QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
|
|
|
(State or other jurisdiction of incorporation or organization)
|
(I.R.S. Employer Identification No.)
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Title of each class
|
Trading Symbol
|
Name of each exchange on which registered
|
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Large accelerated filer
|
☐ |
Accelerated filer ☐
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||
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☒ |
Smaller reporting company
|
||
Emerging growth company
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Page
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Item 1.
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1
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1
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2
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3
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4
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5
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6
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Item 2.
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28 | |
Item 3.
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45
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Item 4.
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45
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PART II - OTHER INFORMATION
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||
Item 1.
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45
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Item 1A.
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46
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Item 2.
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46
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Item 3.
|
47
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Item 4.
|
47
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Item 5.
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47
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Item 6.
|
48
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49
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2021 Form 10-K
|
Annual Report on Form 10-K for the year ended December 31, 2021
|
ALLL
|
Allowance for Loan and Lease Losses
|
ASC
|
Accounting Standards Codification
|
ASU
|
Accounting Standards Update
|
Bank
|
The Old Point National Bank of Phoebus
|
CET1
|
Common Equity Tier 1
|
Company
|
Old Point Financial Corporation and its subsidiaries
|
CBB
|
Community Bankers Bank
|
CBLR
|
Community Bank Leverage Ratio Framework
|
COVID-19
|
Novel coronavirus disease 2019
|
EGRRCPA
|
Economic Growth, Regulatory Relief, and Consumer Protection Act
|
EPS
|
earnings per share
|
ESPP
|
Employee Stock Purchase Plan
|
Exchange Act
|
Securities Exchange Act of 1934, as amended
|
FDIC
|
Federal Deposit Insurance Corporation
|
FHLB
|
Federal Home Loan Bank
|
FRB
|
Federal Reserve Bank
|
GAAP
|
Generally Accepted Accounting Principles
|
Incentive Stock Plan
|
Old Point Financial Corporation 2016 Incentive Stock Plan
|
IRLC
|
Interest Rate Lock Commitments
|
NIM
|
Net Interest Margin
|
Notes
|
The Company’s 3.50% fixed-to-floating rate subordinated notes due 2031
|
OAEM
|
Other Assets Especially Mentioned
|
OREO
|
Other Real Estate Owned
|
PPP
|
Paycheck Protection Program
|
PPPLF
|
Paycheck Protection Program Liquidity Facility
|
ROE
|
Return on Average Equity
|
SEC
|
U.S. Securities and Exchange Commission
|
SOFR
|
Secured overnight financing rate
|
TDR
|
Troubled Debt Restructuring
|
Wealth Management
|
Old Point Trust & Financial Services N.A.
|
September 30,
|
December 31,
|
|||||||
(dollars in thousands, except share data)
|
2022
|
2021
|
||||||
(unaudited)
|
||||||||
Assets
|
||||||||
Cash and due from banks
|
$
|
|
$
|
|
||||
Interest-bearing due from banks
|
|
|
||||||
Federal funds sold
|
|
|
||||||
Cash and cash equivalents
|
|
|
||||||
Securities available-for-sale, at fair value
|
|
|
||||||
Restricted securities, at cost
|
|
|
||||||
Loans held for sale
|
|
|
||||||
Loans, net
|
|
|
||||||
Premises and equipment, net
|
|
|
||||||
Premises and equipment, held for sale
|
|
|
||||||
Bank-owned life insurance
|
|
|
||||||
Goodwill
|
|
|
||||||
Core deposit intangible, net
|
|
|
||||||
Other assets
|
|
|
||||||
Total assets
|
$
|
|
$
|
|
||||
Liabilities & Stockholders’ Equity
|
||||||||
Deposits:
|
||||||||
Noninterest-bearing deposits
|
$
|
|
$
|
|
||||
Savings deposits
|
|
|
||||||
Time deposits
|
|
|
||||||
Total deposits
|
|
|
||||||
Overnight repurchase agreements
|
|
|
||||||
Federal Reserve Bank borrowings
|
|
|
||||||
Long term borrowings
|
|
|
||||||
Accrued expenses and other liabilities
|
|
|
||||||
Total liabilities
|
|
|
||||||
Stockholders’ equity:
|
||||||||
Common stock, $
|
|
|
||||||
Additional paid-in capital
|
|
|
||||||
Retained earnings
|
|
|
||||||
Accumulated other comprehensive (loss) income, net
|
(
|
)
|
|
|||||
Total stockholders’ equity
|
|
|
||||||
Total liabilities and stockholders’ equity
|
$
|
|
$
|
|
Three Months Ended
|
Nine Months Ended
|
|||||||||||||||
September 30,
|
September 30,
|
|||||||||||||||
(unaudited, dollars in thousands, except share and per share data)
|
2022
|
2021
|
2022
|
2021
|
||||||||||||
Interest and Dividend Income:
|
||||||||||||||||
Loans, including fees
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Due from banks
|
|
|
|
|
||||||||||||
Federal funds sold
|
|
|
|
|
||||||||||||
Securities:
|
||||||||||||||||
Taxable
|
|
|
|
|
||||||||||||
Tax-exempt
|
|
|
|
|
||||||||||||
Dividends and interest on all other securities
|
|
|
|
|
||||||||||||
Total interest and dividend income
|
|
|
|
|
||||||||||||
Interest Expense:
|
||||||||||||||||
Checking and savings deposits
|
|
|
|
|
||||||||||||
Time deposits
|
|
|
|
|
||||||||||||
Federal funds purchased, securities sold under agreements to repurchase and other borrowings
|
|
|
|
|
||||||||||||
Long term borrowings |
||||||||||||||||
Total interest expense
|
|
|
|
|
||||||||||||
Net interest income
|
|
|
|
|
||||||||||||
Provision for loan losses
|
|
|
|
|
||||||||||||
Net interest income after provision for loan losses
|
|
|
|
|
||||||||||||
Noninterest Income:
|
||||||||||||||||
Fiduciary and asset management fees
|
|
|
|
|
||||||||||||
Service charges on deposit accounts
|
|
|
|
|
||||||||||||
Other service charges, commissions and fees
|
|
|
|
|
||||||||||||
Bank-owned life insurance income
|
|
|
|
|
||||||||||||
Mortgage banking income
|
|
|
|
|
||||||||||||
Other operating income
|
|
|
|
|
||||||||||||
Total noninterest income
|
|
|
|
|
||||||||||||
Noninterest Expense:
|
||||||||||||||||
Salaries and employee benefits
|
|
|
|
|
||||||||||||
Occupancy and equipment
|
|
|
|
|
||||||||||||
Data processing
|
|
|
|
|
||||||||||||
Customer development
|
|
|
|
|
||||||||||||
Professional services
|
|
|
|
|
||||||||||||
Employee professional development
|
|
|
|
|
||||||||||||
Other taxes
|
|
|
|
|
||||||||||||
ATM and other losses
|
|
|
|
|
||||||||||||
Other operating expenses
|
|
|
|
|
||||||||||||
Total noninterest expense
|
|
|
|
|
||||||||||||
Income before income taxes
|
|
|
|
|
||||||||||||
Income tax expense
|
|
|
|
|
||||||||||||
Net income
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Basic Earnings per Share:
|
||||||||||||||||
Weighted average shares outstanding
|
|
|
|
|
||||||||||||
Net income per share of common stock
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Diluted Earnings per Share:
|
||||||||||||||||
Weighted average shares outstanding
|
|
|
|
|
||||||||||||
Net income per share of common stock
|
$
|
|
$
|
|
$
|
|
$
|
|
Three Months Ended
|
Nine Months Ended
|
|||||||||||||||
September 30,
|
September 30,
|
|||||||||||||||
(unaudited, dollars in thousands)
|
2022
|
2021
|
2022
|
2021
|
||||||||||||
Net income
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Other comprehensive loss, net of tax
|
||||||||||||||||
Net unrealized loss on available-for-sale securities
|
(
|
)
|
(
|
)
|
(
|
)
|
(
|
)
|
||||||||
Other comprehensive loss, net of tax
|
(
|
)
|
(
|
)
|
(
|
)
|
(
|
)
|
||||||||
Comprehensive (loss) income
|
$
|
(
|
)
|
$
|
|
$
|
(
|
)
|
$
|
|
(unaudited, dollars in thousands, except share and per share data) |
Accumulated
|
|||||||||||||||||||||||
Shares of
|
Additional | Other | ||||||||||||||||||||||
Common | Common |
Paid-in
|
Retained
|
Comprehensive
|
||||||||||||||||||||
Stock
|
Stock
|
Capital
|
Earnings
|
Income (Loss)
|
Total
|
|||||||||||||||||||
THREE MONTHS ENDED SEPTEMBER 30, 2022
|
||||||||||||||||||||||||
Balance at June 30, 2022
|
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
||||||||||||
Net income
|
-
|
|
|
|
|
|
||||||||||||||||||
Other comprehensive loss, net of tax
|
-
|
|
|
|
(
|
)
|
(
|
)
|
||||||||||||||||
Employee Stock Purchase Plan share issuance
|
|
|
|
|
|
|
||||||||||||||||||
Common stock purchased | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||
Restricted stock vested
|
|
|
|
|
|
|
||||||||||||||||||
Stock-based compensation expense
|
-
|
|
|
|
|
|
||||||||||||||||||
Cash dividends ($
|
-
|
|
|
(
|
)
|
|
(
|
)
|
||||||||||||||||
Balance at end of period
|
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
||||||||||||
THREE MONTHS ENDED SEPTEMBER 30, 2021
|
||||||||||||||||||||||||
Balance at June 30, 2021
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
|||||||||||||
Net income
|
-
|
|
|
|
|
|
||||||||||||||||||
Other comprehensive loss, net of tax
|
-
|
|
|
|
(
|
)
|
(
|
)
|
||||||||||||||||
Employee Stock Purchase Plan share issuance
|
|
|
|
|
|
|
||||||||||||||||||
Restricted stock vested | ||||||||||||||||||||||||
Stock-based compensation expense
|
-
|
|
|
|
|
|
||||||||||||||||||
Cash dividends ($
|
-
|
|
|
(
|
)
|
|
(
|
)
|
||||||||||||||||
Balance at end of period
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
(unaudited, dollars in thousands, except share and per share data) | Accumulated | |||||||||||||||||||||||
Shares of |
Additional |
Other |
||||||||||||||||||||||
Common
|
Common |
Paid-in
|
Retained |
Comprehensive
|
||||||||||||||||||||
Stock
|
Stock
|
Capital
|
Earnings |
Income (Loss)
|
Total | |||||||||||||||||||
NINE MONTHS ENDED SEPTEMBER 30, 2022
|
||||||||||||||||||||||||
Balance at December 31, 2021
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
|||||||||||||
Net income
|
-
|
|
|
|
|
|
||||||||||||||||||
Other comprehensive loss, net of tax
|
-
|
|
|
|
(
|
)
|
(
|
)
|
||||||||||||||||
Employee Stock Purchase Plan share issuance
|
|
|
|
|
|
|
||||||||||||||||||
Common stock purchased |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||
Restricted stock vested
|
|
|
(
|
)
|
|
|
|
|||||||||||||||||
Stock-based compensation expense
|
-
|
|
|
|
|
|
||||||||||||||||||
Cash dividends ($
|
-
|
|
|
(
|
)
|
|
(
|
)
|
||||||||||||||||
Balance at end of period
|
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
||||||||||||
NINE MONTHS ENDED SEPTEMBER 30, 2021
|
||||||||||||||||||||||||
Balance at December 31, 2020
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
|||||||||||||
Net income
|
-
|
|
|
|
|
|
||||||||||||||||||
Other comprehensive loss, net of tax
|
-
|
|
|
|
(
|
)
|
(
|
)
|
||||||||||||||||
Employee Stock Purchase Plan share issuance
|
|
|
|
|
|
|
||||||||||||||||||
Restricted stock vested
|
|
|
(
|
)
|
|
|
|
|||||||||||||||||
Stock-based compensation expense
|
-
|
|
|
|
|
|
||||||||||||||||||
Cash dividends ($
|
-
|
|
|
(
|
)
|
|
(
|
)
|
||||||||||||||||
Balance at end of period
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
Nine Months Ended September 30,
|
||||||||
(unaudited, dollars in thousands)
|
2022
|
2021
|
||||||
CASH FLOWS FROM OPERATING ACTIVITIES
|
||||||||
Net income
|
$
|
|
$
|
|
||||
Adjustments to reconcile net income to net cash provided by operating activities:
|
||||||||
Depreciation and amortization
|
|
|
||||||
Amortization of right of use lease asset
|
|
|
||||||
Accretion related to acquisition, net
|
|
(
|
)
|
|||||
Amortization of subordinated debt issuance costs |
||||||||
Provision for loan losses
|
|
|
||||||
Net amortization of securities
|
|
|
||||||
Decrease in loans held for sale, net
|
|
|
||||||
Income from bank owned life insurance
|
(
|
)
|
(
|
)
|
||||
Stock compensation expense
|
|
|
||||||
Deferred tax (benefit)
|
|
(
|
)
|
|||||
Increase in other assets
|
(
|
)
|
(
|
)
|
||||
Increase in accrued expenses and other liabilities
|
|
|
||||||
Net cash provided by operating activities
|
|
|
||||||
CASH FLOWS FROM INVESTING ACTIVITIES
|
||||||||
Purchases of available-for-sale securities
|
(
|
)
|
(
|
)
|
||||
(Purchase of) proceeds from redemption of restricted securities, net
|
(
|
)
|
|
|||||
Proceeds from maturities and calls of available-for-sale securities
|
|
|
||||||
Proceeds from sales of available-for-sale securities
|
|
|
||||||
Paydowns on available-for-sale securities
|
|
|
||||||
Net increase in loans held for investment
|
(
|
)
|
(
|
)
|
||||
Purchases of bank-owned life insurance | ( |
) | ||||||
Purchases of premises and equipment
|
(
|
)
|
(
|
)
|
||||
Proceeds from sale of premises and equipment |
||||||||
Net cash used in investing activities
|
(
|
)
|
(
|
)
|
||||
CASH FLOWS FROM FINANCING ACTIVITIES
|
||||||||
Increase in noninterest-bearing deposits
|
|
|
||||||
Increase in savings deposits
|
|
|
||||||
Decrease in time deposits
|
(
|
)
|
(
|
)
|
||||
Decrease in federal funds purchased, repurchase agreements and other borrowings, net
|
(
|
)
|
(
|
)
|
||||
Repayment of Federal Reserve Bank borrowings
|
(
|
)
|
(
|
)
|
||||
Increase in long term borrowings | ||||||||
Proceeds from ESPP issuance
|
|
|
||||||
Repurchase of common stock
|
( |
) | ||||||
Cash dividends paid on common stock
|
(
|
)
|
(
|
)
|
||||
Net cash (used in) provided by financing activities
|
(
|
)
|
|
|||||
Net (decrease) increase in cash and cash equivalents
|
(
|
)
|
|
|||||
Cash and cash equivalents at beginning of period
|
|
|
||||||
Cash and cash equivalents at end of period
|
$
|
|
$
|
|
||||
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
|
||||||||
Cash payments for:
|
||||||||
Interest
|
$
|
|
$
|
|
||||
SUPPLEMENTAL SCHEDULE OF NONCASH TRANSACTIONS
|
||||||||
Unrealized (loss) gain on securities available-for-sale
|
$
|
(
|
)
|
$
|
(
|
)
|
||
Former bank property transferred from fixed assets to held for sale assets
|
$
|
|
$
|
|
||||
Right of use lease asset and liability
|
$
|
|
$
|
|
September 30, 2022
|
||||||||||||||||
Gross | Gross | |||||||||||||||
Amortized | Unrealized | Unrealized | Fair | |||||||||||||
(Dollars in thousands)
|
Cost
|
Gains
|
(Losses)
|
Value
|
||||||||||||
U.S. Treasury securities
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||||
Obligations of U.S. Government agencies
|
|
|
(
|
)
|
|
|||||||||||
Obligations of state and political subdivisions
|
|
|
(
|
)
|
|
|||||||||||
Mortgage-backed securities
|
|
|
(
|
)
|
|
|||||||||||
Money market investments
|
|
|
|
|
||||||||||||
Corporate bonds and other securities
|
|
|
(
|
)
|
|
|||||||||||
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
December 31, 2021
|
||||||||||||||||
Gross | Gross | |||||||||||||||
Amortized | Unrealized | Unrealized | Fair | |||||||||||||
(Dollars in thousands)
|
Cost
|
Gains
|
(Losses)
|
Value
|
||||||||||||
U.S. Treasury securities
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||||
Obligations of U.S. Government agencies
|
|
|
(
|
)
|
|
|||||||||||
Obligations of state and political subdivisions
|
|
|
(
|
)
|
|
|||||||||||
Mortgage-backed securities
|
|
|
(
|
)
|
|
|||||||||||
Money market investments
|
|
|
|
|
||||||||||||
Corporate bonds and other securities
|
|
|
(
|
)
|
|
|||||||||||
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
September 30, 2022
|
||||||||
Amortized | Fair | |||||||
(Dollars in thousands)
|
Cost
|
Value
|
||||||
Due in one year or less
|
$
|
|
$
|
|
||||
Due after one year through five years
|
|
|
||||||
Due after five through ten years
|
|
|
||||||
Due after ten years
|
|
|
||||||
Other securities, restricted
|
|
|
||||||
$
|
|
$
|
|
September 30, 2022 | ||||||||||||||||||||||||
Less than 12 months
|
12 months or more
|
Total
|
||||||||||||||||||||||
Gross | Gross | Gross | ||||||||||||||||||||||
Unrealized | Fair | Unrealized | Fair | Unrealized | Fair | |||||||||||||||||||
(Dollars in thousands)
|
Losses
|
Value
|
Losses
|
Value
|
Losses
|
Value
|
||||||||||||||||||
U.S. Treasury securities
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||
Obligations of U.S. Government agencies
|
|
|
|
|
|
|
||||||||||||||||||
Obligations of state and political subdivisions
|
|
|
|
|
|
|
||||||||||||||||||
Mortgage-backed securities
|
|
|
|
|
|
|
||||||||||||||||||
Corporate bonds and other securities
|
|
|
|
|
|
|
||||||||||||||||||
Total securities available-for-sale
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
December 31, 2021 | ||||||||||||||||||||||||
Less than 12 months
|
12 months or more
|
Total
|
||||||||||||||||||||||
Gross | Gross | Gross | ||||||||||||||||||||||
Unrealized | Fair | Unrealized | Fair | Unrealized | Fair | |||||||||||||||||||
(Dollars in thousands)
|
Losses
|
Value
|
Losses
|
Value
|
Losses
|
Value
|
||||||||||||||||||
U.S. Treasury securities | $ | $ | $ | $ | $ | $ | ||||||||||||||||||
Obligations of U.S. Government agencies
|
|
|
|
|
|
|
||||||||||||||||||
Obligations of state and political subdivisions | ||||||||||||||||||||||||
Mortgage-backed securities
|
|
|
|
|
|
|
||||||||||||||||||
Corporate bonds and other securities
|
|
|
|
|
|
|
||||||||||||||||||
Total securities available-for-sale
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
(dollars in thousands)
|
September 30, 2022
|
December 31, 2021
|
||||||
Mortgage loans on real estate:
|
||||||||
Residential 1-4 family
|
$
|
|
$
|
|
||||
Commercial - owner occupied
|
|
|
||||||
Commercial - non-owner occupied
|
|
|
||||||
Multifamily
|
|
|
||||||
Construction
|
|
|
||||||
Second mortgages
|
|
|
||||||
Equity lines of credit
|
|
|
||||||
Total mortgage loans on real estate
|
|
|
||||||
Commercial and industrial loans
|
|
|
||||||
Consumer automobile loans
|
|
|
||||||
Other consumer loans
|
|
|
||||||
Other (1)
|
|
|
||||||
Total loans, net of deferred fees
|
|
|
||||||
Less: Allowance for loan losses
|
|
|
||||||
Loans, net of allowance and deferred fees (2)
|
$
|
|
$
|
|
(1)
|
|
(2)
|
|
•
|
Pass: Loans are of acceptable risk.
|
•
|
Other Assets Especially Mentioned (OAEM): Loans have potential weaknesses that deserve management’s close attention.
|
•
|
Substandard: Loans reflect significant deficiencies due to several adverse trends of a financial, economic or managerial nature.
|
•
|
Doubtful: Loans have all the weaknesses inherent in a substandard loan with added characteristics that make collection or liquidation
in full based on currently existing facts, conditions and values highly questionable or improbable.
|
•
|
Loss: Loans have been identified for charge-off because they are considered uncollectible and of such little value that their
continuance as bankable assets is not warranted.
|
Credit Quality Information
|
||||||||||||||||||||
As of September 30, 2022
|
||||||||||||||||||||
(dollars in thousands)
|
Pass
|
OAEM
|
Substandard
|
Doubtful
|
Total
|
|||||||||||||||
Mortgage loans on real estate:
|
||||||||||||||||||||
Residential 1-4 family
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||
Commercial - owner occupied
|
|
|
|
|
|
|||||||||||||||
Commercial - non-owner occupied
|
|
|
|
|
|
|||||||||||||||
Multifamily
|
|
|
|
|
|
|||||||||||||||
Construction
|
|
|
|
|
|
|||||||||||||||
Second mortgages
|
|
|
|
|
|
|||||||||||||||
Equity lines of credit
|
|
|
|
|
|
|||||||||||||||
Total mortgage loans on real estate
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||
Commercial and industrial loans
|
|
|
|
|
|
|||||||||||||||
Consumer automobile loans
|
|
|
|
|
|
|||||||||||||||
Other consumer loans
|
|
|
|
|
|
|||||||||||||||
Other
|
|
|
|
|
|
|||||||||||||||
Total
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
Credit Quality Information
|
||||||||||||||||||||
As of December 31, 2021
|
||||||||||||||||||||
(dollars in thousands)
|
Pass
|
OAEM
|
Substandard
|
Doubtful
|
Total
|
|||||||||||||||
Mortgage loans on real estate:
|
||||||||||||||||||||
Residential 1-4 family
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||
Commercial - owner occupied
|
|
|
|
|
|
|||||||||||||||
Commercial - non-owner occupied
|
|
|
|
|
|
|||||||||||||||
Multifamily
|
|
|
|
|
|
|||||||||||||||
Construction
|
|
|
|
|
|
|||||||||||||||
Second mortgages
|
|
|
|
|
|
|||||||||||||||
Equity lines of credit
|
|
|
|
|
|
|||||||||||||||
Total mortgage loans on real estate
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||
Commercial and industrial loans
|
|
|
|
|
|
|||||||||||||||
Consumer automobile loans
|
|
|
|
|
|
|||||||||||||||
Other consumer loans
|
|
|
|
|
|
|||||||||||||||
Other
|
|
|
|
|
|
|||||||||||||||
Total
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
Age Analysis of Past Due Loans as of September 30, 2022
|
||||||||||||||||||||||||
(dollars in thousands)
|
30 - 59
Days Past
Due
|
60 - 89
Days Past
Due
|
90 or More
Days Past
Due and
still
Accruing
|
Nonaccrual
(2)
|
Total
Current
Loans (1)
|
Total
Loans |
||||||||||||||||||
Mortgage loans on real estate:
|
||||||||||||||||||||||||
Residential 1-4 family
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||
Commercial - owner occupied
|
|
|
|
|
|
|
||||||||||||||||||
Commercial - non-owner occupied
|
|
|
|
|
|
|
||||||||||||||||||
Multifamily
|
|
|
|
|
|
|
||||||||||||||||||
Construction
|
|
|
|
|
|
|
||||||||||||||||||
Second mortgages
|
|
|
|
|
|
|
||||||||||||||||||
Equity lines of credit
|
|
|
|
|
|
|
||||||||||||||||||
Total mortgage loans on real estate
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||
Commercial and industrial loans
|
|
|
|
|
|
|
||||||||||||||||||
Consumer automobile loans
|
|
|
|
|
|
|
||||||||||||||||||
Other consumer loans
|
|
|
|
|
|
|
||||||||||||||||||
Other
|
|
|
|
|
|
|
||||||||||||||||||
Total
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
(1)
|
|
(2)
|
|
Age Analysis of Past Due Loans as of December 31, 2021
|
||||||||||||||||||||||||
(dollars in thousands)
|
30 - 59
Days Past
Due
|
60 - 89
Days Past
Due
|
90 or More
Days Past
Due and
still
Accruing
|
Nonaccrual
(2)
|
Total
Current
Loans (1)
|
Total
Loans |
||||||||||||||||||
Mortgage loans on real estate:
|
||||||||||||||||||||||||
Residential 1-4 family
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||
Commercial - owner occupied
|
|
|
|
|
|
|
||||||||||||||||||
Commercial - non-owner occupied
|
|
|
|
|
|
|
||||||||||||||||||
Multifamily
|
|
|
|
|
|
|
||||||||||||||||||
Construction
|
|
|
|
|
|
|
||||||||||||||||||
Second mortgages
|
|
|
|
|
|
|
||||||||||||||||||
Equity lines of credit
|
|
|
|
|
|
|
||||||||||||||||||
Total mortgage loans on real estate
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||
Commercial and industrial loans
|
|
|
|
|
|
|
||||||||||||||||||
Consumer automobile loans
|
|
|
|
|
|
|
||||||||||||||||||
Other consumer loans
|
|
|
|
|
|
|
||||||||||||||||||
Other
|
|
|
|
|
|
|
||||||||||||||||||
Total
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
(1)
|
For purposes of this table, Total Current Loans includes loans that are 1 - 29 days past due.
|
(2)
|
For purposes of this table, if a loan is past due and on nonaccrual, it is included in the nonaccural column and not also in its respective past due column.
