Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2014

Schedule of assets reported on the balance sheet at their fair value on a recurring basis

The following table presents the assets reported on the balance sheet at their fair value on a recurring basis as of September 30, 2014 and December 31, 2013, by level within the fair value hierarchy. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement.



	September 30, 2014
(In Thousands)	Level I		Level II		Level III		Total
Assets measured on a recurring basis:
Investment securities, available for sale:
U.S. Government and agency securities	$	—	$	5,796	$	—	$	5,796
Mortgage-backed securities	—		11,135		—		11,135
Asset-backed securities	—		2,571		—		2,571
State and political securities	—		111,782		—		111,782
Other debt securities	—		89,736		—		89,736
Financial institution equity securities	9,221		—		—		9,221
Other equity securities	3,393		—		—		3,393
Total assets measured on a recurring basis	$	12,614	$	221,020	$	—	$	233,634



	December 31, 2013
(In Thousands)	Level I		Level II		Level III		Total
Assets measured on a recurring basis:
Investment securities, available for sale:
U.S. Government and agency securities	$	—	$	9,923	$	—	$	9,923
Mortgage-backed securities	—		10,592		—		10,592
Asset-backed securities	—		6,564		—		6,564
State and political securities	—		141,795		—		141,795
Other debt securities	—		106,773		—		106,773
Financial institution equity securities	10,662		—		—		10,662
Other equity securities	2,303		—		—		2,303
Total assets measured on a recurring basis	$	12,965	$	275,647	$	—	$	288,612

Schedule of assets reported on the consolidated balance sheet at their fair value on a non-recurring basis

The following table presents the assets reported on the consolidated balance sheet at their fair value on a non-recurring basis as of September 30, 2014 and December 31, 2013, by level within the fair value hierarchy. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement.



	September 30, 2014
(In Thousands)	Level I		Level II		Level III		Total
Assets measured on a non-recurring basis:
Impaired loans	$	—	$	—	$	13,261	$	13,261
Other real estate owned	—		—		1,555		1,555
Total assets measured on a non-recurring basis	$	—	$	—	$	14,816	$	14,816



	December 31, 2013
(In Thousands)	Level I		Level II		Level III		Total
Assets measured on a non-recurring basis:
Impaired loans	$	—	$	—	$	8,473	$	8,473
Other real estate owned	—		—		1,898		1,898
Total assets measured on a non-recurring basis	$	—	$	—	$	10,371	$	10,371

Schedule of listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques

The following tables present a listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques as of September 30, 2014 and December 31, 2013:

September 30, 2014

Quantitative Information About Level III Fair Value Measurements

(In Thousands)

Fair Value

Valuation Technique(s)

Unobservable Inputs

Range

Weighted Average

Impaired loans

13,261

Discounted cash flow

Temporary reduction in payment amount

0 to -91%

14%

Probability of default

—%

Appraisal of collateral

Appraisal adjustments (1)

0 to -32%

19%

Other real estate owned

1,555

Appraisal of collateral (1)

(1) Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses.

December 31, 2013