XML 36 R24.htm IDEA: XBRL DOCUMENT v3.7.0.1

FAIR VALUE (Tables)

6 Months Ended

Jun. 30, 2017

Fair Value Disclosures [Abstract]

Summary of assets and liabilities measured at fair value on a recurring basis

Assets and liabilities measured at fair value on a recurring basis are summarized below (in thousands):

					Fair Value Measurement at June 30, 2017 Using
Financial Assets:	Fair Value				Quoted Prices in Active Markets for Identical Assets (Level 1)				Significant Other Observable Inputs (Level 2)				Significant Unobservable Inputs (Level 3)
Obligations of U.S. Government and U.S. Government sponsored enterprises	$	16,360			$	—			$	16,360			$	—
Mortgage-backed securities, residential	246,977				—				246,977				—
Obligations of states and political subdivisions	55,577				—				55,577				—
Corporate bonds and notes	252				—				—				252
SBA loan pools	4,611				—				4,611				—
Corporate stocks	516				184				332				—
Total available for sale securities	$	324,293			$	184			$	323,857			$	252
Trading assets	$	877			$	877			$	—			$	—
Derivative assets	625				—				625				—
Financial Liabilities:
Derivative liabilities	$	696			$	—			$	625			$	71

					Fair Value Measurement at December 31, 2016 Using
Financial Assets:	Fair Value				Quoted Prices in Active Markets for Identical Assets (Level 1)				Significant Other Observable Inputs (Level 2)				Significant Unobservable Inputs (Level 3)
Obligations of U.S. Government and U.S. Government sponsored enterprises	$	17,455			$	—			$	17,455			$	—
Mortgage-backed securities, residential	245,866				—				245,866				—
Obligations of states and political subdivisions	38,740				—				38,740				—
Corporate bonds and notes	250				—				—				250
SBA loan pools	570				—				570				—
Corporate stocks	521				170				351				—
Total available for sale securities	$	303,402			$	170			$	302,982			$	250
Trading assets	$	774			$	774			$	—			$	—
Derivative assets	693				—				693				—
Financial Liabilities:
Derivative liabilities	$	761			$	—			$	693			$	68

Reconciliation of all assets measured at fair value

The table below presents a reconciliation of all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three-month periods ended June 30, 2017 and June 30, 2016 (in thousands):

		Assets (Liabilities)
		Corporate Bonds and Notes								Derivative Liabilities
		June 30, 2017				June 30, 2016				June 30, 2017				June 30, 2016
Balance of recurring Level 3 assets at April 1		$	251			$	252			$	(65	)		$	(84	)
Derivative instruments entered into		—				—				—				(23		)
Total gains or losses for the period:
Included in earnings - other non-interest income		—				—				(6		)		(13		)
Included in other comprehensive income		1				4				—				—
Transfers into Level 3		—				—				—				—
Balance of recurring Level 3 assets at June 30		$	252			$	256			$	(71	)		$	(120	)

The table below presents a reconciliation of all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six month periods ended June 30, 2017 and June 30, 2016 (in thousands):

		Assets (Liabilities)
		Corporate Bonds and Notes								Derivative Liabilities
		June 30, 2017				June 30, 2016				June 30, 2017				June 30, 2016
Balance of recurring Level 3 assets at January 1		$	250			$	248			$	(68	)		$	(48	)
Derivative instruments entered into		—				—				—				(25		)
Total gains or losses for the period:
Included in earnings - other non-interest income		—				—				(3		)		(47		)
Included in other comprehensive income		2				8				—				—
Transfers into Level 3		—				—				—				—
Balance of recurring Level 3 assets at June 30		$	252			$	256			$	(71	)		$	(120	)

Reconciliation of liabilities measured at fair value

The table below presents a reconciliation of all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three-month periods ended June 30, 2017 and June 30, 2016 (in thousands):

		Assets (Liabilities)
		Corporate Bonds and Notes								Derivative Liabilities
		June 30, 2017				June 30, 2016				June 30, 2017				June 30, 2016
Balance of recurring Level 3 assets at April 1		$	251			$	252			$	(65	)		$	(84	)
Derivative instruments entered into		—				—				—				(23		)
Total gains or losses for the period:
Included in earnings - other non-interest income		—				—				(6		)		(13		)
Included in other comprehensive income		1				4				—				—
Transfers into Level 3		—				—				—				—
Balance of recurring Level 3 assets at June 30		$	252			$	256			$	(71	)		$	(120	)

The table below presents a reconciliation of all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six month periods ended June 30, 2017 and June 30, 2016 (in thousands):