|
(dollars in thousands)
|
September 30, 2022
|
December 31, 2021
|
||||||
Mortgage loans on real estate:
|
||||||||
Residential 1-4 family
|
$
|
|
$
|
|
||||
Commercial - owner occupied
|
|
|
||||||
Commercial - non-owner occupied
|
|
|
||||||
Construction and land development
|
||||||||
Total mortgage loans on real estate
|
|
|
|
|
||||
Commercial and industrial loans
|
|
|
||||||
Total
|
$
|
|
$
|
|
Nine Months Ended September 30,
|
||||||||
(dollars in thousands)
|
2022
|
2021
|
||||||
Interest income that would have been recorded under original loan terms
|
$
|
|
$
|
|
||||
Actual interest income recorded for the period
|
|
|
||||||
Reduction in interest income on nonaccrual loans
|
$
|
|
$
|
|
Impaired Loans by Class |
||||||||||||||||||||||||
For the Nine Months Ended | ||||||||||||||||||||||||
As of September 30, 2022
|
September 30, 2022
|
|||||||||||||||||||||||
(Dollars in thousands)
|
Unpaid Principal
Balance
|
Without
Valuation
Allowance
|
With Valuation
Allowance
|
Associated
Allowance
|
Average
Recorded
Investment
|
Interest Income
Recognized
|
||||||||||||||||||
Mortgage loans on real estate:
|
||||||||||||||||||||||||
Residential 1-4 family
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||
Commercial
|
|
|
|
|
|
|
||||||||||||||||||
Construction
|
|
|
|
|
|
|
||||||||||||||||||
Second mortgages
|
|
|
|
|
|
|
||||||||||||||||||
Total mortgage loans on real estate
|
|
|
|
|
|
|
||||||||||||||||||
Commercial and industrial loans
|
|
|
|
|
|
|
||||||||||||||||||
Other consumer loans
|
|
|
|
|
|
|
||||||||||||||||||
Total
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
Impaired Loans by Class | ||||||||||||||||||||||||
For the Year Ended | ||||||||||||||||||||||||
As of December 31, 2021
|
December 31, 2021
|
|||||||||||||||||||||||
(Dollars in thousands)
|
Unpaid Principal
Balance
|
Without
Valuation
Allowance
|
With Valuation
Allowance
|
Associated
Allowance
|
Average
Recorded
Investment
|
Interest Income
Recognized
|
||||||||||||||||||
Mortgage loans on real estate:
|
||||||||||||||||||||||||
Residential 1-4 family
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||
Commercial
|
|
|
|
|
|
|
||||||||||||||||||
Construction
|
|
|
|
|
|
|
||||||||||||||||||
Second mortgages
|
|
|
|
|
|
|
||||||||||||||||||
Total mortgage loans on real estate
|
|
|
|
|
|
|
||||||||||||||||||
Commercial and industrial loans
|
|
|
|
|
|
|
||||||||||||||||||
Other consumer loans
|
|
|
|
|
|
|
||||||||||||||||||
Total
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
•
|
Commercial and industrial: Commercial and industrial loans carry risks associated with the successful operation
of a business or project, in addition to other risks associated with the ownership of a business. The repayment of these loans may be dependent upon the profitability and cash flows of the business. In addition, there is risk
associated with the value of collateral other than real estate which may depreciate over time and cannot be appraised with as much precision.
|
•
|
Real estate-construction: Construction loans carry risks that the project will not be finished according to
schedule, the project will not be finished according to budget and the value of the collateral may at any point in time be less than the principal amount of the loan. Construction loans also bear the risk that the general
contractor, who may or may not be the loan customer, may be unable to finish the construction project as planned because of financial pressure unrelated to the project.
|
•
|
Real estate-mortgage: Residential mortgage loans and equity lines of credit carry risks associated with the
continued credit-worthiness of the borrower and changes in the value of the collateral. Commercial real estate loans carry risks associated with the successful operation of a business if owner occupied. If non-owner occupied, the
repayment of these loans may be dependent upon the profitability and cash flow from rent receipts.
|
•
|
Consumer loans: Consumer loans carry risks associated with the continued credit-worthiness of the borrowers and
the value of the collateral. Consumer loans are more likely than real estate loans to be immediately adversely affected by job loss, divorce, illness or personal bankruptcy.
|
•
|
Other loans: Other loans are loans to mortgage companies, loans for purchasing or carrying securities, and
loans to insurance, investment and finance companies. These loans carry risks associated with the successful operation of a business. In addition, there is risk associated with the value of collateral other than real estate which
may depreciate over time, depend on interest rates or fluctuate in active trading markets.
|
ALLOWANCE FOR LOAN LOSSES AND RECORDED INVESTMENT IN LOANS | ||||||||||||||||||||||||||||||||
For the nine months ended September 30, 2022
|
||||||||||||||||||||||||||||||||
(Dollars in thousands)
|
Commercial
and Industrial
|
Real Estate Construction
|
Real Estate -
Mortgage (1)
|
Real Estate -
Commercial
|
Consumer (2)
|
Other
|
Unallocated
|
Total
|
||||||||||||||||||||||||
Allowance for loan losses:
|
||||||||||||||||||||||||||||||||
Balance, beginning
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||||||
Charge-offs
|
(
|
)
|
|
(
|
)
|
|
(
|
)
|
(
|
)
|
|
(
|
)
|
|||||||||||||||||||
Recoveries
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Provision for loan losses
|
|
|
|
(
|
)
|
|
|
|
|
|||||||||||||||||||||||
Ending Balance
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||||||
Individually evaluated for impairment
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||||||
Collectively evaluated for impairment
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Ending Balance
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||||||
Loans Balances:
|
||||||||||||||||||||||||||||||||
Individually evaluated for impairment
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Collectively evaluated for impairment
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Ending Balance
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
(1) |
|
(2)
|
|
For the Year ended December 31, 2021
|
||||||||||||||||||||||||||||||||
(Dollars in thousands)
|
Commercial
and Industrial
|
Real Estate Construction
|
Real Estate -
Mortgage (1)
|
Real Estate -
Commercial
|
Consumer (2)
|
Other
|
Unallocated
|
Total
|
||||||||||||||||||||||||
Allowance for loan losses:
|
||||||||||||||||||||||||||||||||
Balance, beginning
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||||||
Charge-offs
|
(
|
)
|
|
(
|
)
|
|
(
|
)
|
(
|
)
|
|
(
|
)
|
|||||||||||||||||||
Recoveries
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Provision for loan losses
|
|
|
(
|
)
|
|
|
|
(
|
)
|
|
||||||||||||||||||||||
Ending Balance
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||||||
Individually evaluated for impairment
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||||||
Collectively evaluated for impairment
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Ending Balance
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||||||
Loans Balances:
|
||||||||||||||||||||||||||||||||
Individually evaluated for impairment
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Collectively evaluated for impairment
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Ending Balance
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
(1) |
The real estate-mortgage segment includes residential 1 – 4 family, multi-family, second mortgages and equity lines of credit.
|
(2)
|
The consumer segment includes consumer automobile loans.
|
(dollars in thousands)
|
September 30, 2022
|
|||
Lease liabilities
|
$
|
|
||
Right-of-use assets
|
$
|
|
||
Weighted average remaining lease term
|
|
|||
Weighted average discount rate
|
|
%
|
Three Months Ended September 30,
|
Nine Months Ended September 30,
|
|||||||||||||||
Lease cost (in thousands)
|
2022
|
2021
|
2022
|
2021
|
||||||||||||
Operating lease cost
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Total lease cost
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Cash paid for amounts included in the measurement of lease liabilities
|
$
|
|
$
|
|
$
|
|
$
|
|
|
As of |
||||
Lease payments due (in thousands)
|
September 30, 2022 | |||
Three months ending December 31, 2022
|
$
|
|
||
Twelve months ending December 31, 2023
|
|
|||
Twelve months ending December 31, 2024
|
|
|||
Twelve months ending December 31, 2025
|
|
|||
Thereafter
|
|
|||
Total undiscounted cash flows
|
$
|
|
||
Discount
|
(
|
)
|
||
Lease liabilities
|
$
|
|
Three Months Ended
|
Nine Months Ended
|
|||||||||||||||
September 30,
|
September 30,
|
|||||||||||||||
(dollars in thousands) |
2022
|
2021
|
2022
|
2021
|
||||||||||||
Tax credits and other benefits
|
||||||||||||||||
Amortization of operating losses
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Tax benefit of operating losses*
|
|
|
|
|
||||||||||||
Tax credits
|
|
|
|
|
||||||||||||
Total tax benefits
|
$
|
|
$
|
|
$
|
|
$
|
|
*
|
|
(dollars in thousands)
|
September 30, 2022
|
December 31, 2021
|
||||||
Overnight repurchase agreements
|
$
|
|
$ | |||||
Total short-term borrowings
|
$
|
|
$
|
|
||||
Maximum month-end outstanding balance
|
$
|
|
$
|
|
||||
Average outstanding balance during the period
|
$
|
|
$
|
|
||||
Average interest rate (year-to-date)
|
|
%
|
% | |||||
Average interest rate at end of period
|
|
%
|
|
%
|
September 30,
|
December 31,
|
|||||||
(dollars in thousands)
|
2022
|
2021
|
||||||
Commitments to extend credit:
|
||||||||
Home equity lines of credit
|
$
|
|
$
|
|
||||
Commercial real estate, construction and development loans committed but not funded
|
|
|
||||||
Other lines of credit (principally commercial)
|
|
|
||||||
Total
|
$
|
|
$
|
|
||||
Letters of credit
|
$
|
|
$
|
|
Weighted Average
|
||||||||
Grant Date
|
||||||||
Shares
|
Fair Value
|
|||||||
Nonvested, January 1, 2022
|
|
$
|
|
|||||
Issued
|
|
|
||||||
Vested
|
(
|
)
|
|
|||||
Forfeited
|
|
|
||||||
Nonvested, September 30, 2022
|
|
$
|
|
(dollars in thousands)
|
Unrealized Gains
(Losses) on
Available-for-Sale
Securities
|
Accumulated Other
Comprehensive (Loss)
Income
|
||||||
Three Months Ended September 30, 2022
|
||||||||
Balance at beginning of period
|
$
|
(
|
)
|
$
|
(
|
)
|
||
Net other comprehensive loss
|
(
|
)
|
(
|
)
|
||||
Balance at end of period
|
$
|
(
|
)
|
$
|
(
|
)
|
||
Three Months Ended September 30, 2021
|
||||||||
Balance at beginning of period
|
$
|
|
$
|
|
||||
Net other comprehensive loss
|
(
|
)
|
(
|
)
|
||||
Balance at end of period
|
$
|
|
$
|
|
(dollars in thousands)
|
Unrealized Gains
(Losses) on
Available-for-Sale
Securities
|
Accumulated Other
Comprehensive (Loss)
Income
|
||||||
Nine Months Ended September 30, 2022
|
||||||||
Balance at beginning of period
|
$
|
|
$
|
|
||||
Net other comprehensive loss
|
(
|
)
|
(
|
)
|
||||
Balance at end of period
|
$
|
(
|
)
|
$
|
(
|
)
|
||
Nine Months Ended September 30, 2021
|
||||||||
Balance at beginning of period
|
$
|
|
$
|
|
||||
Net other comprehensive loss
|
(
|
)
|
(
|
)
|
||||
Balance at end of period
|
$
|
|
$
|
|
Three Months Ended September 30, 2022
|
||||||||||||
(dollars in thousands)
|
Pretax
|
Tax
|
Net-of-Tax
|
|||||||||
Unrealized losses on available-for-sale securities:
|
||||||||||||
Unrealized holding losses arising during the period
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
|||
|
||||||||||||
Total change in accumulated other comprehensive income, net
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
|||
Three Months Ended September 30, 2021
|
||||||||||||
(dollars in thousands)
|
Pretax
|
Tax
|
Net-of-Tax
|
|||||||||
Unrealized losses on available-for-sale securities:
|
||||||||||||
Unrealized holding losses arising during the period
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
|||
Total change in accumulated other comprehensive income, net
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
Nine Months Ended September 30, 2022
|
||||||||||||
(dollars in thousands)
|
Pretax
|
Tax
|
Net-of-Tax
|
|||||||||
Unrealized losses on available-for-sale securities:
|
||||||||||||
Unrealized holding losses arising during the period
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
|||
|
||||||||||||
Total change in accumulated other comprehensive income, net
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
|||
Nine Months Ended September 30, 2021
|
||||||||||||
(dollars in thousands)
|
Pretax
|
Tax
|
Net-of-Tax
|
|||||||||
Unrealized losses on available-for-sale securities:
|
||||||||||||
Unrealized holding losses arising during the period
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
|||
Total change in accumulated other comprehensive income, net
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
(dollars in thousands except per share data)
|
Net Income Available to
Common Shareholders
(Numerator)
|
Weighted Average
Common Shares
(Denominator)
|
Per Share
Amount |
|||||||||
Three Months Ended September 30, 2022
|
||||||||||||
Net income, basic
|
$
|
|
|
$
|
|
|||||||
Potentially dilutive common shares - employee stock purchase program
|
- |
- |
||||||||||
Diluted
|
$
|
|
|
$
|
|
|||||||
Three Months Ended September 30, 2021
|
||||||||||||
Net income, basic
|
$
|
|
|
$
|
|
|||||||
Potentially dilutive common shares - employee stock purchase program
|
- |
- |
||||||||||
Diluted
|
$
|
|
|
$
|
|
|||||||
Nine Months Ended September 30, 2022
|
||||||||||||
Net income, basic
|
$
|
|
|
$
|
|
|||||||
Potentially dilutive common shares - employee stock purchase program
|
- |
- |
||||||||||
Diluted
|
$
|
|
|
$
|
|
|||||||
Nine Months Ended September 30, 2021
|
||||||||||||
Net income, basic
|
$
|
|
|
$
|
|
|||||||
Potentially dilutive common shares - employee stock purchase program
|
- |
- |
||||||||||
Diluted
|
$
|
|
|
$
|
|
• |
Level 1: Valuation is based on quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access
at the measurement date. Level 1 assets and liabilities generally include debt and equity securities that are traded in an active exchange market. Valuations are obtained from readily available pricing sources for market transactions
involving identical assets or liabilities.
|
• |
Level 2: Valuation is based on inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly
or indirectly. The valuation may be based on quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for
substantially the full term of the asset or liability.
|
• |
Level 3: Valuation is based on unobservable inputs that are supported by little or no market activity and that are significant to the fair value of
the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which
determination of fair value requires significant management judgment or estimation.
|
Fair Value Measurements at September 30, 2022 Using
|
||||||||||||||||
(dollars in thousands)
|
Balance
|
Quoted Prices
in Active
Markets for
Identical
Assets (Level 1) |
Significant
Other
Observable
Inputs
(Level 2) |
Significant
Unobservable
Inputs
(Level 3) |
||||||||||||
Assets: |
||||||||||||||||
Available-for-sale securities
|
||||||||||||||||
U.S. Treasury securities
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Obligations of U.S. Government agencies
|
|
|
|
|
||||||||||||
Obligations of state and political subdivisions
|
|
|
|
|
||||||||||||
Mortgage-backed securities
|
|
|
|
|
||||||||||||
Money market investments
|
|
|
|
|
||||||||||||
Corporate bonds and other securities
|
|
|
|
|
||||||||||||
Total available-for-sale securities
|
|
|
|
|
||||||||||||
Derivatives
|
||||||||||||||||
Interest rate lock
|
||||||||||||||||
Interest rate swap on loans
|
||||||||||||||||
Total assets
|
$ | $ | $ | $ | ||||||||||||
Liabilities:
|
||||||||||||||||
Derivatives
|
||||||||||||||||
Interest rate swap on loans
|
||||||||||||||||
Total liabilities
|
$ | $ | $ | $ |
Fair Value Measurements at December 31, 2021 Using
|
||||||||||||||||
(dollars in thousands)
|
Balance
|
Quoted Prices
in Active
Markets for
Identical
Assets (Level 1) |
Significant
Other
Observable
Inputs
(Level 2) |
Significant
Unobservable
Inputs
(Level 3) |
||||||||||||
Available-for-sale securities
|
||||||||||||||||
U.S. Treasury securities
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Obligations of U.S. Government agencies
|
|
|
|
|
||||||||||||
Obligations of state and political subdivisions
|
|
|
|
|
||||||||||||
Mortgage-backed securities
|
|
|
|
|
||||||||||||
Money market investments
|
|
|
|
|
||||||||||||
Corporate bonds and other securities
|
|
|
|
|
||||||||||||
Total available-for-sale securities
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Derivatives
|
||||||||||||||||
Interest rate lock
|
||||||||||||||||
Interest rate swap on loans
|
||||||||||||||||
Total assets
|
$ | $ | $ | $ | ||||||||||||
Liabilities: | ||||||||||||||||
Derivatives | ||||||||||||||||
Interest rate swap on loans
|
||||||||||||||||
Total liabilities | $ | $ | $ | $ |
Carrying Value at September 30, 2022
|
||||||||||||||||
(dollars in thousands)
|
Fair Value
|
Quoted Prices
in Active
Markets for
Identical
Assets (Level 1) |
Significant Other
Observable
Inputs
(Level 2) |
Significant
Unobservable
Inputs
(Level 3) |
||||||||||||
Impaired loans | ||||||||||||||||
Mortgage loans on real estate:
|
||||||||||||||||
Construction
|
$ | $ | $ | $ | ||||||||||||
Total
|
$ | $ | $ | $ | ||||||||||||
Loans
|
||||||||||||||||
Loans held for sale
|
$
|
|
$
|
|
$
|
|
$
|
|
Carrying Value at December 31, 2021
|
||||||||||||||||
(dollars in thousands)
|
Fair Value
|
Quoted Prices
in Active
Markets for
Identical
Assets (Level 1) |
Significant Other
Observable
Inputs
(Level 2) |
Significant
Unobservable
Inputs
(Level 3) |
||||||||||||
Impaired loans
|
||||||||||||||||
Mortgage loans on real estate:
|
||||||||||||||||
Commercial loans
|
$ | $ | $ | $ | ||||||||||||
Total
|
$ | $ | $ | $ | ||||||||||||
Loans
|
||||||||||||||||
Loans held for sale
|
$
|
|
$
|
|
$
|
|
$
|
|
Quantitative Information About Level 3 Fair Value Measurements
|
||||||||||
(dollars in thousands)
|
Fair Value at
September 30,
2022
|
Valuation Techniques
|
Unobservable Input
|
Range (Weighted
Average)
|
||||||
Impaired loans
|
||||||||||
Construction
|
$
|
|
Market comparables
|
Selling costs
|
|
%)
|
Quantitative Information About Level 3 Fair Value Measurements
|
||||||||||
(dollars in thousands)
|
Fair Value at
December 31,
2021
|
Valuation Techniques
|
Unobservable Input
|
Range (Weighted Average)
|
||||||
Impaired loans
|
|
|
||||||||
Commercial loans
|
$
|
|
Market comparables
|
Selling costs
|
|
%)
|
Fair Value Measurements at September 30, 2022 Using
|
||||||||||||||||
(dollars in thousands)
|
Carrying Value
|
Quoted Prices in
Active Markets
for Identical
Assets (Level 1) |
Significant Other
Observable
Inputs
(Level 2) |
Significant
Unobservable
Inputs
(Level 3) |
||||||||||||
Assets
|
||||||||||||||||
Cash and cash equivalents
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Securities available-for-sale
|
|
|
|
|
||||||||||||
Restricted securities
|
|
|
|
|
||||||||||||
Loans held for sale
|
|
|
|
|
||||||||||||
Loans, net of allowances for loan losses
|
|
|
|
|
||||||||||||
Derivatives
|
||||||||||||||||
Interest rate lock
|
||||||||||||||||
Interest rate swap on loans
|
||||||||||||||||
Bank owned life insurance
|
|
|
|
|
||||||||||||
Accrued interest receivable
|
|
|
|
|
||||||||||||
Liabilities
|
||||||||||||||||
Deposits
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Overnight repurchase agreements
|
|
|
|
|
||||||||||||
Long term borrowings
|
||||||||||||||||
Derivatives
|
||||||||||||||||
Interest rate swap on loans
|
||||||||||||||||
Accrued interest payable
|
|
|
|
|
Fair Value Measurements at December 31, 2021 Using
|
||||||||||||||||
(dollars in thousands)
|
Carrying Value
|
Quoted Prices in
Active Markets
for Identical
Assets (Level 1) |
Significant Other
Observable
Inputs
(Level 2) |
Significant
Unobservable
Inputs
(Level 3) |
||||||||||||
Assets
|
||||||||||||||||
Cash and cash equivalents
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Securities available-for-sale
|
|
|
|
|
||||||||||||
Restricted securities
|
|
|
|
|
||||||||||||
Loans held for sale
|
|
|
|
|
||||||||||||
Loans, net of allowances for loan losses
|
|
|
|
|
||||||||||||
Derivatives
|
||||||||||||||||
Interest rate lock
|
||||||||||||||||
Interest rate swap on loans
|
||||||||||||||||
Bank owned life insurance
|
|
|
|
|
||||||||||||
Accrued interest receivable
|
|
|
|
|
||||||||||||
Liabilities
|
||||||||||||||||
Deposits
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Overnight repurchase agreements
|
|
|
|
|
||||||||||||
Federal Reserve Bank borrowings
|
|
|
|
|
||||||||||||
Long term borrowings
|
||||||||||||||||
Derivatives
|
||||||||||||||||
Interest rate swap on loans
|
||||||||||||||||
Accrued interest payable
|
|
|
|
|
Three Months Ended September 30, 2022
|
||||||||||||||||||||
(dollars in thousands)
|
Bank
|
Wealth Management
|
Parent
|
Eliminations
|
Consolidated
|
|||||||||||||||
Revenues
|
||||||||||||||||||||
Interest and dividend income
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||||||
Income from fiduciary activities
|
|
|
|
|
|
|||||||||||||||
Other income
|
|
|
|
(
|
)
|
|
||||||||||||||
Total operating income
|
|
|
|
(
|
)
|
|
||||||||||||||
Expenses
|
||||||||||||||||||||
Interest expense
|
|
|
|
|
|
|||||||||||||||
Provision for loan losses
|
|
|
|
|
|
|||||||||||||||
Salaries and employee benefits
|
|
|
|
|
|
|||||||||||||||
Other expenses
|
|
|
|
(
|
)
|
|
||||||||||||||
Total operating expenses
|
|
|
|
(
|
)
|
|
||||||||||||||
Income before taxes
|
|
|
|
(
|
)
|
|
||||||||||||||
Income tax expense (benefit)
|
|
|
(
|
)
|
|
|
||||||||||||||
Net income
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||||||
Capital expenditures
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||
Total assets
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
Three Months Ended September 30, 2021
|
||||||||||||||||||||
(dollars in thousands)
|
Bank
|
Wealth Management
|
Parent
|
Eliminations
|
Consolidated
|
|||||||||||||||
Revenues
|
||||||||||||||||||||
Interest and dividend income
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||||||
Income from fiduciary activities
|
|
|
|
|
|
|||||||||||||||
Other income
|
|
|
|
(
|
)
|
|
||||||||||||||
Total operating income
|
|
|
|
(
|
)
|
|
||||||||||||||
Expenses
|
||||||||||||||||||||
Interest expense
|
|
|
|
|
|
|||||||||||||||
Provision for loan losses
|
|
|
|
|
|
|||||||||||||||
Salaries and employee benefits
|
|
|
|
|
|
|||||||||||||||
Other expenses
|
|
|
|
(
|
)
|
|
||||||||||||||
Total operating expenses
|
|
|
|
(
|
)
|
|
||||||||||||||
Income before taxes
|
|
|
|
(
|
)
|
|
||||||||||||||
Income tax expense (benefit)
|
|
|
(
|
)
|
|
|
||||||||||||||
Net income
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||||||
Capital expenditures
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||
Total assets
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
Nine Months Ended September 30, 2022
|
||||||||||||||||||||
(dollars in thousands)
|
Bank
|
Wealth Management
|
Parent
|
Eliminations
|
Consolidated
|
|||||||||||||||
Revenues
|
||||||||||||||||||||
Interest and dividend income
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||||||
Income from fiduciary activities
|
|
|
|
|
|
|||||||||||||||
Other income
|
|
|
|
(
|
)
|
|
||||||||||||||
Total operating income
|
|
|
|
(
|
)
|
|
||||||||||||||
Expenses
|
||||||||||||||||||||
Interest expense
|
|
|
|
|
|
|||||||||||||||
Provision for loan losses
|
|
|
|
|
|
|||||||||||||||
Salaries and employee benefits
|
|
|
|
|
|
|||||||||||||||
Other expenses
|
|
|
|
(
|
)
|
|
||||||||||||||
Total operating expenses
|
|
|
|
(
|
)
|
|
||||||||||||||
Income before taxes
|
|
|
|
(
|
)
|
|
||||||||||||||
Income tax expense (benefit)
|
|
|
(
|
)
|
|
|
||||||||||||||
Net income
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||||||
Capital expenditures
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||
Total assets
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
Nine Months Ended September 30, 2021
|
||||||||||||||||||||
(dollars in thousands)
|
Bank
|
Wealth Management
|
Parent
|
Eliminations
|
Consolidated
|
|||||||||||||||
Revenues
|
||||||||||||||||||||
Interest and dividend income
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||||||
Income from fiduciary activities
|
|
|
|
|
|
|||||||||||||||
Other income
|
|
|
|
(
|
)
|
|
||||||||||||||
Total operating income
|
|
|
|
(
|
)
|
|
||||||||||||||
Expenses
|
||||||||||||||||||||
Interest expense
|
|
|
|
|
|
|||||||||||||||
Provision for loan losses
|
|
|
|
|
|
|||||||||||||||
Salaries and employee benefits
|
|
|
|
|
|
|||||||||||||||
Other expenses
|
|
|
|
(
|
)
|
|
||||||||||||||
Total operating expenses
|
|
|
|
(
|
)
|
|
||||||||||||||
Income before taxes
|
|
|
|
(
|
)
|
|
||||||||||||||
Income tax expense (benefit)
|
|
|
(
|
)
|
|
|
||||||||||||||
Net income
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||||||
Capital expenditures
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||
Total assets
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
•
|
Loans held for investment (net of deferred fees and costs), excluding PPP (non-GAAP), increased $150.6 million, or 18.7%, from September 30, 2021;
|
•
|
NIM on a fully tax-equivalent basis (FTE) (non-GAAP) was 3.78% and 3.26% for the third quarter of 2022 and 2021, respectively. For the nine months ended September 30, 2022, NIM
(FTE) was 3.44% compared to 3.32% for the comparative 2021 period;
|
•
|
ROE increased to 9.9% for the third quarter of 2022, compared to 6.2% for the prior year quarter;
|
•
|
Net interest income increased $1.7 million, or 17.2%, and $2.4 million, or 8.2%, respectively compared to the prior year comparative periods. The Company recognized net PPP
origination fees of $77 thousand in the third quarter of 2022 compared to $713 thousand in the third quarter of 2021. For the first nine months of 2022, net PPP origination fees recognized were $698 thousand compared to $2.7 million
for the comparative 2021 period; and
|
•
|
Mortgage banking income decreased $374 thousand, or 81.3%, and $1.6 million, or 79.4%, due to declines in volume of mortgage originations attributable to changes in mortgage
market conditions.
