SHAREHOLDERS’ EQUITY AND EARNINGS PER COMMON SHARE (Tables)

12 Months Ended

Dec. 31, 2018

Stockholders' Equity Note [Abstract]

Schedule of Actual and Required Capital Ratios

The actual and required capital ratios at December 31, 2018 and December 31, 2017 were as follows:



	2018
	Actual				Minimum Capital Requirement				Minimum to be Well-Capitalized Under Prompt Corrective Action Provisions
(in thousands, except ratios)	Amount		Ratio		Amount		Ratio		Amount		Ratio
Company (consolidated)
Total capital to risk-weighted assets	$	331,628	14.23	%	$	186,405	8.00	%	$	244,656	10.00	%
Common equity tier 1 capital to risk-weighted assets	274,838		11.80		104,853		4.50		151,454		6.50
Tier 1 capital to risk-weighted assets	295,458		12.68		139,803		6.00		186,404		8.00
Tier 1 capital to average assets	295,458		8.53		138,482		4.00		173,102		5.00

Bank
Total capital to risk-weighted assets	$	321,390	13.82	%	$	186,092	8.00	%	$	244,246	10.00	%
Common equity tier 1 capital to risk-weighted assets	302,220		12.99		104,677		4.50		151,200		6.50
Tier 1 capital to risk-weighted assets	302,220		12.99		139,569		6.00		186,092		8.00
Tier 1 capital to average assets	302,220		8.74		138,392		4.00		172,990		5.00



	2017
	Actual				Minimum Capital Requirement				Minimum to be Well-Capitalized Under Prompt Corrective Action Provisions
(in thousands, except ratios)	Amount		Ratio		Amount		Ratio		Amount		Ratio
Company (consolidated)
Total capital to risk-weighted assets	$	307,305	13.73	%	$	179,047	8.00	%	$	234,999	10.50	%
Common equity tier 1 capital to risk-weighted assets	252,096		11.26		100,714		4.50		145,476		6.50
Tier 1 capital to risk-weighted assets	272,716		12.19		134,286		6.00		179,047		8.00
Tier 1 capital to average assets	272,716		8.10		134,758		4.00		168,447		5.00

Bank
Total capital to risk-weighted assets	$	306,495	13.71	%	$	178,868	8.00	%	$	234,764	10.50	%
Common equity tier 1 capital to risk-weighted assets	288,906		12.92		100,613		4.50		145,331		6.50
Tier 1 capital to risk-weighted assets	288,906		12.92		134,151		6.00		178,868		8.00
Tier 1 capital to average assets	288,906		8.58		134,702		4.00		168,378		5.00

Schedule of Components of Accumulated Other Comprehensive Income

Components of accumulated other comprehensive loss at December 31, 2018 and December 31, 2017 are as follows:



(in thousands)	2018			2017
Other accumulated comprehensive loss, before tax:
Net unrealized loss on AFS securities	$	(11,304	)	$	(2,741	)
Net unrealized loss on derivative hedges	(2,934		)	(3,604		)
Net unrealized loss on post-retirement plans	(1,162		)	(950		)

Income taxes related to items of accumulated other comprehensive loss:
Net unrealized loss on AFS securities	2,641			1,030
Net unrealized loss on derivative hedges	685			1,354
Net unrealized loss on post-retirement plans	272			357
Accumulated other comprehensive loss	$	(11,802	)	$	(4,554	)

The following table presents the changes in each component of accumulated other comprehensive income/(loss) in 2018, 2017 and 2016:



	2018
(in thousands)	Net unrealized gain on AFS Securities			Net loss on effective derivative hedges			Net unrealized loss on post-retirement plans			Total
Balance at beginning of period	$	(1,713	)	$	(2,250	)	$	(591	)	$	(4,554	)
Other comprehensive gain/(loss) before reclassifications	(7,293		)	486			(191		)	(6,998		)
Less: amounts reclassified from accumulated other comprehensive income	(708		)	—			(22		)	(730		)
Total other comprehensive loss	(6,585		)	486			(169		)	(6,268		)
Less: amounts reclassified from accumulated other comprehensive income for ASU 2018-02	(367		)	(485		)	(128		)	(980		)
Balance at end of period	$	(8,665	)	$	(2,249	)	$	(888	)	$	(11,802	)



	2017
(in thousands)	Net unrealized gain on AFS Securities			Net loss on effective derivative hedges			Net unrealized loss on post-retirement plans			Total
Balance at beginning of period	$	(2,125	)	$	(1,798	)	$	(403	)	$	(4,326	)
Other comprehensive gain/(loss) before reclassifications	424			(452		)	(201		)	(229		)
Less: amounts reclassified from accumulated other comprehensive income	12			—			(13		)	(1		)
Total other comprehensive loss	412			(452		)	(188		)	(228		)
Balance at end of period	$	(1,713	)	$	(2,250	)	$	(591	)	$	(4,554	)



