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Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Operating Activities    
Net income $ 9,612 $ 9,008
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 1,277 684
Provision for loan losses 925 943
Net gain on sales of debt and equity securities (1,563) (314)
Net unrealized gain on equity securities (266) (526)
Net gain on sale of other real estate owned, repossessed assets and premises and equipment (58) (1)
Net gain on sale of loans (112) (82)
Proceeds from sales of residential mortgages held-for-sale 4,043 3,297
Origination of residential mortgages held-for-sale (4,171) (3,369)
Increase in cash surrender value of bank-owned life insurance (208) (207)
Stock-based compensation expense 84 84
Deferred income tax provision 214 (2)
Net increase in income taxes payable 493 478
Net increase in accrued interest receivable (424) (569)
Amortization of mortgage servicing rights and change in valuation allowance 44 47
Net amortization of premiums and discounts on investment securities 1,117 1,093
Net increase in accrued interest payable 341 41
Operating lease payments (431)  
Increase in other assets (837) (371)
(Decrease) increase in other liabilities (383) 596
Net cash provided by operating activities 9,697 10,830
Investing Activities    
Proceeds from payments, maturities and calls of investments available-for-sale 43,455 33,760
Proceeds from the sale of investments available-for-sale 30,294 4,159
Proceeds from the sale of equity securities 10,924 2,720
Purchases of investments available-for-sale (82,126) (19,866)
Purchases of equity securities (5,488) (7,344)
Proceeds from redemption of investment in restricted stock 7,399 8,025
Purchases of restricted stock (8,683) (8,106)
Net increase in loans (45,373) (52,818)
Net purchases of premises and equipment (1,761) (2,014)
Proceeds from sales of other real estate owned and repossessed assets 58 1
Net cash used in investing activities (51,301) (41,483)
Financing Activities    
Net increase (decrease) in non-interest bearing deposits 22,329 (1,123)
Net increase in interest-bearing deposits 10,262 31,740
Net increase in short-term borrowings 19,073 167
Cash dividends paid, net of reinvestment (3,055) (2,892)
Proceeds from issuance of common stock 324 412
Net cash provided by financing activities 48,933 28,304
Increase (decrease) in cash and cash equivalents 7,329 (2,349)
Cash and cash equivalents at beginning of year 13,458 16,331
Cash and cash equivalents at end of period 20,787 13,982
Supplemental Cash Flow Disclosures    
Interest paid 7,348 5,761
Net income taxes paid 921 $ 1,420
Non-cash transactions:    
Right-of-use assets obtained in exchange for new operating lease liabilities $ 2,407