|
For the quarters ended September 30,
|
||||||||||||||||||||||||
2022
|
2021
|
|||||||||||||||||||||||
Interest
|
Interest
|
|||||||||||||||||||||||
Average
|
Income/
|
Yield/
|
Average
|
Income/
|
Yield/
|
|||||||||||||||||||
(dollars in thousands)
|
Balance
|
Expense
|
Rate**
|
Balance
|
Expense
|
Rate**
|
||||||||||||||||||
ASSETS
|
||||||||||||||||||||||||
Loans*
|
$
|
938,110
|
$
|
10,516
|
4.45
|
%
|
$
|
838,376
|
$
|
9,704
|
4.59
|
%
|
||||||||||||
Investment securities:
|
||||||||||||||||||||||||
Taxable
|
190,728
|
1,297
|
2.70
|
%
|
183,759
|
853
|
1.84
|
%
|
||||||||||||||||
Tax-exempt*
|
46,046
|
345
|
2.97
|
%
|
32,243
|
236
|
2.90
|
%
|
||||||||||||||||
Total investment securities
|
236,774
|
1,642
|
2.75
|
%
|
216,002
|
1,089
|
2.00
|
%
|
||||||||||||||||
Interest-bearing due from banks
|
45,250
|
252
|
2.21
|
%
|
153,671
|
68
|
0.18
|
%
|
||||||||||||||||
Federal funds sold
|
2,201
|
11
|
2.05
|
%
|
1,958
|
-
|
0.07
|
%
|
||||||||||||||||
Other investments
|
1,650
|
30
|
6.92
|
%
|
1,033
|
16
|
5.91
|
%
|
||||||||||||||||
Total earning assets
|
1,223,985
|
$
|
12,451
|
4.04
|
%
|
1,211,040
|
$
|
10,877
|
3.56
|
%
|
||||||||||||||
Allowance for loan losses
|
(10,015
|
)
|
(9,486
|
)
|
||||||||||||||||||||
Other non-earning assets
|
99,676
|
97,907
|
||||||||||||||||||||||
Total assets
|
$
|
1,313,646
|
$
|
1,299,461
|
||||||||||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
||||||||||||||||||||||||
Time and savings deposits:
|
||||||||||||||||||||||||
Interest-bearing transaction accounts
|
$
|
79,620
|
$
|
3
|
0.01
|
%
|
$
|
72,371
|
$
|
3
|
0.02
|
%
|
||||||||||||
Money market deposit accounts
|
375,555
|
135
|
0.14
|
%
|
379,170
|
228
|
0.24
|
%
|
||||||||||||||||
Savings accounts
|
123,604
|
9
|
0.03
|
%
|
115,862
|
12
|
0.04
|
%
|
||||||||||||||||
Time deposits
|
155,989
|
312
|
0.79
|
%
|
175,541
|
441
|
1.00
|
%
|
||||||||||||||||
Total time and savings deposits
|
734,768
|
459
|
0.25
|
%
|
742,944
|
684
|
0.36
|
%
|
||||||||||||||||
Federal funds purchased, repurchase agreements and other borrowings
|
11,667
|
43
|
1.46
|
%
|
10,840
|
3
|
0.15
|
%
|
||||||||||||||||
Long term borrowings
|
29,485
|
295
|
3.92
|
%
|
25,301
|
252
|
3.95
|
%
|
||||||||||||||||
Total interest-bearing liabilities
|
775,920
|
797
|
0.41
|
%
|
779,085
|
939
|
0.48
|
%
|
||||||||||||||||
Demand deposits
|
429,928
|
393,591
|
||||||||||||||||||||||
Other liabilities
|
5,500
|
5,007
|
||||||||||||||||||||||
Stockholders’ equity
|
102,298
|
121,778
|
||||||||||||||||||||||
Total liabilities and stockholders’ equity
|
$
|
1,313,646
|
$
|
1,299,461
|
||||||||||||||||||||
Net interest margin
|
$
|
11,654
|
3.78
|
%
|
$
|
9,938
|
3.26
|
%
|
*
|
Computed on a fully tax-equivalent basis using a 21% rate, adjusting interest income by $83 thousand and $62 thousand for September 30, 2022 and 2021, respectively.
|
**
|
Annualized
|
For the nine months ended September 30,
|
||||||||||||||||||||||||
2022
|
2021
|
|||||||||||||||||||||||
Interest
|
Interest
|
|||||||||||||||||||||||
Average
|
Income/
|
Yield/
|
Average
|
Income/
|
Yield/
|
|||||||||||||||||||
(dollars in thousands)
|
Balance
|
Expense
|
Rate**
|
Balance
|
Expense
|
Rate**
|
||||||||||||||||||
ASSETS
|
||||||||||||||||||||||||
Loans*
|
$
|
893,133
|
$
|
29,206
|
4.37
|
%
|
$
|
835,107
|
$
|
28,495
|
4.56
|
%
|
||||||||||||
Investment securities:
|
||||||||||||||||||||||||
Taxable
|
196,475
|
3,409
|
2.32
|
%
|
168,800
|
2,414
|
1.91
|
%
|
||||||||||||||||
Tax-exempt*
|
42,208
|
927
|
2.94
|
%
|
31,596
|
706
|
2.99
|
%
|
||||||||||||||||
Total investment securities
|
238,683
|
4,336
|
2.43
|
%
|
200,396
|
3,120
|
2.08
|
%
|
||||||||||||||||
Interest-bearing due from banks
|
97,642
|
533
|
0.73
|
%
|
143,112
|
163
|
0.15
|
%
|
||||||||||||||||
Federal funds sold
|
3,514
|
18
|
0.70
|
%
|
662
|
-
|
0.07
|
%
|
||||||||||||||||
Other investments
|
1,396
|
58
|
5.47
|
%
|
1,128
|
57
|
6.64
|
%
|
||||||||||||||||
Total earning assets
|
1,234,368
|
$
|
34,151
|
3.70
|
%
|
1,180,405
|
$
|
31,835
|
3.61
|
%
|
||||||||||||||
Allowance for loan losses
|
(9,861
|
)
|
(9,584
|
)
|
||||||||||||||||||||
Other nonearning assets
|
96,897
|
100,366
|
||||||||||||||||||||||
Total assets
|
$
|
1,321,404
|
$
|
1,271,187
|
||||||||||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
||||||||||||||||||||||||
Time and savings deposits:
|
||||||||||||||||||||||||
Interest-bearing transaction accounts
|
$
|
75,641
|
$
|
8
|
0.01
|
%
|
$
|
70,238
|
$
|
10
|
0.02
|
%
|
||||||||||||
Money market deposit accounts
|
385,929
|
433
|
0.15
|
%
|
366,580
|
649
|
0.24
|
%
|
||||||||||||||||
Savings accounts
|
126,965
|
30
|
0.03
|
%
|
112,723
|
34
|
0.04
|
%
|
||||||||||||||||
Time deposits
|
161,885
|
993
|
0.82
|
%
|
183,534
|
1,536
|
1.12
|
%
|
||||||||||||||||
Total time and savings deposits
|
750,420
|
1,464
|
0.26
|
%
|
733,075
|
2,229
|
0.41
|
%
|
||||||||||||||||
Federal funds purchased, repurchase agreements and other borrowings
|
6,753
|
45
|
0.88
|
%
|
17,143
|
33
|
0.26
|
%
|
||||||||||||||||
Long term borrowings
|
29,453
|
885
|
4.02
|
%
|
8,526
|
252
|
3.95
|
%
|
||||||||||||||||
Total interest-bearing liabilities
|
786,626
|
2,394
|
0.41
|
%
|
758,744
|
2,514
|
0.44
|
%
|
||||||||||||||||
Demand deposits
|
420,527
|
385,427
|
||||||||||||||||||||||
Other liabilities
|
5,649
|
6,997
|
||||||||||||||||||||||
Stockholders’ equity
|
108,602
|
120,019
|
||||||||||||||||||||||
Total liabilities and stockholders’ equity
|
$
|
1,321,404
|
$
|
1,271,187
|
||||||||||||||||||||
Net interest margin
|
$
|
31,757
|
3.44
|
%
|
$
|
29,321
|
3.32
|
%
|
*
|
Computed on a fully tax-equivalent basis using a 21% rate, adjusting interest income by $228 thousand and $183 thousand for September 30, 2022 and 2021, respectively.
|
**
|
Annualized
|
Three months ended September 30, 2022 from 2021
|
||||||||||||
Increase (Decrease)
|
||||||||||||
Due to Changes in:
|
||||||||||||
(dollars in thousands)
|
Volume
|
Rate
|
Total
|
|||||||||
EARNING ASSETS
|
||||||||||||
Loans*
|
$
|
1,154
|
$
|
(342
|
)
|
$
|
812
|
|||||
Investment securities:
|
||||||||||||
Taxable
|
32
|
412
|
444
|
|||||||||
Tax-exempt*
|
101
|
8
|
109
|
|||||||||
Total investment securities
|
133
|
420
|
553
|
|||||||||
Federal funds sold
|
-
|
11
|
11
|
|||||||||
Other investments**
|
(42
|
)
|
240
|
198
|
||||||||
Total earning assets
|
1,246
|
328
|
1,574
|
|||||||||
INTEREST-BEARING LIABILITIES
|
||||||||||||
Interest-bearing transaction accounts
|
-
|
-
|
-
|
|||||||||
Money market deposit accounts
|
(2
|
)
|
(91
|
)
|
(93
|
)
|
||||||
Savings accounts
|
1
|
(4
|
)
|
(3
|
)
|
|||||||
Time deposits
|
(49
|
)
|
(80
|
)
|
(129
|
)
|
||||||
Total time and savings deposits
|
(50
|
)
|
(175
|
)
|
(225
|
)
|
||||||
Federal funds purchased, repurchase agreements and other borrowings
|
-
|
40
|
40
|
|||||||||
Long term borrowings
|
42
|
1
|
43
|
|||||||||
Total interest-bearing liabilities
|
(8
|
)
|
(134
|
)
|
(142
|
)
|
||||||
Change in net interest income
|
$
|
1,255
|
$
|
461
|
$
|
1,716
|
*
|
Computed on a fully tax-equivalent basis using a 21% rate.
|
**
|
Other investments include interest-bearing balances due from banks.
|
Nine Months Ended September 30, 2022 from 2021
|
||||||||||||
Increase (Decrease)
|
||||||||||||
Due to Changes in:
|
||||||||||||
(dollars in thousands)
|
Volume
|
Rate
|
Total
|
|||||||||
EARNING ASSETS
|
||||||||||||
Loans*
|
$
|
1,980
|
$
|
(1,269
|
)
|
$
|
711
|
|||||
Investment securities:
|
||||||||||||
Taxable
|
396
|
599
|
995
|
|||||||||
Tax-exempt*
|
237
|
(16
|
)
|
221
|
||||||||
Total investment securities
|
634
|
582
|
1,216
|
|||||||||
Federal funds sold
|
-
|
18
|
18
|
|||||||||
Other investments**
|
(38
|
)
|
409
|
371
|
||||||||
Total earning assets
|
2,576
|
(260
|
)
|
2,316
|
||||||||
INTEREST-BEARING LIABILITIES
|
||||||||||||
Interest-bearing transaction accounts
|
1
|
(3
|
)
|
(2
|
)
|
|||||||
Money market deposit accounts
|
34
|
(250
|
)
|
(216
|
)
|
|||||||
Savings accounts
|
4
|
(8
|
)
|
(4
|
)
|
|||||||
Time deposits
|
(181
|
)
|
(362
|
)
|
(543
|
)
|
||||||
Total time and savings deposits
|
(143
|
)
|
(622
|
)
|
(765
|
)
|
||||||
Federal funds purchased, repurchase agreements and other borrowings
|
(20
|
)
|
32
|
12
|
||||||||
Long term borrowings
|
619
|
14
|
633
|
|||||||||
Total interest-bearing liabilities
|
456
|
(576
|
)
|
(120
|
)
|
|||||||
Change in net interest income
|
$
|
2,121
|
$
|
315
|
$
|
2,436
|
*
|
Computed on a fully tax-equivalent basis using a 21% rate.
|
**
|
Other investments include interest-bearing balances due from banks.
|
September 30,
|
December 31,
|
|||||||
(Dollars in thousands)
|
2022
|
2021
|
||||||
U.S. Treasury securities
|
$
|
20,645
|
$
|
14,904
|
||||
Obligations of U.S. Government agencies
|
33,808
|
38,558
|
||||||
Obligations of state and political subdivisions
|
64,474
|
65,803
|
||||||
Mortgage-backed securities
|
80,923
|
89,058
|
||||||
Money market investments
|
1,965
|
2,413
|
||||||
Corporate bonds and other securities
|
25,725
|
23,585
|
||||||
227,540
|
234,321
|
|||||||
Restricted securities:
|
||||||||
Federal Home Loan Bank stock
|
$
|
682
|
383
|
|||||
Federal Reserve Bank stock
|
665
|
609
|
||||||
Community Bankers’ Bank stock
|
42
|
42
|
||||||
1,389
|
1,034
|
|||||||
Total Securities
|
$
|
228,929
|
$
|
235,355
|
September 30,
|
December 31,
|
|||||||
(Dollars in thousands)
|
2022
|
2021
|
||||||
Commercial and industrial
|
$
|
66,724
|
$
|
68,690
|
||||
Real estate-construction
|
68,005
|
58,440
|
||||||
Real estate-mortgage (1)
|
256,385
|
206,368
|
||||||
Real estate-commercial
|
409,833
|
382,603
|
||||||
Consumer
|
151,177
|
118,441
|
||||||
Other
|
2,941
|
8,984
|
||||||
Ending Balance
|
$
|
955,065
|
$
|
843,526
|
(1)
|
The real estate-mortgage segment included residential 1-4 family, multi-family, second mortgages and equity lines of credit.
|
September 30,
|
December 31,
|
|||||||
(dollars in thousands)
|
2022
|
2021
|
||||||
Nonaccrual loans
|
||||||||
Commercial and industrial
|
$
|
400
|
$
|
174
|
||||
Real estate-construction
|
1,158
|
-
|
||||||
Real estate-mortgage (1)
|
157
|
191
|
||||||
Real estate-commercial
|
2,660
|
113
|
||||||
Total nonaccrual loans
|
$
|
4,375
|
$
|
478
|
||||
Loans past due 90 days or more and accruing interest
|
||||||||
Commercial and industrial
|
$
|
35
|
$
|
169
|
||||
Real estate-mortgage (1)
|
-
|
-
|
||||||
Consumer loans (2)
|
295
|
846
|
||||||
Other
|
-
|
10
|
||||||
Total loans past due 90 days or more and accruing interest
|
$
|
330
|
$
|
1,025
|
||||
Restructured loans
|
||||||||
Real estate-construction
|
$
|
76
|
$
|
79
|
||||
Real estate-mortgage (1)
|
285
|
450
|
||||||
Real estate-commercial
|
371
|
413
|
||||||
Total restructured loans
|
$
|
732
|
$
|
942
|
||||
Less nonaccrual restructured loans (included above)
|
157
|
191
|
||||||
Less restructured loans currently in compliance (3)
|
575
|
751
|
||||||
Net nonperforming, accruing restructured loans
|
$
|
-
|
$
|
-
|
||||
Nonperforming loans
|
$
|
4,705
|
$
|
1,503
|
||||
Total nonperforming assets
|
$
|
4,705
|
$
|
1,503
|
||||
Interest income that would have been recorded under original loan terms on nonaccrual loans above
|
$
|
92
|
$
|
11
|
||||
Interest income recorded for the period on nonaccrual loans included above
|
$
|
11
|
$
|
2
|
||||
Total loans
|
$
|
955,065
|
$
|
843,526
|
||||
ALLL
|
$
|
9,933
|
$
|
9,865
|
||||
Nonaccrual loans to total loans
|
0.46
|
%
|
0.06
|
%
|
||||
ALLL to total loans
|
1.04
|
%
|
1.17
|
%
|
||||
ALLL to nonaccrual loans
|
227.04
|
%
|
2063.81
|
%
|
1.
|
Specific identification (regardless of risk rating)
|
2.
|
Pool–substandard
|
3.
|
Pool–other assets especially mentioned (OAEM) (rated just above substandard)
|
4.
|
Pool–pass loans (all other rated loans)
|
(Dollars in thousands)
|
Commercial and Industrial
|
Real Estate Construction
|
Real Estate - Mortgage (1)
|
Real Estate - Commercial
|
Consumer
|
Other
|
Unallocated
|
Total
|
||||||||||||||||||||||||
Allowance for loan losses:
|
||||||||||||||||||||||||||||||||
Balance, beginning
|
$
|
683
|
$
|
459
|
$
|
2,390
|
$
|
4,787
|
$
|
1,362
|
$
|
184
|
$
|
-
|
$
|
9,865
|
||||||||||||||||
Charge-offs
|
(297
|
)
|
-
|
(25
|
)
|
-
|
(1,095
|
)
|
(281
|
)
|
-
|
(1,698
|
)
|
|||||||||||||||||||
Recoveries
|
131
|
-
|
52
|
22
|
389
|
99
|
-
|
693
|
||||||||||||||||||||||||
Provision for loan losses
|
107
|
70
|
190
|
(464
|
)
|
982
|
188
|
-
|
1,073
|
|||||||||||||||||||||||
Ending Balance
|
$
|
624
|
$
|
529
|
$
|
2,607
|
$
|
4,345
|
$
|
1,638
|
$
|
190
|
$
|
-
|
$
|
9,933
|
||||||||||||||||
Average loans
|
67,481
|
65,368
|
227,401
|
400,889
|
123,895
|
6,810
|
891,844
|
|||||||||||||||||||||||||
Ratio of net charge-offs to average loans
|
0.25
|
%
|
0.00
|
%
|
-0.01
|
%
|
-0.01
|
%
|
0.57
|
%
|
2.67
|
%
|
0.11
|
%
|
(Dollars in thousands)
|
Commercial and Industrial
|
Real Estate Construction
|
Real Estate - Mortgage (1)
|
Real Estate - Commercial
|
Consumer
|
Other
|
Unallocated
|
Total
|
||||||||||||||||||||||||
Allowance for loan losses:
|
||||||||||||||||||||||||||||||||
Balance, beginning
|
$
|
650
|
$
|
339
|
$
|
2,560
|
$
|
4,434
|
$
|
1,302
|
$
|
123
|
$
|
133
|
$
|
9,541
|
||||||||||||||||
Charge-offs
|
(24
|
)
|
-
|
(1
|
)
|
-
|
(664
|
)
|
(216
|
)
|
-
|
(905
|
)
|
|||||||||||||||||||
Recoveries
|
33
|
-
|
66
|
44
|
310
|
85
|
-
|
538
|
||||||||||||||||||||||||
Provision for loan losses
|
47
|
152
|
(341
|
)
|
239
|
373
|
173
|
(133
|
)
|
510
|
||||||||||||||||||||||
Ending Balance
|
$
|
706
|
$
|
491
|
$
|
2,284
|
$
|
4,717
|
$
|
1,321
|
$
|
165
|
$
|
-
|
$
|
9,684
|
||||||||||||||||
Average loans
|
120,965
|
48,011
|
201,145
|
333,756
|
116,835
|
7,674
|
828,386
|
|||||||||||||||||||||||||
Ratio of net charge-offs to average loans
|
-0.01
|
%
|
0.00
|
%
|
-0.03
|
%
|
-0.01
|
%
|
0.30
|
%
|
1.71
|
%
|
0.04
|
%
|
(1)
|
The real estate-mortgage segment included residential 1-4 family, multi-family, second mortgages and equity lines of credit.
|
(Dollars in thousands)
|
Commercial and Industrial
|
Real Estate Construction
|
Real Estate - Mortgage (1)
|
Real Estate - Commercial
|
Consumer
|
Other
|
Unallocated
|
Total
|
||||||||||||||||||||||||
Allowance for loan losses:
|
||||||||||||||||||||||||||||||||
Balance, beginning
|
$
|
596
|
$
|
479
|
$
|
2,676
|
$
|
4,436
|
$
|
1,482
|
$
|
227
|
$
|
-
|
$
|
9,896
|
||||||||||||||||
Charge-offs
|
(1
|
)
|
-
|
(22
|
)
|
-
|
(473
|
)
|
(91
|
)
|
-
|
(587
|
)
|
|||||||||||||||||||
Recoveries
|
4
|
-
|
12
|
22
|
170
|
14
|
-
|
222
|
||||||||||||||||||||||||
Provision for loan losses
|
25
|
50
|
(59
|
)
|
(113
|
)
|
459
|
40
|
-
|
402
|
||||||||||||||||||||||
Ending Balance
|
$
|
624
|
$
|
529
|
$
|
2,607
|
$
|
4,345
|
$
|
1,638
|
$
|
190
|
$
|
-
|
$
|
9,933
|
||||||||||||||||
Average loans
|
63,999
|
64,907
|
254,594
|
408,791
|
139,147
|
6,098
|
937,536
|
|||||||||||||||||||||||||
Ratio of net charge-offs to average loans
|
0.00
|
%
|
0.00
|
%
|
0.00
|
%
|
-0.01
|
%
|
0.22
|
%
|
1.26
|
%
|
0.04
|
%
|
(Dollars in thousands)
|
Commercial and Industrial
|
Real Estate Construction
|
Real Estate - Mortgage (1)
|
Real Estate - Commercial
|
Consumer
|
Other
|
Unallocated
|
Total
|
||||||||||||||||||||||||
Allowance for loan losses:
|
||||||||||||||||||||||||||||||||
Balance, beginning
|
$
|
721
|
$
|
416
|
$
|
2,465
|
$
|
4,396
|
$
|
1,288
|
$
|
164
|
$
|
23
|
$
|
9,473
|
||||||||||||||||
Charge-offs
|
(20
|
)
|
-
|
-
|
-
|
(230
|
)
|
(30
|
)
|
-
|
(280
|
)
|
||||||||||||||||||||
Recoveries
|
12
|
-
|
10
|
43
|
60
|
6
|
-
|
131
|
||||||||||||||||||||||||
Provision for loan losses
|
(7
|
)
|
75
|
(191
|
)
|
278
|
203
|
25
|
(23
|
)
|
360
|
|||||||||||||||||||||
Ending Balance
|
$
|
706
|
$
|
491
|
$
|
2,284
|
$
|
4,717
|
$
|
1,321
|
$
|
165
|
$
|
-
|
$
|
9,684
|
||||||||||||||||
Average loans
|
107,349
|
54,543
|
202,134
|
344,803
|
118,215
|
7,337
|
834,381
|
|||||||||||||||||||||||||
Ratio of net charge-offs to average loans
|
0.01
|
%
|
0.00
|
%
|
0.00
|
%
|
-0.01
|
%
|
0.14
|
%
|
0.33
|
%
|
0.02
|
%
|
(1)
|
The real estate-mortgage segment included residential 1-4 family, multi-family, second mortgages and equity lines of credit.
|
September 30,
|
December 31,
|
|||||||||||||||
2022
|
2021
|
|||||||||||||||
(Dollars in thousands)
|
Amount
|
Percent of
Loans to
Total
Loans
|
Amount
|
Percent of
Loans to
Total
Loans
|
||||||||||||
Commercial and industrial
|
$
|
624
|
6.99
|
%
|
$
|
683
|
8.14
|
%
|
||||||||
Real estate-construction
|
529
|
7.12
|
%
|
459
|
6.93
|
%
|
||||||||||
Real estate-mortgage (1)
|
2,607
|
26.84
|
%
|
2,390
|
24.46
|
%
|
||||||||||
Real estate-commercial
|
4,345
|
42.91
|
%
|
4,787
|
45.36
|
%
|
||||||||||
Consumer
|
1,638
|
15.83
|
%
|
1,362
|
14.04
|
%
|
||||||||||
Other
|
190
|
0.31
|
%
|
184
|
1.07
|
%
|
||||||||||
Ending Balance
|
$
|
9,933
|
100.00
|
%
|
$
|
9,865
|
100.00
|
%
|
(1)
|
The real estate-mortgage segment included residential 1-4 family, multi-family, second mortgages and equity lines of credit.
|
2022
|
2021
|
|||||||||||||||
Regulatory
|
Regulatory
|
|||||||||||||||
Minimums
|
September 30, 2022
|
Minimums
|
December 31, 2021
|
|||||||||||||
Common Equity Tier 1 Capital to Risk-Weighted Assets
|
4.500
|
%
|
11.30
|
%
|
4.500
|
%
|
12.57
|
%
|
||||||||
Tier 1 Capital to Risk-Weighted Assets
|
6.000
|
%
|
11.30
|
%
|
6.000
|
%
|
12.57
|
%
|
||||||||
Tier 1 Leverage to Average Assets
|
4.000
|
%
|
9.45
|
%
|
4.000
|
%
|
9.09
|
%
|
||||||||
Total Capital to Risk-Weighted Assets
|
8.000
|
%
|
12.21
|
%
|
8.000
|
%
|
13.61
|
%
|
||||||||
Capital Conservation Buffer
|
2.500
|
%
|
4.21
|
%
|
2.500
|
%
|
5.61
|
%
|
||||||||
Risk-Weighted Assets (in thousands)
|
$
|
1,105,732
|
$
|
952,218
|
September 30, 2022
|
||||||||||||
(dollars in thousands)
|
Total
|
In Use
|
Available
|
|||||||||
Sources:
|
||||||||||||
Federal funds lines of credit
|
$
|
115,000
|
$
|
-
|
$
|
115,000
|
||||||
Federal Home Loan Bank advances
|
392,092
|
-
|
392,092
|
|||||||||
Federal funds sold & balances at the Federal Reserve
|
36,155
|
|||||||||||
Securities, available for sale and unpledged at fair value
|
137,810
|
|||||||||||
Total short-term funding sources
|
$
|
681,057
|
||||||||||
Uses: (1)
|
||||||||||||
Unfunded loan commitments and lending lines of credit
|
80,487
|
|||||||||||
Letters of credit
|
264
|
|||||||||||
Total potential short-term funding uses
|
80,751
|
|||||||||||
Liquidity coverage ratio
|
843.4
|
%
|
(1)
|
Represents partial draw levels based on loan segment.
|
Three Months Ended September 30,
|
Nine Months Ended September 30,
|
|||||||||||||||
(dollar in thousands, except share and per share data)
|
2022
|
2021
|
2022
|
2021
|
||||||||||||
Fully Taxable Equivalent Net Interest Income
|
||||||||||||||||
Net interest income (GAAP)
|
$
|
11,571
|
$
|
9,876
|
$
|
31,526
|
$
|
29,138
|
||||||||
FTE adjustment
|
83
|
62
|
228
|
183
|
||||||||||||
Net interest income (FTE) (non-GAAP)
|
$
|
11,654
|
$
|
9,938
|
$
|
31,754
|
$
|
29,321
|
||||||||
Noninterest income (GAAP)
|
3,365
|
3,606
|
10,380
|
11,278
|
||||||||||||
Total revenue (FTE) (non-GAAP)
|
$
|
15,019
|
$
|
13,544
|
$
|
42,134
|
$
|
40,599
|
||||||||
Noninterest expense (GAAP)
|
11,565
|
10,928
|
33,368
|
32,021
|
||||||||||||
Average earning assets
|
$
|
1,223,985
|
$
|
1,211,040
|
$
|
1,234,368
|
$
|
1,180,405
|
||||||||
Net interest margin
|
3.75
|
%
|
3.24
|
%
|
3.42
|
%
|
3.30
|
%
|
||||||||
Net interest margin (FTE) (non-GAAP)
|
3.78
|
%
|
3.26
|
%
|
3.44
|
%
|
3.32
|
%
|
||||||||
Efficiency ratio
|
77.43
|
%
|
81.06
|
%
|
79.62
|
%
|
79.23
|
%
|
||||||||
Efficiency ratio (FTE) (non-GAAP)
|
77.01
|
%
|
80.69
|
%
|
79.19
|
%
|
78.87
|
%
|
Tangible Book Value Per Share
|
September 30, 2022
|
December 31, 2021
|
September 30, 2021
|
|||||||||
Total Stockholders Equity (GAAP)
|
$
|
93,512
|
$
|
120,818
|
$
|
120,767
|
||||||
Less goodwill
|
1,650
|
1,650
|
1,650
|
|||||||||
Less core deposit intangible
|
242
|
275
|
286
|
|||||||||
Tangible Stockholders Equity (non-GAAP)
|
$
|
91,620
|
$
|
118,893
|
$
|
118,831
|
||||||
Shares issued and outstanding
|
4,996,728
|
5,239,707
|
5,245,842
|
|||||||||
Book value per share
|
$
|
18.71
|
$
|
23.06
|
$
|
23.02
|
||||||
Tangible book value per share
|
$
|
18.34
|
$
|
22.69
|
$
|
22.65
|
ALLL as a Percentage of Loans Held for Investment
|
September 30, 2022
|
December 31, 2021
|
September 30, 2021
|
|||||||||
Loans held for investment (net of deferred fees and costs) (GAAP)
|
$
|
955,065
|
$
|
843,526
|
$
|
840,151
|
||||||
Less PPP originations
|
624
|
19,008
|
36,320
|
|||||||||
Loans held for investment, (net of deferred fees and costs), excluding PPP (non-GAAP)
|
$
|
954,441
|
$
|
824,518
|
$
|
803,831
|
||||||
ALLL
|
$
|
9,933
|
$
|
9,865
|
$
|
9,684
|
||||||
ALLL as a Percentage of Loans Held for Investment
|
1.04
|
%
|
1.17
|
%
|
1.15
|
%
|
||||||
ALLL as a Percentage of Loans Held for Investment, net of PPP originations
|
1.04
|
%
|
1.20
|
%
|
1.20
|
%
|
•
|
interest rates, such as increases or volatility in short-term interest rates or yields on U.S. Treasury bonds and increases or volatility in mortgage interest rates, and the
impacts on macroeconomic conditions, customer and client behavior, the Company’s funding costs, and the Company’s loan and securities portfolios
|
•
|
general business conditions, as well as conditions within the financial markets
|
•
|
general economic conditions, including unemployment levels, supply chain disruptions, higher inflation, and slowdowns in economic growth, and also including the economic impacts of
the COVID-19 pandemic
|
•
|
monetary and fiscal policies of the U.S. Government, including policies of the U.S. Department of the Treasury and the Board of Governors of the Federal Reserve System, and the effect
of these policies on interest rates and business in our markets
|
•
|
the quality or composition of the loan portfolios and the value of the collateral securing those loans
|
•
|
the effectiveness of the Company’s efforts to respond to COVID-19, the severity and duration of the pandemic, the impact of loosening or tightening of governmental restrictions, the
uncertainty regarding new variants, the pace and efficacy of vaccinations and treatment developments, the pace and durability of economic recovery and the heightened impact that COVID-19 may have on many of the risks described herein
|
•
|
the Company’s branch realignment initiatives
|
•
|
the Company’s technology, efficiency, and other strategic initiatives
|
•
|
the legislative/regulatory climate, regulatory initiatives with respect to financial institutions, products and services, the Consumer Financial Protection Bureau (the CFPB) and the
regulatory and enforcement activities of the CFPB
|
•
|
future levels of government defense spending particularly in the Company’s service areas
|
•
|
uncertainty over future federal spending or budget priorities, particularly in connection with the Department of Defense, on the Company’s service areas
|
•
|
the impact of potential changes in the political landscape and related policy changes, including monetary, regulatory and trade policies
|
•
|
the U.S. Government’s guarantee of repayment of student or small business loans purchased by the Company
|
•
|
the value of securities held in the Company’s investment portfolios
|
•
|
potential claims, damages and fines related to litigation or government actions
|
•
|
demand for loan products and the impact of changes in demand on loan growth
|
•
|
changes in the volume and mix of interest-earning assets and interest-bearing liabilities
|
•
|
the effects of management’s investment strategy and strategy to manage the NIM
|
•
|
the level of net charge-offs on loans and the adequacy of our ALLL
|
•
|
performance of the Company’s dealer lending program
|
•
|
deposit flows
|
•
|
the strength of the Company’s counterparties
|
•
|
competition from both banks and non-banks
|
•
|
demand for financial services in the Company’s market area
|
•
|
implementation of new technologies
|
•
|
the Company’s ability to develop and maintain secure and reliable electronic systems
|
•
|
any interruption or breach of security in the Company’s information systems or those of the Company’s third-party vendors or their service providers
|
•
|
reliance on third parties for key services
|
•
|
cyber threats, attacks or events
|
•
|
potential adverse effects of unusual and infrequently occurring events, such as weather-related disasters, terrorist acts, financial crises, political crises, war and other
geopolitical conflicts, such as the ongoing conflict between Russia and Ukraine, or public health events, such as the COVID-19 pandemic, and of governmental and societal responses thereto, on, among other things, the Company’s
operations, liquidity and credit quality
|
•
|
the use of inaccurate assumptions in management’s modeling systems
|
•
|
technological risks and developments
|
•
|
the commercial and residential real estate markets
|
•
|
the demand in the secondary residential mortgage loan markets
|
•
|
expansion of the Company’s product offerings
|
•
|
effectiveness of expense reduction plans
|
•
|
changes in accounting principles, standards, rules and interpretations, and elections made by the Company thereunder, and the related impact on the Company’s financial statements.
|
Item 4. |
Controls and Procedures.
|
Item 1. |
Legal Proceedings.
|
Item 1A. |
Risk Factors.
|
Item 2. |
Unregistered Sales of Equity Securities and Use of Proceeds.
|
Period
|
Total number of shares
repurchased
|
Average price paid per
share ($)
|
Total number of shares
purchased as part of
publicly announced plans
or programs
|
Maximum number (or
approximate dollar value)
of shares that may yet be
purchased under the
plans or programs
|
||||||||||||
July 1, 2022 - July 31, 2022
|
50,000
|
$
|
24.75
|
50,000
|
264,979
|
|||||||||||
August 1, 2022 - August 31, 2022
|
5,500
|
23.55
|
5,500
|
259,479
|
||||||||||||
September 1, 2022 - September 30, 2022
|
13,500
|
23.53
|
13,500
|
245,979
|
||||||||||||
Total
|
69,000
|
$
|
24.42
|
69,000
|
Item 3. |
Defaults Upon Senior Securities.
|
Item 4. |
Mine Safety Disclosures.
|
Item 5. |
Other Information.
|
Item 6. |
Exhibits.
|
Exhibit
No.
|
Description
|
|
Articles of Incorporation of Old Point Financial Corporation, as amended effective June 22, 2000 (incorporated by reference to Exhibit 3.1 to Form 10-K filed March 12, 2009)
|
||
Articles of Amendment to Articles of Incorporation of Old Point Financial Corporation, effective May 26, 2016 (incorporated by reference to Exhibit 3.1.1 to Form 8-K filed May 31, 2016)
|
||
Bylaws of Old Point Financial Corporation, as amended and restated August 9, 2016 (incorporated by reference to Exhibit 3.2 to Form 10-Q filed August 10, 2016)
|
||
Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
|
||
Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
|
||
Certification of Chief Executive Officer and Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
|
||
101
|
The following materials from Old Point Financial Corporation’s quarterly report on Form 10-Q for the quarter ended September 30, 2022, formatted in Inline XBRL, filed herewith: (i) Consolidated Balance
Sheets (unaudited for September 30, 2022), (ii) Consolidated Statements of Income (unaudited), (iii) Consolidated Statements of Comprehensive (Loss) Income (unaudited), (iv) Consolidated Statements of Changes in Stockholders’ Equity
(unaudited), (v) Consolidated Statements of Cash Flows (unaudited), and (vi) Notes to Consolidated Financial Statements (unaudited)
|
|
104
|
The cover page from the Company’s Quarterly Report on Form 10-Q for the period ended September 30, 2022, formatted in Inline XBRL (included with Exhibit 101)
|
OLD POINT FINANCIAL CORPORATION
|
||
November 14, 2022
|
/s/Robert F. Shuford, Jr.
|
|
Robert F. Shuford, Jr.
|
||
Chairman, President & Chief Executive Officer
|
||
(Principal Executive Officer)
|
||
November 14, 2022
|
/s/Elizabeth T. Beale
|
|
Elizabeth T. Beale
|
||
Chief Financial Officer & Senior Vice President/Finance
|
||
(Principal Financial & Accounting Officer)
|
November 14, 2022
|
/s/Robert F. Shuford, Jr.
|
|
Robert F. Shuford, Jr.
|
||
Chairman, President & Chief Executive Officer
|
November 14, 2022
|
/s/Elizabeth T. Beale
|
|
Elizabeth T. Beale
|
||
Chief Financial Officer & Senior Vice
President/Finance
|
(1)
|
The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company as
of and for the periods covered in the Report.
|
November 14, 2022
|
/s/Robert F. Shuford, Jr.
|
|
Robert F. Shuford, Jr.
|
||
Chairman, President & Chief Executive Officer
|
||
November 14, 2022
|
/s/Elizabeth T. Beale
|
|
Elizabeth T. Beale
|
||
Chief Financial Officer & Senior Vice President/Finance
|
Consolidated Balance Sheets (Parenthetical) - $ / shares |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Stockholders' equity: | ||
Common stock, par value (in dollars per share) | $ 5 | $ 5 |
Common stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Common stock, shares outstanding (in shares) | 4,996,728 | 5,239,707 |
Restricted Stock [Member] | ||
Stockholders' equity: | ||
Nonvested restricted stock (in shares) | 46,092 | 38,435 |
Consolidated Statements of Income - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
|
Interest and Dividend Income: | ||||
Loans, including fees | $ 10,506 | $ 9,692 | $ 29,173 | $ 28,460 |
Due from banks | 252 | 68 | 533 | 163 |
Federal funds sold | 11 | 0 | 18 | 0 |
Securities: | ||||
Taxable | 1,297 | 853 | 3,409 | 2,414 |
Tax-exempt | 272 | 186 | 732 | 558 |
Dividends and interest on all other securities | 30 | 16 | 58 | 57 |
Total interest and dividend income | 12,368 | 10,815 | 33,923 | 31,652 |
Interest Expense: | ||||
Checking and savings deposits | 147 | 243 | 471 | 693 |
Time deposits | 312 | 441 | 993 | 1,536 |
Federal funds purchased, securities sold under agreements to repurchase and other borrowings | 43 | 3 | 45 | 33 |
Long term borrowings | 295 | 252 | 885 | 252 |
Total interest expense | 797 | 939 | 2,394 | 2,514 |
Net interest income | 11,571 | 9,876 | 31,529 | 29,138 |
Provision for loan losses | 402 | 360 | 1,073 | 510 |
Net interest income after provision for loan losses | 11,169 | 9,516 | 30,456 | 28,628 |
Noninterest Income: | ||||
Bank-owned life insurance income | 227 | 195 | 653 | 625 |
Mortgage banking income | 86 | 460 | 419 | 2,029 |
Total noninterest income | 3,365 | 3,606 | 10,380 | 11,278 |
Noninterest Expense: | ||||
Salaries and employee benefits | 6,821 | 6,558 | 19,854 | 19,012 |
Occupancy and equipment | 1,184 | 1,185 | 3,488 | 3,510 |
Data processing | 1,206 | 1,187 | 3,447 | 3,427 |
Customer development | 136 | 78 | 298 | 225 |
Professional services | 647 | 625 | 1,915 | 1,790 |
Employee professional development | 230 | 154 | 769 | 487 |
Other taxes | 212 | 186 | 637 | 608 |
ATM and other losses | 112 | 68 | 226 | 224 |
Other operating expenses | 1,017 | 887 | 2,734 | 2,738 |
Total noninterest expense | 11,565 | 10,928 | 33,368 | 32,021 |
Income before income taxes | 2,969 | 2,194 | 7,468 | 7,885 |
Income tax expense | 427 | 286 | 1,003 | 1,123 |
Net income | $ 2,542 | $ 1,908 | $ 6,465 | $ 6,762 |
Basic Earnings per Share: | ||||
Weighted average shares outstanding (in shares) | 5,015,712 | 5,245,042 | 5,095,716 | 5,235,749 |
Net income per share of common stock (in dollars per share) | $ 0.51 | $ 0.36 | $ 1.27 | $ 1.29 |
Diluted Earnings per Share: | ||||
Weighted average shares outstanding (in shares) | 5,015,712 | 5,245,172 | 5,095,768 | 5,235,793 |
Net income per share of common stock (in dollars per share) | $ 0.51 | $ 0.36 | $ 1.27 | $ 1.29 |
Fiduciary and Asset Management Fees [Member] | ||||
Noninterest Income: | ||||
Noninterest revenue | $ 953 | $ 1,032 | $ 3,086 | $ 3,110 |
Service Charges on Deposit Accounts [Member] | ||||
Noninterest Income: | ||||
Noninterest revenue | 795 | 691 | 2,278 | 1,997 |
Other Service Charges, Commissions and Fees [Member] | ||||
Noninterest Income: | ||||
Noninterest revenue | 1,143 | 1,125 | 3,339 | 3,275 |
Other Operating Income [Member] | ||||
Noninterest Income: | ||||
Noninterest revenue | $ 161 | $ 103 | $ 605 | $ 242 |
Consolidated Statements of Comprehensive (Loss) Income - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
|
Consolidated Statements of Comprehensive (Loss) Income [Abstract] | ||||
Net income | $ 2,542 | $ 1,908 | $ 6,465 | $ 6,762 |
Other comprehensive loss, net of tax | ||||
Net unrealized loss on available-for-sale securities | (7,997) | (497) | (25,522) | (1,495) |
Other comprehensive loss, net of tax | (7,997) | (497) | (25,522) | (1,495) |
Comprehensive (loss) income | $ (5,455) | $ 1,411 | $ (19,057) | $ 5,267 |
Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands |
Common Stock [Member] |
Additional Paid-in Capital [Member] |
Retained Earnings [Member] |
Accumulated Other Comprehensive Income (Loss) [Member] |
Total |
---|---|---|---|---|---|
Beginning Balance at Dec. 31, 2020 | $ 25,972 | $ 21,245 | $ 65,859 | $ 4,069 | $ 117,145 |
Beginning Balance (in shares) at Dec. 31, 2020 | 5,194,443 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | $ 0 | 0 | 6,762 | 0 | 6,762 |
Other comprehensive loss, net of tax | 0 | 0 | 0 | (1,495) | (1,495) |
Employee Stock Purchase Plan share issuance | $ 19 | 60 | 0 | 0 | 79 |
Employee Stock Purchase Plan share issuance (in shares) | 3,775 | ||||
Restricted stock vested | $ 43 | (43) | 0 | 0 | 0 |
Restricted stock vested (in shares) | 8,521 | ||||
Stock-based compensation expense | $ 0 | 214 | 0 | 0 | 214 |
Cash dividends | 0 | 0 | (1,938) | 0 | (1,938) |
Ending Balance at Sep. 30, 2021 | $ 26,034 | 21,476 | 70,683 | 2,574 | 120,767 |
Ending Balance (in shares) at Sep. 30, 2021 | 5,206,739 | ||||
Beginning Balance at Jun. 30, 2021 | $ 26,028 | 21,372 | 69,457 | 3,071 | 119,928 |
Beginning Balance (in shares) at Jun. 30, 2021 | 5,205,532 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | $ 0 | 0 | 1,908 | 0 | 1,908 |
Other comprehensive loss, net of tax | 0 | 0 | 0 | (497) | (497) |
Employee Stock Purchase Plan share issuance | $ 6 | 20 | 0 | 0 | 26 |
Employee Stock Purchase Plan share issuance (in shares) | 1,207 | ||||
Restricted stock vested | $ 0 | 0 | 0 | 0 | 0 |
Restricted stock vested (in shares) | 0 | ||||
Stock-based compensation expense | $ 0 | 84 | 0 | 0 | 84 |
Cash dividends | 0 | 0 | (682) | 0 | (682) |
Ending Balance at Sep. 30, 2021 | $ 26,034 | 21,476 | 70,683 | 2,574 | 120,767 |
Ending Balance (in shares) at Sep. 30, 2021 | 5,206,739 | ||||
Beginning Balance at Dec. 31, 2021 | $ 26,006 | 21,458 | 71,679 | 1,675 | $ 120,818 |
Beginning Balance (in shares) at Dec. 31, 2021 | 5,201,272 | 5,239,707 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | $ 0 | 0 | 6,465 | 0 | $ 6,465 |
Other comprehensive loss, net of tax | 0 | 0 | 0 | (25,522) | (25,522) |
Employee Stock Purchase Plan share issuance | $ 21 | 78 | 0 | 0 | 99 |
Employee Stock Purchase Plan share issuance (in shares) | 4,307 | ||||
Common stock purchased | $ (1,340) | (5,315) | 0 | 0 | $ (6,655) |
Common stock purchased (in shares) | (268,095) | (268,095) | |||
Restricted stock vested | $ 66 | (66) | 0 | 0 | $ 0 |
Restricted stock vested (in shares) | 13,152 | ||||
Stock-based compensation expense | $ 0 | 295 | 0 | 0 | 295 |
Cash dividends | 0 | 0 | (1,988) | 0 | (1,988) |
Ending Balance at Sep. 30, 2022 | $ 24,753 | 16,450 | 76,156 | (23,847) | $ 93,512 |
Ending Balance (in shares) at Sep. 30, 2022 | 4,950,636 | 4,996,728 | |||
Beginning Balance at Jun. 30, 2022 | $ 25,091 | 17,643 | 74,266 | (15,850) | $ 101,150 |
Beginning Balance (in shares) at Jun. 30, 2022 | 5,018,144 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | $ 0 | 0 | 2,542 | 0 | 2,542 |
Other comprehensive loss, net of tax | 0 | 0 | 0 | (7,997) | (7,997) |
Employee Stock Purchase Plan share issuance | $ 7 | 26 | 0 | 0 | 33 |
Employee Stock Purchase Plan share issuance (in shares) | 1,492 | ||||
Common stock purchased | $ (345) | (1,340) | 0 | 0 | $ (1,685) |
Common stock purchased (in shares) | (69,000) | (69,000) | |||
Restricted stock vested | $ 0 | 0 | 0 | 0 | $ 0 |
Restricted stock vested (in shares) | 0 | ||||
Stock-based compensation expense | $ 0 | 121 | 0 | 0 | 121 |
Cash dividends | 0 | 0 | (652) | 0 | (652) |
Ending Balance at Sep. 30, 2022 | $ 24,753 | $ 16,450 | $ 76,156 | $ (23,847) | $ 93,512 |
Ending Balance (in shares) at Sep. 30, 2022 | 4,950,636 | 4,996,728 |
Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) - $ / shares |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
|
Consolidated Statements of Changes in Stockholders' Equity [Abstract] | ||||
Cash dividends (in dollars per share) | $ 0.13 | $ 0.13 | $ 0.39 | $ 0.37 |
Consolidated Statements of Cash Flows - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | 12 Months Ended | ||
---|---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
Dec. 31, 2021 |
|
CASH FLOWS FROM OPERATING ACTIVITIES | |||||
Net income | $ 2,542 | $ 1,908 | $ 6,465 | $ 6,762 | |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||
Depreciation and amortization | 1,550 | 1,559 | |||
Amortization of right of use lease asset | 240 | 266 | |||
Accretion related to acquisition, net | 10 | (5) | |||
Amortization of subordinated debt issuance costs | 98 | 27 | |||
Provision for loan losses | 402 | 360 | 1,073 | 510 | $ 794 |
Net amortization of securities | 923 | 709 | |||
Decrease in loans held for sale, net | 2,513 | 8,673 | |||
Income from bank owned life insurance | (227) | (195) | (653) | (625) | |
Stock compensation expense | 295 | 214 | |||
Deferred tax (benefit) | 0 | (12) | |||
Increase in other assets | (287) | (560) | |||
Increase in accrued expenses and other liabilities | 1,557 | 94 | |||
Net cash provided by operating activities | 13,784 | 17,612 | |||
CASH FLOWS FROM INVESTING ACTIVITIES | |||||
Purchases of available-for-sale securities | (47,543) | (55,698) | |||
(Purchase of) proceeds from redemption of restricted securities, net | (355) | 333 | |||
Proceeds from maturities and calls of available-for-sale securities | 3,950 | 8,779 | |||
Proceeds from sales of available-for-sale securities | 3,950 | 4,330 | |||
Paydowns on available-for-sale securities | 13,195 | 13,957 | |||
Net increase in loans held for investment | (112,521) | (4,180) | |||
Purchases of bank-owned life insurance | (2,500) | 0 | |||
Purchases of premises and equipment | (368) | (370) | (969) | (1,130) | |
Proceeds from sale of premises and equipment | 0 | 31 | |||
Net cash used in investing activities | (142,793) | (33,578) | |||
CASH FLOWS FROM FINANCING ACTIVITIES | |||||
Increase in noninterest-bearing deposits | 15,716 | 32,384 | |||
Increase in savings deposits | 5,789 | 71,664 | |||
Decrease in time deposits | (16,296) | (20,578) | |||
Decrease in federal funds purchased, repurchase agreements and other borrowings, net | (555) | (3,473) | |||
Repayment of Federal Reserve Bank borrowings | (480) | (27,652) | |||
Increase in long term borrowings | 0 | 29,347 | |||
Proceeds from ESPP issuance | 99 | 79 | |||
Repurchase of common stock | (6,655) | 0 | |||
Cash dividends paid on common stock | (1,988) | (1,938) | |||
Net cash (used in) provided by financing activities | (4,370) | 79,833 | |||
Net (decrease) increase in cash and cash equivalents | (133,379) | 63,867 | |||
Cash and cash equivalents at beginning of period | 187,922 | 120,437 | 120,437 | ||
Cash and cash equivalents at end of period | $ 54,543 | $ 184,304 | 54,543 | 184,304 | $ 187,922 |
Cash payments for: | |||||
Interest | 2,609 | 2,442 | |||
SUPPLEMENTAL SCHEDULE OF NONCASH TRANSACTIONS | |||||
Unrealized (loss) gain on securities available-for-sale | (32,307) | (1,892) | |||
Former bank property transferred from fixed assets to held for sale assets | 345 | 902 | |||
Right of use lease asset and liability | $ 327 | $ 0 |
Description of Business and Summary of Significant Accounting Policies |
9 Months Ended |
---|---|
Sep. 30, 2022 | |
Description of Business and Summary of Significant Accounting Policies [Abstract] | |
Description of Business and Summary of Significant Accounting Policies |
Note 1. Description of
Business and Summary of Significant Accounting Policies
THE COMPANY
Old Point Financial Corporation (NASDAQ: OPOF) (the Company) is a holding company that
conducts substantially all of its operations through two wholly-owned subsidiaries, the Old Point National Bank of Phoebus (the
Bank) and Old Point Trust & Financial Services N.A. (Wealth Management). As of September 30, 2022, the Bank had 14 branch
offices. The Bank offers a full range of deposit and loan products to its retail and commercial customers, including mortgage loan products offered through Old Point Mortgage. A full array of insurance products is also offered through Old
Point Insurance, LLC in partnership with Morgan Marrow Company. Wealth Management offers a full range of services for individuals and businesses. Products and services include retirement planning, estate planning, financial planning, estate
and trust administration, retirement plan administration, tax services and investment management services.
PRINCIPLES OF CONSOLIDATION
The consolidated financial statements include the accounts of the Company, the
Bank, and Wealth Management.
All significant intercompany balances and transactions have been eliminated in consolidation.
BASIS OF PRESENTATION
The accompanying unaudited consolidated financial statements of the Company and
its subsidiaries have been prepared in accordance with U.S. GAAP for interim financial information. All significant intercompany balances and transactions have been eliminated. In the opinion of management, the accompanying unaudited consolidated
financial statements contain all adjustments and reclassifications of a normal and recurring nature considered necessary to present fairly the financial position at September 30, 2022 and December 31, 2021, the statements of income, comprehensive
(loss) income, and changes in stockholders’ equity for the three and nine months ended September 30, 2022 and 2021, and the statements of cash flows for the nine months ended September 30, 2022 and 2021. The results of operations for the interim
periods are not necessarily indicative of the results that may be expected for the full year.
These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s 2021 Form 10-K. Certain previously reported amounts have been reclassified to conform to current period presentation, none of which were material in nature. ESTIMATES
In preparing Consolidated Financial Statements in conformity with U.S. GAAP, management is required to make estimates and assumptions that affect the reported
amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated balance sheets and reported amounts of revenues and expenses during the reporting period. Actual results could differ from
those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses.
RECENT ACCOUNTING PRONOUNCEMENTS
In June 2016, the Financial Accounting Standards Board (FASB) issued ASU No. 2016-13, “Financial
Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” The amendments in this ASU, among other things, require the measurement of all expected credit losses for financial assets held at the reporting
date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to better inform their credit loss estimates. Many of the
loss estimation techniques applied today will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. In addition, the ASU amends the accounting for credit losses on
available-for-sale debt securities and purchased financial assets with credit deterioration. The FASB has issued multiple updates to ASU No. 2016-13 as codified in Topic 326, including ASU No. 2019-04, ASU No. 2019-05, ASU No. 2019-10, ASU No.
2019-11, ASU No. 2020-02, and ASU No. 2020-03. These ASUs have provided for various minor technical corrections and improvements to the codification as well as other transition matters. The new standard will be effective for the Company
beginning on January 1, 2023.
The amendments of ASC 326, upon adoption, will be applied on a modified retrospective basis, with the cumulative effect of adopting the new standard being recorded as an adjustment to opening retained earnings in the period of
adoption. The Company has established a committee to oversee the adoption of ASC 326. The Company has engaged a vendor to assist in modeling expected
lifetime losses under ASC 326, gathered historical loan loss data for purposes of evaluating appropriate portfolio segmentation and modeling methods
under the standard, performed procedures to validate the historical loan loss data to ensure its suitability and reliability for purposes of developing an estimate of expected credit losses under ASC 326, and is continuing to develop and refine an approach to estimating the allowance for credit losses. The adoption of ASC 326 will result in significant changes to the Company’s consolidated financial statements, which may include changes in the level of the allowance for credit losses that will be considered adequate, a reduction in
total equity and regulatory capital of the Bank, differences in the timing of recognizing changes to the allowance for credit losses and expanded disclosures about the allowance for credit losses, charge-offs and recoveries of loans, and
certain loan modifications. The Company has not yet determined an estimate of the effect of these changes, which will be determined based on the facts and circumstances at the time of adoption. The adoption of the standard will also result in
significant changes in the Company’s internal control over financial reporting related to the allowance for credit losses.
In March 2022, the FASB issued ASU No. 2022-02, “Financial Instruments-Credit Losses (Topic 326), Troubled Debt Restructurings and Vintage Disclosures.” ASU No.
