XML 37 R28.htm IDEA: XBRL DOCUMENT v3.22.2.2
Fair Value of Financial Instruments (Tables)
9 Months Ended
Sep. 30, 2022
Fair Value of Financial Instruments [Abstract]  
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques

​

​

​

​

​

​

​

​

​

​

​

(in thousands)

    

Fair Value at
September 30,
2022

    

Valuation
Technique

    

Significant
Unobservable
Inputs

    

Significant
Unobservable
Input Value

Recurring:

​

​

​

​

​

​

​

​

​

Investment Securities – available for sale -CDO

​

$

15,882

​

Discounted Cash Flow

​

Discount Margin

​

Range of low to mid 300 and low to high 400

​

​

​

​

​

​

​

​

​

​

Non-recurring:

​

​

​

​

​

​

​

​

​

Impaired Loans, net

​

$

128

​

Market Comparable Properties

​

Marketability Discount

​

N/A

​

​

​

​

​

​

​

​

​

​

Equity Investment

​

$

1,052

​

Market Method

​

Revenue Multiples

​

2.8x

​

​

​

​

​

​

​

​

​

​

​

(in thousands)

    

Fair Value at
December 31,
2021

    

Valuation
Technique

    

Significant
Unobservable
Inputs

    

Significant
Unobservable
Input Value

Recurring:

​

​

​

​

​

​

​

​

​

Investment Securities – available for sale -CDO

​

$

17,192

​

Discounted Cash Flow

​

Discount Rate

​

Libor + 3.25%

​

​

​

​

​

​

​

​

​

​

Non-recurring:

​

​

​

​

​

​

​

​

​

Impaired Loans, net

​

$

408

​

Market Comparable Properties

​

Marketability Discount

​

10.0% - 15.0% (1) (weighted avg 13.2%)

​

​

​

​

​

​

​

​

​

​

Equity Investment

​

$

590

​

Market Method

​

Revenue Multiples

​

2.8x

​

​

​

​

​

​

​

​

​

​

Other Real Estate Owned

​

$

349

​

Market Comparable Properties

​

Marketability Discount

​

15.0%

​

​

​

​

​

​

​

​

​

​

​

(1)Range would include discounts taken since appraisal and estimated values
Assets and Liabilities Measured at Fair Value on a Recurring and Nonrecurring Basis

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Fair Value Measurements
at September 30, 2022 Using

​

​

​

​

Quoted

​

​

​

​

​

​

​

​

​

Prices in

​

Significant

​

​

​

​

​

Assets

​

Active Markets

​

Other

​

Significant

​

​

Measured at

​

for Identical

​

Observable

​

Unobservable

​

​

Fair Value

​

Assets

​

Inputs

​

Inputs

(in thousands)

    

09/30/22

    

(Level 1)

    

(Level 2)

    

(Level 3)

Recurring:

​

​

​

​

​

​

​

​

​

​

​

​

Investment securities available-for-sale:

​

​

​

​

​

​

​

​

​

​

​

​

U.S. government agencies

​

$

9,447

​

​

​

​

$

9,447

​

​

​

Residential mortgage-backed agencies

​

$

37,734

​

​

​

​

$

37,734

​

​

​

Commercial mortgage-backed agencies

​

$

31,611

​

​

​

​

$

31,611

​

​

​

Collateralized mortgage obligations

​

$

21,701

​

​

​

​

$

21,701

​

​

​

Obligations of states and political subdivisions

​

$

10,744

​

​

​

​

$

10,744

​

​

​

Corporate bonds

​

$

920

​

​

​

​

$

920

​

​

​

Collateralized debt obligations

​

$

15,882

​

​

​

​

​

​

​

$

15,882

Financial derivatives

​

$

1,171

​

​

​

​

$

1,171

​

​

​

Non-recurring:

​

​

​

​

​

​

​

​

​

​

​

​

Impaired loans, net

​

$

128

​

​

​

​

​

​

​

$

128

Equity Investment

​

$

1,052

​

​

​

​

​

​

​

$

1,052

Other real estate owned

​

$

—

​

​

​

​

​

​

​

$

—

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Fair Value Measurements
at December 31, 2021 Using

​

​

​

​

Quoted

​

​

​

​

​

​

​

​

Prices in

​

Significant

​

​

​

​

Assets/(liabilities)

​

Active Markets

​

Other

​

Significant

​

​

Measured at

​

for Identical

​

Observable

​

Unobservable

​

​

Fair Value

​

Assets

​

Inputs

​

Inputs

(in thousands)

    

12/31/21

    

(Level 1)

    

(Level 2)

    

(Level 3)

Recurring:

​

​

​

​

​

​

​

​

​

​

​

​

Investment securities available-for-sale:

​

​

​

​

​

​

​

​

​

​

​

​

U.S. government agencies

​

$

67,169

​

​

​

​

$

67,169

​

​

​

Residential mortgage-backed agencies

​

$

48,661

​

​

​

​

$

48,661

​

​

​

Commercial mortgage-backed agencies

​

$

50,868

​

​

​

​

$

50,868

​

​

​

Collateralized mortgage obligations

​

$

90,077

​

​

​

​

$

90,077

​

​

​

Obligations of states and political subdivisions

​

$

12,804

​

​

​

​

$

12,804

​

​

​

Collateralized debt obligations

​

$

17,192

​

​

​

​

​

​

​

$

17,192

Financial derivatives

​

$

(453)

​

​

​

​

$

(453)

​

​

​

Non-recurring:

​

​

​

​

​

​

​

​

​

​

​

​

Impaired loans, net

​

$

408

​

​

​

​

​

​

​

$

408

Equity investment

​

$

590

​

​

​

​

​

​

​

$

590

Other real estate owned

​

$

349

​

​

​

​

​

​

​

$

349

Reconciliation of Fair Valued Assets Measured on a Recurring Basis

​

​

​

​

​

​

​

Fair Value Measurements

​

​

Using Significant Unobservable Inputs

​

​

(Level 3)

​

​

Investment Securities

(in thousands)

    

Available for Sale

Beginning balance January 1, 2022

​

$

17,192

Total losses realized/unrealized:

​

​

​

Included in other comprehensive loss

​

​

(1,310)

Ending balance September 30, 2022

​

$

15,882

​

​

​

​

​

​

​

​

​

​

​

Fair Value Measurements
Using Significant Unobservable Inputs
(Level 3)

(in thousands)

​

 Investment Securities
Available for Sale

Beginning balance July 1, 2022

​

$

16,258

Total gains realized/unrealized:

​

​

​

Included in other comprehensive income

​

​

(376)

Ending balance September 30, 2022

​

$

15,882

​

​

​

​

​

​

​

​

Fair Value Measurements

​

​

Using Significant Unobservable Inputs

​

​

(Level 3)

​

​

Investment Securities

(in thousands)

    

Available for Sale

Beginning balance January 1, 2021

​

$

13,260

Total losses realized/unrealized:

​

​

​

Included in other comprehensive loss

​

​

3,832

Ending balance September 30, 2021

​

$

17,092

​

​

​

​

​

​

​

​

​

​

​

Fair Value Measurements
Using Significant Unobservable Inputs
(Level 3)

(in thousands)

​

 Investment Securities
Available for Sale

Beginning balance July 1, 2021

​

$

16,230

Total losses realized/unrealized:

​

​

​

Included in other comprehensive income

​

​

862

Ending balance September 30, 2021

​

$

17,092

​

Fair Value by Balance Sheet Grouping

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

September 30, 2022

​

Fair Value Measurements

​

​

​

​

​

​

Quoted

​

​

​

​

​

​

​

​

​

​

Prices in

​

Significant

​

​

​

​

​

​

​

​

Active Markets

​

Other

​

Significant

​

​

​

​

​

​

for Identical

​

Observable

​

Unobservable

​

​

Carrying

​

Fair

​

Assets

​

Inputs

​

Inputs

(in thousands)