		Assets (Liabilities)
		Corporate Bonds and Notes								Derivative Liabilities
		June 30, 2017				June 30, 2016				June 30, 2017				June 30, 2016
Balance of recurring Level 3 assets at January 1		$	250			$	248			$	(68	)		$	(48	)
Derivative instruments entered into		—				—				—				(25		)
Total gains or losses for the period:
Included in earnings - other non-interest income		—				—				(3		)		(47		)
Included in other comprehensive income		2				8				—				—
Transfers into Level 3		—				—				—				—
Balance of recurring Level 3 assets at June 30		$	252			$	256			$	(71	)		$	(120	)

Summary of assets and liabilities measured at fair value on a non-recurring basis

Assets and liabilities measured at fair value on a non-recurring basis are summarized below (in thousands):

					Fair Value Measurement at June 30, 2017 Using
Financial Assets:	Fair Value				Quoted Prices in Active Markets for Identical Assets (Level 1)				Significant Other Observable Inputs (Level 2)				Significant Unobservable Inputs (Level 3)
Impaired Loans:
Commercial and agricultural:
Commercial and industrial	$	84			$	—			$	—			$	84
Commercial mortgages:
Commercial mortgages, other	2,911				—				—				2,911
Total impaired loans	$	2,995			$	—			$	—			$	2,995
Other real estate owned:
Residential mortgages	$	138			$	—			$	—			$	138
Consumer loans:
Home equity lines and loans	8				—				8				—
Total other real estate owned, net	$	146			$	—			$	8			$	138

					Fair Value Measurement at December 31, 2016 Using
Financial Assets:	Fair Value				Quoted Prices in Active Markets for Identical Assets (Level 1)				Significant Other Observable Inputs (Level 2)				Significant Unobservable Inputs (Level 3)
Impaired Loans:
Commercial mortgages:
Commercial mortgages, other	$	2,631			$	—			$	—			$	2,631
Consumer loans:
Home equity lines and loans	219				—				—				219
Total impaired loans	$	2,850			$	—			$	—			$	2,850
Other real estate owned:
Residential mortgages	$	344			$	—			$	—			$	344
Total other real estate owned, net	$	344			$	—			$	—			$	344

Nonrecurring fair value measurement, valuation techniques

The following table presents information related to Level 3 recurring fair value measurements at June 30, 2017 and December 31, 2016 (in thousands):

Description		Fair Value at June 30, 2017				Valuation Technique		Unobservable Inputs		Range [Weighted Average] at June 30, 2017
Corporate bonds and notes		$	252			Discounted cash flow		Credit spread		1.73% - 1.73% [1.73%]
Derivative liabilities		$	71			Historical trend		Credit default rate		5.07% - 5.07% [5.07%]

Description		Fair Value at December 31, 2016				Valuation Technique		Unobservable Inputs		Range [Weighted Average] at December 31, 2016
Corporate bonds and notes		$	250			Discounted cash flow		Credit spread		1.73% - 1.73% [1.73%]
Derivative liabilities		$	68			Historical trend		Credit default rate		4.92% - 4.92% [4.92%]

The following tables presents information related to Level 3 non-recurring fair value measurement at June 30, 2017 and December 31, 2016 (in thousands):

Description		Fair Value at June 30, 2017				Valuation Technique		Unobservable Inputs		Range [Weighted Average] at June 30, 2017
Impaired loans:
Commercial and agricultural:
Commercial and industrial		$	84			Sales comparison		Discount to appraised value		36.07%-36.07% [36.07%]
Commercial mortgages:
Commercial mortgages, other		316				Sales comparison		Discount to appraised value		13.58% - 42.95% [24.90%]
		2,595				Income approach		Capitalization Rate		9.00% - 10.00% [9.52%]
		$	2,995
OREO:
Residential mortgages		$	138			Sales comparison		Discount to appraised value		17.28% - 36.37% [23.12%]
		$	138

Description		Fair Value at December 31, 2016				Valuation Technique		Unobservable Inputs		Range [Weighted Average] at December 31, 2016
Impaired loans:
Commercial mortgages:
Commercial mortgages, other		$	2,631			Income approach		Capitalization Rate		9.00% - 10.00% [9.52%]
Consumer loans:
Home equity lines and loans		219				Sales comparison		Discount to appraised value		22.98% - 22.98% [22.98%]
		$	2,850
OREO:
Residential mortgages		$	344			Sales comparison		Discount to appraised value		20.80% - 48.17% [30.50%]
		$	344

