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MERGERS AND ACQUISTIONS (Tables)

12 Months Ended

Dec. 31, 2019

Mergers And Acquistions

Schedule of Assets Acquired and Liabilities Assumed - Initial Fair Value Adjustment

The following table presents the assets acquired and liabilities assumed as of October 20, 2017 as recorded by the Company on the acquisition date and initial fair value adjustments.

(Dollars in thousands, except per share data)		As Recorded by Cornerstone				Fair Value Adjustments				As Recorded by the Company
Assets
Cash and cash equivalents		$	30,060			$	—			$	30,060
Investment securities			44,018				(358	)(a)			43,660
Loans			60,835				(734	)(b)			60,101
Premises and equipment			4,164				573	(c)			4,737
Intangible assets			—				1,810	(d)			1,810
Bank owned life insurance			2,384				—				2,384
Other assets			3,082				(452	)(e)			2,630
Total assets		$	144,543			$	839			$	145,382

Liabilities
Deposits:
Noninterest-bearing		$	27,296			$	—			$	27,296
Interest-bearing			99,152				150	(f)			99,302
Total deposits			126,448				150				126,598
Securities sold under agreements to repurchase			849				—				849
Other liabilities			320				96	(g)			416
Total liabilities			127,617				246				127,863
Net identifiable assets acquired over liabilities assumed			16,926				593				17,519
Goodwill			—				9,558				9,558
Net assets acquired over liabilities assumed		$	16,926			$	10,151			$	27,077

Consideration:
First Community Corporation common shares issued			877,364
Purchase price per share of the Company’s common stock		$	22.05
		$	19,346
Cash exchanged for stock and fractional shares			7,731
Fair value of total consideration transferred		$	27,077

Explanation of fair value adjustments

(a)—Adjustment reflects marking the securities portfolio to fair value as of the acquisition date.

(b)—Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired loan portfolio and excludes the allowance for loan losses recorded by Cornerstone.

(c)—Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired premises and equipment.

(d)—Adjustment reflects the recording of the core deposit intangible on the acquired deposit accounts.

(e)—Adjustment reflects the deferred tax adjustment related to fair value adjustments at 34%.

(f)—Adjustment reflects the fair value adjustment on interest-bearing deposits.

(g)—Adjustment reflects the fair value adjustment on post-retirement benefits.

Schedule of Impact of Merger and Pro Forma Information

The following table discloses the impact of the merger with Cornerstone (excluding the impact of merger-related expenses) since the acquisition on October 20, 2017 through December 31, 2017.

(Dollars in thousands)		Pro Forma Twelve Months Ended December 31, 2017				Pro Forma Twelve Months Ended December 31, 2016
Total revenues (net interest income plus noninterest income)		$	43,602			$	41,300
Net income		$	6,791			$	7,750