Fair Value (Tables)

6 Months Ended

Jun. 30, 2020

Assets and Liabilities Measured at Fair Value on Recurring Basis

Assets and liabilities measured at fair value on a recurring basis are as follows at June 30, 2020 and December 31, 2019:


			Fair Value Measurements at June 30, 2020 Using:
			Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
Description	Total		(Level 1)		(Level 2)		(Level 3)
Assets:
Securities Available For Sale:
U.S. Government sponsored entities	$	146,619	$	0	$	146,619	$	0
States and political subdivisions	64,191		0		64,191		0
Residential and multi-family mortgage	304,771		5,130		299,641		0
Corporate notes and bonds	9,172		0		9,172		0
Pooled SBA	23,358		0		23,358		0
Other	983		983		0		0
Total Securities Available For Sale	$	549,094	$	6,113	$	542,981	$	0
Interest Rate swaps	$	4,709	$	0	$	4,709	$	0
Trading Securities:
Corporate equity securities	$	3,847	$	3,847	$	0	$	0
Mutual funds	994		994		0		0
Certificates of deposit	322		322		0		0
Corporate notes and bonds	675		675		0		0
U.S. Government sponsored entities	51		0		51		0
Total Trading Securities	$	5,889	$	5,838	$	51	$	0
Liabilities:
Interest rate swaps	$	(5,615)	$	0	$	(5,615)	$	0

			Fair Value Measurements at December 31, 2019 Using:
			Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
Description	Total		(Level 1)		(Level 2)		(Level 3)
Assets:
Securities Available For Sale:
U.S. Government sponsored entities	$	127,094	$	0	$	127,094	$	0
States and political subdivisions	104,363		0		104,363		0
Residential and multi-family mortgage	276,636		0		273,841		2,795
Corporate notes and bonds	8,082		0		8,082		0
Pooled SBA	25,174		0		25,174		0
Other	964		964		0		0
Total Securities Available For Sale	$	542,313	$	964	$	538,554	$	2,795
Interest Rate swaps	$	1,877	$	0	$	1,877	$	0
Trading Securities:
Corporate equity securities	$	7,946	$	7,946	$	0	$	0
Mutual funds	807		807		0		0
Certificates of deposit	350		350		0		0
Corporate notes and bonds	655		655		0		0
U.S. Government sponsored entities	51		0		51		0
Total Trading Securities	$	9,809	$	9,758	$	51	$	0
Liabilities:
Interest rate swaps	$	(2,362)	$	0	$	(2,362)	$	0

Assets and Liabilities Measured at Fair Value on Non-Recurring Basis

Assets and liabilities measured at fair value on a non-recurring basis are as follows at June 30, 2020 and December 31, 2019:


			Fair Value Measurements at June 30, 2020 Using:
			Quoted Prices in Active Markets for Identical Assets	Significant Other Observable Inputs	Significant Unobservable Inputs
Description	Total		(Level 1)	(Level 2)	(Level 3)
Assets:
Impaired loans:
Commercial, industrial and agricultural	$	5,417	0	0	$	5,417
Commercial mortgages	$	10,981	0	0	$	10,981

			Fair Value Measurements at December 31, 2019 Using
			Quoted Prices in		Significant
			Active Markets for	Significant Other	Unobservable
			Identical Assets	Observable Inputs	Inputs
Description	Total		(Level 1)	(Level 2)	(Level 3)
Assets:
Impaired loans:
Commercial, industrial and agricultural	$	2,910	0	0	$	2,910
Commercial mortgages	$	1,147	0	0	$	1,147

Quantitative Information about Level 3 Fair Value Measurements for Financial Instruments Measured at Fair Value on Non Recurring Basis

The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at June 30, 2020:

Fair
value

Valuation Technique

Unobservable Inputs

Range
(Weighted Average)

Impaired loans – commercial, industrial and agricultural

$5,417

Collateral based measurements

Discount to reflect current market conditions and ultimate collectability

0%-100% (30%)

Impaired loans – commercial mortgages

$10,981

Collateral based measurements

Discount to reflect current market conditions and ultimate collectability

25%-100% (30%)

The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at December 31, 2019:

Fair
value

Valuation Technique

Unobservable Inputs

Range
(Weighted Average)

Impaired loans – commercial, industrial and agricultural

$2,910

Collateral based measurements

Discount to reflect current market conditions and ultimate collectability

0%-60% (54%)

Impaired loans – commercial mortgages

$1,147

Collateral based measurements

Discount to reflect current market conditions and ultimate collectability

25%-100% (52%)

Carrying Amount and Fair Value of Financial Instruments

The following table presents the carrying amount and fair value of financial instruments at June 30, 2020:


	Carrying		Fair Value Measurement Using:								Total
	Amount		Level 1		Level 2		Level 3		Fair Value
ASSETS
Cash and cash equivalents	$	663,348	$	663,348	$	0	$	0	$	663,348
Securities available for sale	549,094		6,113		542,981		0		549,094
Trading securities	5,889		5,838		51		0		5,889
Loans held for sale	6,065		0		6,087		0		6,087
Net loans	3,005,642		0		0		2,947,830		2,947,830
FHLB and other restricted interests	28,661		n/a		n/a		n/a		n/a

Interest rate swaps	4,709		0		4,709		0		4,709
Accrued interest receivable	14,659		32		2,852		11,775		14,659
LIABILITIES
Deposits	$	(3,596,022)	$	(3,194,126)	$	(414,180)	$	0	$	(3,608,306)
FHLB and other borrowings	(416,313)		0		(422,324)		0		(422,324)
Subordinated debentures	(70,620)		0		(62,276)		0		(62,276)
Interest rate swaps	(5,615)		0		(5,615)		0		(5,615)
Accrued interest payable	(1,677)		0		(1,677)		0		(1,677)

The following table presents the carrying amount and fair value of financial instruments at December 31, 2019:


	Carrying		Fair Value Measurement Using:								Total
	Amount		Level 1		Level 2		Level 3		Fair Value
ASSETS
Cash and cash equivalents	$	192,974	$	192,974	$	0	$	0	$	192,974
Securities available for sale	542,313		964		538,554		2,795		542,313
Trading securities	9,809		9,758		51		0		9,809
Loans held for sale	930		0		933		0		933
Net loans	2,784,562		0		0		2,765,133		2,765,133
FHLB and other restricted interests	27,868		n/a		n/a		n/a		n/a

Interest rate swaps	1,877		0		1,877		0		1,877
Accrued interest receivable	11,486		6		3,238		8,242		11,486
LIABILITIES
Deposits	$	(3,102,327)	$	(2,674,511)	$	(432,287)	$	0	$	(3,106,798)
FHLB and other borrowings	(227,907)		0		(230,679)		0		(230,679)
Subordinated debentures	(70,620)		0		(64,084)		0		(64,084)
Interest rate swaps	(2,362)		0		(2,632)		0		(2,632)
Accrued interest payable	(1,597)		0		(1,597)		0		(1,597)