Carrying value and estimated fair value of financial instruments

The carrying amounts and estimated fair values of other financial instruments, at June 30, 2017 and December 31, 2016, are as follows (in thousands):

	June 30, 2017
Financial assets:	Carrying Amount				Quoted Prices in Active Markets for Identical Assets (Level 1)				Significant Other Observable Inputs (Level 2)				Significant Unobservable Inputs (Level 3)				Estimated Fair Value (1)
Cash and due from financial institutions	$	26,684			$	26,684			$	—			$	—			$	26,684
Interest-bearing deposits in other financial institutions	37,862				37,862				—				—				37,862
Trading assets	877				877				—				—				877
Securities available for sale	324,293				184				323,857				252				324,293
Securities held to maturity	4,928				—				1,876				3,241				5,117
FHLBNY and FRBNY stock	3,764				—				—				—				N/A
Loans, net	1,237,543				—				—				1,242,298				1,242,298
Loans held for sale	386				—				386				—				386
Accrued interest receivable	3,998				8				825				3,165				3,998
Derivative assets	625				—				625				—				625
Financial liabilities:
Deposits:
Demand, savings, and insured money market accounts	$	1,392,234			$	1,392,234			$	—			$	—			$	1,392,234
Time deposits	132,803				—				133,091				—				133,091
Securities sold under agreements to repurchase	11,937				—				12,092				—				12,092
FHLBNY term advances	9,038				—				9,088				—				9,088
Accrued interest payable	163				19				144				—				163
Derivative liabilities	696				—				625				71				696

(1) Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument.  These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision.  Changes in assumptions could significantly affect the estimates.

	December 31, 2016
Financial assets:	Carrying Amount				Quoted Prices in Active Markets for Identical Assets (Level 1)				Significant Other Observable Inputs (Level 2)				Significant Unobservable Inputs (Level 3)				Estimated Fair Value (1)
Cash and due from financial institutions	$	28,205			$	28,205			$	—			$	—			$	28,205
Interest-bearing deposits in other financial institutions	45,957				45,957				—				—				45,957
Trading assets	774				774				—				—				774
Securities available for sale	303,402				170				302,982				250				303,402
Securities held to maturity	4,705				—				981				3,931				4,912
FHLBNY and FRBNY stock	4,041				—				—				—				N/A
Loans, net	1,186,037				—				—				1,205,814				1,205,814
Loans held for sale	412				—				412				—				412
Accrued interest receivable	4,000				9				784				3,207				4,000
Derivative assets	693				—				693				—				693
Financial liabilities:
Deposits:
Demand, savings, and insured money market accounts	$	1,312,237			$	1,312,237			$	—			$	—			$	1,312,237
Time deposits	144,106				—				144,460				—				144,460
Securities sold under agreements to repurchase	27,606				—				27,880				—				27,880
FHLBNY term advances	9,093				—				9,189				—				9,189
Accrued interest payable	210				25				185				—				210
Derivative liabilities	761				—				693				68				761

(1) Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument.  These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision.  Changes in assumptions could significantly affect the estimates.

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://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (bbb)
-URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19207-110258

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19190-110258

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19207-110258

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19207-110258

+ Details

Name:	us-gaap_FairValueAssetsMeasuredOnNonrecurringBasisTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum: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://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19207-110258

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19279-110258

+ Details

Name:	us-gaap_FairValueAssetsMeasuredOnRecurringBasisUnobservableInputReconciliationTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum: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://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=77997519&loc=d3e13476-108611

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19207-110258

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=77997519&loc=d3e13467-108611

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=75026489&loc=d3e13220-108610

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 30
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=75031198&loc=d3e14172-108612

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 10
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=77997519&loc=d3e13433-108611

+ Details

Name:	us-gaap_FairValueByBalanceSheetGroupingTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum: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

X

- Definition

Tabular disclosure of quantitative information about the inputs used in the fair value measurement of assets. This disclosure may include, but is not limited to, the fair value of the asset, valuation technique used to measure fair value, the inputs used to measure fair value, the ranges of the inputs, and the weighted averages of the inputs.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (bbb)
-URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19207-110258

+ Details

Name:	us-gaap_FairValueInputsAssetsQuantitativeInformationTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the fair value measurement of liabilities using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes 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 liability.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19279-110258

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19207-110258

+ Details

Name:	us-gaap_FairValueLiabilitiesMeasuredOnRecurringBasisUnobservableInputReconciliationTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of assets and liabilities, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, 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://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19190-110258

+ Details

Name:	us-gaap_ScheduleOfFairValueAssetsAndLiabilitiesMeasuredOnRecurringBasisTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration