Note 12 - Deferred Compensation Plans

9 Months Ended

Sep. 30, 2016

Compensation and Employee Benefit Plans [Text Block]

12.	DEFERRED COMPENSATION PLANS

The Bank has entered into supplemental compensation benefits agreements with certain directors and executive officers. The measurement of the liability under these agreements includes estimates involving life expectancy, length of time before retirement and the expected returns on the bank-owned life insurance policies used to fund those agreements. Should these estimates prove to be materially wrong, the cost of these agreements could change accordingly. The

related deferred compensation obligation to these directors and executive officers included in other liabilities was $3.5 million and $3.6 million as of September 30, 2016 and December 31, 2015, respectively.

In addition, non-employee directors may elect to defer payment of all or any

portion of their director fees under the Company's Non-Employee Directors’ Deferred Compensation Plan (the “Deferral Plan”). The Deferral Plan, which was ratified by shareholders at the annual meeting held on May 11, 2004, permits non-employee directors to invest their directors’ fees and to receive the adjusted value of the deferred amounts in cash and/or shares of the Company’s common stock. The Company uses shares held as treasury stock to satisfy stock-based obligations. A total of 111,195 shares and 103,571 shares were deferred under the Deferral Plan as of September 30, 2016 and December 31, 2015, respectively. Cash deferrals under the Deferral Plan were less than $0.1 million as of September 30, 2016 and December 31, 2015.