2022-02 addresses areas identified by the FASB as part of its post-implementation review of the credit losses standard (ASU No. 2016-13) that introduced the current expected credit losses (CECL) model. The amendments eliminate the accounting
guidance for troubled debt restructurings (TDRs) by creditors that have adopted the CECL model and enhance the disclosure requirements for loan refinancings and restructurings made with borrowers experiencing financial difficulty. In
addition, the amendments require a public business entity to disclose current-period gross write-offs for financing receivables and net investment in leases by year of origination in the vintage disclosures. The amendments in this ASU should
be applied prospectively, except for the transition method related to the recognition and measurement of TDRs. An entity has the option to apply a modified retrospective transition method, resulting in a cumulative-effect adjustment to
retained earnings in the period of adoption. For entities that have adopted ASU No. 2016-13, ASU No. 2022-02 is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. For entities
that have not yet adopted ASU No. 2016-13, the effective dates for ASU No. 2022-02 are the same as the effective dates in ASU No. 2016-13. Early adoption is permitted if an entity has adopted ASU No. 2016-13. An entity may elect to early
adopt the amendments about TDRs and related disclosure enhancements separately from the amendments related to vintage disclosures. The Company is currently assessing the impact that ASU No. 2022-02 will have on its consolidated financial
statements.
Other accounting standards that have been adopted by the Company or issued by the FASB or other standards-setting bodies have not or are not currently expected to
have a material effect on the Company’s financial position, results of operations or cash flows.
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Securities |
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Securities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities |
Note 2. Securities
Amortized costs and fair values, with gross unrealized gains and losses, of securities available-for-sale as of the dates
indicated are as follows:
The amortized cost and fair value of securities by contractual maturity are shown below.
The Company did not realize any gains or
losses on the sale of investment securities during the nine months ended September 30, 2022 and 2021, respectively.
The following tables show the gross unrealized losses and fair value of the Company’s investments with unrealized losses that
are deemed to be temporarily impaired as of September 30, 2022 and December 31, 2021, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position as of the dates indicated:
The number of investments in an unrealized loss position as of September 30, 2022 and December 31, 2021 were 171 and 72, respectively. Certain investments within the Company’s portfolio had unrealized losses for more than twelve
months at September 30, 2022 and December 31, 2021, as shown in the tables above. The primary cause of the temporary
impairments in the Company’s investment security portfolio was increases in market interest rates. The Company concluded that no other-than-temporary impairment existed in its securities portfolio at September 30, 2022, and no other-than-temporary impairment loss has been recognized in net income during the first nine months of 2022, based primarily on the following: (i) changes in fair value
were caused primarily by fluctuations in interest rates, (ii) securities with unrealized losses had generally high credit quality, (iii) the Company intends to hold these investments until recovery of its investment and it is more-likely-than-not
that the Company will not be required to sell these investments before a recovery of its investment, and (iv) issuers have continued to make timely payments of principal and interest.
Restricted Stock
The restricted security category is comprised of stock in the Federal Home Loan Bank of Atlanta (FHLB), the Federal Reserve
Bank (FRB), and Community Bankers’ Bank (CBB). These stocks are classified as restricted securities because their ownership is restricted to certain types of entities and the securities lack a market. Therefore, FHLB, FRB, and CBB stock are carried
at cost and evaluated for impairment. When evaluating these stocks for impairment, their value is determined based on the ultimate recoverability of the par value rather than by recognizing temporary declines in value. Restricted stock is viewed as a
long-term investment and management believes that the Company has the ability and the intent to hold this stock until its value is recovered.
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Loans and the Allowance for Loan Losses |
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Loans and the Allowance for Loan Losses [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans and the Allowance for Loan Losses |
Note 3. Loans and the Allowance for Loan Losses
The following is a summary of the balances in each class of the Company’s portfolio of loans held for investment as of
the dates indicated:
CREDIT QUALITY INFORMATION
The Company uses internally-assigned risk grades to estimate the capability of
borrowers to repay the contractual obligations of their loan agreements as scheduled or at all. The Company’s internal risk grade system is based on experiences with similarly graded loans. Credit risk grades are updated at least quarterly as
additional information becomes available, at which time management analyzes the resulting scores to track loan performance.
The Company’s internally assigned risk grades are as follows:
The following tables present credit quality exposures by internally
assigned risk ratings as of the dates indicated:
As of September 30, 2022 and December 31, 2021, the Company did not have any loans internally classified as Doubtful or Loss.
AGE ANALYSIS OF PAST DUE LOANS BY CLASS
All classes of loans are considered past due if the required principal and
interest payments have not been received as of the date such payments were due. Interest and fees continue to accrue on past due loans until the date the loan is placed in nonaccrual status, if applicable. The following table includes an aging analysis of the
recorded investment in past due loans as of the dates indicated. Also included in the table below are loans that are 90 days or more past due as to interest and principal and still accruing interest, because they are well-secured and in the
process of collection.
There
were no past due loans guaranteed by the federal government as of September 30, 2022.
In the table above, the past due totals include small business and student loans
with principal and interest amounts that are 97 - 100% guaranteed by the federal government. The past due principal portion of these guaranteed loans totaled $1.4 million at December 31, 2021.
NONACCRUAL LOANS
The Company generally places commercial and industrial loans (including construction loans and commercial loans secured and not secured by
real estate) in nonaccrual status when the full and timely collection of interest or principal becomes uncertain, part of the principal balance has been charged off and no restructuring has occurred or the loan reaches 90 days past due, unless the credit is well-secured and in the process of collection.
Under regulatory rules, consumer loans, which are loans to individuals for household, family and other personal expenditures, and consumer
loans secured by real estate (including residential 1 - 4 family mortgages, second mortgages, and equity lines of credit) are not required to be placed in nonaccrual status. Although consumer loans and consumer loans secured by real estate are
not required to be placed in nonaccrual status, the Company may elect to place these loans in nonaccrual status, if necessary to avoid a material overstatement of interest income. Generally, consumer loans secured by real estate are placed in
nonaccrual status only when payments are 120 days past due.
Generally, consumer loans not secured by real estate are placed in nonaccrual status only when part of the principal has been charged off. If
a charge-off has not occurred sooner for other reasons, a consumer loan not secured by real estate will generally be placed in nonaccrual status when payments are 120 days past due. These loans are charged off or written down to the net realizable value of the collateral when deemed uncollectible, when classified as a “loss,” when repayment is
unreasonably protracted, when bankruptcy has been initiated, or when the loan is 120 days or more past due unless the credit is
well-secured and in the process of collection.
When management places a loan in nonaccrual status, the accrued unpaid interest receivable is reversed against interest income and the loan is
accounted for by the cost recovery method, until it qualifies for return to accrual status or is charged off. Generally, loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and
future payments are reasonably assured, or when the borrower has resumed paying the full amount of the scheduled contractual interest and principal payments for at least six months.
The following table presents loans in nonaccrual status by class of loan as of the dates indicated:
Nonaccrual Loans by Class
The following table presents the interest income that the Company would have earned under the original terms of its nonaccrual loans and the
actual interest recorded by the Company on nonaccrual loans for the periods presented:
TROUBLED DEBT RESTRUCTURINGS
The Company’s loan portfolio may include certain loans classified as TDRs, where economic concessions have been granted to borrowers who are
experiencing financial difficulties. These concessions typically result from the Company’s loss mitigation activities and could include reduction in the interest rate below current market rates for borrowers with similar risk profiles, payment
extensions, forgiveness of principal, forbearance or other actions intended to maximize collection. The Company defines a TDR as nonperforming if the TDR is in nonaccrual status or is 90 days or more past due and still accruing interest at the
report date.
When the Company modifies a loan, management evaluates any possible impairment as discussed further below under Impaired Loans.
There were no new TDRs in
the nine months ended September 30, 2022 and 2021.
At September 30, 2022 and 2021, the
Company had no outstanding commitments to disburse additional funds on any TDR. The Company had no loans secured by residential 1 - 4 family real estate in the process of foreclosure at September 30, 2022 and 2021.
In the three and nine months ended September 30, 2022 and 2021, there were no defaulting TDRs where the default occurred within twelve months of restructuring. The Company considers a TDR in default when any of the following occurs: the loan, as restructured,
becomes 90 days or more past due; the loan is moved to nonaccrual status following the restructure; the loan is restructured again under terms that would qualify it as a TDR if it were not already so classified; or any portion of the loan is
charged off.
All TDRs are factored into the determination of the allowance for loan losses and included in the impaired loan analysis, as discussed below.
IMPAIRED LOANS
A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the
scheduled payments of principal and interest when due from the borrower in accordance with the contractual terms of the loan. Impaired loans include nonperforming loans and loans modified in a TDR. When management identifies a loan as impaired,
the impairment is measured based on the present value of expected future cash flows, discounted at the loan’s effective interest rate, except when the sole or remaining source of repayment for the loan is the operation or liquidation of the
collateral. In these cases, management uses the current fair value of the collateral, less selling costs, when foreclosure is probable, instead of the discounted cash flows. If management determines that the value of the impaired loan is less
than the recorded investment in the loan (net of previous charge-offs, deferred loan fees or costs and unamortized premium or discount), impairment is recognized through a specific allocation in the allowance or a charge-off to the allowance.
When the ultimate collectability of the total principal of an impaired loan is in doubt and the loan is in nonaccrual status, all payments are
applied to principal under the cash basis method. For financial statement purposes, the recorded investment in the loan is the actual principal balance reduced by partial charge-offs and payments that would otherwise have been applied to
interest. When reporting information on these loans to the applicable customers, the unpaid principal balance is reported as if these partial charge-offs did not occur and as if payments were applied to principal and interest under the original
terms of the loan agreements. Therefore, the unpaid principal balance reported to the customer would be higher than the recorded investment in the loan for financial statement purposes.
The following table includes the recorded investment and unpaid principal balances (a portion of which may have been charged off) for impaired
loans with the associated allowance amount, if applicable, as of the dates presented. Also presented are the average recorded investments in the impaired loans and the related amount of interest recognized for the periods presented. The average
balances are calculated based on daily average balances.
ALLOWANCE FOR LOAN LOSSES
Management has an established methodology to determine the adequacy of the allowance for loan losses that assesses the risks and probable
losses inherent in the loan portfolio. The Company segments the loan portfolio into categories as defined by Schedule RC-C of the Federal Financial Institutions Examination Council Consolidated Reports of Condition and Income Form 041 (Call
Report). Loans are segmented into the following pools: commercial, real estate-construction, real estate-mortgage, consumer and other loans. The Company also sub-segments the real estate-mortgage segment into six classes: residential 1-4
family, commercial real estate - owner occupied, commercial real estate - non-owner occupied, multifamily, second mortgages and equity lines of credit.
The Company uses an internally developed risk evaluation model in the estimation of the credit risk process. The model and assumptions used to
determine the allowance are independently validated and reviewed to ensure that the theoretical foundation, assumptions, data integrity, computational processes and reporting practices are appropriate and properly documented.
Each portfolio segment has risk characteristics as follows:
Each segment of the portfolio is pooled by risk grade or by days past due. Consumer loans not secured by real estate and made to individuals
for household, family and other personal expenditures are segmented into pools based on days past due, while all other loans, including loans to consumers that are secured by real estate, are segmented by risk grades. A historical loss
percentage is then calculated by migration analysis and applied to each pool. The migration analysis applied to all pools is able to track the risk grading and historical performance of individual loans throughout a number of periods set by
management, which provides management with information regarding trends (or migrations) in a particular loan segment. At September 30, 2022 and December 31, 2021 management used eight twelve-quarter migration periods.
Management also provides an allocated component of the allowance for loans that are specifically identified as impaired, and are individually
analyzed for impairment. An allocated allowance is established when the present value of expected future cash flows from the impaired loan (or the collateral value or observable market price of the impaired loan) is lower than the carrying
value of that loan.
Loans collectively evaluated for impairment are pooled with a historical loss rate, based on migration analysis, applied to each pool,
segmented by risk grade or past due, depending on the type of loan. Based on credit risk assessments and management’s analysis of qualitative factors, additional loss factors are applied to loan balances. These additional qualitative factors
include: economic conditions (including uncertainties associated with the COVID-19 pandemic), trends in growth, loan concentrations, changes in certain loans, changes in underwriting, changes in management and changes in the legal and
regulatory environment.
Based on capital levels, stress testing indications, prudent underwriting policies, watch credit processes, and loan concentration diversification, the Company
currently expects to be able to manage the economic risks and uncertainties associated with the pandemic, increases in market interest rates, and potential effects on credit quality, which may result in additional increases in the provision for
loan losses.
ALLOWANCE FOR LOAN LOSSES BY SEGMENT
The total allowance reflects management’s estimate of losses inherent in the loan portfolio at the balance sheet date. The Company considers
the allowance for loan losses of $9.9 million adequate to cover estimable and probable loan losses inherent in the loan portfolio at
September 30, 2022.
The following tables present, by portfolio segment, the changes in the allowance for loan losses and the recorded investment in loans for the
periods presented. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.
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Leases |
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Leases |
Note 4. Leases
Lease liabilities represent the
Company’s obligation to make lease payments and are presented at each reporting date as the net present value of the remaining contractual cash flows. Cash flows are discounted at the Company’s incremental borrowing rate in effect at the
commencement date of the lease. Right-of-use assets represent the Company’s right to use the underlying asset for the lease term and are calculated as the sum of the lease liability and if applicable, prepaid rent, initial direct costs and any
incentives received from the lessor.
The Company’s long-term lease agreements
are classified as operating leases. Certain of these leases offer the option to extend the lease term and the Company has included such extensions in its calculation of the lease liabilities to the extent the options are reasonably assured of
being exercised. The lease agreements do not provide for residual value guarantees and have no restrictions or covenants that would impact dividends or require incurring additional financial obligations.
The right-of-use asset and lease
liability are included in
and , respectively, in the consolidated balance sheets. There was one
new lease executed during the first nine months of 2022. The following tables present information about the Company’s leases:
A maturity analysis of operating lease liabilities and
reconciliation of the undiscounted cash flows to the total of operating lease liabilities is as follows:
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Low-Income Housing Tax Credits |
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Low-Income Housing Tax Credits [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Low-Income Housing Tax Credits |
Note 5. Low-Income
Housing Tax Credits
The Company was invested in four separate housing equity funds at both September 30, 2022 and December 31, 2021. The general purpose of these funds is to encourage and
assist participants in investing in low-income residential rental properties located in the Commonwealth of Virginia; develop and implement strategies to maintain projects as low-income housing; deliver Federal Low Income Housing Credits to
investors; allocate tax losses and other possible tax benefits to investors; and preserve and protect project assets.
The investments in these funds were recorded as other assets on the consolidated
balance sheets and were $1.7 million and $1.9 million at September 30, 2022 and December 31, 2021, respectively. The expected terms of these investments and the related tax benefits run through 2033. There were no additional capital calls expected for the funds at September 30, 2022.
The table below
summarizes the tax credits and other tax benefits recognized by the Company related to these investments during the periods indicated:
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Borrowings |
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Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Borrowings [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Borrowings |
Note 6. Borrowings
The Company classifies all borrowings that will mature within a year from the
date on which the Company enters into them as short-term borrowings. Short-term borrowings sources consist of federal funds purchased, overnight repurchase agreements (which are secured transactions with customers that generally mature within
to four days), and advances from
the FHLB.The Company maintains federal funds lines with several correspondent banks to
address short-term borrowing needs. At September 30, 2022 and December 31, 2021, the remaining credit available from these lines totaled $115.0
million, respectively. The Company has a collateral dependent line of credit with the FHLB with remaining credit availability of $392.1
million and $391.3 as of September 30, 2022 and December 31, 2021, respectively.
SHORT-TERM BORROWINGS
The following table presents total short-term borrowings as of the dates
indicated:
LONG-TERM BORROWINGS
At September 30, 2022 the Company had fully repaid the borrowings under the
FRB’s PPPLF. At December 31, 2021 the Company had $480 thousand outstanding in long-term borrowings under the PPPLF.
On July 14, 2021, the Company completed the issuance of $29.4 million, net of issuance costs, or $30.0
million in aggregate principal amount of subordinated notes (the Notes) due in
in a private placement transaction. The Notes
bear interest at a fixed rate of 3.5% for five years and at the three-month SOFR plus 286 basis points, resetting quarterly, thereafter. |
Commitments and Contingencies |
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Commitments and Contingencies |
Note 7. Commitments and Contingencies
CREDIT-RELATED FINANCIAL INSTRUMENTS
The Company is a party to credit-related financial instruments with
off-balance-sheet risk in the normal course of business in order to meet the financing needs of its customers. These financial instruments include commitments to extend credit, standby letters of credit and commercial letters of credit. Such
commitments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the consolidated balance sheets.
The Company’s
exposure to credit loss is represented by the contractual amount of these commitments. The Company follows the same credit policies in making such commitments as it does for on-balance-sheet instruments.
The following financial instruments whose contract amounts represent credit risk
were outstanding at September 30, 2022 and December 31, 2021:
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Share-Based Compensation |
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Share-Based Compensation [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-Based Compensation |
Note 8. Share-Based Compensation
The Company has adopted an employee stock purchase plan and offers share-based
compensation through its equity compensation plan. Share-based compensation arrangements may include stock options, restricted and unrestricted stock awards, restricted stock units, performance units and stock appreciation rights. Accounting
standards require all share-based payments to employees and non-employee directors to be valued using a fair value method on the date of grant and to be expensed based on that fair value over the applicable vesting period. The Company accounts
for forfeitures during the vesting period as they occur.
The 2016 Incentive Stock Plan (the Incentive Stock Plan) permits the issuance of
up to 300,000 shares of common stock for awards to key employees and non-employee directors of the Company and its subsidiaries in the
form of stock options, restricted stock, restricted stock units, stock appreciation rights, stock awards and performance units. As of September 30, 2022 only restricted stock has been granted under the Incentive Stock Plan.
Restricted stock activity for the nine months ended September 30, 2022 is
summarized below:
The weighted average period over which nonvested awards are expected to be
recognized in compensation expense is 1.41 years.
The fair value of
restricted stock granted during the nine months ended September 30, 2022 and 2021 was $534 thousand and $403 thousand, respectively.
The remaining
unrecognized compensation expense for nonvested restricted stock shares totaled $591 thousand as of September 30, 2022 and $411 thousand as of September 30, 2021.
Stock-based
compensation expense was $121 thousand and $84 thousand for the three months ended September 30, 2022 and 2021, respectively, and $295 thousand
and $214 thousand for the nine months ended September 30, 2022 and 2021, respectively.
Under the Company’s
Employee Stock Purchase Plan (ESPP), substantially all employees of the Company and its subsidiaries can authorize a specific payroll deduction from their base compensation for the periodic purchase of the Company’s common stock. Shares of
stock are issued quarterly at a discount to the market price of the Company’s stock on the day of purchase, which can range from 0-15% and was set at 5% for 2021 and
for the first nine months of 2022.
Total stock
purchases under the ESPP amounted to 4,307 shares during the nine months ended September 30, 2022. At September 30, 2022, the
Company had 223,236 remaining shares reserved for issuance under the ESPP.
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Stockholders' Equity and Earnings per Share |
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Stockholders' Equity and Earnings per Share |
Note 9. Stockholders’ Equity and Earnings per Share
STOCKHOLDERS’ EQUITY – Accumulated Other Comprehensive Income (Loss)
There were no amounts reclassified out of accumulated other comprehensive income (loss), by category, during the three or nine month periods ended September
30, 2022 or 2021, respectively.
The following tables present the changes in accumulated other
comprehensive income (loss), by category, net of tax, for the periods indicated:
The following tables present the change in each component of
accumulated other comprehensive income (loss) on a pre-tax and after-tax basis for the periods indicated:
EARNINGS PER COMMON SHARE
Basic EPS is computed by dividing net income by the weighted average number of
common shares outstanding during the period. Diluted EPS is computed using the weighted average number of common shares outstanding during the period, including the effect of dilutive potential common shares attributable to the ESPP.
The following is a reconciliation of the denominators of the basic and diluted EPS
computations for the three and nine months ended September 30, 2022 and 2021:
The Company had no antidilutive shares outstanding in the three and nine months ended September 30, 2022 and 2021, respectively. Nonvested restricted common shares,
which carry all rights and privileges of a common share with respect to the stock, including the right to vote, were included in the basic and diluted per common share calculations.
The Company has a share repurchase program (the Repurchase Program) which was authorized by the Board of
Directors in October 2021 to repurchase up to 10%
of the Company’s issued and outstanding common stock through November 30, 2022. During the first nine months of 2022, 268,095 shares, for an aggregate purchase price of $6.7 million, were repurchased by the Company under the Repurchase Plan, and of these shares, approximately 69,000 shares, for an aggregate purchase price of $1.7
million, were repurchased by the Company during the third quarter of 2022.
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Fair Value Measurements |
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Fair Value Measurements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements |
Note 10. Fair Value Measurements
The Company uses fair value measurements to record fair value
adjustments to certain assets and liabilities and to determine fair value disclosures. In accordance with the “Fair Value Measurements and Disclosures” topics of FASB ASU No. 2010-06, FASB ASU No. 2011-04, and FASB ASU No. 2016-01, the fair
value of a financial instrument is the price that would be received in the sale of an asset or transfer of a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between
market participants at the measurement date. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for the Company’s various financial instruments. In cases where quoted
market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimate of future cash
flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument.
The fair value guidance provides a consistent definition of fair
value, which focuses on exit price in the principal or most advantageous market for the asset or liability in an orderly transaction (that is, not a forced liquidation or distressed sale) between market participants at the measurement date
under current market conditions. If there has been a significant decrease in the volume and level of activity for the asset or liability, a change in valuation technique or the use of multiple valuation techniques may be appropriate. In such
instances, determining the price at which willing market participants would transact at the measurement date under current market conditions depends on the facts and circumstances and requires the use of significant judgment. The fair value can
be a reasonable point within a range that is most representative of fair value under current market conditions.
In estimating the fair value of assets and liabilities, the
Company relies mainly on two sources. The first source is the Company’s bond accounting service provider, which uses a model to
determine the fair value of securities. Securities are priced based on an evaluation of observable market data, including benchmark yield curves, reported trades, broker/dealer quotes, and issuer spreads. Pricing is also impacted by credit
information about the issuer, perceived market movements, and current news events impacting the individual sectors. The second source is a third party vendor the Company utilizes to provide fair value exit pricing for loans and interest bearing
deposits in accordance with guidance.
In accordance with ASC 820, “Fair Value Measurements and Disclosures,” the
Company groups its financial assets and financial liabilities generally measured at fair value into three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair
value.
An instrument’s categorization within the valuation hierarchy is based upon the
lowest level of input that is significant to the fair value measurement.
ASSETS MEASURED AT FAIR VALUE ON A RECURRING BASIS
Debt securities with readily determinable
fair values that are classified as “available-for-sale” are recorded at fair value, with unrealized gains and losses excluded from earnings and reported in other comprehensive income. Securities available-for-sale are recorded at fair value on
a recurring basis. Fair value measurement is based upon quoted market prices, when available (Level 1). If quoted market prices are not available, fair values are measured utilizing independent valuation techniques of identical or similar
securities for which significant assumptions are derived primarily from or corroborated by observable market data. Third party vendors compile prices from various sources and may determine the fair value of identical or similar securities by
using pricing models that consider observable market data (Level 2). In certain cases where there is limited activity or less transparency around inputs to the valuation, securities are classified within Level 3 of the valuation hierarchy.
Currently, all of the Company’s available-for-sale securities are considered to be Level 2 securities.
The Company recognizes IRLCs at fair value. Fair value of IRLCs is based on either (i) the price of the underlying loans obtained from an investor for loans that will be delivered on a best efforts
basis or (ii) the observable price for individual loans traded in the secondary market for loans that will be delivered on a mandatory basis. All of the Company’s IRLCs are classified as Level 2.
The Company recognizes interest rate swaps on loans at fair value. The Company has contracted with a third party vendor to provide valuations for these interest rate swaps using standard valuation
techniques. All of the Company’s interest rate swaps on loans are classified as Level 2.
The following tables present the balances of certain assets measured at fair value on a recurring
basis as of the dates indicated:
ASSETS MEASURED AT FAIR VALUE ON A NONRECURRING BASIS
Under certain circumstances, adjustments are made to the fair value for assets
and liabilities although they are not measured at fair value on an ongoing basis.
Impaired loans
A loan is considered impaired when, based on current information
and events, it is probable that the Company will be unable to collect the scheduled payments of principal and interest when due from the borrower in accordance with the contractual terms of the loan agreement. The measurement of fair value and
loss associated with impaired loans can be based on the observable market price of the loan, the fair value of the collateral securing the loan, or the present value of the loan’s expected future cash flows, discounted at the loan’s effective
interest rate. Collateral may be in the form of real estate or business assets including equipment, inventory, and accounts receivable, with the vast majority of the collateral in real estate.
The value of real estate collateral is determined utilizing an income, market,
or cost valuation approach based on an appraisal conducted by an independent, licensed appraiser outside of the Company. In the case of loans with lower balances, the Company may obtain a real estate evaluation instead of an appraisal.
Evaluations utilize many of the same techniques as appraisals, and are typically performed by independent appraisers. Once received, appraisals and evaluations are reviewed by trained staff independent of the lending function to verify
consistency and reasonability. Appraisals and evaluations are based on significant unobservable inputs, including but not limited to: adjustments made to comparable properties, judgments about the condition of the subject property, the
availability and suitability of comparable properties, capitalization rates, projected income of the subject or comparable properties, vacancy rates, projected depreciation rates, and the state of the local and regional economy. The Company may
also elect to make additional reductions in the collateral value based on management’s best judgment, which represents another source of unobservable inputs. Because of the subjective nature of collateral valuation, impaired loans are considered
Level 3.
Impaired loans may be secured by collateral other than real estate. The value of
business equipment is based upon an outside appraisal if deemed significant, or the net book value on the applicable business’ financial statements if not considered significant using observable market data. Likewise, values for inventory and
accounts receivable collateral are based on financial statement balances or aging reports (Level 3). If a loan is not collateral-dependent, its impairment may be measured based on the present value of expected future cash flows, discounted at the
loan’s effective interest rate. Because the loan is discounted at its effective rate of interest, rather than at a market rate, the loan is not considered to be held at fair value and is not included in the tables below. Collateral-dependent
impaired loans allocated to the allowance for loan losses are measured at fair value on a nonrecurring basis. Any fair value adjustments are recorded in the period incurred as part of the provision for loan losses on the Consolidated Statements
of Income.
Other Real Estate
Owned (OREO)
Loans are transferred to OREO when the collateral securing them is foreclosed on. The measurement of loss associated with OREO is based on the fair value of the collateral compared to the unpaid
loan balance and anticipated costs to sell the property. If there is a contract for the sale of a property, and management reasonably believes the transaction will be consummated in accordance with the terms of the contract, fair value is
based on the sale price in that contract (Level 1). If management has recent information about the sale of identical properties, such as when selling multiple condominium units on the same property, the remaining units would be valued based
on the observed market data (Level 2). Lacking either a contract or such recent data, management would obtain an appraisal or evaluation of the value of the collateral as discussed above under Impaired Loans (Level 3). After the asset has
been booked, a new appraisal or evaluation is obtained when management has reason to believe the fair value of the property may have changed and no later than two years after the last appraisal or evaluation was received. Any fair value
adjustments to OREO below the original book value are recorded in the period incurred and expensed against current earnings.
Loans Held For Sale
Loans held for sale are carried at the lower of cost or fair value. These loans
currently consist of residential loans originated for sale in the secondary market. Fair value is based on the price secondary markets are currently offering for similar loans using observable market data which is not materially different than
cost due to the short duration between origination and sale (Level 2). Gains and losses on the sale of loans are reported on a separate line item on the Company’s Consolidated Statements of Income.
