XML 60 R46.htm IDEA: XBRL DOCUMENT v3.6.0.2
FAIR VALUE (Tables)
 12 Months Ended
Dec. 31, 2016
FAIR VALUE [Abstract]  
Carrying Amounts and Estimated Fair Values of Financial Instruments
The carrying amounts and estimated fair values of financial instruments at December 31, 2016 were as follows:

     
Fair Value Measurements at December 31, 2016 Using
 
  
Carrying
Amount
  
Level 1
  
Level 2
  
Level 3
  
Total
 
Financial assets
               
Cash and due from banks
 
$
97,163
  
$
97,163
  
$
-
  
$
-
  
$
97,163
 
Time deposits with other banks
  
2,332
   
-
   
2,352
   
-
   
2,352
 
Federal funds sold
  
7,555
   
7,555
   
-
   
-
   
7,555
 
Securities available for sale
  
288,607
   
-
   
288,607
   
-
   
288,607
 
Loans, net
  
1,013,987
   
-
   
-
   
1,004,388
   
1,004,388
 
Federal Home Loan Bank stock
  
3,200
   
n/a
   
n/a
   
n/a
   
n/a
 
Interest receivable
  
3,862
   
-
   
771
   
3,091
   
3,862
 
                     
Financial liabilities
                    
Deposits
 
$
(1,279,386
)
 
$
(920,745
)
 
$
(354,885
)
 
$
-
  
$
(1,275,630
)
Securities sold under agreements to repurchase
  
(23,820
)
  
-
   
(23,820
)
  
-
   
(23,820
)
Other borrowed funds
  
(8,859
)
  
-
   
(8,906
)
  
-
   
(8,906
)
Subordinated debt
  
(5,343
)
  
-
   
(5,341
)
  
-
   
(5,341
)
Interest payable
  
(364
)
  
(7
)
  
(357
)
  
-
   
(364
)

The carrying amounts and estimated fair values of financial instruments at December 31, 2015 were as follows:

     
Fair Value Measurements at December 31, 2015 Using
 
  
Carrying
Amount
  
Level 1
  
Level 2
  
Level 3
  
Total
 
Financial assets
               
Cash and due from banks
 
$
66,704
  
$
66,704
  
$
-
  
$
-
  
$
66,704
 
Federal funds sold
  
5,835
   
5,835
   
-
   
-
   
5,835
 
Securities available for sale
  
255,466
   
-
   
255,466
   
-
   
255,466
 
Loans, net
  
840,099
   
-
   
-
   
838,867
   
838,867
 
Federal Home Loan Bank stock
  
3,072
   
n/a
   
n/a
   
n/a
   
n/a
 
Interest receivable
  
3,162
   
-
   
633
   
2,529
   
3,162
 
                     
Financial liabilities
                    
Deposits
 
$
(1,060,196
)
 
$
(726,018
)
 
$
(331,747
)
 
$
-
  
$
(1,057,765
)
Securities sold under agreements to repurchase
  
(21,694
)
  
-
   
(21,694
)
  
-
   
(21,694
)
Other borrowed funds
  
(11,292
)
  
-
   
(11,318
)
  
-
   
(11,318
)
Interest payable
  
(321
)
  
(6
)
  
(315
)
  
-
   
(321
)
Assets and Liabilities Measured at Fair Value on a Recurring Basis
Assets and liabilities measured at fair value on a recurring basis at December 31, 2016 are summarized below:

     
Fair Value Measurements at
December 31, 2016 Using:
 
  
Carrying Value
  
Quoted Prices in Active Markets for Identical Assets
(Level 1)
  
Significant Other Observable Inputs
(Level 2)
  
Significant Unobservable Inputs
(Level 3)
 
Securities available for sale
            
Mortgage-backed securities
            
U. S. agency MBS - residential
 
$
174,177
  
$
-
  
$
174,177
  
$
-
 
U. S. agency CMO's
  
73,267
   
-
   
73,267
   
-
 
Total mortgage-backed securities of government sponsored agencies
  
247,444
   
-
   
247,444
   
-
 
U. S. government sponsored agency securities
  
24,501
   
-
   
24,501
   
-
 
Obligations of states and political subdivisions
  
16,662
   
-
   
16,662
   
-
 
Total securities available for sale
 
$
288,607
  
$
-
  
$
288,607
  
$
-
 

Assets and liabilities measured at fair value on a recurring basis at December 31, 2015 are summarized below:

     
Fair Value Measurements at
December 31, 2015 Using:
 
  
Carrying Value
  
Quoted Prices in Active Markets for Identical Assets
(Level 1)
  
Significant Other Observable Inputs
(Level 2)
  
Significant Unobservable Inputs
(Level 3)
 
Securities available for sale
            
Mortgage-backed securities
            
U. S. agency MBS - residential
 
$
132,347
  
$
-
  
$
132,347
  
$
-
 
U. S. agency CMO's
  
105,122
   
-
   
105,122
   
-
 
Total mortgage-backed securities of government sponsored agencies
  
237,469
   
-
   
237,469
   
-
 
U. S. government sponsored agency securities
  
10,429
   
-
   
10,429
   
-
 
Obligations of states and political subdivisions
  
7,568
   
-
   
7,568
   
-
 
Total securities available for sale
 
$
255,466
  
$
-
  
$
255,466
  
$
-
 
Reconciliation of All Assets Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs
The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the years ended December 31, 2016 and 2015:

  
Securities Available-for-sale
 
  
Year Ended
Dec. 31, 2016
  
Year Ended
Dec. 31, 2015
 
Balance of recurring Level 3 assets at beginning of period
 
$
-
  
$
140
 
Total gains or losses (realized/unrealized):
        
