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Income Taxes | 12 Months Ended
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Dec. 31, 2011
Income Tax Disclosure [Abstract] |
Income Tax Disclosure [Text Block] | Note 13 Income Taxes The components of income tax expense (benefit) are as follows:
|  | For the Years Ended December 31,
(In thousands) |  | 2011 |  | 2010 |  | 2009
Current: |  |  |  |  |  |  |  |  |  |
Federal |  | $ | 5,372 |  | $ | 5,435 |  | $ | 5,458 |
State |  |  | 980 |  |  | 920 |  |  | 597 |
Deferred: |  |  |  |  |  |  |  |  |  |
Federal |  |  | 1,983 |  |  | 1,178 |  |  | (602 | )
State |  |  | 162 |  |  | 90 |  |  | (48 | )
Total income tax expense |  | $ | 8,497 |  | $ | 7,623 |  | $ | 5,405 |
A reconciliation of expected income tax expense (benefit), computed by applying the effective federal statutory rate of 35% for 2011, 35% for 2010 and 34% for 2009 to income before income tax expense, to reported income tax expense is as follows:
|  | For the Years Ended December 31,
(In thousands) |  | 2011 |  | 2010 |  | 2009
Expected income tax expense |  | $ | 11,027 |  |  | $ | 9,777 |  |  | $ | 7,322 |
(Reductions) increases resulting from: |  |  |  |  |  |  |  |  |  |  |  |
Tax-exempt income |  |  | (3,760 | ) |  |  | (3,273 | ) |  |  | (2,798 | )
State taxes, net of federal benefit |  |  | 742 |  |  |  | 657 |  |  |  | 694 |
Other, net |  |  | 488 |  |  |  | 462 |  |  |  | 187 |
Total income tax expense |  | $ | 8,497 |  |  | $ | 7,623 |  |  | $ | 5,405 |
The tax effects of temporary differences which give rise to significant portions of the deferred tax assets and deferred tax liabilities are presented below:
|  | December 31,
(In thousands) |  | 2011 |  | 2010
Deferred tax assets: |  |  |  |  |  |  |  |
Allowance for loan losses |  | $ | 4,912 |  |  | $ | 4,419 |
ASC 715 pension funding liability |  |  | 9,679 |  |  |  | 5,452 |
Net operating loss carryforward1 |  |  | 384 |  |  |  | 421 |
Stock compensation |  |  | 834 |  |  |  | 731 |
Supplemental executive retirement plan accrual |  |  | 634 |  |  |  | 474 |
Other |  |  | 454 |  |  |  | 288 |
Total deferred tax assets |  | $ | 16,897 |  |  | $ | 11,785 |
Deferred tax liabilities: |  |  |  |  |  |  |  |
Premises and equipment |  |  | (440 | ) |  |  | (352 | )
Pension |  |  | (7,327 | ) |  |  | (4,499 | )
Intangible/assets |  |  | (752 | ) |  |  | (652 | )
Unrealized gain on investment in securities available-for-sale |  |  | (6,922 | ) |  |  | (3,024 | )
Other |  |  | (315 | ) |  |  | (300 | )
Total deferred tax liabilities |  | $ | (15,756 | ) |  | $ | (8,827 | )
Net deferred tax assets |  | $ | 1,141 |  |  | $ | 2,958 |
1 |  | As of December 31, 2011, the Company had approximately $1,097,000 of net operating loss carry forwards as a result of the acquisition of Franklin Bancorp. The utilization of the net operating loss carry forward is subject to Section 382 of the Internal Revenue Code and limits the Company’s use to approximately $122,000 per year during the carry forward period, which expires in 2020.
A valuation allowance would be provided on deferred tax assets when it is more likely than not that some portion of the assets will not be realized. The Company has not established a valuation allowance at December 31, 2011 or 2010, due to management’s belief that all criteria for recognition have been met, including the existence of a history of taxes paid sufficient to support the realization of deferred tax assets. The reconciliation of the beginning unrecognized tax benefits balance to the ending balance is presented in the following table:
(In thousands) |  | 2011 |  | 2010 |  | 2009
Balance at January 1 |  | $ | 1,877 |  |  | $ | 1,750 |  |  | $ | 1,399 |
Changes in unrecognized tax benefits as a result of tax positions taken during a prior year |  |  | 287 |  |  |  | 560 |  |  |  | 119 |
Changes in unrecognized tax benefits as a result of tax position taken during the current year |  |  | 475 |  |  |  | 555 |  |  |  | 387 |
Decreases in unrecognized tax benefits relating to settlements with taxing authorities |  |  | — |  |  |  | (466 | ) |  |  | — |
Reductions to unrecognized tax benefits as a result of a lapse of the applicable statute of limitations |  |  | (570 | ) |  |  | (522 | ) |  |  | (155 | )
Balance at December 31 |  | $ | 2,069 |  |  | $ | 1,877 |  |  | $ | 1,750 |
At December 31, 2011, 2010 and 2009, the balance of the Company’s unrecognized tax benefits which would, if recognized, affect the Company’s effective tax rate was $1,496,000, $1,465,000, and $1,466,000, respectively. These amounts are net of the offsetting benefits from other taxing jurisdictions. As of December 31, 2011, 2010 and 2009, the Company had $95,000, $106,000, and $147,000 respectively, in accrued interest related to unrecognized tax benefits. During 2011 and 2010, the Company recorded a net reduction in accrued interest of $11,000 and $41,000, respectively, as a result of settlements with taxing authorities and other prior-year adjustments. During 2009, the Company recorded a net increase in accrued interest of $34,000. The Company’s policy is to record interest and penalties related to unrecognized tax benefits as a component of income tax expense. The Company believes it is reasonably possible that the total amount of tax benefits will decrease by approximately $456,000 over the next twelve months. The reduction primarily relates to the anticipated lapse in the statute of limitations. The unrecognized tax benefits relate primarily to apportionment of taxable income among various state tax jurisdictions. The Company is subject to income tax in the U. S. federal jurisdiction, numerous state jurisdictions, and a foreign jurisdiction. The Company’s federal income tax returns for tax years 2008 through 2010 remain subject to examination by the Internal Revenue Service. In addition, the Company is subject to state tax examinations for the tax years 2007 through 2010.

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- Definition The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32537-109319 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 109 -Paragraph 136, 172 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 109 -Paragraph 43, 44, 45, 46, 47, 48, 49 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 08 -Paragraph h -Article 4 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32559-109319 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32639-109319 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32718-109319 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(h)) -URI http://asc.fasb.org/extlink&oid=6881521&loc=d3e23780-122690 + Details
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