XML 60 R46.htm IDEA: XBRL DOCUMENT v3.8.0.1
Fair Values of Financial Instruments and Interest Rate Risk (Tables)
12 Months Ended
Dec. 31, 2017
Fair Value Disclosures [Abstract]  
Comparison of Carrying Amounts and Estimated Fair Value of Financial Instruments

The following table reflects a comparison of carrying amounts and the estimated fair value of the financial instruments as of December 31, 2017 and December 31, 2016:

 

 

 

Carrying

 

 

Estimated

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2017

 

Value

 

 

Fair Value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

 

(dollars in thousands)

 

 

 

 

 

FINANCIAL ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

70,403

 

 

$

70,379

 

 

$

67,913

 

 

$

2,466

 

 

$

—

 

Securities available for sale

 

 

95,743

 

 

 

95,743

 

 

 

—

 

 

 

95,743

 

 

 

—

 

Securities held to maturity

 

 

11,458

 

 

 

11,461

 

 

 

—

 

 

 

11,461

 

 

 

—

 

Loans held for investment, net

 

 

356,871

 

 

 

359,325

 

 

 

—

 

 

 

—

 

 

 

359,325

 

Loans held for sale

 

 

4,414

 

 

 

4,414

 

 

 

—

 

 

 

4,414

 

 

 

—

 

Restricted stock

 

 

1,067

 

 

 

1,067

 

 

 

1,067

 

 

 

—

 

 

 

—

 

Mortgage servicing rights

 

 

2,125

 

 

 

3,310

 

 

 

—

 

 

 

3,310

 

 

 

—

 

Accrued interest receivable

 

 

1,709

 

 

 

1,709

 

 

 

—

 

 

 

—

 

 

 

1,629

 

FINANCIAL LIABILITIES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

$

512,628

 

 

$

481,300

 

 

$

—

 

 

$

481,300

 

 

$

—

 

Short-term borrowings

 

 

1,752

 

 

 

1,752

 

 

 

—

 

 

 

1,752

 

 

 

—

 

Long-term debt

 

 

9,534

 

 

 

9,658

 

 

 

—

 

 

 

—

 

 

 

9,658

 

Accrued interest payable

 

 

148

 

 

 

148

 

 

 

—

 

 

 

—

 

 

 

148

 

 

 

 

Carrying

 

 

Estimated

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2016

 

Value

 

 

Fair Value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

 

(dollars in thousands)

 

 

 

 

 

FINANCIAL ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

45,968

 

 

$

45,995

 

 

$

43,478

 

 

$

2,517

 

 

$

—

 

Securities available for sale

 

 

105,899

 

 

 

105,899

 

 

 

4,014

 

 

 

101,885

 

 

 

—

 

Securities held to maturity

 

 

11,990

 

 

 

11,934

 

 

 

—

 

 

 

11,934

 

 

 

—

 

Loans held for investment, net

 

 

339,122

 

 

 

337,348

 

 

 

—

 

 

 

—

 

 

 

337,348

 

Loans held for sale

 

 

5,823

 

 

 

5,685

 

 

 

—

 

 

 

5,685

 

 

 

—

 

Restricted stock

 

 

1,052

 

 

 

1,052

 

 

 

1,052

 

 

 

—

 

 

 

—

 

Mortgage servicing rights

 

 

2,271

 

 

 

3,313

 

 

 

—

 

 

 

3,313

 

 

 

—

 

Accrued interest receivable

 

 

1,629

 

 

 

1,629

 

 

 

—

 

 

 

—

 

 

 

1,629

 

FINANCIAL LIABILITIES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

$

485,719

 

 

$

447,784

 

 

$

—

 

 

$

447,784

 

 

$

—

 

Short-term borrowings

 

 

2,674

 

 

 

2,674

 

 

 

—

 

 

 

2,674

 

 

 

—

 

Long-term debt

 

 

9,534

 

 

 

9,673

 

 

 

—

 

 

 

—

 

 

 