The following table presents the assets carried on the consolidated balance
sheets for which a nonrecurring change in fair value has been recorded. Assets are shown by class of loan and by level in the fair value hierarchy, as of the dates indicated. Certain impaired loans are valued by the present value of the loan’s
expected future cash flows, discounted at the loan’s effective interest rate rather than at a market rate. These loans are not carried on the consolidated balance sheets at fair value and, as such, are not included in the tables below.
The following tables display the quantitative information about Level 3 Fair Value
Measurements as of the dates indicated.
The estimated fair values, and related carrying or notional amounts, of the
Company’s financial instruments as of the dates indicated are as follows:
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Segment Reporting |
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Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting |
Note 11. Segment
Reporting
The Company
operates in a decentralized fashion in three principal business segments: the Bank, the Wealth
Management, and the Company (for purposes of this Note, the Parent). Revenues from the Bank’s operations consist primarily of interest earned on loans and investment securities and service charges on deposit accounts. Wealth
Management’s operating revenues consist principally of income from fiduciary and asset management fees. The Parent’s revenues are mainly interest and dividends received from the Bank and Wealth Management. The Company has no other segments. The
Company’s reportable segments are strategic business units that offer different products and services. They are managed separately because each segment appeals to different markets and, accordingly, requires different technologies and marketing
strategies.
Information about reportable segments,
and reconciliation of such information to the consolidated financial statements as of and for the three and nine months ended September 30, 2022 and 2021 follows:
The accounting
policies of the segments are the same as those described in the summary of significant accounting policies reported in the Company’s 2021 Annual Report on Form 10-K. The Company evaluates performance based on profit or loss from operations
before income taxes, not including nonrecurring gains or losses.
|
Description of Business and Summary of Significant Accounting Policies (Policies) |
9 Months Ended |
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Sep. 30, 2022 | |
Description of Business and Summary of Significant Accounting Policies [Abstract] | |
PRINCIPLES OF CONSOLIDATION |
PRINCIPLES OF CONSOLIDATION
The consolidated financial statements include the accounts of the Company, the
Bank, and Wealth Management.
All significant intercompany balances and transactions have been eliminated in consolidation.
|
BASIS OF PRESENTATION |
BASIS OF PRESENTATION
The accompanying unaudited consolidated financial statements of the Company and
its subsidiaries have been prepared in accordance with U.S. GAAP for interim financial information. All significant intercompany balances and transactions have been eliminated. In the opinion of management, the accompanying unaudited consolidated
financial statements contain all adjustments and reclassifications of a normal and recurring nature considered necessary to present fairly the financial position at September 30, 2022 and December 31, 2021, the statements of income, comprehensive
(loss) income, and changes in stockholders’ equity for the three and nine months ended September 30, 2022 and 2021, and the statements of cash flows for the nine months ended September 30, 2022 and 2021. The results of operations for the interim
periods are not necessarily indicative of the results that may be expected for the full year.
These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s 2021 Form 10-K. Certain previously reported amounts have been reclassified to conform to current period presentation, none of which were material in nature. |
ESTIMATES |
ESTIMATES
In preparing Consolidated Financial Statements in conformity with U.S. GAAP, management is required to make estimates and assumptions that affect the reported
amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated balance sheets and reported amounts of revenues and expenses during the reporting period. Actual results could differ from
those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses.
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RECENT ACCOUNTING PRONOUNCEMENTS |
RECENT ACCOUNTING PRONOUNCEMENTS
In June 2016, the Financial Accounting Standards Board (FASB) issued ASU No. 2016-13, “Financial
Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” The amendments in this ASU, among other things, require the measurement of all expected credit losses for financial assets held at the reporting
date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to better inform their credit loss estimates. Many of the
loss estimation techniques applied today will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. In addition, the ASU amends the accounting for credit losses on
available-for-sale debt securities and purchased financial assets with credit deterioration. The FASB has issued multiple updates to ASU No. 2016-13 as codified in Topic 326, including ASU No. 2019-04, ASU No. 2019-05, ASU No. 2019-10, ASU No.
2019-11, ASU No. 2020-02, and ASU No. 2020-03. These ASUs have provided for various minor technical corrections and improvements to the codification as well as other transition matters. The new standard will be effective for the Company
beginning on January 1, 2023.
The amendments of ASC 326, upon adoption, will be applied on a modified retrospective basis, with the cumulative effect of adopting the new standard being recorded as an adjustment to opening retained earnings in the period of
adoption. The Company has established a committee to oversee the adoption of ASC 326. The Company has engaged a vendor to assist in modeling expected
lifetime losses under ASC 326, gathered historical loan loss data for purposes of evaluating appropriate portfolio segmentation and modeling methods
under the standard, performed procedures to validate the historical loan loss data to ensure its suitability and reliability for purposes of developing an estimate of expected credit losses under ASC 326, and is continuing to develop and refine an approach to estimating the allowance for credit losses. The adoption of ASC 326 will result in significant changes to the Company’s consolidated financial statements, which may include changes in the level of the allowance for credit losses that will be considered adequate, a reduction in
total equity and regulatory capital of the Bank, differences in the timing of recognizing changes to the allowance for credit losses and expanded disclosures about the allowance for credit losses, charge-offs and recoveries of loans, and
certain loan modifications. The Company has not yet determined an estimate of the effect of these changes, which will be determined based on the facts and circumstances at the time of adoption. The adoption of the standard will also result in
significant changes in the Company’s internal control over financial reporting related to the allowance for credit losses.
In March 2022, the FASB issued ASU No. 2022-02, “Financial Instruments-Credit Losses (Topic 326), Troubled Debt Restructurings and Vintage Disclosures.” ASU No.
2022-02 addresses areas identified by the FASB as part of its post-implementation review of the credit losses standard (ASU No. 2016-13) that introduced the current expected credit losses (CECL) model. The amendments eliminate the accounting
guidance for troubled debt restructurings (TDRs) by creditors that have adopted the CECL model and enhance the disclosure requirements for loan refinancings and restructurings made with borrowers experiencing financial difficulty. In
addition, the amendments require a public business entity to disclose current-period gross write-offs for financing receivables and net investment in leases by year of origination in the vintage disclosures. The amendments in this ASU should
be applied prospectively, except for the transition method related to the recognition and measurement of TDRs. An entity has the option to apply a modified retrospective transition method, resulting in a cumulative-effect adjustment to
retained earnings in the period of adoption. For entities that have adopted ASU No. 2016-13, ASU No. 2022-02 is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. For entities
that have not yet adopted ASU No. 2016-13, the effective dates for ASU No. 2022-02 are the same as the effective dates in ASU No. 2016-13. Early adoption is permitted if an entity has adopted ASU No. 2016-13. An entity may elect to early
adopt the amendments about TDRs and related disclosure enhancements separately from the amendments related to vintage disclosures. The Company is currently assessing the impact that ASU No. 2022-02 will have on its consolidated financial
statements.
Other accounting standards that have been adopted by the Company or issued by the FASB or other standards-setting bodies have not or are not currently expected to
have a material effect on the Company’s financial position, results of operations or cash flows.
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Securities (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amortized Cost and Fair Value, with Gross Unrealized Gains and Losses of Securities Available-for-Sale |
Amortized costs and fair values, with gross unrealized gains and losses, of securities available-for-sale as of the dates
indicated are as follows:
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Amortized Cost and Fair Value of Securities by Contractual Maturity |
The amortized cost and fair value of securities by contractual maturity are shown below.
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Available-for-Sale Securities, Continuous Unrealized Loss Position |
The following tables show the gross unrealized losses and fair value of the Company’s investments with unrealized losses that
are deemed to be temporarily impaired as of September 30, 2022 and December 31, 2021, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position as of the dates indicated:
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Loans and the Allowance for Loan Losses (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans and the Allowance for Loan Losses [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Outstanding Loans By Segment Type |
The following is a summary of the balances in each class of the Company’s portfolio of loans held for investment as of
the dates indicated:
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Credit Quality Information |
The following tables present credit quality exposures by internally
assigned risk ratings as of the dates indicated:
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Past Due Loans | The following table includes an aging analysis of the
recorded investment in past due loans as of the dates indicated. Also included in the table below are loans that are 90 days or more past due as to interest and principal and still accruing interest, because they are well-secured and in the
process of collection.
There
were no past due loans guaranteed by the federal government as of September 30, 2022.
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Nonaccrual Loans |
The following table presents loans in nonaccrual status by class of loan as of the dates indicated:
Nonaccrual Loans by Class
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Interest Income to be Earned Under Original Terms |
The following table presents the interest income that the Company would have earned under the original terms of its nonaccrual loans and the
actual interest recorded by the Company on nonaccrual loans for the periods presented:
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Impaired Loans by Class |
The following table includes the recorded investment and unpaid principal balances (a portion of which may have been charged off) for impaired
loans with the associated allowance amount, if applicable, as of the dates presented. Also presented are the average recorded investments in the impaired loans and the related amount of interest recognized for the periods presented. The average
balances are calculated based on daily average balances.
|
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Allowance for Loan Losses by Segment |
The following tables present, by portfolio segment, the changes in the allowance for loan losses and the recorded investment in loans for the
periods presented. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.
|
Leases (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leases [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Information About Leases |
The right-of-use asset and lease
liability are included in
and , respectively, in the consolidated balance sheets. There was one
new lease executed during the first nine months of 2022. The following tables present information about the Company’s leases:
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Lease Cost |
|
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Maturity of Operating Lease Liabilities |
A maturity analysis of operating lease liabilities and
reconciliation of the undiscounted cash flows to the total of operating lease liabilities is as follows:
|
Low-Income Housing Tax Credits (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Low-Income Housing Tax Credits [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Tax Credits and Other Tax Benefits Recognized Related to Investments |
The table below
summarizes the tax credits and other tax benefits recognized by the Company related to these investments during the periods indicated:
|
Borrowings (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Borrowings [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Short-term Borrowings |
The following table presents total short-term borrowings as of the dates
indicated:
|
Commitments and Contingencies (Tables) |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commitments and Contingencies [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financial Instruments whose Contract Amounts Represent Credit Risk |
The following financial instruments whose contract amounts represent credit risk
were outstanding at September 30, 2022 and December 31, 2021:
|
Share-Based Compensation (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-Based Compensation [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restricted Stock Activity |
Restricted stock activity for the nine months ended September 30, 2022 is
summarized below:
|
Stockholders' Equity and Earnings per Share (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Equity and Earnings per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Changes in Accumulated Other Comprehensive Income (Loss), by Category |
The following tables present the changes in accumulated other
comprehensive income (loss), by category, net of tax, for the periods indicated:
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Component of Accumulated Other Comprehensive Income (Loss) on Pre-Tax and After-Tax |
The following tables present the change in each component of
accumulated other comprehensive income (loss) on a pre-tax and after-tax basis for the periods indicated:
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Computation of Earnings Per Share |
The following is a reconciliation of the denominators of the basic and diluted EPS
computations for the three and nine months ended September 30, 2022 and 2021:
|
Fair Value Measurements (Tables) |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Assets and Liabilities Measured at Fair Value on Recurring Basis |
The following tables present the balances of certain assets measured at fair value on a recurring
basis as of the dates indicated:
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Assets Measured at Fair Value on Nonrecurring Basis |
The following table presents the assets carried on the consolidated balance
sheets for which a nonrecurring change in fair value has been recorded. Assets are shown by class of loan and by level in the fair value hierarchy, as of the dates indicated. Certain impaired loans are valued by the present value of the loan’s
expected future cash flows, discounted at the loan’s effective interest rate rather than at a market rate. These loans are not carried on the consolidated balance sheets at fair value and, as such, are not included in the tables below.
|
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Fair Value Inputs, Assets, Quantitative Information |
The following tables display the quantitative information about Level 3 Fair Value
Measurements as of the dates indicated.
|
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Estimated Fair Values and Related Carrying or Notional Amounts of Financial Instruments |
The estimated fair values, and related carrying or notional amounts, of the
Company’s financial instruments as of the dates indicated are as follows:
|
Segment Reporting (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reconciliation of Assets and Revenues from Segment to Consolidated |
Information about reportable segments,
and reconciliation of such information to the consolidated financial statements as of and for the three and nine months ended September 30, 2022 and 2021 follows:
|
Description of Business and Summary of Significant Accounting Policies (Details) |
Sep. 30, 2022
Branch
Subsidiary
|
---|---|
THE COMPANY [Abstract] | |
Number of wholly-owned subsidiaries | Subsidiary | 2 |
Number of branch offices | Branch | 14 |
Securities, Amortized Costs and Fair Values with Gross Unrealized Gains and Losses (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | $ 257,726 | $ 232,200 |
Gross unrealized gains | 26 | 3,632 |
Gross unrealized (losses) | (30,212) | (1,511) |
Fair value | 227,540 | 234,321 |
U.S. Treasury Securities [Member] | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | 23,092 | 15,052 |
Gross unrealized gains | 0 | 0 |
Gross unrealized (losses) | (2,447) | (148) |
Fair value | 20,645 | 14,904 |
Obligations of U.S. Government Agencies [Member] | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | 34,885 | 38,651 |
Gross unrealized gains | 0 | 75 |
Gross unrealized (losses) | (1,077) | (168) |
Fair value | 33,808 | 38,558 |
Obligations of State and Political Subdivisions [Member] | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | 78,226 | 64,132 |
Gross unrealized gains | 0 | 1,948 |
Gross unrealized (losses) | (13,752) | (277) |
Fair value | 64,474 | 65,803 |
Mortgage-backed Securities [Member] | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | 91,567 | 88,511 |
Gross unrealized gains | 26 | 1,348 |
Gross unrealized (losses) | (10,670) | (801) |
Fair value | 80,923 | 89,058 |
Money Market Investments [Member] | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | 1,965 | 2,413 |
Gross unrealized gains | 0 | 0 |
Gross unrealized (losses) | 0 | 0 |
Fair value | 1,965 | 2,413 |
Corporate Bonds and Other Securities [Member] | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | 27,991 | 23,441 |
Gross unrealized gains | 0 | 261 |
Gross unrealized (losses) | (2,266) | (117) |
Fair value | $ 25,725 | $ 23,585 |
Securities, Amortized Cost and Fair Value of Securities by Contractual Maturity (Details) - USD ($) $ in Thousands |
9 Months Ended | ||
---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Dec. 31, 2021 |
|
Available-for-Sale, Amortized Cost [Abstract] | |||
Due in one year or less | $ 200 | ||
Due after one year through five years | 19,953 | ||
Due after five through ten years | 85,547 | ||
Due after ten years | 150,062 | ||
Other securities, restricted | 1,964 | ||
Amortized Cost | 257,726 | $ 232,200 | |
Available-for-Sale, Fair Value [Abstract] | |||
Due in one year or less | 193 | ||
Due after one year through five years | 18,938 | ||
Due after five through ten years | 75,346 | ||
Due after ten years | 131,098 | ||
Other securities, restricted | 1,965 | ||
Fair Value | 227,540 | 234,321 | |
Securities Available-for-sale [Abstract] | |||
Net realized gains (losses) | 0 | $ 0 | |
U.S. Treasury Securities [Member] | |||
Available-for-Sale, Amortized Cost [Abstract] | |||
Amortized Cost | 23,092 | 15,052 | |
Available-for-Sale, Fair Value [Abstract] | |||
Fair Value | 20,645 | 14,904 | |
Obligations of U.S. Government Agencies [Member] | |||
Available-for-Sale, Amortized Cost [Abstract] | |||
Amortized Cost | 34,885 | 38,651 | |
Available-for-Sale, Fair Value [Abstract] | |||
Fair Value | 33,808 | 38,558 | |
Obligations of State and Political Subdivisions [Member] | |||
Available-for-Sale, Amortized Cost [Abstract] | |||
Amortized Cost | 78,226 | 64,132 | |
Available-for-Sale, Fair Value [Abstract] | |||
Fair Value | 64,474 | 65,803 | |
Mortgage-backed Securities [Member] | |||
Available-for-Sale, Amortized Cost [Abstract] | |||
Amortized Cost | 91,567 | 88,511 | |
Available-for-Sale, Fair Value [Abstract] | |||
Fair Value | 80,923 | 89,058 | |
Money Market Investments [Member] | |||
Available-for-Sale, Amortized Cost [Abstract] | |||
Amortized Cost | 1,965 | 2,413 | |
Available-for-Sale, Fair Value [Abstract] | |||
Fair Value | 1,965 | 2,413 | |
Corporate Bonds and Other Securities [Member] | |||
Available-for-Sale, Amortized Cost [Abstract] | |||
Amortized Cost | 27,991 | 23,441 | |
Available-for-Sale, Fair Value [Abstract] | |||
Fair Value | $ 25,725 | $ 23,585 |
Securities, Individual Securities in a Continuous Unrealized Loss Position (Details) $ in Thousands |
9 Months Ended | |
---|---|---|
Sep. 30, 2022
USD ($)
Security
|
Dec. 31, 2021
USD ($)
Security
|
|
Securities Available-for-Sale, Gross Unrealized Losses [Abstract] | ||
Less than 12 months | $ 19,204 | $ 1,281 |
12 months or more | 11,008 | 230 |
Total | 30,212 | 1,511 |
Securities Available-for-Sale, Fair Value [Abstract] | ||
Less than 12 months | 159,710 | 100,473 |
12 months or more | 62,014 | 11,492 |
Total | $ 221,724 | $ 111,965 |
Securities Available-for-Sale, Number of Securities [Abstract] | ||
Number of investments in and unrealized loss position | Security | 171 | 72 |
Other-than-temporary impairment loss has been recognized in net income | $ 0 | |
U.S. Treasury Securities [Member] | ||
Securities Available-for-Sale, Gross Unrealized Losses [Abstract] | ||
Less than 12 months | 1,151 | $ 148 |
12 months or more | 1,296 | 0 |
Total | 2,447 | 148 |
Securities Available-for-Sale, Fair Value [Abstract] | ||
Less than 12 months | 12,898 | 14,904 |
12 months or more | 7,747 | 0 |
Total | 20,645 | 14,904 |
Obligations of U.S. Government Agencies [Member] | ||
Securities Available-for-Sale, Gross Unrealized Losses [Abstract] | ||
Less than 12 months | 596 | 131 |
12 months or more | 481 | 37 |
Total | 1,077 | 168 |
Securities Available-for-Sale, Fair Value [Abstract] | ||
Less than 12 months | 22,316 | 19,181 |
12 months or more | 11,492 | 5,042 |
Total | 33,808 | 24,223 |
Obligations of State and Political Subdivisions [Member] | ||
Securities Available-for-Sale, Gross Unrealized Losses [Abstract] | ||
Less than 12 months | 10,427 | 277 |
12 months or more | 3,325 | 0 |
Total | 13,752 | 277 |
Securities Available-for-Sale, Fair Value [Abstract] | ||
Less than 12 months | 53,589 | 20,673 |
12 months or more | 10,040 | 0 |
Total | 63,629 | 20,673 |
Mortgage-backed Securities [Member] | ||
Securities Available-for-Sale, Gross Unrealized Losses [Abstract] | ||
Less than 12 months | 5,508 | 608 |
12 months or more | 5,162 | 193 |
Total | 10,670 | 801 |
Securities Available-for-Sale, Fair Value [Abstract] | ||
Less than 12 months | 54,188 | 35,882 |
12 months or more | 25,730 | 6,450 |
Total | 79,918 | 42,332 |
Corporate Bonds and Other Securities [Member] | ||
Securities Available-for-Sale, Gross Unrealized Losses [Abstract] | ||
Less than 12 months | 1,522 | 117 |
12 months or more | 744 | 0 |
Total | 2,266 | 117 |
Securities Available-for-Sale, Fair Value [Abstract] | ||
Less than 12 months | 16,719 | 9,833 |
12 months or more | 7,005 | 0 |
Total | $ 23,724 | $ 9,833 |
Loans and the Allowance for Loan Losses, Outstanding Loans By Segment Type (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
||||||
---|---|---|---|---|---|---|---|---|
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | $ 955,065 | $ 843,526 | ||||||
Less: Allowance for loan losses | 9,933 | 9,865 | ||||||
Loans, net of allowance and deferred fees | [1] | 945,132 | 833,661 | |||||
Overdrawn deposit accounts, excluding internal use accounts | 323 | 304 | ||||||
Net deferred loan fees | 936 | 1,300 | ||||||
Mortgage Loans on Real Estate [Member] | ||||||||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | 734,223 | 647,411 | ||||||
Mortgage Loans on Real Estate [Member] | Residential 1-4 Family [Member] | ||||||||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | 169,247 | 130,776 | ||||||
Mortgage Loans on Real Estate [Member] | Commercial Real Estate [Member] | ||||||||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | 409,833 | 382,603 | ||||||
Mortgage Loans on Real Estate [Member] | Commercial - Owner Occupied [Member] | ||||||||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | 207,131 | 198,413 | ||||||
Mortgage Loans on Real Estate [Member] | Commercial - Non-Owner Occupied [Member] | ||||||||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | 202,702 | 184,190 | ||||||
Mortgage Loans on Real Estate [Member] | Multifamily [Member] | ||||||||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | 25,192 | 19,050 | ||||||
Mortgage Loans on Real Estate [Member] | Construction [Member] | ||||||||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | 68,005 | 58,440 | ||||||
Mortgage Loans on Real Estate [Member] | Second Mortgages [Member] | ||||||||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | 8,718 | 7,877 | ||||||
Mortgage Loans on Real Estate [Member] | Equity Lines of Credit [Member] | ||||||||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | 53,228 | 48,665 | ||||||
Commercial and Industrial Loans [Member] | ||||||||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | 66,724 | 68,690 | ||||||
Consumer [Member] | ||||||||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | [2] | 151,177 | 118,441 | |||||
Consumer [Member] | Consumer Automobile Loans [Member] | ||||||||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | 127,961 | 85,023 | ||||||
Consumer [Member] | Other Consumer Loans [Member] | ||||||||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | 23,216 | 33,418 | ||||||
Other [Member] | ||||||||
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||||||||
Loans, net of deferred fees | [3] | $ 2,941 | $ 8,984 | |||||
|
Loans and the Allowance for Loan Losses, Credit Quality (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
||||
---|---|---|---|---|---|---|
Receivables [Abstract] | ||||||
Gross loan receivables | $ 955,065 | $ 843,526 | ||||
Pass [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 950,383 | 837,670 | ||||
OAEM [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 290 | 1,440 | ||||
Substandard [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 4,392 | 4,416 | ||||
Doubtful [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Loss [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 734,223 | 647,411 | ||||
Mortgage Loans on Real Estate [Member] | Pass [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 729,958 | 642,005 | ||||
Mortgage Loans on Real Estate [Member] | OAEM [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 290 | 1,440 | ||||
Mortgage Loans on Real Estate [Member] | Substandard [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 3,975 | 3,966 | ||||
Mortgage Loans on Real Estate [Member] | Doubtful [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Residential 1-4 Family [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 169,247 | 130,776 | ||||
Mortgage Loans on Real Estate [Member] | Residential 1-4 Family [Member] | Pass [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 169,090 | 130,584 | ||||
Mortgage Loans on Real Estate [Member] | Residential 1-4 Family [Member] | OAEM [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Residential 1-4 Family [Member] | Substandard [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 157 | 192 | ||||
