XML 67 R58.htm IDEA: XBRL DOCUMENT v3.26.1
Fair Value Measurements (Tables)
12 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
Financial Assets And Liabilities Measured At Fair Value On A Recurring Basis

The following table presents balances of financial assets and liabilities measured at fair value on a recurring basis at December 31, 2025 and December 31, 2024:

 

 

 

 

 

 

Fair Value Measurements at

 

 

 

 

 

 

December 31, 2025

 

 

 

 

 

 

Using

 

 

 

Balance as of

 

 

Quoted Prices
in Active
Markets
for Identical
Assets

 

 

Significant
Other
Observable
Inputs

 

 

Significant
Unobservable
Inputs

 

 

 

December 31, 2025

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Securities available for sale

 

 

 

 

 

 

 

 

 

 

 

 

Obligations of U.S. government corporations and agencies

 

$

7,444

 

 

$

 

 

$

7,444

 

 

$

 

U.S. treasury notes

 

 

10,001

 

 

 

 

 

 

10,001

 

 

 

 

Mortgage-backed securities

 

 

75,129

 

 

 

 

 

 

75,129

 

 

 

 

Collateralized mortgage obligations

 

 

22,495

 

 

 

 

 

 

22,495

 

 

 

 

Subordinated debt

 

 

4,474

 

 

 

 

 

 

3,974

 

 

 

500

 

Derivative:

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate swaps on loans

 

 

1,030

 

 

 

 

 

 

1,030

 

 

 

 

Total assets at fair value

 

$

120,573

 

 

$

 

 

$

120,073

 

 

$

500

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate swaps on loans

 

$

1,030

 

 

 

 

 

$

1,030

 

 

$

 

Fair value swap

 

 

75

 

 

 

 

 

 

75

 

 

 

 

Total liabilities at fair value

 

$

1,105

 

 

$

 

 

$

1,105

 

 

$

 

 

 

 

 

 

 

Fair Value Measurements at

 

 

 

 

 

 

December 31, 2024

 

 

 

 

 

 

Using

 

 

 

Balance as of

 

 

Quoted Prices
in Active
Markets for
Identical
Assets

 

 

Significant
Other
Observable
Inputs

 

 

Significant
Unobservable
Inputs

 

 

 

December 31, 2024

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Securities available for sale

 

 

 

 

 

 

 

 

 

 

 

 

Obligations of U.S. government corporations and agencies

 

$

7,668

 

 

$

 

 

$

7,668

 

 

$

 

Mortgage-backed securities

 

 

104,967

 

 

 

 

 

 

104,967

 

 

 

 

Obligations of states and political subdivisions

 

 

4,645

 

 

 

 

 

 

4,645

 

 

 

 

Subordinated debt

 

 

4,050

 

 

 

 

 

 

4,050

 

 

 

 

Derivative:

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate swaps on loans

 

 

1,466

 

 

 

 

 

 

1,466

 

 

 

 

Fair value swap

 

 

93

 

 

 

 

 

 

93

 

 

 

 

Total assets at fair value

 

$

122,889

 

 

$

 

 

$

122,889

 

 

$

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate swaps on loans

 

$

1,466

 

 

$

 

 

$

1,466

 

 

$

 

Total liabilities at fair value

 

$

1,466

 

 

$

 

 

$

1,466

 

 

$

 

Schedule of all assets measured at fair value on a recurring basis classified as Level 3

The table below presents a reconciliation for all assets measured at fair value on a recurring basis classified as Level 3 for the year ended December 31, 2025:

 

 

 

Subordinated Debt Securities AFS

 

 

 

2025

 

 

 

(in thousands)

 

Balance of recurring Level 3 assets at January 1

 

 

 

Total gains (losses) included in net income

 

 

 

Total gains (losses) included in OCI

 

 

 

Purchases

 

 

500

 

Sales

 

 

 

Issuances

 

 

 

Settlements

 

 

 

Transfer into Level 3

 

 

 

Transfer out of Level 3

 

 

 

Balance of recurring Level 3 assets at December 31

 

 

500

 

Quantitative Information About Level 3 Fair Value Measurements For Certain Financial Assets

The following table displays quantitative information about Level 3 Fair Value Measurements for certain financial assets measured at fair value on a nonrecurring basis at December 31, 2025 and 2024:

 

 

 

Quantitative information about Level 3 Fair Value Measurements

 

 

December 31, 2025

 

 

Valuation Technique(s)

 

Unobservable Input

 

Range

 

Weighted Average (1)

Assets:

 

 

 

 

 

 

 

 

Collateral dependent individually evaluated loans

 

Discounted value

 

Selling cost and appraisal discount

 

6% - 40%

 

9 %

Repossessed assets

 

Offer value

 

Selling cost

 

10 %

 

10 %

 

 

 

 

 

December 31, 2024

 

 

Valuation Technique(s)

 

Unobservable Input

 

Range

 

Weighted Average (1)

Assets:

 

 

 

 

 

 

 

 

Collateral dependent individually evaluated loans

 

Discounted value

 

Selling cost and appraisal discount

 

16 %

 

16 %

Repossessed assets

 

Discounted appraised value

 

Selling cost

 

10%

 

10 %

 

(1)
Weighted based on the relative fair values of the specific items measured at fair value.
Financial And Nonfinancial Assets Measured At Fair Value On A Nonrecurring Basis

The following tables summarize the Company’s financial and nonfinancial assets that were measured at fair value on a nonrecurring basis at December 31, 2025 and 2024:

 

 

 

 

 

 

Carrying value at

 

 

 

 

 

 

December 31, 2025

 

 

 

Balance as of

 

 

Quoted Prices in
Active Markets for Identical Assets

 

 