9,673

 

Accrued interest payable

 

 

151

 

 

 

151

 

 

 

—

 

 

 

—

 

 

 

151

 

 

Fair Value Information for Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following table provides fair value information for assets and liabilities measured at fair value on a recurring basis as of December 31, 2017 and 2016:

 

 

 

December 31, 2017

 

 

 

(dollars in thousands)

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Securities available for sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

US Gov’t

 

 

55,615

 

 

 

—

 

 

 

55,615

 

 

 

—

 

Mortgage-backed securities and CMO’s

 

 

20,891

 

 

 

—

 

 

 

20,891

 

 

 

—

 

State and political subdivisions

 

 

14,199

 

 

 

—

 

 

 

14,199

 

 

 

—

 

Corporate bonds

 

 

5,038

 

 

 

—

 

 

 

5,038

 

 

 

—

 

Total assets at fair value

 

$

95,743

 

 

$

—

 

 

$

95,743

 

 

$

—

 

Total liabilities at fair value

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

  

 

December 31, 2016

 

 

 

(dollars in thousands)

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Securities available for sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

US Treasury

 

$

4,014

 

 

$

4,014

 

 

$

—

 

 

$

—

 

US Gov’t

 

 

57,671

 

 

 

—

 

 

 

57,671

 

 

 

—

 

Mortgage-backed securities and CMO’s

 

 

25,648

 

 

 

—

 

 

 

25,648

 

 

 

—

 

State and political subdivisions

 

 

13,536

 

 

 

—

 

 

 

13,536

 

 

 

—

 

Corporate bonds

 

 

5,030

 

 

 

—

 

 

 

5,030

 

 

 

—

 

Total assets at fair value

 

$

105,899

 

 

$

4,014

 

 

$

101,885

 

 

$

—

 

Total liabilities at fair value

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

Assets Measured at Fair Value on Nonrecurring Basis

Assets measured at fair value on a nonrecurring basis are included in the table below as of December 31, 2017 and December 31, 2016:

 

  

 

December 31, 2017

 

 

 

(dollars in thousands)

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Impaired loans

 

$

2,624

 

 

$

—

 

 

$

—

 

 

$

2,624

 

Other real estate owned

 

 

1,785

 

 

 

—

 

 

 

—

 

 

 

1,785

 

Total assets at fair value

 

$

4,409

 

 

$

—

 

 

$

—

 

 

$

4,409

 

Total liabilities at fair value

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

  

 

December 31, 2016

 

 

 

(dollars in thousands)

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Impaired loans

 

$

2,217

 

 

$

—

 

 

$

—

 

 

$

2,217

 

Other real estate owned

 

 

3,130

 

 

 

—

 

 

 

—

 

 

 

3,130

 

Total assets at fair value

 

$

5,347

 

 

$

—

 

 

$

—

 

 

$

5,347

 

Total liabilities at fair value

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

Quantitative Information about Level 3 Fair Value Measurements

Quantitative Information about Level 3 Fair Value Measurements

 

  

 

 

 

 

 

General

December 31, 2017

 

Valuation Technique

 

Unobservable Input

 

Range

Nonrecurring measurements:

 

 

 

 

 

 

Impaired loans

 

Discounted appraisals

 

Collateral discounts and Estimated costs to sell

 

0 – 25%

 

 

Discounted cash flows

 

Discount rates

 

4%-8.75%

OREO

 

Discounted appraisals

 

Collateral discounts and Estimated costs to sell

 

0 – 10%

 

 

 

 

 

 

General

December 31, 2016

 

Valuation Technique

 

Unobservable Input

 

Range

Nonrecurring measurements:

 

 

 

 

 

 

Impaired loans

 

Discounted appraisals

 

Collateral discounts and Estimated costs to sell

 

0 – 25%

 

 

Discounted cash flows

 

Discount rates

 

4%-8.75%

OREO

 

Discounted appraisals

 

Collateral discounts and Estimated costs to sell

 

0 – 10%