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CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($)
shares in Thousands, $ in Thousands
3 Months Ended 6 Months Ended
Jun. 30, 2016
Jun. 30, 2015
Jun. 30, 2016
Jun. 30, 2015
Interest income        
Interest and fees on loans $ 16,097 $ 15,287 $ 33,238 $ 30,666
Interest on investment securities        
Securities of U.S. government agencies 1,191 990 2,543 2,025
Obligations of state and political subdivisions 588 511 1,174 1,051
Corporate debt securities and other 77 179 182 384
Interest on Federal funds sold and short-term investments 40 51 51 72
Total interest income 17,993 17,018 37,188 34,198
Interest expense        
Interest on interest-bearing transaction accounts 28 30 55 60
Interest on savings accounts 14 13 28 25
Interest on money market accounts 107 123 218 250
Interest on time accounts 193 215 389 437
Interest on FHLB and other borrowings 378 78 478 156
Interest on subordinated debentures 107 105 216 209
Total interest expense 827 564 1,384 1,137
Net interest income 17,166 16,454 35,804 33,061
Provision for loan losses 0 0 0 0
Net interest income after provision for loan losses 17,166 16,454 35,804 33,061
Non-interest income        
Service charges on deposit accounts 441 504 897 1,029
Wealth Management and Trust Services 527 603 1,093 1,241
Debit card interchange fees 381 368 719 715
Merchant interchange fees 128 129 241 259
Earnings on bank-owned life insurance 209 203 410 406
Dividends on FHLB stock 185 461 354 608
Gains on investment securities, net 284 0 394 8
Other income 266 340 476 531
Total non-interest income 2,421 2,608 4,584 4,797
Non-interest expense        
Salaries and related benefits 6,724 6,672 13,472 13,462
Occupancy and equipment 1,175 1,493 2,456 2,835
Depreciation and amortization 441 650 894 1,071
Federal Deposit Insurance Corporation insurance 246 253 507 489
Data processing 916 792 1,772 1,578
Professional services 554 515 1,052 1,079
Directors' expense 116 247 305 438
Information technology 165 216 358 368
Reversal of losses on off-balance sheet commitments 150 (109) 150 (310)
Other expense 1,530 1,590 3,061 3,166
Total non-interest expense 12,017 12,319 24,027 24,176
Income before provision for income taxes 7,570 6,743 16,361 13,682
Provision for income taxes 2,733 2,457 5,878 4,939
Net income $ 4,837 $ 4,286 $ 10,483 $ 8,743
Net income per common share:        
Basic (usd per share) $ 0.80 $ 0.72 $ 1.73 $ 1.47
Diluted (usd per share) $ 0.79 $ 0.71 $ 1.72 $ 1.44
Weighted average shares used to compute net income per common share:        
Basic (shares) 6,078 5,945 6,063 5,933
Diluted (shares) 6,109 6,062 6,100 6,055
Dividends declared per common share $ 0.25 $ 0.22 $ 0.50 $ 0.44
Comprehensive income:        
Net income $ 4,837 $ 4,286 $ 10,483 $ 8,743
Other comprehensive income        
Change in net unrealized gain (loss) on available-for-sale securities 2,119 (1,803) 5,042 (486)
Reclassification adjustment for gain on available-for-sale securities included in net income (284) 0 (394) (8)
Net change in unrealized gain (loss) on available-for-sale securities, before tax 1,835 (1,803) 4,648 (494)
Deferred tax expense (benefit) 776 (691) 1,950 (137)
Other comprehensive income (loss), net of tax 1,059 (1,112) 2,698 (357)
Comprehensive income $ 5,896 $ 3,174 $ 13,181 $ 8,386