Mortgage Loans on Real Estate [Member] | Residential 1-4 Family [Member] | Doubtful [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Commercial Real Estate [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 409,833 | 382,603 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Owner Occupied [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 207,131 | 198,413 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Owner Occupied [Member] | Pass [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 204,730 | 195,512 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Owner Occupied [Member] | OAEM [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 290 | 788 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Owner Occupied [Member] | Substandard [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 2,111 | 2,113 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Owner Occupied [Member] | Doubtful [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Non-Owner Occupied [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 202,702 | 184,190 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Non-Owner Occupied [Member] | Pass [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 202,153 | 183,093 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Non-Owner Occupied [Member] | OAEM [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 434 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Non-Owner Occupied [Member] | Substandard [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 549 | 663 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Non-Owner Occupied [Member] | Doubtful [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Multifamily [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 25,192 | 19,050 | ||||
Mortgage Loans on Real Estate [Member] | Multifamily [Member] | Pass [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 25,192 | 19,050 | ||||
Mortgage Loans on Real Estate [Member] | Multifamily [Member] | OAEM [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Multifamily [Member] | Substandard [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Multifamily [Member] | Doubtful [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Construction [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 68,005 | 58,440 | ||||
Mortgage Loans on Real Estate [Member] | Construction [Member] | Pass [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 66,847 | 57,224 | ||||
Mortgage Loans on Real Estate [Member] | Construction [Member] | OAEM [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 218 | ||||
Mortgage Loans on Real Estate [Member] | Construction [Member] | Substandard [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 1,158 | 998 | ||||
Mortgage Loans on Real Estate [Member] | Construction [Member] | Doubtful [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Second Mortgages [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 8,718 | 7,877 | ||||
Mortgage Loans on Real Estate [Member] | Second Mortgages [Member] | Pass [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 8,718 | 7,877 | ||||
Mortgage Loans on Real Estate [Member] | Second Mortgages [Member] | OAEM [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Second Mortgages [Member] | Substandard [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Second Mortgages [Member] | Doubtful [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Equity Lines of Credit [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 53,228 | 48,665 | ||||
Mortgage Loans on Real Estate [Member] | Equity Lines of Credit [Member] | Pass [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 53,228 | 48,665 | ||||
Mortgage Loans on Real Estate [Member] | Equity Lines of Credit [Member] | OAEM [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Equity Lines of Credit [Member] | Substandard [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Equity Lines of Credit [Member] | Doubtful [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Commercial and Industrial Loans [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 66,724 | 68,690 | ||||
Commercial and Industrial Loans [Member] | Pass [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 66,324 | 68,261 | ||||
Commercial and Industrial Loans [Member] | OAEM [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Commercial and Industrial Loans [Member] | Substandard [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 400 | 429 | ||||
Commercial and Industrial Loans [Member] | Doubtful [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Consumer [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | [1] | 151,177 | 118,441 | |||
Consumer [Member] | Consumer Automobile Loans [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 127,961 | 85,023 | ||||
Consumer [Member] | Consumer Automobile Loans [Member] | Pass [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 127,944 | 85,002 | ||||
Consumer [Member] | Consumer Automobile Loans [Member] | OAEM [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Consumer [Member] | Consumer Automobile Loans [Member] | Substandard [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 17 | 21 | ||||
Consumer [Member] | Consumer Automobile Loans [Member] | Doubtful [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Consumer [Member] | Other Consumer Loan [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 23,216 | 33,418 | ||||
Consumer [Member] | Other Consumer Loan [Member] | Pass [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 23,216 | 33,418 | ||||
Consumer [Member] | Other Consumer Loan [Member] | OAEM [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Consumer [Member] | Other Consumer Loan [Member] | Substandard [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Consumer [Member] | Other Consumer Loan [Member] | Doubtful [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Other [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | [2] | 2,941 | 8,984 | |||
Other [Member] | Pass [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 2,941 | 8,984 | ||||
Other [Member] | OAEM [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Other [Member] | Substandard [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | 0 | 0 | ||||
Other [Member] | Doubtful [Member] | ||||||
Receivables [Abstract] | ||||||
Gross loan receivables | $ 0 | $ 0 | ||||
|
Loans and the Allowance for Loan Losses, Past Due (Details) - USD ($) $ in Thousands |
12 Months Ended | |||||
---|---|---|---|---|---|---|
Dec. 31, 2021 |
Sep. 30, 2022 |
|||||
Loans, Aging [Abstract] | ||||||
Loans | $ 843,526 | $ 955,065 | ||||
Nonaccrual | [1] | 478 | 4,375 | |||
30 - 59 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 2,361 | 1,677 | ||||
60 - 89 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 560 | 1,388 | ||||
90 or More Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 1,025 | 330 | ||||
Current Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | [2] | 839,102 | 947,295 | |||
Guaranteed Student Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | $ 1,400 | 0 | ||||
Guaranteed Student Loans [Member] | Minimum [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Percentage of student loans guaranteed by federal government | 97.00% | |||||
Guaranteed Student Loans [Member] | Maximum [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Percentage of student loans guaranteed by federal government | 100.00% | |||||
Mortgage Loans on Real Estate [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | $ 647,411 | 734,223 | ||||
Nonaccrual | [1] | 304 | 3,975 | |||
Mortgage Loans on Real Estate [Member] | 30 - 59 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 195 | 169 | ||||
Mortgage Loans on Real Estate [Member] | 60 - 89 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 1,048 | ||||
Mortgage Loans on Real Estate [Member] | 90 or More Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Current Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | [2] | 646,912 | 729,031 | |||
Mortgage Loans on Real Estate [Member] | Residential 1-4 Family [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 130,776 | 169,247 | ||||
Nonaccrual | [1] | 191 | 157 | |||
Mortgage Loans on Real Estate [Member] | Residential 1-4 Family [Member] | 30 - 59 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 120 | 109 | ||||
Mortgage Loans on Real Estate [Member] | Residential 1-4 Family [Member] | 60 - 89 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 425 | ||||
Mortgage Loans on Real Estate [Member] | Residential 1-4 Family [Member] | 90 or More Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Residential 1-4 Family [Member] | Current Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | [2] | 130,465 | 168,556 | |||
Mortgage Loans on Real Estate [Member] | Commercial - Owner Occupied [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 198,413 | 207,131 | ||||
Nonaccrual | [1] | 0 | 2,111 | |||
Mortgage Loans on Real Estate [Member] | Commercial - Owner Occupied [Member] | 30 - 59 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Owner Occupied [Member] | 60 - 89 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 536 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Owner Occupied [Member] | 90 or More Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Owner Occupied [Member] | Current Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | [2] | 198,413 | 204,484 | |||
Mortgage Loans on Real Estate [Member] | Commercial - Non-Owner Occupied [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 184,190 | 202,702 | ||||
Nonaccrual | [1] | 113 | 549 | |||
Mortgage Loans on Real Estate [Member] | Commercial - Non-Owner Occupied [Member] | 30 - 59 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Non-Owner Occupied [Member] | 60 - 89 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Non-Owner Occupied [Member] | 90 or More Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Commercial - Non-Owner Occupied [Member] | Current Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | [2] | 184,077 | 202,153 | |||
Mortgage Loans on Real Estate [Member] | Multifamily [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 19,050 | 25,192 | ||||
Nonaccrual | [1] | 0 | 0 | |||
Mortgage Loans on Real Estate [Member] | Multifamily [Member] | 30 - 59 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Multifamily [Member] | 60 - 89 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Multifamily [Member] | 90 or More Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Multifamily [Member] | Current Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | [2] | 19,050 | 25,192 | |||
Mortgage Loans on Real Estate [Member] | Construction [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 58,440 | 68,005 | ||||
Nonaccrual | [1] | 0 | 1,158 | |||
Mortgage Loans on Real Estate [Member] | Construction [Member] | 30 - 59 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Construction [Member] | 60 - 89 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 87 | ||||
Mortgage Loans on Real Estate [Member] | Construction [Member] | 90 or More Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Construction [Member] | Current Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | [2] | 58,440 | 66,760 | |||
Mortgage Loans on Real Estate [Member] | Construction and Land Development [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Nonaccrual | 0 | 1,158 | ||||
Mortgage Loans on Real Estate [Member] | Second Mortgages [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 7,877 | 8,718 | ||||
Nonaccrual | [1] | 0 | 0 | |||
Mortgage Loans on Real Estate [Member] | Second Mortgages [Member] | 30 - 59 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 24 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Second Mortgages [Member] | 60 - 89 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Second Mortgages [Member] | 90 or More Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Second Mortgages [Member] | Current Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | [2] | 7,853 | 8,718 | |||
Mortgage Loans on Real Estate [Member] | Equity Lines of Credit [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 48,665 | 53,228 | ||||
Nonaccrual | [1] | 0 | 0 | |||
Mortgage Loans on Real Estate [Member] | Equity Lines of Credit [Member] | 30 - 59 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 51 | 60 | ||||
Mortgage Loans on Real Estate [Member] | Equity Lines of Credit [Member] | 60 - 89 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Equity Lines of Credit [Member] | 90 or More Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Mortgage Loans on Real Estate [Member] | Equity Lines of Credit [Member] | Current Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | [2] | 48,614 | 53,168 | |||
Commercial and Industrial Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 68,690 | 66,724 | ||||
Nonaccrual | [1] | 174 | 400 | |||
Commercial and Industrial Loans [Member] | 30 - 59 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 37 | 7 | ||||
Commercial and Industrial Loans [Member] | 60 - 89 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 0 | 0 | ||||
Commercial and Industrial Loans [Member] | 90 or More Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 169 | 35 | ||||
Commercial and Industrial Loans [Member] | Current Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | [2] | 68,310 | 66,282 | |||
Consumer [Member] | Consumer Automobile Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 85,023 | 127,961 | ||||
Nonaccrual | [1] | 0 | 0 | |||
Consumer [Member] | Consumer Automobile Loans [Member] | 30 - 59 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 814 | 1,174 | ||||
Consumer [Member] | Consumer Automobile Loans [Member] | 60 - 89 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 118 | 152 | ||||
Consumer [Member] | Consumer Automobile Loans [Member] | 90 or More Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 296 | 250 | ||||
Consumer [Member] | Consumer Automobile Loans [Member] | Current Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | [2] | 83,795 | 126,385 | |||
Consumer [Member] | Other Consumer Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 33,418 | 23,216 | ||||
Nonaccrual | [1] | 0 | 0 | |||
Consumer [Member] | Other Consumer Loans [Member] | 30 - 59 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 1,284 | 309 | ||||
Consumer [Member] | Other Consumer Loans [Member] | 60 - 89 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 439 | 173 | ||||
Consumer [Member] | Other Consumer Loans [Member] | 90 or More Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 550 | 45 | ||||
Consumer [Member] | Other Consumer Loans [Member] | Current Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | [2] | 31,145 | 22,689 | |||
Other [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 8,984 | 2,941 | ||||
Nonaccrual | [1] | 0 | 0 | |||
Other [Member] | 30 - 59 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 31 | 18 | ||||
Other [Member] | 60 - 89 Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 3 | 15 | ||||
Other [Member] | 90 or More Days Past Due [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | 10 | 0 | ||||
Other [Member] | Current Loans [Member] | ||||||
Loans, Aging [Abstract] | ||||||
Loans | [2] | $ 8,940 | $ 2,908 | |||
|
Loans and the Allowance for Loan Losses, Nonaccrual Loans (Details) - USD ($) $ in Thousands |
9 Months Ended | ||||
---|---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Dec. 31, 2021 |
|||
Loans in nonaccrual status by class of loan [Abstract] | |||||
Nonaccrual status commercial and industrial loans, past due threshold | 90 days | ||||
Nonaccrual status, consumer loans secured by real estate, past due threshold | 120 days | ||||
Nonaccrual status, consumer loans not secured by real estate, past due threshold | 120 days | ||||
Loans in nonaccrual status | [1] | $ 4,375 | $ 478 | ||
Interest income that would have been recorded under original loan terms [Abstract] | |||||
Interest income that would have been recorded under original loan terms | 92 | $ 8 | |||
Actual interest income recorded for the period | 11 | 2 | |||
Reduction in interest income on nonaccrual loans | $ 81 | $ 6 | |||
Minimum [Member] | |||||
Loans in nonaccrual status by class of loan [Abstract] | |||||
Consumer loans classified as a loss, past due threshold | 120 days | ||||
Non-accrual Status, Return to Accrual Status Threshold | 6 months | ||||
Mortgage Loans on Real Estate [Member] | |||||
Loans in nonaccrual status by class of loan [Abstract] | |||||
Loans in nonaccrual status | [1] | $ 3,975 | 304 | ||
Mortgage Loans on Real Estate [Member] | Residential 1-4 Family [Member] | |||||
Loans in nonaccrual status by class of loan [Abstract] | |||||
Loans in nonaccrual status | [1] | 157 | 191 | ||
Mortgage Loans on Real Estate [Member] | Commercial - Owner Occupied [Member] | |||||
Loans in nonaccrual status by class of loan [Abstract] | |||||
Loans in nonaccrual status | [1] | 2,111 | 0 | ||
Mortgage Loans on Real Estate [Member] | Commercial - Non-Owner Occupied [Member] | |||||
Loans in nonaccrual status by class of loan [Abstract] | |||||
Loans in nonaccrual status | [1] | 549 | 113 | ||
Mortgage Loans on Real Estate [Member] | Construction [Member] | |||||
Loans in nonaccrual status by class of loan [Abstract] | |||||
Loans in nonaccrual status | [1] | 1,158 | 0 | ||
Mortgage Loans on Real Estate [Member] | Construction and Land Development [Member] | |||||
Loans in nonaccrual status by class of loan [Abstract] | |||||
Loans in nonaccrual status | 1,158 | 0 | |||
Commercial and Industrial Loans [Member] | |||||
Loans in nonaccrual status by class of loan [Abstract] | |||||
Loans in nonaccrual status | [1] | $ 400 | $ 174 | ||
|
Loans and the Allowance for Loan Losses, Troubled Debt Restructuring (Details) $ in Thousands |
3 Months Ended | 9 Months Ended | |||
---|---|---|---|---|---|
Sep. 30, 2022
USD ($)
|
Sep. 30, 2021
USD ($)
|
Sep. 30, 2022
USD ($)
Contract
|
Sep. 30, 2021
USD ($)
Contract
|
Dec. 31, 2021
USD ($)
|
|
Receivables [Abstract] | |||||
Number of modifications | Contract | 0 | 0 | |||
Outstanding commitments on TDR's | $ 0 | $ 0 | $ 0 | $ 0 | |
Defaulting TDR's within twelve months of restructuring | 0 | $ 0 | 0 | $ 0 | |
Residential 1-4 Family [Member] | |||||
Receivables [Abstract] | |||||
Loans in process for foreclosure | $ 0 | $ 0 | $ 0 |
Loans and the Allowance for Loan Losses, Impaired Loans (Details) - USD ($) $ in Thousands |
9 Months Ended | 12 Months Ended |
---|---|---|
Sep. 30, 2022 |
Dec. 31, 2021 |
|
Receivables [Abstract] | ||
Unpaid Principal Balance | $ 6,397 | $ 1,367 |
Recorded Investment, Without Valuation Allowance | 5,132 | 289 |
Recorded Investment, With Valuation Allowance | 1,092 | 1,012 |
Associated Allowance | 97 | 128 |
Average Recorded Investment | 6,268 | 1,324 |
Interest Income Recognized | 13 | 34 |
Mortgage Loans on Real Estate [Member] | ||
Receivables [Abstract] | ||
Unpaid Principal Balance | 5,995 | 1,170 |
Recorded Investment, Without Valuation Allowance | 4,730 | 282 |
Recorded Investment, With Valuation Allowance | 1,092 | 838 |
Associated Allowance | 97 | 41 |
Average Recorded Investment | 5,867 | 1,135 |
Interest Income Recognized | 8 | 17 |
Mortgage Loans on Real Estate [Member] | Residential 1-4 Family [Member] | ||
Receivables [Abstract] | ||
Unpaid Principal Balance | 290 | 353 |
Recorded Investment, Without Valuation Allowance | 45 | 25 |
Recorded Investment, With Valuation Allowance | 239 | 300 |
Associated Allowance | 35 | 30 |
Average Recorded Investment | 288 | 328 |
Interest Income Recognized | 5 | 7 |
Mortgage Loans on Real Estate [Member] | Commercial [Member] | ||
Receivables [Abstract] | ||
Unpaid Principal Balance | 4,469 | 610 |
Recorded Investment, Without Valuation Allowance | 3,687 | 178 |
Recorded Investment, With Valuation Allowance | 617 | 413 |
Associated Allowance | 7 | 8 |
Average Recorded Investment | 4,344 | 601 |
Interest Income Recognized | 0 | 1 |
Mortgage Loans on Real Estate [Member] | Construction [Member] | ||
Receivables [Abstract] | ||
Unpaid Principal Balance | 1,236 | 80 |
Recorded Investment, Without Valuation Allowance | 998 | 79 |
Recorded Investment, With Valuation Allowance | 236 | 0 |
Associated Allowance | 55 | 0 |
Average Recorded Investment | 1,235 | 80 |
Interest Income Recognized | 3 | 4 |
Mortgage Loans on Real Estate [Member] | Second Mortgages [Member] | ||
Receivables [Abstract] | ||
Unpaid Principal Balance | 0 | 127 |
Recorded Investment, Without Valuation Allowance | 0 | 0 |
Recorded Investment, With Valuation Allowance | 0 | 125 |
Associated Allowance | 0 | 3 |
Average Recorded Investment | 0 | 126 |
Interest Income Recognized | 0 | 5 |
Commercial and Industrial Loans [Member] | ||
Receivables [Abstract] | ||
Unpaid Principal Balance | 399 | 188 |
Recorded Investment, Without Valuation Allowance | 400 | 0 |
Recorded Investment, With Valuation Allowance | 0 | 174 |
Associated Allowance | 0 | 87 |
Average Recorded Investment | 399 | 181 |
Interest Income Recognized | 5 | 17 |
Consumer [Member] | Other Consumer Loans [Member] | ||
Receivables [Abstract] | ||
Unpaid Principal Balance | 3 | 9 |
Recorded Investment, Without Valuation Allowance | 2 | 7 |
Recorded Investment, With Valuation Allowance | 0 | 0 |
Associated Allowance | 0 | 0 |
Average Recorded Investment | 2 | 8 |
Interest Income Recognized | $ 0 | $ 0 |
Loans and the Allowance for Loan Losses, Allowance for Loan Losses (Details) $ in Thousands |
3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||
---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2022
USD ($)
qtr
|
Sep. 30, 2021
USD ($)
|
Sep. 30, 2022
USD ($)
Period
qtr
|
Sep. 30, 2021
USD ($)
|
Dec. 31, 2021
USD ($)
Period
|
|||||||
Changes in Accounting Methodology [Abstract] | |||||||||||
Number of migration periods | Period | 8 | 8 | |||||||||
Number of quarters remains on each migration period | qtr | 12 | 12 | |||||||||
Allowance for loan losses by segment [Roll Forward] | |||||||||||
Beginning Balance | $ 9,865 | $ 9,541 | $ 9,541 | ||||||||
Charges-offs | (1,698) | (1,119) | |||||||||
Recoveries | 693 | 649 | |||||||||
Provision for loan losses | $ 402 | $ 360 | 1,073 | 510 | 794 | ||||||
Ending Balance | 9,933 | 9,933 | 9,865 | ||||||||
Individually evaluated for impairment | 97 | 97 | 128 | ||||||||
Collectively evaluated for impairment | 9,836 | 9,836 | 9,737 | ||||||||
Ending Balance | 9,933 | 9,933 | 9,865 | ||||||||
Loans Balances [Abstract] | |||||||||||
Individually evaluated for impairment | 6,224 | 6,224 | 1,301 | ||||||||
Collectively evaluated for impairment | 948,841 | 948,841 | 842,225 | ||||||||
Ending Balance | 955,065 | 955,065 | 843,526 | ||||||||
Commercial and Industrial [Member] | |||||||||||
Allowance for loan losses by segment [Roll Forward] | |||||||||||
Beginning Balance | 683 | 650 | 650 | ||||||||
Charges-offs | (297) | (27) | |||||||||
Recoveries | 131 | 41 | |||||||||
Provision for loan losses | 107 | 19 | |||||||||
Ending Balance | 624 | 624 | 683 | ||||||||
Individually evaluated for impairment | 0 | 0 | 87 | ||||||||
Collectively evaluated for impairment | 624 | 624 | 596 | ||||||||
Ending Balance | 624 | 624 | 683 | ||||||||
Loans Balances [Abstract] | |||||||||||
Individually evaluated for impairment | 400 | 400 | 174 | ||||||||
Collectively evaluated for impairment | 66,324 | 66,324 | 68,516 | ||||||||
Ending Balance | 66,724 | 66,724 | 68,690 | ||||||||
Real Estate [Member] | |||||||||||
Loans Balances [Abstract] | |||||||||||
Ending Balance | 734,223 | 734,223 | 647,411 | ||||||||
Real Estate [Member] | Construction [Member] | |||||||||||
Allowance for loan losses by segment [Roll Forward] | |||||||||||
Beginning Balance | 459 | 339 | 339 | ||||||||
Charges-offs | 0 | 0 | |||||||||
Recoveries | 0 | 0 | |||||||||
Provision for loan losses | 70 | 120 | |||||||||
Ending Balance | 529 | 529 | 459 | ||||||||
Individually evaluated for impairment | 55 | 55 | 0 | ||||||||
Collectively evaluated for impairment | 474 | 474 | 459 | ||||||||
Ending Balance | 529 | 529 | 459 | ||||||||
Loans Balances [Abstract] | |||||||||||
Individually evaluated for impairment | 1,234 | 1,234 | 79 | ||||||||
Collectively evaluated for impairment | 66,771 | 66,771 | 58,361 | ||||||||
Ending Balance | 68,005 | 68,005 | 58,440 | ||||||||
Real Estate [Member] | Mortgage [Member] | |||||||||||
Allowance for loan losses by segment [Roll Forward] | |||||||||||
Beginning Balance | [1] | 2,390 | 2,560 | 2,560 | |||||||
Charges-offs | [1] | (25) | (14) | ||||||||
Recoveries | [1] | 52 | 76 | ||||||||
Provision for loan losses | [1] | 190 | (232) | ||||||||
Ending Balance | [1] | 2,607 | 2,607 | 2,390 | |||||||
Individually evaluated for impairment | [1] | 35 | 35 | 33 | |||||||
Collectively evaluated for impairment | [1] | 2,572 | 2,572 | 2,357 | |||||||
Ending Balance | [1] | 2,607 | 2,607 | 2,390 | |||||||
Loans Balances [Abstract] | |||||||||||
Individually evaluated for impairment | [1] | 284 | 284 | 450 | |||||||
Collectively evaluated for impairment | [1] | 256,101 | 256,101 | 205,918 | |||||||
Ending Balance | [1] | 256,385 | 256,385 | 206,368 | |||||||
Real Estate [Member] | Commercial [Member] | |||||||||||
Allowance for loan losses by segment [Roll Forward] | |||||||||||
Beginning Balance | 4,787 | 4,434 | 4,434 | ||||||||
Charges-offs | 0 | 0 | |||||||||
Recoveries | 22 | 44 | |||||||||
Provision for loan losses | (464) | 309 | |||||||||
Ending Balance | 4,345 | 4,345 | 4,787 | ||||||||
Individually evaluated for impairment | 7 | 7 | 8 | ||||||||
Collectively evaluated for impairment | 4,338 | 4,338 | 4,779 | ||||||||
Ending Balance | 4,345 | 4,345 | 4,787 | ||||||||
Loans Balances [Abstract] | |||||||||||
Individually evaluated for impairment | 4,304 | 4,304 | 591 | ||||||||
Collectively evaluated for impairment | 405,529 | 405,529 | 382,012 | ||||||||
Ending Balance | 409,833 | 409,833 | 382,603 | ||||||||
Consumer [Member] | |||||||||||
Allowance for loan losses by segment [Roll Forward] | |||||||||||
Beginning Balance | [2] | 1,362 | 1,302 | 1,302 | |||||||
Charges-offs | [2] | (1,095) | (800) | ||||||||
Recoveries | [2] | 389 | 390 | ||||||||
Provision for loan losses | [2] | 982 | 470 | ||||||||
Ending Balance | [2] | 1,638 | 1,638 | 1,362 | |||||||
Individually evaluated for impairment | [2] | 0 | 0 | 0 | |||||||
Collectively evaluated for impairment | [2] | 1,638 | 1,638 | 1,362 | |||||||
Ending Balance | [2] | 1,638 | 1,638 | 1,362 | |||||||
Loans Balances [Abstract] | |||||||||||
Individually evaluated for impairment | [2] | 2 | 2 | 7 | |||||||
Collectively evaluated for impairment | [2] | 151,175 | 151,175 | 118,434 | |||||||
Ending Balance | [2] | 151,177 | 151,177 | 118,441 | |||||||
Other [Member] | |||||||||||
Allowance for loan losses by segment [Roll Forward] | |||||||||||
Beginning Balance | 184 | 123 | 123 | ||||||||
Charges-offs | (281) | (278) | |||||||||
Recoveries | 99 | 98 | |||||||||
Provision for loan losses | 188 | 241 | |||||||||
Ending Balance | 190 | 190 | 184 | ||||||||
Individually evaluated for impairment | 0 | 0 | 0 | ||||||||
Collectively evaluated for impairment | 190 | 190 | 184 | ||||||||
Ending Balance | 190 | 190 | 184 | ||||||||
Loans Balances [Abstract] | |||||||||||
Individually evaluated for impairment | 0 | 0 | 0 | ||||||||
Collectively evaluated for impairment | 2,941 | 2,941 | 8,984 | ||||||||
Ending Balance | [3] | 2,941 | 2,941 | 8,984 | |||||||
Unallocated [Member] | |||||||||||
Allowance for loan losses by segment [Roll Forward] | |||||||||||
Beginning Balance | 0 | $ 133 | 133 | ||||||||
Charges-offs | 0 | 0 | |||||||||
Recoveries | 0 | 0 | |||||||||
Provision for loan losses | 0 | (133) | |||||||||
Ending Balance | 0 | 0 | 0 | ||||||||
Individually evaluated for impairment | 0 | 0 | 0 | ||||||||
Collectively evaluated for impairment | 0 | 0 | 0 | ||||||||
Ending Balance | 0 | 0 | 0 | ||||||||
Loans Balances [Abstract] | |||||||||||
Individually evaluated for impairment | 0 | 0 | 0 | ||||||||
Collectively evaluated for impairment | 0 | 0 | 0 | ||||||||
Ending Balance | $ 0 | $ 0 | $ 0 | ||||||||
|
Leases, Information About Leases (Details) $ in Thousands |
9 Months Ended |
---|---|
Sep. 30, 2022
USD ($)
Lease
| |
Assets and Liabilities, Lessee [Abstract] | |
Number of new leases | Lease | 1 |
Information about Leases [Abstract] | |
Lease liabilities | $ 1,124 |
Operating Lease, Liability, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilities |
Right of use assets | $ 1,093 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Other Assets |
Weighted average remaining lease term | 3 years 4 months 6 days |
Weighted average discount rate | 2.04% |
Leases, Lease Cost (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
|
Lease cost [Abstract] | ||||
Operating lease cost | $ 87 | $ 81 | $ 251 | $ 266 |
Total lease cost | 87 | 81 | 251 | 266 |
Cash paid for amounts included in the measurement of lease liabilities | $ 85 | $ 82 | $ 254 | $ 269 |
Leases, Maturity of Operating Lease Liabilities (Details) $ in Thousands |
Sep. 30, 2022
USD ($)
|
---|---|
Lease payments due [Abstract] | |
Three months ending December 31, 2022 | $ 91 |
Twelve months ending December 31, 2023 | 315 |
Twelve months ending December 31, 2024 | 310 |
Twelve months ending December 31, 2025 | 265 |
Thereafter | 214 |
Total undiscounted cash flows | 1,195 |
Discount | (71) |
