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Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Operating Activities    
Net income $ 2,860 $ 2,265
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 202 222
Provision for loan losses 300 125
Net gain on investment securities available-for-sale (749) (319)
Net gain on sale of other real estate owned, repossessed assets and premises and equipment (1) (1)
Net gain on sale of loans (50) (49)
Proceeds from sales of residential mortgages held-for-sale 2,023 1,557
Origination of residential mortgages held-for-sale (2,087) (611)
Income on bank-owned life insurance (71) (71)
Stock-based compensation expense 18 16
Net decrease in trading securities 1,238 183
Deferred income tax provision (67) (17)
Net increase in income taxes payable 1,139 153
Net decrease (increase) in accrued interest receivable 354 (48)
Amortization of mortgage servicing rights and change in valuation allowance 20 17
Net amortization of premiums and discounts on investment securities 414 482
Net (decrease) increase in accrued interest payable (32) 2
Increase in other assets (817) (553)
(Decrease) increase in other liabilities (12) 73
Net cash provided by operating activities 4,682 3,426
Investing Activities    
Proceeds from payments, maturities and calls of investment securities available-for-sale 14,116 22,102
Proceeds from the sale of investment securities available-for-sale 13,996 24,616
Purchases of investment securities available-for-sale (18,943) (26,740)
Proceeds from redemption of investment in restricted bank stock 1,930 1,482
Purchase of restricted bank stock (1,823) (1,482)
Net (increase) decrease in loans (25,935) 13,461
Net purchases of premises and equipment (58) (37)
Redemption of bank-owned life insurance 446  
Proceeds from sales of other real estate owned and repossessed assets   1
Net cash provided by (used in) investing activities (16,271) 33,403
Financing Activities    
Net increase in non-interest bearing deposits 2,768 7,117
Net increase (decrease) in interest-bearing deposits 26,768 (31,543)
Net (decrease) increase in short-term borrowings (7,395) 3,263
Tax benefit from exercise of stock options   12
Cash dividends paid, net of reinvestment (928) (884)
Proceeds from issuance of common stock 197 353
Net cash provided by financing activities 21,410 (21,682)
Increase in cash and cash equivalents 9,821 15,147
Cash and cash equivalents at beginning of year 10,721 16,991
Cash and cash equivalents at end of period 20,542 32,138
Supplemental Cash Flow Disclosures    
Interest paid 1,288 1,157
Income taxes paid 49 640
Non-cash transactions:    
Unsettled trades to purchase securities $ 155 546
Unsettled trades to sell securities   $ (875)