Parent Company Only Financial Statements

12 Months Ended

Dec. 31, 2016

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Parent Company Only Financial Statements

Note 25. Parent Company Only Financial Statements

FIRST NATIONAL CORPORATION

(Parent Company Only)

Balance Sheets

December 31, 2016 and 2015

(in thousands)


	2016			2015
Assets
Cash	$	5,690		$	4,412
Investment in subsidiaries, at cost, plus undistributed net income		60,344			55,334
Other assets		335			408

Total assets	$	66,369		$	60,154


Liabilities and Shareholders’ Equity

Subordinated debt	$	4,930		$	4,913
Junior subordinated debt		9,279			9,279
Other liabilities		9			9

Total liabilities	$	14,218		$	14,201


Preferred stock	$	—		$	—
Common stock		6,162			6,145
Surplus		7,093			6,956
Retained earnings		39,756			34,440
Accumulated other comprehensive loss, net		(860	)		(1,588	)

Total shareholders’ equity	$	52,151		$	45,953


Total liabilities and shareholders’ equity	$	66,369		$	60,154

FIRST NATIONAL CORPORATION

(Parent Company Only)

Statements of Income

Years Ended December 31, 2016 and 2015

(in thousands)


	2016		2015

Income
Dividends from subsidiary	$	2,325	$	13,500

Total income	$	2,325	$	13,500


Expense
Interest expense	$	620	$	286
Supplies		2		17
Legal and professional fees		104		78
Data processing		61		60
Management fee-subsidiary		258		250
Other expense		17		21

Total expense	$	1,062	$	712


Income before allocated tax benefits and undistributed income of subsidiary	$	1,263	$	12,788

Allocated income tax benefit		361		242


Income before equity in undistributed income of subsidiary	$	1,624	$	13,030

Equity in undistributed (distributed) income of subsidiary		4,283		(10,375	)


Net income	$	5,907	$	2,655


Effective dividend on preferred stock		—		1,113


Net income available to common shareholders	$	5,907	$	1,542

FIRST NATIONAL CORPORATION

(Parent Company Only)

Statements of Cash Flows

Years Ended December 31, 2016 and 2015

(in thousands)


	2016			2015

Cash Flows from Operating Activities
Net income	$	5,907		$	2,655
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in undistributed (income) loss of subsidiary		(4,283	)		10,375
Amortization of debt issuance costs		17			3
Decrease in other assets		74			279
Increase in other liabilities		—			1

Net cash provided by operating activities	$	1,715		$	13,313


Cash Flows from Financing Activities
Proceeds from subordinated debt, net of issuance costs	$	—		$	4,910
Cash dividends paid on common stock, net of reinvestment		(550	)		(454	)
Cash dividends paid on preferred stock		—			(1,281	)
Net proceeds from issuance of common stock		113			99
Repurchase of common stock		—			(1	)
Redemption of preferred stock		—			(14,595	)

Net cash used in financing activities	$	(437	)	$	(11,322	)


Increase in cash and cash equivalents	$	1,278		$	1,991

Cash and Cash Equivalents
Beginning		4,412			2,421


Ending	$	5,690		$	4,412

- Definition

The entire disclosure for condensed financial information, including the financial position, cash flows, and the results of operations of the registrant (parent company) as of the same dates or for the same periods for which audited consolidated financial statements are being presented. Alternatively, the details of this disclosure can be reported by the specific parent company taxonomy elements, indicating the appropriate date and period contexts in an instance document.

+ References + Details