Lease liabilities | $ 1,124 |
Low-Income Housing Tax Credits (Details) $ in Thousands |
3 Months Ended | 9 Months Ended | |||||
---|---|---|---|---|---|---|---|
Sep. 30, 2022
USD ($)
Fund
|
Sep. 30, 2021
USD ($)
|
Sep. 30, 2022
USD ($)
Fund
|
Sep. 30, 2021
USD ($)
|
Dec. 31, 2021
USD ($)
Fund
|
|||
Low-Income Housing Tax Credits [Abstract] | |||||||
Number of housing equity funds | Fund | 4 | 4 | 4 | ||||
Low-income housing investment | $ 1,700 | $ 1,700 | $ 1,900 | ||||
Additional committed capital calls expected | 0 | 0 | |||||
Tax credits and other benefits [Abstract] | |||||||
Amortization of operating losses | 51 | $ 51 | 153 | $ 151 | |||
Tax benefit of operating losses | [1] | 11 | 11 | 32 | 32 | ||
Tax credits | 89 | 89 | 267 | 272 | |||
Total tax benefits | $ 100 | $ 100 | $ 299 | $ 304 | |||
Effective income tax rate | 21.00% | ||||||
|
Borrowings (Details) - USD ($) $ in Thousands |
9 Months Ended | 12 Months Ended | |
---|---|---|---|
Jul. 14, 2021 |
Sep. 30, 2022 |
Dec. 31, 2021 |
|
Borrowings and FHLB Advances [Abstract] | |||
Available federal funds lines | $ 115,000 | $ 115,000 | |
Available credit with FHLB | 392,100 | 391,300 | |
Short-Term Borrowings [Abstract] | |||
Overnight repurchase agreements | 3,981 | 4,536 | |
Total short-term borrowings | 3,981 | 4,536 | |
Maximum month-end outstanding balance | 24,134 | 12,239 | |
Average outstanding balance during the period | $ 7,088 | $ 7,293 | |
Average interest rate (year-to-date) | 0.84% | 0.10% | |
Average interest rate at end of period | 0.05% | 0.10% | |
Long-Term Borrowings [Abstract] | |||
Federal Reserve Bank Borrowings | $ 0 | $ 480 | |
Minimum [Member] | |||
Borrowings and FHLB Advances [Abstract] | |||
Overnight repurchase agreements maturity period | 1 day | ||
Maximum [Member] | |||
Borrowings and FHLB Advances [Abstract] | |||
Overnight repurchase agreements maturity period | 4 days | ||
Paycheck Protection Program Liquidity Facility [Member] | |||
Long-Term Borrowings [Abstract] | |||
Federal Reserve Bank Borrowings | $ 480 | ||
The Notes [Member] | Subordinated Notes [Member] | |||
Long-Term Borrowings [Abstract] | |||
Long term borrowings, net of issuance costs | $ 29,400 | ||
Principal amount | $ 30,000 | ||
Loan maturity date | Dec. 31, 2031 | ||
Interest rate | 3.50% | ||
Fixed interest rate, period | 5 years | ||
The Notes [Member] | Subordinated Notes [Member] | SOFR [Member] | |||
Long-Term Borrowings [Abstract] | |||
Term of variable rate | 3 months | ||
Debt instrument, basis spread on variable rate | 2.86% |
Commitments and Contingencies (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Commitments to extend credit [Abstract] | ||
Commitments to extend credit | $ 205,861 | $ 167,129 |
Home Equity Lines of Credit [Member] | ||
Commitments to extend credit [Abstract] | ||
Commitments to extend credit | 84,467 | 71,751 |
Commercial Real Estate, Construction and Development Loans Committed but not Funded [Member] | ||
Commitments to extend credit [Abstract] | ||
Commitments to extend credit | 71,303 | 42,683 |
Other Lines of Credit (Principally Commercial) [Member] | ||
Commitments to extend credit [Abstract] | ||
Commitments to extend credit | 50,091 | 52,695 |
Letters of Credit [Member] | ||
Commitments to extend credit [Abstract] | ||
Commitments to extend credit | $ 881 | $ 3,617 |
Share-Based Compensation (Details) - USD ($) $ / shares in Units, $ in Thousands |
3 Months Ended | 9 Months Ended | 12 Months Ended | ||
---|---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
Dec. 31, 2021 |
|
Weighted Average Grant Date Fair Value [Abstract] | |||||
Stock-based compensation expense | $ 121 | $ 84 | $ 295 | $ 214 | |
Restricted Stock [Member] | |||||
Shares [Roll Forward] | |||||
Nonvested balance at beginning of period (in shares) | 38,435 | ||||
Issued (in shares) | 20,809 | ||||
Vested (in shares) | (13,152) | ||||
Forfeited (in shares) | 0 | ||||
Nonvested balance at end of period (in shares) | 46,092 | 46,092 | 38,435 | ||
Weighted Average Grant Date Fair Value [Abstract] | |||||
Non-vested balance at beginning of period (in dollars per share) | $ 20.49 | ||||
Issued (in dollars per share) | 25.65 | ||||
Vested (in dollars per share) | 21.93 | ||||
Forfeited (in dollars per share) | 0 | ||||
Non-vested balance at end of period (in dollars per share) | $ 22.41 | $ 22.41 | $ 20.49 | ||
Weighted-average remaining vesting period for recognition | 1 year 4 months 28 days | ||||
Fair value of restricted stock granted | $ 534 | 403 | |||
Unrecognized stock-based compensation expense | $ 591 | $ 411 | $ 591 | $ 411 | |
2016 Stock Incentive Plan [Member] | |||||
Incentive Stock Plan [Abstract] | |||||
Shares available for grant (in shares) | 300,000 | 300,000 | |||
ESPP [Member] | |||||
Weighted Average Grant Date Fair Value [Abstract] | |||||
Discount from market price at date of purchase | 5.00% | ||||
Total stock purchases under the plan (in shares) | 4,307 | ||||
Shares reserved for issuance (in shares) | 223,236 | 223,236 | |||
ESPP [Member] | Minimum [Member] | |||||
Weighted Average Grant Date Fair Value [Abstract] | |||||
Discount from market price at date of purchase | 0.00% | ||||
ESPP [Member] | Maximum [Member] | |||||
Weighted Average Grant Date Fair Value [Abstract] | |||||
Discount from market price at date of purchase | 15.00% |
Stockholders' Equity and Earnings per Share, Changes in Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
|
Stockholders Equity Note [Abstract] | ||||
Reclassified out of accumulated other comprehensive income (loss) | $ 0 | $ 0 | $ 0 | $ 0 |
Beginning Balance | 101,150 | 119,928 | 120,818 | 117,145 |
Ending Balance | 93,512 | 120,767 | 93,512 | 120,767 |
Other comprehensive income, pretax [Abstract] | ||||
Unrealized holding losses arising during the period, pretax | (10,124) | (629) | (32,307) | (1,892) |
Total change in accumulated other comprehensive income, net, pretax | (10,124) | (629) | (32,307) | (1,892) |
Other Comprehensive Income, Tax Effect [Abstract] | ||||
Unrealized holding losses arising during the period, tax effect | (2,127) | (132) | (6,785) | (397) |
Total change in accumulated other comprehensive income, net, tax effect | (2,127) | (132) | (6,785) | (397) |
Other Comprehensive Income, Net of Tax [Abstract] | ||||
Net unrealized loss on available-for-sale securities | (7,997) | (497) | (25,522) | (1,495) |
Other comprehensive loss, net of tax | (7,997) | (497) | (25,522) | (1,495) |
Unrealized Gains (Losses) on Available-for-Sale Securities [Member] | ||||
Stockholders Equity Note [Abstract] | ||||
Beginning Balance | (15,850) | 3,071 | 1,675 | 4,069 |
Net other comprehensive loss | (7,997) | (497) | (25,522) | (1,495) |
Ending Balance | (23,847) | 2,574 | (23,847) | 2,574 |
Accumulated Other Comprehensive (Loss) Income [Member] | ||||
Stockholders Equity Note [Abstract] | ||||
Beginning Balance | (15,850) | 3,071 | 1,675 | 4,069 |
Net other comprehensive loss | (7,997) | (497) | (25,522) | (1,495) |
Ending Balance | (23,847) | 2,574 | (23,847) | 2,574 |
Other Comprehensive Income, Net of Tax [Abstract] | ||||
Other comprehensive loss, net of tax | $ (7,997) | $ (497) | $ (25,522) | $ (1,495) |
Stockholders' Equity and Earnings per Share, Earnings Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands |
3 Months Ended | 9 Months Ended | |||
---|---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
Oct. 31, 2021 |
|
Computation of earnings per share [Abstract] | |||||
Net Income Available to Common Stockholders, Basic | $ 2,542 | $ 1,908 | $ 6,465 | $ 6,762 | |
Net Income Available to Common Stockholders, Diluted | $ 2,542 | $ 1,908 | $ 6,465 | $ 6,762 | |
Weighted Average Common Shares, Basic (in shares) | 5,015,712 | 5,245,042 | 5,095,716 | 5,235,749 | |
Potentially dilutive common shares - employee stock purchase program (in shares) | 0 | 0 | 0 | 0 | |
Weighted Average Common Shares, Diluted (in shares) | 5,015,712 | 5,245,172 | 5,095,768 | 5,235,793 | |
Earnings Per Share, Basic (in dollars per share) | $ 0.51 | $ 0.36 | $ 1.27 | $ 1.29 | |
Earnings Per Share, Diluted (in dollars per share) | $ 0.51 | $ 0.36 | $ 1.27 | $ 1.29 | |
Earnings Per Share [Abstract] | |||||
Antidilutive securities excluded from computation of earnings per share (in shares) | 0 | 0 | 0 | 0 | |
Common stock purchased (in shares) | 69,000 | 268,095 | |||
Common stock purchased | $ 1,685 | $ 6,655 | |||
Maximum [Member] | |||||
Earnings Per Share [Abstract] | |||||
Percentage of repurchase of common stock | 10.00% |
Fair Value Measurements, Recurring and Nonrecurring Basis (Details) $ in Thousands |
Sep. 30, 2022
USD ($)
Source
|
Dec. 31, 2021
USD ($)
|
---|---|---|
Fair Value Measurements [Abstract] | ||
Number of sources used for estimating fair value of assets and liabilities | Source | 2 | |
Assets [Abstract] | ||
Debt securities, available-for-sale | $ 227,540 | $ 234,321 |
Derivative [Abstract] | ||
Loans held for sale | 774 | 3,287 |
U.S. Treasury Securities [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 20,645 | 14,904 |
Obligations of U.S. Government Agencies [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 33,808 | 38,558 |
Obligations of State and Political Subdivisions [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 64,474 | 65,803 |
Mortgage-Backed Securities [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 80,923 | 89,058 |
Money Market Investments [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 1,965 | 2,413 |
Interest Rate Lock [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 15 | 43 |
Interest Rate Swap on Loans [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 1,585 | 181 |
Derivative [Abstract] | ||
Derivative Liabilities | 1,585 | 181 |
Recurring [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 227,540 | 234,321 |
Derivatives [Abstract] | ||
Total assets | 229,140 | 234,545 |
Derivative [Abstract] | ||
Total liabilities | 1,585 | 181 |
Recurring [Member] | U.S. Treasury Securities [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 20,645 | 14,904 |
Recurring [Member] | Obligations of U.S. Government Agencies [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 33,808 | 38,558 |
Recurring [Member] | Obligations of State and Political Subdivisions [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 64,474 | 65,803 |
Recurring [Member] | Mortgage-Backed Securities [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 80,923 | 89,058 |
Recurring [Member] | Money Market Investments [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 1,965 | 2,413 |
Recurring [Member] | Corporate Bonds and Other Securities [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 25,725 | 23,585 |
Recurring [Member] | Interest Rate Lock [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 15 | 43 |
Recurring [Member] | Interest Rate Swap on Loans [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 1,585 | 181 |
Derivative [Abstract] | ||
Derivative Liabilities | 1,585 | 181 |
Nonrecurring [Member] | ||
Derivative [Abstract] | ||
Impaired loans | 110 | 87 |
Loans held for sale | 774 | 3,287 |
Nonrecurring [Member] | Construction [Member] | ||
Derivative [Abstract] | ||
Impaired loans | 110 | |
Nonrecurring [Member] | Commercial Loans [Member] | ||
Derivative [Abstract] | ||
Impaired loans | 87 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Derivative [Abstract] | ||
Loans held for sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Interest Rate Lock [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Interest Rate Swap on Loans [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 0 | 0 |
Derivative [Abstract] | ||
Derivative Liabilities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Recurring [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Derivatives [Abstract] | ||
Total assets | 0 | 0 |
Derivative [Abstract] | ||
Total liabilities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Recurring [Member] | U.S. Treasury Securities [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Recurring [Member] | Obligations of U.S. Government Agencies [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Recurring [Member] | Obligations of State and Political Subdivisions [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Recurring [Member] | Mortgage-Backed Securities [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Recurring [Member] | Money Market Investments [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Recurring [Member] | Corporate Bonds and Other Securities [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Recurring [Member] | Interest Rate Lock [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Recurring [Member] | Interest Rate Swap on Loans [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 0 | 0 |
Derivative [Abstract] | ||
Derivative Liabilities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Nonrecurring [Member] | ||
Derivative [Abstract] | ||
Impaired loans | 0 | 0 |
Loans held for sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Nonrecurring [Member] | Construction [Member] | ||
Derivative [Abstract] | ||
Impaired loans | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Nonrecurring [Member] | Commercial Loans [Member] | ||
Derivative [Abstract] | ||
Impaired loans | 0 | |
Significant Other Observable Inputs (Level 2) [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 227,540 | 234,321 |
Derivative [Abstract] | ||
Loans held for sale | 774 | 3,287 |
Significant Other Observable Inputs (Level 2) [Member] | Interest Rate Lock [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 15 | 43 |
Significant Other Observable Inputs (Level 2) [Member] | Interest Rate Swap on Loans [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 1,585 | 181 |
Derivative [Abstract] | ||
Derivative Liabilities | 1,585 | 181 |
Significant Other Observable Inputs (Level 2) [Member] | Recurring [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 227,540 | 234,321 |
Derivatives [Abstract] | ||
Total assets | 229,140 | 234,545 |
Derivative [Abstract] | ||
Total liabilities | 1,585 | 181 |
Significant Other Observable Inputs (Level 2) [Member] | Recurring [Member] | U.S. Treasury Securities [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 20,645 | 14,904 |
Significant Other Observable Inputs (Level 2) [Member] | Recurring [Member] | Obligations of U.S. Government Agencies [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 33,808 | 38,558 |
Significant Other Observable Inputs (Level 2) [Member] | Recurring [Member] | Obligations of State and Political Subdivisions [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 64,474 | 65,803 |
Significant Other Observable Inputs (Level 2) [Member] | Recurring [Member] | Mortgage-Backed Securities [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 80,923 | 89,058 |
Significant Other Observable Inputs (Level 2) [Member] | Recurring [Member] | Money Market Investments [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 1,965 | 2,413 |
Significant Other Observable Inputs (Level 2) [Member] | Recurring [Member] | Corporate Bonds and Other Securities [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 25,725 | 23,585 |
Significant Other Observable Inputs (Level 2) [Member] | Recurring [Member] | Interest Rate Lock [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 15 | 43 |
Significant Other Observable Inputs (Level 2) [Member] | Recurring [Member] | Interest Rate Swap on Loans [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 1,585 | 181 |
Derivative [Abstract] | ||
Derivative Liabilities | 1,585 | 181 |
Significant Other Observable Inputs (Level 2) [Member] | Nonrecurring [Member] | ||
Derivative [Abstract] | ||
Impaired loans | 0 | 0 |
Loans held for sale | 774 | 3,287 |
Significant Other Observable Inputs (Level 2) [Member] | Nonrecurring [Member] | Construction [Member] | ||
Derivative [Abstract] | ||
Impaired loans | 0 | |
Significant Other Observable Inputs (Level 2) [Member] | Nonrecurring [Member] | Commercial Loans [Member] | ||
Derivative [Abstract] | ||
Impaired loans | 0 | |
Significant Unobservable Inputs (Level 3) [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Derivative [Abstract] | ||
Loans held for sale | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Interest Rate Lock [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Interest Rate Swap on Loans [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 0 | 0 |
Derivative [Abstract] | ||
Derivative Liabilities | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Recurring [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Derivatives [Abstract] | ||
Total assets | 0 | 0 |
Derivative [Abstract] | ||
Total liabilities | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Recurring [Member] | U.S. Treasury Securities [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Recurring [Member] | Obligations of U.S. Government Agencies [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Recurring [Member] | Obligations of State and Political Subdivisions [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Recurring [Member] | Mortgage-Backed Securities [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Recurring [Member] | Money Market Investments [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Recurring [Member] | Corporate Bonds and Other Securities [Member] | ||
Assets [Abstract] | ||
Debt securities, available-for-sale | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Recurring [Member] | Interest Rate Lock [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Recurring [Member] | Interest Rate Swap on Loans [Member] | ||
Derivatives [Abstract] | ||
Derivative Assets | 0 | 0 |
Derivative [Abstract] | ||
Derivative Liabilities | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Nonrecurring [Member] | ||
Derivative [Abstract] | ||
Impaired loans | 110 | 87 |
Loans held for sale | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Nonrecurring [Member] | Construction [Member] | ||
Derivative [Abstract] | ||
Impaired loans | $ 110 | |
Significant Unobservable Inputs (Level 3) [Member] | Nonrecurring [Member] | Commercial Loans [Member] | ||
Derivative [Abstract] | ||
Impaired loans | $ 87 |
Fair Value Measurements, Quantitative Information (Details) - Market Comparables [Member] $ in Thousands |
Sep. 30, 2022
USD ($)
|
Dec. 31, 2021
USD ($)
|
---|---|---|
Construction [Member] | Selling Costs [Member] | Minimum [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Impaired Loans Measurement Input | 0.03 | |
Construction [Member] | Selling Costs [Member] | Maximum [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Impaired Loans Measurement Input | 0.08 | |
Construction [Member] | Selling Costs [Member] | Weighted Average [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Impaired Loans Measurement Input | 0.0725 | |
Commercial Loan [Member] | Selling Costs [Member] | Minimum [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Impaired Loans Measurement Input | 0 | |
Commercial Loan [Member] | Selling Costs [Member] | Maximum [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Impaired Loans Measurement Input | 0.08 | |
Commercial Loan [Member] | Selling Costs [Member] | Weighted Average [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Impaired Loans Measurement Input | 0.07 | |
Fair Value, Nonrecurring [Member] | Construction [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Impaired Loans Fair Value | $ 110 | |
Fair Value, Nonrecurring [Member] | Commercial Loan [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Impaired Loans Fair Value | $ 87 |
Fair Value Measurements, Estimated Fair Values and Related Carrying or Notional Amounts (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Assets [Abstract] | ||
Cash and cash equivalents | $ 54,543 | $ 187,922 |
Securities available-for-sale, at fair value | 227,540 | 234,321 |
Restricted securities | 1,389 | 1,034 |
Loans held for sale | 774 | 3,287 |
Loans, net of allowances for loan losses | 945,132 | 833,661 |
Bank owned life insurance | 31,293 | 28,168 |
Accrued interest receivable | 3,773 | 3,339 |
Liabilities [Abstract] | ||
Deposits | 1,182,308 | 1,177,099 |
Overnight repurchase agreements | 3,981 | 4,536 |
Federal Reserve Bank borrowings | 480 | |
Long term borrowings | 29,505 | 29,407 |
Accrued interest payable | 380 | 693 |
Interest Rate Lock [Member] | ||
Assets [Abstract] | ||
Derivatives | 15 | 43 |
Interest Rate Swap on Loans [Member] | ||
Assets [Abstract] | ||
Derivatives | 1,585 | 181 |
Liabilities [Abstract] | ||
Derivative | 1,585 | 181 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Assets [Abstract] | ||
Cash and cash equivalents | 54,543 | 187,922 |
Securities available-for-sale, at fair value | 0 | 0 |
Restricted securities | 0 | 0 |
Loans held for sale | 0 | 0 |
Loans, net of allowances for loan losses | 0 | 0 |
Bank owned life insurance | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Liabilities [Abstract] | ||
Deposits | 0 | 0 |
Overnight repurchase agreements | 0 | 0 |
Federal Reserve Bank borrowings | 0 | |
Long term borrowings | 0 | 0 |
Accrued interest payable | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Interest Rate Lock [Member] | ||
Assets [Abstract] | ||
Derivatives | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Interest Rate Swap on Loans [Member] | ||
Assets [Abstract] | ||
Derivatives | 0 | 0 |
Liabilities [Abstract] | ||
Derivative | 0 | 0 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Assets [Abstract] | ||
Cash and cash equivalents | 0 | 0 |
Securities available-for-sale, at fair value | 227,540 | 234,321 |
Restricted securities | 1,389 | 1,034 |
Loans held for sale | 774 | 3,287 |
Loans, net of allowances for loan losses | 0 | 0 |
Bank owned life insurance | 31,293 | 28,168 |
Accrued interest receivable | 3,773 | 3,339 |
Liabilities [Abstract] | ||
Deposits | 1,182,220 | 1,179,631 |
Overnight repurchase agreements | 3,981 | 4,536 |
Federal Reserve Bank borrowings | 480 | |
Long term borrowings | 25,240 | 29,657 |
Accrued interest payable | 380 | 693 |
Significant Other Observable Inputs (Level 2) [Member] | Interest Rate Lock [Member] | ||
Assets [Abstract] | ||
Derivatives | 15 | 43 |
Significant Other Observable Inputs (Level 2) [Member] | Interest Rate Swap on Loans [Member] | ||
Assets [Abstract] | ||
Derivatives | 1,585 | 181 |
Liabilities [Abstract] | ||
Derivative | 1,585 | 181 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Assets [Abstract] | ||
Cash and cash equivalents | 0 | 0 |
Securities available-for-sale, at fair value | 0 | 0 |
Restricted securities | 0 | 0 |
Loans held for sale | 0 | 0 |
Loans, net of allowances for loan losses | 925,965 | 834,693 |
Bank owned life insurance | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Liabilities [Abstract] | ||
Deposits | 0 | 0 |
Overnight repurchase agreements | 0 | 0 |
Federal Reserve Bank borrowings | 0 | |
Long term borrowings | 0 | 0 |
Accrued interest payable | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Interest Rate Lock [Member] | ||
Assets [Abstract] | ||
Derivatives | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Interest Rate Swap on Loans [Member] | ||
Assets [Abstract] | ||
Derivatives | 0 | 0 |
Liabilities [Abstract] | ||
Derivative | $ 0 | $ 0 |
Segment Reporting (Details) $ in Thousands |
3 Months Ended | 9 Months Ended | 12 Months Ended | ||
---|---|---|---|---|---|
Sep. 30, 2022
USD ($)
|
Sep. 30, 2021
USD ($)
|
Sep. 30, 2022
USD ($)
Segment
|
Sep. 30, 2021
USD ($)
|
Dec. 31, 2021
USD ($)
|
|
Segment Reporting [Abstract] | |||||
Number of principal business segments | Segment | 3 | ||||
Revenues [Abstract] | |||||
Interest and dividend income | $ 12,368 | $ 10,815 | $ 33,923 | $ 31,652 | |
Total operating income | 15,733 | 14,421 | 44,303 | 42,930 | |
Expenses [Abstract] | |||||
Interest expense | 797 | 939 | 2,394 | 2,514 | |
Provision for loan losses | 402 | 360 | 1,073 | 510 | $ 794 |
Salaries and employee benefits | 6,821 | 6,558 | 19,854 | 19,012 | |
Other expenses | 4,744 | 4,370 | 13,514 | 13,009 | |
Total operating expenses | 12,764 | 12,227 | 36,835 | 35,045 | |
Income before income taxes | 2,969 | 2,194 | 7,468 | 7,885 | |
Income tax expense (benefit) | 427 | 286 | 1,003 | 1,123 | |
Net income | 2,542 | 1,908 | 6,465 | 6,762 | |
Capital expenditures | 368 | 370 | 969 | 1,130 | |
Total assets | 1,317,006 | 1,311,626 | 1,317,006 | 1,311,626 | $ 1,338,155 |
Income from Fiduciary Activities [Member] | |||||
Revenues [Abstract] | |||||
Noninterest revenue | 953 | 1,032 | 3,086 | 3,110 | |
Other Income [Member] | |||||
Revenues [Abstract] | |||||
Noninterest revenue | 2,412 | 2,574 | 7,294 | 8,168 | |
Operating Segments [Member] | Bank [Member] | |||||
Revenues [Abstract] | |||||
Interest and dividend income | 12,347 | 10,809 | 33,871 | 31,635 | |
Total operating income | 14,432 | 13,150 | 40,265 | 39,061 | |
Expenses [Abstract] | |||||
Interest expense | 502 | 688 | 1,509 | 2,258 | |
Provision for loan losses | 402 | 360 | 1,073 | 510 | |
Salaries and employee benefits | 5,733 | 5,644 | 16,704 | 16,263 | |
Other expenses | 4,413 | 4,077 | 12,363 | 12,139 | |
Total operating expenses | 11,050 | 10,769 | 31,649 | 31,170 | |
Income before income taxes | 3,382 | 2,381 | 8,616 | 7,891 | |
Income tax expense (benefit) | 514 | 325 | 1,243 | 1,123 | |
Net income | 2,868 | 2,056 | 7,373 | 6,768 | |
Capital expenditures | 355 | 370 | 956 | 1,089 | |
Total assets | 1,308,759 | 1,304,291 | 1,308,759 | 1,304,291 | |
Operating Segments [Member] | Bank [Member] | Income from Fiduciary Activities [Member] | |||||
Revenues [Abstract] | |||||
Noninterest revenue | 0 | 0 | 0 | 0 | |
Operating Segments [Member] | Bank [Member] | Other Income [Member] | |||||
Revenues [Abstract] | |||||
Noninterest revenue | 2,085 | 2,341 | 6,394 | 7,426 | |
Operating Segments [Member] | Wealth Management [Member] | |||||
Revenues [Abstract] | |||||
Interest and dividend income | 21 | 6 | 52 | 17 | |
Total operating income | 1,316 | 1,287 | 4,084 | 3,915 | |
Expenses [Abstract] | |||||
Interest expense | 0 | 0 | 0 | 0 | |
Provision for loan losses | 0 | 0 | 0 | 0 | |
Salaries and employee benefits | 902 | 746 | 2,643 | 2,253 | |
Other expenses | 288 | 257 | 867 | 788 | |
Total operating expenses | 1,190 | 1,003 | 3,510 | 3,041 | |
Income before income taxes | 126 | 284 | 574 | 874 | |
Income tax expense (benefit) | 27 | 59 | 122 | 184 | |
Net income | 99 | 225 | 452 | 690 | |
Capital expenditures | 13 | 0 | 13 | 41 | |
Total assets | 7,163 | 7,222 | 7,163 | 7,222 | |
Operating Segments [Member] | Wealth Management [Member] | Income from Fiduciary Activities [Member] | |||||
Revenues [Abstract] | |||||
Noninterest revenue | 953 | 1,032 | 3,086 | 3,110 | |
Operating Segments [Member] | Wealth Management [Member] | Other Income [Member] | |||||
Revenues [Abstract] | |||||
Noninterest revenue | 342 | 249 | 946 | 788 | |
Operating Segments [Member] | Parent [Member] | |||||
Revenues [Abstract] | |||||
Interest and dividend income | 2,968 | 2,281 | 7,826 | 7,458 | |
Total operating income | 3,018 | 2,331 | 7,976 | 7,608 | |
Expenses [Abstract] | |||||
Interest expense | 295 | 251 | 885 | 256 | |
Provision for loan losses | 0 | 0 | 0 | 0 | |
Salaries and employee benefits | 186 | 168 | 507 | 496 | |
Other expenses | 108 | 102 | 480 | 278 | |
Total operating expenses | 589 | 521 | 1,872 | 1,030 | |
Income before income taxes | 2,429 | 1,810 | 6,104 | 6,578 | |
Income tax expense (benefit) | (114) | (98) | (362) | (184) | |
Net income | 2,543 | 1,908 | 6,466 | 6,762 | |
Capital expenditures | 0 | 0 | 0 | 0 | |
Total assets | 123,327 | 150,442 | 123,327 | 150,442 | |
Operating Segments [Member] | Parent [Member] | Income from Fiduciary Activities [Member] | |||||
Revenues [Abstract] | |||||
Noninterest revenue | 0 | 0 | 0 | 0 | |
Operating Segments [Member] | Parent [Member] | Other Income [Member] | |||||
Revenues [Abstract] | |||||
Noninterest revenue | 50 | 50 | 150 | 150 | |
Eliminations [Member] | |||||
Revenues [Abstract] | |||||
Interest and dividend income | (2,968) | (2,281) | (7,826) | (7,458) | |
Total operating income | (3,033) | (2,347) | (8,022) | (7,654) | |
Expenses [Abstract] | |||||
Interest expense | 0 | 0 | 0 | 0 | |
Provision for loan losses | 0 | 0 | 0 | 0 | |
Salaries and employee benefits | 0 | 0 | 0 | 0 | |
Other expenses | (65) | (66) | (196) | (196) | |
Total operating expenses | (65) | (66) | (196) | (196) | |
Income before income taxes | (2,968) | (2,281) | (7,826) | (7,458) | |
Income tax expense (benefit) | 0 | 0 | 0 | 0 | |
Net income | (2,968) | (2,281) | (7,826) | (7,458) | |
Capital expenditures | 0 | 0 | 0 | 0 | |
Total assets | (122,243) | (150,329) | (122,243) | (150,329) | |
Eliminations [Member] | Income from Fiduciary Activities [Member] | |||||
Revenues [Abstract] | |||||
Noninterest revenue | 0 | 0 | 0 | 0 | |
Eliminations [Member] | Other Income [Member] | |||||
Revenues [Abstract] | |||||
Noninterest revenue | $ (65) | $ (66) | $ (196) | $ (196) |
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