Fair Value Measurements (Tables)

12 Months Ended

Jun. 30, 2015

Fair Value Measurements

Schedule of assets and liabilities measured at fair value on a recurring basis

	June 30, 2015
	Total		Level 1		Level 2		Level 3
	(Dollars in thousands)
Assets
Securities available-for-sale:
U.S. Government agency securities	$	48,230	$	—	$	48,230	$	—
Agency mortgage-backed securities		53,678		—		53,678		—
Other assets—interest rate caps		199		—		199		—
Liabilities
Other liabilities—interest rate swaps	$	1,048	$	—	$	1,048	$	—

	June 30, 2014
	Total		Level 1		Level 2		Level 3
	(Dollars in thousands)
Assets
Securities available-for-sale:
U.S. Government agency securities	$	48,418	$	—	$	48,418	$	—
Agency mortgage-backed securities		65,463		—		65,463		—
Other assets—interest rate caps		—		—		—		—
Liabilities
Other liabilities—interest rate swaps	$	714	$	—	$	714	$	—

Schedule of assets measured at fair value on a nonrecurring basis

	June 30, 2015
	Total		Level 1		Level 2		Level 3
	(Dollars in thousands)
Collateral dependent impaired loans	$	932	$	—	$	—	$	932
Real estate owned and other repossessed collateral		1,651		—		—		1,651
Loan servicing rights		1,123		—		—		1,123

	June 30, 2014
	Total		Level 1		Level 2		Level 3
	(Dollars in thousands)
Collateral dependent impaired loans	$	1,467	$	—	$	—	$	1,467
Real estate owned and other repossessed collateral		1,991		—		—		1,991
Loan servicing rights		300						300

Schedule of quantitative information about significant unobservable inputs (Level 3) for assets measured at fair value on a nonrecurring basis

	Fair Value
	June 30, 2015		June 30, 2014		Valuation Technique
	(Dollars in thousands)
Collateral dependent impaired loans	$	932	$	1,467	Appraisal of collateral(1)
Real estate owned and other repossessed collateral		1,651		1,991	Appraisal of collateral(1)
Loan servicing rights		1,123		300	Discounted cash flow(2)

(1)

Fair value is generally determined through independent appraisals of the underlying collateral. The Company may also use another available source of collateral assessment to determine a reasonable estimate of the fair value of the collateral. Appraisals may be adjusted by management for qualitative factors such as economic factors and estimated liquidation expenses. The range of these possible adjustments may vary.

(2)

Fair value is determined using a discounted cash flow model. The unobservable inputs include anticipated rate of loan prepayments and discount rates. The range of prepayment assumptions used was 6.08% to 13.14%. For discount rates, the range was 7.25% to 7.50%.

Schedule of estimated fair value of the Company's financial instruments

			Fair Value Measurements at June 30, 2015
	Carrying Amount
			Total		Level 1		Level 2		Level 3
	(Dollars in thousands)
Financial assets:
Cash and cash equivalents	$	89,850	$	89,850	$	89,850	$	—	$	—
Available-for-sale securities		101,908		101,908		—		101,908		—
Federal Home Loan Bank stock		4,102		4,102		—		4,102		—
Loans held for sale		9,035		9,035		—		9,035		—
Loans, net		610,211		613,896		—		—		613,896
Accrued interest receivable		1,335		1,335		—		1,335		—
Interest rate caps		199		199		—		199		—
Financial liabilities:
Deposits		674,759		675,285		—		675,285		—
FHLB advances		30,188		30,867		—		30,867		—
Wholesale repurchase agreements		10,037		10,098		—		10,098		—
Short-term borrowings		2,349		2,349		—		2,349		—
Capital lease obligation		1,368		1,448		—		1,448		—
Subordinated debentures		8,626		8,471		—		—		8,471
Interest rate swaps		1,048		1,048		—		1,048		—

			Fair Value Measurements at June 30, 2014
	Carrying Amount
			Total		Level 1		Level 2		Level 3
	(Dollars in thousands)
Financial assets:
Cash and cash equivalents	$	82,259	$	82,259	$	82,259	$	—	$	—
Available-for-sale securities		113,881		113,881		—		113,881		—
Federal Home Loan Bank stock		4,102		4,102		—		4,102		—
Loans held for sale		11,945		11,945		—		11,945		—
Loans, net		515,049		522,154		—		—		522,154
Accrued interest receivable		1,216		1,216		—		1,216		—
Interest rate caps		—		—		—		—		—
Financial liabilities:
Deposits		574,329		574,868		—		574,868		—
FHLB advances		42,824		43,843		—		43,843		—
Wholesale repurchase agreements		10,199		10,484		—		10,484		—
Short-term borrowings		2,984		2,984		—		2,984		—
Capital lease obligation		1,558		1,701		—		1,701		—
Subordinated debentures		8,440		7,858		—		—		7,858
Interest rate swaps		714		714		—		714		—