Fair Values of Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2017

Fair Value Disclosures [Abstract]

Fair Value, by Balance Sheet Grouping

For assets measured at fair value on a recurring basis, the fair value measurements by level within the fair value hierarchy are as follows:

(Dollar amounts in thousands)			(Level 1)		(Level 2)		(Level 3)
Description	Total		Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
December 31, 2017:
U.S. Treasury	$	4,472	$	4,472	$	—	$	—
U.S. government sponsored entities and agencies	13,926		—		13,926		—
U.S. agency mortgage-backed securities: residential	20,758		—		20,758		—
U.S. agency collateralized mortgage obligations: residential	21,924		—		21,924		—
State and political subdivision	29,240		—		29,240		—
Corporate debt securities	9,030		—		1,032		7,998
Equity securities	1,817		1,683		—		134
	$	101,167	$	6,155	$	86,880	$	8,132
December 31, 2016:
U.S. Treasury	$	4,500	$	4,500	$	—	$	—
U.S. government sponsored entities and agencies	8,998		—		8,998		—
U.S. agency mortgage-backed securities: residential	25,626		—		25,626		—
U.S. agency collateralized mortgage obligations: residential	24,706		—		24,706		—
State and political subdivision	27,608		—		27,608		—
Corporate debt securities	7,932		—		7,932		—
Equity securities	2,190		2,054		—		136
	$	101,560	$	6,554	$	94,870	$	136

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation

The following table presents changes in Level 3 assets measured on a recurring basis for the years ended December 31, 2017 and 2016:

(Dollar amounts in thousands)	2017			2016
Balance at the beginning of the period	$	136		$	74
Total gains or losses (realized/unrealized):
Included in earnings	—			—
Included in other comprehensive income	(2		)	2
Issuances	—			—
Sales	—			—
Acquired	—			60
Transfers in and/or out of Level 3	7,998			—
Balance at the end of the period	$	8,132		$	136

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis

(Dollar amounts in thousands)			(Level 1)		(Level 2)		(Level 3)
Description	Total		Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
December 31, 2016:
Impaired residential mortgage loan	$	58	$	—	$	—	$	58
Impaired commercial real estate loan	463		—		—		463
Impaired commercial business loan	582		—		—		582
	$	1,103	$	—	$	—	$	1,103

Fair Value Inputs, Assets, Quantitative Information

The following table presents quantitative information about Level 3 fair value measurements for assets measured at fair value on a non-recurring basis:

(Dollar amounts in thousands)			Valuation Technique(s)	Unobservable Input(s)	Range
December 31, 2016:
Impaired residential mortgage loan	$	58	Sales comparison approach	Adjustment for differences between comparable business assets	10%
Impaired commercial real estate loan	463		Sales comparison approach	Adjustment for differences between comparable sales	37%
Impaired commercial business loan	582		Liquidation value of business assets	Adjustment for differences between comparable business assets	64%

Schedule of Carrying Amount and Fair Values of Financial Instruments

The following table sets forth the carrying amount and fair value of the Corporation’s financial instruments included in the consolidated balance sheet as of December 31: 

(Dollar amounts in thousands)
			Fair Value Measurements Using:
Description	Carrying Amount		Total		Level 1		Level 2		Level 3
December 31, 2017:
Financial Assets:
Cash and cash equivalents	$	14,374	$	14,374	$	14,374	$	—	$	—
Securities available for sale	101,167		101,167		6,155		86,880		8,132
Loans held for sale	504		504		—		504		—
Loans, net	577,234		577,616		—		—		577,616
Federal bank stock	4,662		N/A		N/A		N/A		N/A
Accrued interest receivable	2,217		2,217		59		338		1,820
Financial Liabilities:
Deposits	654,643		657,414		483,956		173,458		—
FHLB advances	26,000		25,499		—		25,499		—
Accrued interest payable	413		413		23		390		—
December 31, 2016:
Financial Assets:
Cash and cash equivalents	$	17,568	$	17,568	$	17,568	$	—	$	—
Securities available for sale	101,560		101,560		6,554		94,870		136
Loans held for sale	68		68		—		68		—
Loans, net	515,435		519,573		—		—		519,573
Federal bank stock	4,861		N/A		N/A		N/A		N/A
Accrued interest receivable	1,815		1,815		37		365		1,413
Financial Liabilities:
Deposits	584,940		582,458		423,693		158,765		—
FHLB advances	44,000		44,027		—		44,027		—
Accrued interest payable	239		239		7		232		—

Schedule of Fair Value, Off-balance Sheet Risks

The following table presents the notional amount of the Corporation’s off-balance sheet commitment financial instruments as of December 31:

(Dollar amounts in thousands)	2017				2016
	Fixed Rate		Variable Rate		Fixed Rate		Variable Rate
Commitments to make loans	$	8,611	$	1,022	$	11,940	$	12,785
Unused lines of credit	8,452		71,645		5,207		62,594
	$	17,063	$	72,667	$	17,147	$	75,379