Included in earnings – realized
  
-
   
-
 
Included in earnings – unrealized
  
-
   
-
 
Included in other comprehensive income
  
-
   
-
 
Purchases, sales, issuances and settlements, net
  
-
   
(140
)
Transfers in and/or out of Level 3
  
-
   
-
 
Balance of recurring Level 3 assets at year-end
 
$
-
  
$
-
 
Assets and Liabilities Measured at Fair Value on a Non-recurring Basis
Assets and liabilities measured at fair value on a non-recurring basis at December 31, 2016 are summarized below:

     
Fair Value Measurements at December 31, 2016 Using
 
  
Dec 31, 2016
  
Quoted Prices in Active Markets for Identical Assets
(Level 1)
  
Significant Other Observable Inputs (Level 2)
  
Significant Unobservable Inputs
(Level 3)
 
Assets:
            
Impaired loans:
            
Commercial Real Estate
            
Owner Occupied
 
$
793
  
$
-
  
$
-
  
$
793
 
Commercial and Industrial
  
12
   
-
   
-
   
12
 
All Other
  
3,036
   
-
   
-
   
3,036
 
Total impaired loans
 
$
3,841
  
$
-
  
$
-
  
$
3,841
 
                 
Other real estate owned:
                
Residential real estate
 
$
613
  
$
-
  
$
-
  
$
613
 
Commercial Real Estate
                
Owner occupied
  
175
   
-
   
-
   
175
 
Non-owner Occupied
  
2,153
   
-
   
-
   
2,153
 
All Other
  
3,683
   
-
   
-
   
3,683
 
Total OREO
 
$
6,624
  
$
-
  
$
-
  
$
6,624
 

Assets and liabilities measured at fair value on a non-recurring basis at December 31, 2015 are summarized below:

     
Fair Value Measurements at December 31, 2015 Using
 
  
Dec 31, 2015
  
Quoted Prices in Active Markets for Identical Assets
(Level 1)
  
Significant Other Observable Inputs (Level 2)
  
Significant Unobservable Inputs
(Level 3)
 
Assets:
            
Impaired loans:
            
Commercial Real Estate
            
Owner Occupied
 
$
133
  
$
-
  
$
-
  
$
133
 
Non-owner Occupied
  
258
   
-
   
-
   
258
 
Total impaired loans
  
391
  
$
-
  
$
-
  
$
391
 
                 
Other real estate owned:
                
Residential real estate
 
$
648
  
$
-
  
$
-
  
$
648
 
Commercial Real Estate
                
Owner occupied
  
260
   
-
   
-
   
260
 
Non-owner Occupied
  
2,253
   
-
   
-
   
2,253
 
All Other
  
4,898
   
-
   
-
   
4,898
 
Total OREO
 
$
8,059
  
$
-
  
$
-
  
$
8,059
 
Fair Value Inputs, Assets, Quantitative Information
The significant unobservable inputs related to assets and liabilities measured at fair value on a non-recurring basis at December 31, 2016 are summarized below:

  
December 31, 2016
 
Valuation Techniques
 
Unobservable Inputs
 
Range (Weighted Avg) 
Impaired loans:
         
Commercial Real Estate
         
Owner Occupied
 
$
793
 
sales comparison
 
adjustment for limited salability of specialized property
 9.3%-76.4% (19.3%)
Commercial and Industrial
  
12
 
sales comparison
 
adjustment for differences between the comparable sales
 
8.0%-8.0% (8.0%)
All Other
  
3,036
 
sales comparison
 
adjustment for differences between the comparable sales
 
5.7%-9.0% (8.0%)
Total impaired loans
 
$
3,841
        
            
Other real estate owned:
           
Residential Real Estate
 
$
613
 
sales comparison
 
adjustment for differences between the comparable sales
 0.7%-86.8% (25.2%)
Commercial Real Estate
           
Owner Occupied
  
175
 
sales comparison
 
adjustment for differences between the comparable sales
 21.8%-21.8% (21.8%)
Non-owner Occupied
  
2,153
 
sales comparison
 
adjustment for differences between the comparable sales
 17.2%-27.6% (25.7%)
All Other
  
3,683
 
sales comparison
 
adjustment for estimated realizable value
 15.1%-45.4% (21.8%)
Total OREO
 
$
6,624
        

The significant unobservable inputs related to assets and liabilities measured at fair value on a non-recurring basis at December 31, 2015 are summarized below:

  
December 31, 2015
 
Valuation Techniques
 
Unobservable Inputs
 
Range (Weighted Avg) 
Impaired loans:
         
Commercial Real Estate
         
Owner Occupied
 
$
133
 
sales comparison
 
adjustment for limited salability of specialized property
 60.7%-72.4% (66.3%)
Non-owner occupied
  
258
 
sales comparison
 
adjustment for differences between the comparable sales
 8.0%-8.0% (8.0%)
Total impaired loans
 
$
391
        
            
Other real estate owned:
           
Residential Real Estate
 
$
648
 
sales comparison
 
adjustment for differences between the comparable sales
 0.7%-31.6% (24.7%)
Commercial Real Estate
           
Owner Occupied
  
260
 
sales comparison
 
adjustment for differences between the comparable sales
 25.4%-41.3% (38.8%)
Non-owner Occupied
  
2,253
 
sales comparison
 
adjustment for differences between the comparable sales
 21.9%-23.4% (23.1%)
All Other
  
4,898
 
sales comparison
 
adjustment for estimated realizable value
 18.9%-46.6% (27.5%)
Total OREO
 
$
8,059