	2016
(in thousands)	Net unrealized gain on AFS Securities			Net loss on effective derivative hedges			Net unrealized loss on post-retirement plans			Total
Balance at beginning of period	$	5,713		$	(1,621	)	$	(463	)	$	3,629
Other comprehensive gain/(loss) before reclassifications	(4,914		)	(177		)	42			(5,049		)
Less: amounts reclassified from accumulated other comprehensive income	2,924			—			(18		)	2,906
Total other comprehensive loss	(7,838		)	(177		)	60			(7,955		)
Balance at end of period	$	(2,125	)	$	(1,798	)	$	(403	)	$	(4,326	)

Schedule of Components of Other Comprehensive Income

The following table presents the components of other comprehensive income in 2018, 2017 and 2016:



	2018
(in thousands)	Before Tax			Tax Effect			Net of Tax
Net unrealized gain on AFS securities:
Net unrealized gain arising during the period	$	(9,487	)	$	2,194		$	(7,293	)
Less: reclassification adjustment for gains (losses) realized in net income	(924		)	216			(708		)
Net unrealized gain on AFS securities	(8,563		)	1,978			(6,585		)

Net unrealized loss on derivative hedges:
Net unrealized loss arising during the period	654			(168		)	486
Less: reclassification adjustment for gains (losses) realized in net income	—			—			—
Net unrealized loss on derivative hedges	654			(168		)	486

Net unrealized loss on post-retirement plans:
Net unrealized loss arising during the period	(245		)	54			(191		)
Less: reclassification adjustment for gains (losses) realized in net income	(29		)	7			(22		)
Net unrealized loss on post-retirement plans	(216		)	47			(169		)
Other comprehensive loss	$	(8,125	)	$	1,857		$	(6,268	)



	2017
(in thousands)	Before Tax			Tax Effect			Net of Tax
Net unrealized loss on AFS securities:
Net unrealized loss arising during the period	$	545		$	(121	)	$	424
Less: reclassification adjustment for gains (losses) realized in net income	19			(7		)	12
Net unrealized loss on AFS securities	526			(114		)	412

Net unrealized loss on derivative hedges:
Net unrealized loss arising during the period	(838		)	386			(452		)
Less: reclassification adjustment for gains (losses) realized in net income	—			—			—
Net unrealized loss on derivative hedges	(838		)	386			(452		)

Net unrealized loss on post-retirement plans:
Net unrealized gain arising during the period	(347		)	146			(201		)
Less: reclassification adjustment for gains (losses) realized in net income	(21		)	8			(13		)
Net unrealized gain on post-retirement plans	(326		)	138			(188		)
Other comprehensive loss	$	(638	)	$	410		$	(228	)



	2016
(in thousands)	Before Tax			Tax Effect			Net of Tax
Net unrealized loss on AFS securities:
Net unrealized loss arising during the period	$	(7,561	)	$	2,647		$	(4,914	)
Less: reclassification adjustment for gains (losses) realized in net income	4,498			(1,574		)	2,924
Net unrealized loss on AFS securities	(12,059		)	4,221			(7,838		)

Net unrealized loss on derivative hedges:
Net unrealized loss arising during the period	(272		)	95			(177		)
Less: reclassification adjustment for gains (losses) realized in net income	—			—			—
Net unrealized loss on derivative hedges	(272		)	95			(177		)

Net unrealized loss on post-retirement plans:
Net unrealized gain arising during the period	62			(20		)	42
Less: reclassification adjustment for gains (losses) realized in net income	(28		)	10			(18		)
Net unrealized gain on post-retirement plans	90			(30		)	60
Other comprehensive loss	$	(12,241	)	$	4,286		$	(7,955	)

Reclassification out of Accumulated Other Comprehensive Income

The following tables presents the amounts reclassified out of each component of accumulated other comprehensive income (loss) in 2018, 2017 and 2016:



(in thousands)	2018			2017			2016			Affected Line Item where Net Income is Presented
Realized gains on AFS securities:
Before tax	$	(924	)	$	19		$	4,498		Non-interest income
Tax effect	216			(7		)	(1,574		)	Tax expense
Total reclassifications for the period	$	(708	)	$	12		$	2,924		Net of tax



(in thousands)	2018			2017			2016			Affected Line Item where Net Income is Presented
Realized loss on post-retirement plans:
Before tax	$	(29	)	$	(21	)	$	(28	)	Salaries and benefits
Tax effect	7			8			10			Tax benefit
Total reclassifications for the period	$	(22	)	$	(13	)	$	(18	)	Net of tax

Schedule of Earnings Per Share, Basic and Diluted

Earnings per share have been computed based on the following (average diluted shares outstanding are calculated using the treasury stock method):



(in thousands, except per share and share data)	2018		2017		2016
Net income	$	32,937	$	25,993	$	14,933

Average number of basic common shares outstanding	15,487,686		15,183,615		9,068,624
Plus: dilutive effect of stock options and awards outstanding	76,778		106,795		74,029
Average number of diluted common shares outstanding	15,564,464		15,290,410		9,142,653

Anti-dilutive options excluded from earnings calculation	7,991		8,659		90,249

Earnings per share:
Basic	$	2.13	$	1.71	$	1.65
Diluted	$	2.12	$	1.70	$	1.63