XML 42 R31.htm IDEA: XBRL DOCUMENT v3.21.2

FAIR VALUE (Tables)

6 Months Ended

Jun. 30, 2021

Fair Value Disclosures [Abstract]

Summary of Assets Measured at Fair Value on Recurring Basis

The following table summarizes assets measured at fair value on a recurring basis at June 30, 2021 and December 31, 2020:

			Level 1						Level 2						Level 3						Total Fair Value Measurements
June 30, 2021
Financial Assets
Investment securities:
States and political subdivisions			$	—					$	149,133					$	10,283					$	159,416
GSE residential MBSs			—						9,401						—						9,401
GSE residential CMOs			—						61,772						—						61,772
Nonagency CMOs			—						—						14,642						14,642
Asset-backed			—						204,772						—						204,772
Other			399						—						—						399
Loans held for sale			—						8,092						—						8,092
Derivatives			—						181						456						637
Totals			$	399					$	433,351					$	25,381					$	459,131
Financial Liabilities
Derivatives			$	—					$	582					$	—					$	582
December 31, 2020
Financial Assets
Investment securities:
States and political subdivisions			$	—					$	103,591					$	9,079					$	112,670
GSE residential MBSs			—						4,293						—						4,293
GSE residential CMOs			—						58,011						—						58,011
Nonagency CMOs			—						—						16,918						16,918
Private label commercial CMOs			—						56,730						5,506						62,236
Asset-backed			—						211,966						—						211,966
Other			371						—						—						371
Loans held for sale			—						11,734						—						11,734
Derivatives			—						690						673						1,363
Totals			$	371					$	447,015					$	32,176					$	479,562
Financial Liabilities
Derivatives			$	—					$	1,956					$	—					$	1,956

Level 3 Fair Value Measurement Activity

The following provides details of the Level 3 fair value measurement activity for the periods ended June 30, 2021 and 2020:

Investment securities:

			Three Months Ended June 30,												Six Months Ended June 30,
			2021						2020						2021						2020
Balance, beginning of period			$	25,564					$	23,250					$	31,503					$	24,279
Unrealized gain (loss) included in OCI			2,096						532						1,431						(429)
Principal payments and other			(2,735)						52						(4,464)						(16)
Sales			—						—						(3,545)						—
Balance, end of period			$	24,925					$	23,834					$	24,925					$	23,834

Interest rate lock commitments on residential mortgages:

			Three Months Ended June 30,												Six Months Ended June 30,
			2021						2020						2021						2020
Balance, beginning of period			$	672					$	435					$	673					$	103
Total gains
Included in earnings			(216)						551						(217)						883
Balance, end of period			$	456					$	986					$	456					$	986

Summary of Assets Measured at Fair Value on Nonrecurring Basis

The following table summarizes assets measured at fair value on a nonrecurring basis at June 30, 2021 and December 31, 2020:

			Level 1						Level 2						Level 3						Total Fair Value Measurements
June 30, 2021
Impaired Loans
Commercial real estate:
Owner occupied			$	—					$	—					$	1,213					$	1,213
Non-owner occupied residential			—						—						29						29
Commercial and industrial			—						—						3						3
Residential mortgage:
First lien			—						—						849						849
Home equity - lines of credit			—						—						81						81
Total impaired loans			$	—					$	—					$	2,175					$	2,175
Mortgage servicing rights			$	—					$	—					$	3,580					$	3,580
December 31, 2020
Impaired Loans
Commercial real estate:
Owner occupied			$	—					$	—					$	846					$	846
Non-owner occupied residential			—						—						36						36
Commercial and industrial			—						—						12						12
Residential mortgage:
First lien			—						—						638						638
Home equity - lines of credit			—						—						89						89
Total impaired loans			$	—					$	—					$	1,621					$	1,621
Mortgage servicing rights			$	—					$	—					$	2,745					$	2,745

Summary of Additional Qualitative Information

The following table presents additional qualitative information about assets measured on a nonrecurring basis and for which the Company has utilized Level 3 inputs to determine fair value:

Fair Value Estimate

Valuation Techniques

Unobservable Input

Range

June 30, 2021

Impaired loans

$

2,175

Appraisal of collateral

Management adjustments on appraisals for property type and recent activity

5% - 25% discount

- Management adjustments for liquidation expenses

6% - 19% discount

Mortgage servicing rights

$

3,580

Discounted cash flows

Weighted average CPR

14.50%

- Weighted average discount rate

9.05%

December 31, 2020

Impaired loans

$

1,621

Appraisal of collateral

Management adjustments on appraisals for property type and recent activity

5% - 25% discount

- Management adjustments for liquidation expenses

6% - 19% discount

Mortgage servicing rights

$

2,745

Discounted cash flows

Weighted average CPR

18.02%

- Weighted average discount rate

9.56%

Carrying Amounts and Estimated Fair Values of Financial Instruments

The following table presents carrying amounts and estimated fair values of the Company’s financial instruments at June 30, 2021 and December 31, 2020:

			Carrying Amount						Fair Value						Level 1						Level 2						Level 3
June 30, 2021
Financial Assets
Cash and due from banks			$	27,623					$	27,623					$	27,623					$	—					$	—
Interest-bearing deposits with banks			309,139						309,139						309,139						—						—
Restricted investments in bank stocks			9,691						n/a						n/a						n/a						n/a
Investment securities			450,402						450,402						399						425,078						24,925
Loans held for sale			8,092						8,092						—						8,092						—
Loans, net of allowance for loan losses			1,926,002						1,924,850						—						—						1,924,850
Derivatives			637						637						—						181						456
Accrued interest receivable			7,930						7,930						—						1,895						6,035
Financial Liabilities
Deposits			2,494,100						2,495,844						—						2,495,844						—
Securities sold under agreements to repurchase			22,872						22,872						—						22,872						—
FHLB advances and other			57,837						58,033						—						58,033						—
Subordinated notes			31,932						32,588						—						32,588						—
Derivatives			582						582						—						582						—
Accrued interest payable			167						167						—						167						—
December 31, 2020
Financial Assets
Cash and due from banks			$	26,203					$	26,203					$	26,203					$	—					$	—
Interest-bearing deposits with banks			99,055						99,055						99,055						—						—
Restricted investments in bank stocks			10,563						n/a						n/a						n/a						n/a
Investment securities			466,465						466,465						371						434,591						31,503
Loans held for sale			11,734						11,734						—						11,734						—
Loans, net of allowance for loan losses			1,959,539						1,953,860						—						—						1,953,860
Derivatives			1,363						1,363						—						690						673
Accrued interest receivable			8,927						8,927						—						1,529						7,398
Financial Liabilities
Deposits			2,356,880						2,359,317						—						2,359,317						—
Securities sold under agreements to repurchase			19,466						19,466						—						19,466						—
FHLB advances and other			58,045						58,298						—						58,298						—
Subordinated notes			31,903						31,712						—						31,712						—
Derivatives			1,956						1,956						—						1,956						—
Accrued interest payable			238						238						—						238						—

X

- Definition

Tabular disclosure of input and valuation technique used to measure fair value and change in valuation approach and technique for each separate class of asset and liability measured on recurring and nonrecurring basis.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (bbb)
-URI http://asc.fasb.org/extlink&oid=123874694&loc=d3e19207-110258

+ Details

Name:	us-gaap_FairValueAssetsAndLiabilitiesMeasuredOnRecurringAndNonrecurringBasisValuationTechniquesTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of assets and liabilities by class, including financial instruments measured at fair value that are classified in shareholders' equity, if any, that are measured at fair value on a nonrecurring basis in periods after initial recognition (for example, impaired assets). Disclosures may include, but are not limited to: (a) the fair value measurements recorded and the reasons for the measurements and (b) the level within the fair value hierarchy in which the fair value measurements are categorized in their entirety (levels 1, 2, 3).

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123874694&loc=d3e19207-110258

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (bbb)
-URI http://asc.fasb.org/extlink&oid=123874694&loc=d3e19207-110258

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123874694&loc=d3e19207-110258

+ Details

Name:	us-gaap_FairValueAssetsMeasuredOnNonrecurringBasisTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of assets, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, by class that are measured at fair value on a recurring basis. The disclosures contemplated herein include the fair value measurements at the reporting date by the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3).

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123874694&loc=d3e19207-110258

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123874694&loc=d3e19207-110258

+ Details

Name:	us-gaap_FairValueAssetsMeasuredOnRecurringBasisTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=123874694&loc=d3e19279-110258

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123874694&loc=d3e19207-110258

+ Details

Name:	us-gaap_FairValueAssetsMeasuredOnRecurringBasisUnobservableInputReconciliationTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the fair value of financial instruments, including financial assets and financial liabilities, and the measurements of those instruments, assets, and liabilities.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=123594938&loc=d3e13467-108611

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123874694&loc=d3e19207-110258

+ Details

Name:	us-gaap_FairValueByBalanceSheetGroupingTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- References

No definition available.

+ Details

Name:	us-gaap_FairValueDisclosuresAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration