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Consolidated Statements of Cash Flows (unaudited) - USD ($)
$ in Thousands
6 Months Ended
Jun. 30, 2016
Jun. 30, 2015
Cash flows from operating activities:    
Net income $ 3,410 $ 4,065
Adjustments to reconcile net income to net cash provided by operating activities:    
Provision for loan losses 675 250
Depreciation expense 962 962
Net amortization of investment securities, premiums, and discounts 883 664
Stock based compensation expense 11 5
Change in fair value of mortgage servicing rights 453 262
Gain on sale of investment securities (490) (8)
Gain on sales and dispositions of premises and equipment (6) (11)
Gain on sales and dispositions of other real estate and repossessed assets (103) (144)
Provision for other real estate owned 76 (6)
Decrease in accrued interest receivable 227 174
Increase in cash surrender value -life insurance (31) (35)
(Increase) decrease in other assets (715) 1,344
Decrease in accrued interest payable (10) (8)
(Decrease) increase in other liabilities (546) 195
Origination of mortgage loans for sale (17,017) (28,950)
Proceeds from the sale of mortgage loans 17,520 28,904
Gain on sale of mortgage loans, net (387) (781)
Other, net (79) (154)
Net cash provided by operating activities 4,833 6,728
Cash flows from investing activities:    
Net increase in loans (59,499) (2,494)
Purchase of available-for-sale debt securities (76,417) (67,583)
Proceeds from maturities of available-for-sale debt securities 24,457 14,245
Proceeds from calls of available-for-sale debt securities 10,035 10,875
Proceeds from sales of available-for-sale debt securities 44,300 720
Proceeds from sales of FHLB stock 0 120
Purchases of FHLB stock (1,003) (3,315)
Purchases of premises and equipment (592) (518)
Proceeds from sales of premises and equipment 6 11
Proceeds from sales of other real estate and foreclosed assets 2,399 1,036
Net cash used in investing activities (56,314) (46,903)
Cash flows from financing activities:    
Net increase (decrease) in demand deposits 9,742 (1,222)
Net increase in interest-bearing transaction accounts 36,717 23,194
Net increase (decrease) in time deposits 11,585 (2,620)
Net (decrease) increase in federal funds purchased and securities sold under agreements to repurchase (21,140) 7,872
Repayment of FHLB advances (8,000) (13,000)
FHLB advances 32,000 17,000
Purchases of treasury stock (226) 0
Cash dividends paid - common stock (542) (523)
Net cash provided by financing activities 60,136 30,701
Net increase (decrease) in cash and cash equivalents 8,655 (9,474)
Cash and cash equivalents, beginning of period 28,377 42,809
Cash and cash equivalents, end of period 37,032 33,335
Cash paid during the year for:    
Interest 2,718 2,459
Income taxes 1,975 959
Noncash investing activities:    
Other real estate and repossessed assets acquired in settlement of loans $ 1,634 $ 1,517