Business Combination and Asset Purchase (Tables)

3 Months Ended

Mar. 31, 2019

Business Combinations [Abstract]

Summary of Consideration Paid and Amounts of Assets Acquired and Liabilities Assumed Recognized

The following table summarizes the consideration paid for Bank of Geneva and the amounts of the assets acquired and liabilities assumed recognized at the acquisition date.

Fair Value of Consideration Transferred
	(In Thousands)
Cash	$	8,465
Common Shares (1,830,000 shares)		70,437
Total	$	78,902
Recognized amounts of identifiable assets acquired and liabilities assumed
Assets
Cash and cash equivalents	$	6,376
Securities - available-for-sale		17,494
Other securities, at cost		2,347
Loans, net		257,183
Premises and equipment		2,538
Goodwill		43,266
Other assets		7,176
Total Assets Purchased	$	336,380
Liabilities
Deposits
Noninterest bearing	$	37,822
Interest bearing		168,312
Total deposits		206,134
Federal Home Loan Bank (FHLB) advances		48,196
Accrued expenses and other liabilities		3,148
Total Liabilities Assumed	$	257,478

Summary of Carrying Amount of Loans

The carrying amount of those loans is included in loans, net on the balance sheet at March 31.  The amounts of loans at March 31, 2019 are as follows:

	2019
	(In Thousands)
Balance - January 1, 2019
Commercial	$	4,094
Consumer RE		231
Consumer		71
Carrying amount, net of allowance of $2,118	$	2,278
Balance - March 31, 2019
Commercial	$	4,091
Consumer RE		231
Consumer		33
Carrying amount, net of allowance of $2,081	$	2,274

Summary of Loans Acquired and Contractually Required Payments Receivable

Loans acquired during 2019 for which it was probable at acquisition that all contractually required payments would not be collected are as follows:

	(In Thousands)
Contractually required payments receivable at acquisition
Commercial	$	4,215
Consumer RE		261
Consumer		94
Total required payments receivable	$	4,570
Cash flows expected to be collected at acquisition	$	2,788
Basis in acquired loans at acquisition	$	4,396

Summary of Changes in Accretable Yield or Income Expected to be Collected

Changes in accretable yield, or income expected to be collected, are as follows:

	2019
	(In Thousands)
Balance - January 1, 2019	$	2,544
Additions		1
Accretion		(109	)
Reclassification from nonaccretable difference		-
Disposals		-
Balance - March 31, 2019	$	2,436

Schedule of Pro-forma Results

The following schedule includes pro-forma results for the three months ended March 31, 2019 and 2018 as if the Bank of Geneva acquisitions had occurred as of the beginning of the comparable prior reporting period.

	(in thousands of dollars, except per share data)
	Three Months Ended
	March 31, 2019		March 31, 2018
Summary of Operations
Net Interest Income - Before Provision for Loan Losses	$	12,777	$	12,639
Provision for Loan Losses		30		145
Net Interest Income After Provision For Loan Losses		12,747		12,494
Noninterest Income		2,695		2,762
Noninterest Expense		10,224		9,346
Income Before Income Taxes		5,218		5,910
Income Taxes		965		1,108
Net Income	$	4,253	$	4,802
Basic and Diluted Earnings Per Share	$	0.38	$	0.43

Amortization Expense of Core Deposit Intangible Assets

	(In Thousands)		(In Thousands)		(In Thousands)
	Custar		Geneva		Total
2019	$	167	$	560	$	727
2020		161		560		721
2021		-		560		560
2022		-		560		560
2023		-		560		560
2024		-		560		560
2025		-		560		560
	$	328	$	3,920	$	4,248