Condensed Financial Information (Parent Company Only)

12 Months Ended

Dec. 31, 2014

Condensed Financial Information (Parent Company Only) [Abstract]

Condensed Financial Information (Parent Company Only)

Note 17 - Condensed Financial Information (Parent Company Only)

Information as to the financial position of Severn Bancorp, Inc. as of December 31, 2014 and 2013 and results of operations and cash flows for each of the years ended December 31, 2014 and 2013 is summarized below.

	December 31,
	2014		2013
	(dollars in thousands)
Statements of Financial Condition
Cash	$	1,316	$	969
Equity in net assets of subsidiaries:
Bank		107,316		103,196
Non-Bank		3,758		3,675
Loans, net of allowance for loan losses of $- and $19, respectively		-		331
Foreclosed real estate		-		250
Other assets		920		1,479
Total assets	$	113,310	$	109,900
Subordinated debentures	$	24,119	$	24,119
Other liabilities		5,381		3,012
Total liabilities		29,500		27,131
Stockholders’ equity		83,810		82,769
Total liabilities and stockholders’ equity	$	113,310	$	109,900

	December 31,
	2014			2013
Statements of Operations
Interest income	$	34		$	26
Interest expense on subordinated debentures		1,086			857
Net interest expense		(1,052	)		(831	)
General and administrative expenses		242			184
Provision for loan losses		(19	)		-
Loss before income taxes and equity in undistributed net income (loss) of subsidiaries		(1,275	)		(1,015	)
Income tax expense		(20	)		(3	)
Equity in undistributed net income (loss) of subsidiaries		4,204			(24,147	)
Net income (loss)	$	2,909		$	(25,165	)

	For the Years Ended December 31,
	2014			2013
	(dollars in thousands)
Statements of Cash Flows
Cash Flows from Operating Activities:
Net income (loss)	$	2,909		$	(25,165	)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Equity in undistributed (earnings) loss of subsidiaries		(4,204	)		24,147
Provision for loan losses		(19	)		-
Decrease (increase) in other assets		559			(65	)
Stock-based compensation expense		201			108
Increase in other liabilities		298			579
Cash (used in) operating activities		(256	)		(396	)
Cash Flows from Investing Activities:
Net decrease in loans		350			-
Cash provided by investing activities		350			-
Cash Flows from Financing Activities:
Proceeds from sale of foreclosed real estate		250			-
Proceeds from exercise of options		3			-
Cash provided by financing activities		253			-
Increase (decrease) in cash and cash equivalents		347			(396	)
Cash and cash equivalents at beginning of year		969			1,365
Cash and cash equivalents at end of year	$	1,316		$	969
Supplemental disclosure of cash flows information:
Transfer of net loans to foreclosed real estate	$	-		$	250