Significant Other
Observable Inputs

 

 

Significant
Unobservable
Inputs

 

 

 

December 31, 2025

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

 

 

(in thousands)

 

Financial Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Collateral dependent individually evaluated loans

 

$

2,256

 

 

$

 

 

$

 

 

$

2,256

 

Nonfinancial Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Repossessed assets

 

$

135

 

 

 

 

 

 

 

 

$

135

 

 

 

 

 

 

 

Carrying value at

 

 

 

 

 

 

December 31, 2024

 

 

 

Balance as of

 

 

Quoted Prices in
Active Markets for Identical Assets

 

 

Significant Other
Observable Inputs

 

 

Significant
Unobservable
Inputs

 

 

 

December 31, 2024

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

 

 

(in thousands)

 

Financial Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Impaired loans

 

$

659

 

 

$

 

 

$

 

 

$

659

 

Nonfinancial Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Reposessed assets

 

$

514

 

 

$

 

 

$

 

 

$

514

 

Company's Financial Instruments

The carrying amount and fair value of the Company’s financial instruments at December 31, 2025 and 2024 were as follows:

 

 

 

 

 

 

Fair Value Measurements at

 

 

 

 

 

 

 

 

 

December 31, 2025

 

 

 

 

 

 

 

 

 

Using

 

 

 

 

 

 

Carrying
Value
as of

 

 

Quoted
Prices
in Active
Markets
for
Identical
Assets

 

 

Significant
Other
Observable
Inputs

 

 

Significant
Unobservable
Inputs

 

 

Fair Value
as of

 

 

 

December 31, 2025

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

 

December 31, 2025

 

 

 

(in thousands)

 

Financial Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and short-term investments

 

$

217,194

 

 

$

217,194

 

 

$

 

 

$

 

 

$

217,194

 

Securities available for sale

 

 

119,543

 

 

 

 

 

 

119,043

 

 

 

500

 

 

 

119,543

 

Restricted Investments

 

 

3,786

 

 

 

 

 

 

3,786

 

 

 

 

 

 

3,786

 

Loans held for sale

 

 

4,786

 

 

 

 

 

 

4,786

 

 

 

 

 

 

4,786

 

Loans, net

 

 

1,457,757

 

 

 

 

 

 

 

 

 

1,390,948

 

 

 

1,390,948

 

Bank owned life insurance

 

 

31,720

 

 

 

 

 

 

31,720

 

 

 

 

 

 

31,720

 

Accrued interest receivable

 

 

5,287

 

 

 

 

 

 

5,287

 

 

 

 

 

 

5,287

 

Derivative assets

 

 

1,030

 

 

 

 

 

 

1,030

 

 

 

 

 

 

1,030

 

Financial Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

$

1,607,360

 

 

$

 

 

$

1,607,995

 

 

$

 

 

$

1,607,995

 

Federal Home Loan Bank advances, long-term

 

 

40,000

 

 

 

 

 

 

40,080

 

 

 

 

 

 

40,080

 

Subordinated debt

 

 

29,579

 

 

 

 

 

 

27,106

 

 

 

 

 

 

27,106

 

Accrued interest payable

 

 

1,339

 

 

 

 

 

 

1,339

 

 

 

 

 

 

1,339

 

Derivative liabilities

 

 

1,105

 

 

 

 

 

 

1,105

 

 

 

 

 

 

1,105

 

 

 

 

 

 

 

Fair Value Measurements at

 

 

 

 

 

 

 

 

 

December 31, 2024

 

 

 

 

 

 

 

 

 

Using

 

 

 

 

 

 

Carrying
Value
as of

 

 

Quoted Prices
in Active
Markets
for
Identical
Assets

 

 

Significant
Other
Observable
Inputs

 

 

Significant
Unobservable
Inputs

 

 

Fair Value
as of

 

 

 

December 31, 2024

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

 

December 31, 2024

 

 

 

(in thousands)

 

Financial Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and short-term investments

 

$

193,159

 

 

$

193,159

 

 

$

 

 

$

 

 

$

193,159

 

Securities available for sale

 

 

121,330

 

 

 

 

 

 

121,330

 

 

 

 

 

 

121,330

 

Restricted Investments

 

 

7,557

 

 

 

 

 

 

7,557

 

 

 

 

 

 

7,557

 

Loans held for sale

 

 

2,660

 

 

 

 

 

 

2,660

 

 

 

 

 

 

2,660

 

Loans, net

 

 

1,452,022

 

 

 

 

 

 

 

 

 

1,358,734

 

 

 

1,358,734

 

Bank owned life insurance

 

 

30,621

 

 

 

 

 

 

30,621

 

 

 

 

 

 

30,621

 

Accrued interest receivable

 

 

5,149

 

 

 

 

 

 

5,149

 

 

 

 

 

 

5,149

 

Derivative assets

 

 

1,559

 

 

 

 

 

 

1,559

 

 

 

 

 

 

1,559

 

Financial Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

$

1,575,156

 

 

$

 

 

$

1,575,743

 

 

$

 

 

$

1,575,743

 

Federal Home Loan Bank advances, short-term

 

 

25,000

 

 

 

 

 

 

25,006

 

 

 

 

 

 

25,006

 

Federal Home Loan Bank advances, long-term

 

 

95,000

 

 

 

 

 

 

95,242

 

 

 

 

 

 

95,242

 

Subordinated debt

 

 

29,512

 

 

 

 

 

 

26,148

 

 

 

 

 

 

26,148

 

Accrued interest payable

 

 

2,249

 

 

 

 

 

 

2,249

 

 

 

 

 

 

2,249

 

Derivative liabilities

 

 

1,466

 

 

 

 

 

 

1,466

 

 

 

 

 

 

1,466