipal tax-exempt		-		1,850		-		1,850
Total	$	-	$	96,643	$	-	$	96,643


Assets Measured at Fair Value on a Nonrecurring Basis
Impaired loans	$	-	$	-	$	1,523	$	1,523
OREO and other repossessed property		-		-		1,247		1,247
Total	$	-	$	-	$	2,770	$	2,770

Quantitative Information About Level 3 Fair Value Measurements



September 30, 2019
Quantitative Information about Level 3 Fair Value Measurement

		Fair Value	Valuation		Range
(Dollars in thousands)		Estimate	Techniques	Unobservable Input	(Weighted Average)
Impaired loans - Commercial term	$	1,328	Appraisal of collateral (1)	Disposal costs (2)	0%	to	-8%	(-2%)
Impaired loans - Consumer other		127	Appraisal of collateral (1)	Disposal costs (2)	-7%	to	-8%	(-8%)
Impaired loan total	$	1,455
Other real estate owned	$	1,685		Disposal costs (2)	-8%	to	-8%	(-8%)

(1)

(2)



December 31, 2018
Quantitative Information about Level 3 Fair Value Measurement

		Fair Value	Valuation		Range
(Dollars in thousands)		Estimate	Techniques	Unobservable Input	(Weighted Average)
Impaired loans - Residential mortgage	$	72	Appraisal of collateral (1)	Disposal costs (2)	-8%	to	-8%	(-8%)
Impaired loans - Commercial mortgage		659	Appraisal of collateral (1)	Disposal costs (2)	-14%	to	-14%	(-14%)
Impaired loans - Commercial term		754	Appraisal of collateral (1)	Disposal costs (2)	0%	to	-16%	(-11%)
Impaired loans - Consumer other		38	Appraisal of collateral (1)	Disposal costs (2)	-8%	to	-8%	(-8%)
Impaired loan total	$	1,523
Other real estate owned	$	1,247		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.

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

Carrying Amounts and Fair Values of Financial Instruments


		September 30, 2019

		Carrying		Fair
(Dollars in thousands)		Amount		Value		Level 1		Level 2		Level 3
Financial assets
Cash and cash equivalents	$	19,722	$	19,722	$	19,722	$	-	$	-
AFS investment securities		65,454		65,454		-		65,454		-
HTM investment securities		57,491		57,884		-		55,884		2,000
Restricted stock		5,760		5,760		-		5,760		-
Loans held-for-sale		259		264		-		-		264
Loans, net of allowance, including impaired		917,096		913,587		-		-		913,587
Accrued interest receivable		4,122		4,122		-		4,122		-
Financial liabilities
Deposits:
Non-interest-bearing		174,341		174,341		-		174,341		-
NOW, Money market, and Savings		507,098		507,098		-		507,098		-
Time		187,805		188,368		-		188,368		-
Brokered		62,873		62,639		-		62,639		-
FHLBP advances		31,188		31,186		-		31,186		-
Junior subordinated debentures and other borrowings		9,279		9,717		-		9,717		-
Subordinated debt		9,750		9,208		-		9,208		-
Accrued interest payable		545		545		-		545		-
Off-balance sheet instruments		-		-		-		-		-


		December 31, 2018

		Carrying		Fair
(Dollars in thousands)		Amount		Value		Level 1		Level 2		Level 3
Financial assets
Cash and cash equivalents	$	17,321	$	17,321	$	17,321	$	-	$	-
AFS investment securities		96,643		96,643		-		96,643		-
HTM investment securities		62,026		61,135		-		59,135		2,000
Restricted stock		5,616		5,616		-		5,616		-
Loans held-for-sale		419		429		-		-		429
Loans, net of allowance, including impaired		928,296		914,822		-		-		914,822
Accrued interest receivable		4,207		4,207		-		4,207		-
Financial liabilities
Deposits:
Non-interest-bearing		164,746		164,746		-		164,746		-
NOW, Money market, and Savings		549,073		549,073		-		549,073		-
Time		162,096		160,944		-		160,944		-
Brokered		108,651		97,250		-		97,250		-
FHLBP advances		32,935		32,347		-		32,347		-
Junior subordinated debentures and other borrowings		9,279		10,285		-		10,285		-
Subordinated debt		9,750		9,505		-		9,505		-
Accrued interest payable		646		646		-		646		-
Off-balance sheet instruments		-		-		-		-		-