    

Amount

    

Value

    

(Level 1)

    

(Level 2)

    

(Level 3)

Financial Assets:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Cash and due from banks

​

$

28,888

​

$

28,888

​

$

28,888

​

​

​

​

​

​

Interest bearing deposits in banks

​

​

1,868

​

​

1,868

​

​

1,868

​

​

​

​

​

​

Investment securities - AFS

​

​

128,039

​

​

128,039

​

​

​

​

$

112,157

​

$

15,882

Investment securities - HTM

​

​

238,445

​

​

205,745

​

​

​

​

​

185,484

​

​

20,261

Restricted bank stock

​

​

1,027

​

​

N/A

​

​

​

​

​

​

​

​

​

Loans, net

​

​

1,262,173

​

​

1,186,783

​

​

​

​

​

​

​

​

1,186,783

Financial derivatives

​

​

1,171

​

​

1,171

​

​

​

​

​

1,171

​

​

​

Accrued interest receivable

​

​

5,157

​

​

5,157

​

​

​

​

​

751

​

​

4,406

Financial Liabilities:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Deposits - non-maturity

​

​

1,386,816

​

​

1,386,816

​

​

​

​

​

1,386,816

​

​

​

Deposits - time deposits

​

​

124,302

​

​

124,217

​

​

​

​

​

124,217

​

​

​

Short-term borrowed funds

​

​

89,726

​

​

89,726

​

​

​

​

​

89,726

​

​

​

Long-term borrowed funds

​

​

30,929

​

​

30,928

​

​

​

​

​

30,928

​

​

​

Accrued interest payable

​

​

104

​

​

104

​

​

​

​

​

104

​

​

​

Off balance sheet financial instruments

​

​

—

​

​

—

​

​

—

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

December 31, 2021

​

Fair Value Measurements

​

​

​

​

​

​

Quoted

​

​

​

​

​

​

​

​

​

​

Prices in

​

Significant

​

​

​

​

​

​

​

​

Active Markets

​

Other

​

Significant

​

​

​

​

​

​

for Identical

​

Observable

​

Unobservable

​

​

Carrying

​

Fair

​

Assets

​

Inputs

​

Inputs

(in thousands)

    

Amount

    

Value

    

(Level 1)

    

(Level 2)

    

(Level 3)

Financial Assets:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Cash and due from banks

​

$

109,823

​

$

109,823

​

$

109,823

​

​

​

​

​

​

Interest bearing deposits in banks

​

​

5,897

​

​

5,897

​

​

5,897

​

​

​

​

​

​

Investment securities - AFS

​

​

286,771

​

​

286,771

​

​

​

​

$

269,579

​

$

17,192

Investment securities - HTM

​

​

56,259

​

​

65,369

​

​

​

​

​

36,448

​

​

28,921

Restricted bank stock

​

​

1,029

​

​

1,029

​

​

​

​

​

1,029

​

​

​

Loan held for sale

​

​

67

​

​

67

​

​

​

​

​

​

​

​

67

Loans, net

​

​

1,137,440

​

​

1,122,671

​

​

​

​

​

​

​

​

1,122,671

Accrued interest receivable

​

​

4,821

​

​

4,821

​

​

​

​

​

4,821

​

​

​

Financial Liabilities:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Deposits - non-maturity

​

​

1,306,145

​

​

1,306,145

​

​

​

​

​

1,306,145

​

​

​

Deposits - time deposits

​

​

163,229

​

​

163,961

​

​

​

​

​

163,961

​

​

​

Financial derivatives

​

​

453

​

​

453

​

​

​

​

​

453

​

​

​

Short-term borrowed funds

​

​

57,699

​

​

57,699

​

​

​

​

​

57,699

​

​

​

Long-term borrowed funds

​

​

30,929

​

​

31,085

​

​

​

​

​

31,085

​

​

​

Accrued interest payable

​

​

137

​

​

137

​

​

​

​

​

137

​

​

​