FAIR VALUE MEASUREMENTS (Tables)

12 Months Ended

Dec. 31, 2017

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 December 31, 2017 and 2016, 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.



	2017
(In Thousands)	Level I		Level II		Level III		Total
Assets measured on a recurring basis:
Investment securities, available for sale:
Mortgage-backed securities	$	—	$	4,213	$	—	$	4,213
State and political securities	—		56,508		—		56,508
Other debt securities	—		47,907		—		47,907
Financial institution equity securities	14,596		—		—		14,596
Other equity securities	1,251		—		—		1,251
Investment securities, trading:
Other equity securities	190		—		—		190
Total assets measured on a recurring basis	$	16,037	$	108,628	$	—	$	124,665



	2016
(In Thousands)	Level I		Level II		Level III		Total
Assets measured on a recurring basis:
Investment securities, available for sale:
Mortgage-backed securities	$	—	$	9,313	$	—	$	9,313
Asset-backed securities	—		109		—		109
State and political securities	—		60,934		—		60,934
Other debt securities	—		51,118		—		51,118
Financial institution equity securities	10,535		—		—		10,535
Other equity securities	1,483		—		—		1,483
Investment securities, trading:
Financial institution equity securities	58		—		—		58
Total assets measured on a recurring basis	$	12,076	$	121,474	$	—	$	133,550

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 balance sheet at their fair value on a non-recurring basis as of December 31, 2017 and 2016, 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.



	2017
(In Thousands)	Level I		Level II		Level III		Total
Assets measured on a non-recurring basis:
Impaired loans	$	—	$	—	$	12,262	$	12,262
Other real estate owned	—		—		143		143



	2016
(In Thousands)	Level I		Level II		Level III		Total
Assets measured on a non-recurring basis:
Impaired loans	$	—	$	—	$	13,797	$	13,797
Other real estate owned	—		—		839		839

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

The following table provides a listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques as of December 31, 2017 and 2016:

2017

Quantitative Information About Level III Fair Value Measurements

(In Thousands)

Fair Value

Valuation Technique(s)

Unobservable Inputs

Range

Weighted Average

Impaired loans

6,583

Discounted cash flow

Temporary reduction in payment amount

3% to (70)%

(4)%

Probability of default

—%

5,679

Appraisal of collateral (1)

Appraisal adjustments (1)

0 to (20)%

(17)%

Other real estate owned

143

Appraisal of collateral (1)

Appraisal adjustments (1)

(20)%

2016

Quantitative Information About Level III Fair Value Measurements

(In Thousands)

Fair Value

Valuation Technique(s)

Unobservable Inputs

Range

Weighted Average

Impaired loans

5,304

Discounted cash flow

Temporary reduction in payment amount

0 to (70)%

(20)%

Probability of default

—%

8,493

Appraisal of collateral (1)

Appraisal adjustments (1)

0 to (20)%

(15)%

Other real estate owned

839

Appraisal of collateral (1)

Appraisal adjustments (1)

(20)%

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