Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2018

Fair Value Disclosures [Abstract]

Schedule of fair value measurements by level within the fair value hierarchy and the basis of measurement used

For assets measured at fair value, the fair value measurements by level within the fair value hierarchy, and the basis of measurement used, at March 31, 2018, and December 31, 2017, are as follows:

		March 31, 2018
In thousands	Basis	Total		Level 1		Level 2		Level 3
U.S. Government and agencies		$	105,951	$	—	$	105,951	$	—
Mortgage-backed securities, residential		32,172		—		32,172		—
State and municipal		12,507		—		12,507		—
Corporate bonds		4,990		—		4,990		—
Total securities available for sale	Recurring	$	155,620	$	—	$	155,620	$	—
Equity securities with readily determinable fair values	Recurring	$	1,760	$	1,760	$	—	$	—
Impaired loans	Nonrecurring	$	4,307	$	—	$	—	$	4,307

		December 31, 2017
In thousands	Basis	Total		Level 1		Level 2		Level 3
U.S. Government and agencies		$	104,083	$	—	$	104,083	$	—
Mortgage-backed securities, residential		34,833		—		34,833		—
State and municipal		13,294		—		13,294		—
Corporate bonds		5,057		—		5,057		—
CRA mutual fund		1,035		1,035		—		—
Stock in other banks		749		749		—		—
Total securities available for sale	Recurring	$	159,051	$	1,784	$	157,267	$	—
Impaired loans	Nonrecurring	$	5,426	$	—	$	—	$	5,426

Schedule of additional quantitative information about assets measured at fair value on a nonrecurring basis

The following table presents additional quantitative information about assets measured at fair value on a nonrecurring basis for which the Corporation has utilized Level 3 inputs to determine fair value:

	Quantitative Information about Level 3 Fair Value Measurements
Dollars in thousands	Fair Value Estimate		Valuation Technique		Unobservable Input		Range	Weighted Average
March 31, 2018
Impaired loans	$	4,307	Appraisal of collateral	(a)	Appraisal adjustments	(b)	(10) - (50)%	—%
December 31, 2017
Impaired loans	$	5,426	Appraisal of collateral	(a)	Appraisal adjustments	(b)	(10) - (50)%	(36)%

(a) Fair value is generally determined through management’s estimate or independent third-party appraisals of the underlying collateral, which generally includes various Level 3 inputs which are not observable.

(b) Appraisals may be adjusted downward by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range of liquidation expenses and other appraisal adjustments are presented as a percentage of the appraisal. Higher downward adjustments are caused by negative changes to the collateral or conditions in the real estate market, actual offers or sales contracts received, and/or age of the appraisal.

Schedule of carrying amount, exit pricing concept fair value and placement in the fair value hierarchy

The following presents the carrying amount, exit pricing concept fair value, and placement in the fair value hierarchy of the Corporation’s financial instruments as of March 31, 2018:

	March 31, 2018
In thousands	Carrying Amount		Fair Value		Level 1		Level 2		Level 3
Financial assets:
Cash and due from banks	$	16,467	$	16,467	$	7,548	$	8,919	$	—
Interest-bearing deposits in banks	43,730		43,730		43,730		—		—
Equity securities with readily determinable fair value	1,760		1,760		1,760		—		—
Investment securities available for sale	155,620		155,620		—		155,620		—
Investment securities held to maturity	41,378		40,758		—		40,758		—
Loans held for sale	474		474		—		474		—
Loans, less allowance for loan losses	1,224,337		1,193,474		—		—		1,193,474
Accrued interest receivable	4,258		4,258		—		4,258		—
Restricted investment in bank stocks	4,802		4,802		—		4,802		—
Financial liabilities:
Demand deposits and savings	955,581		955,581		—		955,581		—
Time deposits	357,833		353,401		—		353,401		—
Short-term borrowings	33,435		33,435		—		33,435		—
Long-term borrowings	90,316		90,064		—		90,064		—
Trust preferred subordinated debt	5,000		4,694		—		4,694		—
Accrued interest payable	1,338		1,338		—		1,338		—
Off-balance sheet financial instruments	—		—		—		—		—

The following presents the carrying amount, fair value, and placement in the fair value hierarchy of the Corporation’s financial instruments as of December 31, 2017:

	December 31, 2017
In thousands	Carrying Amount		Fair Value		Level 1		Level 2		Level 3
Financial assets:
Cash and due from banks	$	19,304	$	19,304	$	8,313	$	10,991	$	—
Interest-bearing deposits in banks	15,137		15,137		15,137		—		—
Investment securities available for sale	159,051		159,051		1,784		157,267		—
Investment securities held to maturity	44,829		44,549		—		44,549		—
Loans held for sale	1,736		1,736		—		1,736		—
Loans, less allowance for loan losses	1,230,194		1,213,932		—		—		1,213,932
Accrued interest receivable	3,670		3,670		—		3,670		—
Restricted investment in bank stocks	4,773		4,773		—		4,773		—
Financial liabilities:
Deposits	1,298,492		1,295,456		—		1,295,456		—
Short-term borrowings	36,908		36,908		—		36,908		—
Long-term borrowings	89,600		89,571		—		89,571		—
Trust preferred subordinated debt	5,000		4,692		—		4,692		—
Accrued interest payable	1,163		1,163		—		1,163		—
Off-balance sheet financial instruments	—		—		—		—		—