Fair Value of Assets and Liabilities (Tables)

9 Months Ended

Sep. 30, 2018



				Fair Value Measurements
			(Level 1)			(Level 2)	(Level 3)
			Quoted Prices in		Significant Other		Significant Other
			Active Markets for		Observable		Unobservable
(dollars in thousands)	Total		Identical Assets		Inputs		Inputs
September 30, 2018
Securities available-for-sale:
U.S. Treasury notes	$	13,572	$	13,572	$	0	$	0
U.S. agency		14,742		0		14,742		0
U.S. agency mortgage-backed, residential		72,066		0		72,066		0
State and municipal		45,709		0		45,709		0

December 31, 2017
Securities available-for-sale:
U.S. Treasury notes	$	14,071	$	14,071	$	0	$	0
U.S. agency		17,303		0		17,303		0
U.S. agency mortgage-backed, residential		75,175		0		75,175		0
State and municipal		52,042		0		52,042		0



	Quantitative Information about Level 3 Fair Value Measurements
	Fair Value		Valuation	Unobservable		Weighted
(dollars in thousands)	Estimate		Techniques	Input	Range	Average
September 30, 2018
Impaired loans	$	311	Appraisal (1)	Appraisal adjustments (2)	15% - 25%	23%
Impaired loans		8,372	Financial statements (3)	Valuation adjustments (2)	0% - 52%	50%
Mortgage servicing rights		1,081	Multiple of annual	Estimated prepayment speed	7.2% - 8.3%	7.4%
			service fee	based on rate and term
December 31, 2017
Impaired loans	$	1,331	Appraisal (1)	Appraisal adjustments (2)	24% - 52%	38%
Mortgage servicing rights		769	Multiple of annual	Estimated prepayment speed	6.9% - 8.5%	7.6%
			service fee	based on rate and term

(1) Fair value is generally determined through independent appraisals, which generally include various level 3 inputs
that are not identifiable.
(2) Appraisals and financial statement amounts may be adjusted downward by the Corporation's management for qualitative
factors such as econcomic conditions and estimated liquidation expenses. The range of liquidation expenses and other
adjustments are a percent of the appraisal or financial statement book value.
(3) Internal financial statements provided by customers.



						Fair Value Estimates
					(Level 1)		(Level 2)			(Level 3)
					Quoted Prices		Significant		Significant
					in Active		Other		Other
	Carrying		Estimated		Markets for		Observable		Unobservable
(dollars in thousands)	Amount		Fair Value		Identical Assets		Inputs		Inputs
September 30, 2018
Financial assets
Cash and cash equivalents	$	85,348	$	85,348	$	85,348	$	0	$	0
Securities available-for-sale		146,089		146,089		13,572		132,517		0
Restricted investment in bank stocks		6,122		6,122		0		6,122		0
Loans held for sale		3,795		3,928		0		3,928		0
Loans, net		1,475,793		1,452,672		0		0		1,452,672
Interest receivable		5,142		5,142		0		5,142		0
Mortgage servicing rights		876		1,081		0		0		1,081

Financial liabilities
Deposits	$	1,470,259	$	1,452,587	$	0	$	1,452,587	$	0
Short-term borrowings		8,624		8,624		0		8,624		0
Long-term debt		135,310		132,178		0		123,740		8,438
Interest payable		865		865		0		865		0

Off-balance sheet instruments		0		0		0		0		0

December 31, 2017
Financial assets
Cash and cash equivalents	$	79,524	$	79,524	$	79,524	$	0	$	0
Securities available-for-sale		158,591		158,591		14,071		144,520		0
Restricted investment in bank stocks		6,311		6,311		0		6,311		0
Loans held for sale		1,715		1,798		0		1,798		0
Loans, net		1,383,075		1,368,753		0		0		1,368,753
Interest receivable		4,968		4,968		0		4,968		0
Mortgage servicing rights		672		769		0		0		769

Financial liabilities
Deposits	$	1,384,507	$	1,369,008	$	0	$	1,369,008	$	0
Short-term borrowings		20,495		20,495		0		20,495		0
Long-term debt		130,310		127,586		0		119,474		8,112
Interest payable		626		626		0		626		0

Off-balance sheet instruments		0		0		0		0		0