Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2013

Fair Value Disclosures [Abstract]

Financial assets and liabilities measured at fair value on a recurring basis

The following tables present the balances of financial assets and liabilities measured at fair value on a recurring basis as of June 30, 2013 and December 31, 2012.

	June 30, 2013
	(In thousands)
	Total		Level I		Level II		Level III
Assets:
U.S. government agencies	$	13,948	$	—	$	13,948	$	—
Obligations of states and political subdivisions	79,147		—		79,147		—
Mortgage-backed securities:
Agency	166,563		—		166,563		—
Non-agency	17,491		—		17,491		—
Other asset-backed securities	33,033		—		33,033		—
Corporate preferred stock	70		—		70		—
Corporate securities	9,880		—		9,880		—
Loans held for sale	65,322		—		65,322		—
Interest rate swaps	159		—		159		—
Mortgage banking hedge instruments	251		—		251		—
Liabilities:
Mortgage interest rate locks	73		$	—	$	73	$	—
Interest rate swaps	$	312	$	—	$	312	$	—

	December 31, 2012
	(In thousands)
	Total		Level I		Level II		Level III
Assets:
U.S. government agencies	$	15,822	$	—	$	15,822	$	—
Obligations of states and political subdivisions	78,300		—		78,300		—
Mortgage-backed securities:
Agency	166,943		—		166,943		—
Non-agency	15,579		—		15,579		—
Other asset-backed securities	34,642		—		34,642		—
Corporate preferred stock	62		—		62		—
Corporate securities	8,109		—		8,109		—
Loans held for sale	82,114		—		82,114		—
Mortgage interest rate locks	35		—		35		—
Interest rate swaps	80		—		80		—
Liabilities:
Interest rate swap	541		—		541		—
Mortgage banking hedge instruments	39		—		39		—

Financial and non-financial assets measured at fair value on a nonrecurring basis

The following table summarizes the Company’s financial assets that were measured at fair value on a nonrecurring basis as of June 30, 2013 and December 31, 2012:

	June 30, 2013
	(In thousands)
Description	Total	Level I	Level II	Level III
Assets:
Impaired loans	9,294	—	7,494	1,800
	December 31, 2012
	(In thousands)
Description	Total	Level I	Level II	Level III
Assets:
Impaired loans	12,343	—	11,165	1,178

The following table summarizes the Company’s non-financial assets that were measured at fair value on a nonrecurring basis during the period.

	June 30, 2013
	(In thousands)
Description	Total		Level I		Level II		Level III
Assets:
Other real estate owned	$	7,570	$	—	$	7,570	$	—
	December 31, 2012
	(In thousands)
Description	Total		Level I		Level II		Level III
Assets:
Other real estate owned	$	9,929	$	—	$	7,619	$	2,310

Quantitative information about Level III fair value measurements

The following table presents quantitative information as of June 30, 2013 about Level III fair value measurements for financial assets measured at fair value on a non-recurring basis:

					Range
	Fair Value (in thousands)		Valuation Technique	Unobservable Inputs	(Weighted Average)
Impaired Loans	$	1,800	Discounted appraised value	Discount for selling costs and age of appraisals.	10% - 30% (21%)

The following table presents quantitative information as of December 31, 2012 about Level III fair value measurements for financial assets measured at fair value on a non-recurring basis:

					Range
	Fair Value (in thousands)		Valuation Technique	Unobservable Inputs	(Weighted Average)
Impaired Loans	$	1,178	Discounted appraised value	Discount for selling costs and age of appraisals.	10% - 30% (21%)
Other real estate owned	$	2,310	Discounted appraised value	Discount for selling costs, construction status, and age of appraisals.	12% - 12% (12%)

Estimated fair values and related carrying amounts of financial instruments

The estimated fair values, and related carrying amounts, of the Company's financial instruments as of June 30, 2013 are as follows:

					June 30, 2013
					Fair value measurements using:
	Carrying Amount		Total Fair Value		Level I		Level II		Level III
	(In thousands)
Financial assets:
Cash and cash equivalents	$	58,476	$	58,476	$	58,476	$	—	—
Securities	320,132		320,132		—		320,132		—
Loans held for sale	65,322		65,322		—		65,322		—
Net portfolio loans	693,383		707,058		—		7,494		699,564
Bank owned life insurance	16,726		16,726		—		16,726		—
Accrued interest receivable	4,038		4,038		—		4,038		—
Interest rate swaps	159		159		—		159		—
Mortgage banking hedge instruments	251		251		—		251		—
Financial liabilities:
Deposits	$	961,874	$	964,296	$	—	$	964,296	—
Securities sold under agreements
to repurchase	35,783		35,783		—		35,783		—
Short-term borrowings	5,688		5,688		—		5,688		—
FHLB borrowings	85,000		85,929		—		85,929		—
Trust preferred capital notes	5,155		5,211		—		5,211		—
Accrued interest payable	544		544		—		544		—
Mortgage interest rate locks	73		73		—		73		—
Interest rate swaps	312		312		—		312		—

The estimated fair values, and related carrying amounts, of the Company's financial instruments at December 31, 2012 are as follows:

					December 31, 2012
					Fair value measurements using:
	Carrying Amount		Total Fair Value		Level I		Level II		Level III
	(In thousands)
Financial assets:
Cash and cash equivalents	$	54,415	$	54,415	$	54,415	$	—	—
Securities	319,457		319,457		—		319,457		—
Loans held for sale	82,114		82,114		—		82,114		—
Net portfolio loans	695,166		716,358		—		1,178		715,180
Bank-owned life insurance	16,484		16,484		—		16,484		—
Accrued interest receivable	3,974		3,974		—		3,974		—
Mortgage interest rate locks	35		35		—		35		—
Interest rate swaps	80		80		—		80		—
Financial liabilities:
Deposits	$	981,900	$	984,682	$	—	$	984,682	—
Securities sold under agreements
to repurchase	33,975		33,975		—		33,975		—
Short-term debt	11,873		11,873		—		11,873		—
FHLB borrowings	72,912		78,912		—		78,912		—
Trust preferred capital notes	5,155		5,221		—		5,221		—
Accrued interest payable	654		654		—		654		—
Interest rate swaps	541		541		—		541		—
Mortgage banking hedge instruments	39		39		—		39		—