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CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Dec. 31, 2016
OPERATING ACTIVITIES      
Net income $ 7,768 $ 3,293 $ 2,310
Adjustments to reconcile net income to net cash provided by operating activities:      
Provision (credit) for loan losses (600) 800 3,950
Depreciation and amortization expense 1,530 1,665 1,803
Net amortization of investment securities 347 436 488
Net realized (gains) losses on investment securities – available for 439 (115) (177)
Net gains on loans held for sale (489) (679) (884)
Amortization of deferred loan fees (149) (162) (231)
Origination of mortgage loans held for sale (28,916) (45,637) (59,252)
Sales of mortgage loans held for sale 31,683 46,285 60,045
Decrease (increase) in accrued interest receivable 114 (487) (59)
Increase (decrease) in accrued interest payable 302 114 (11)
Earnings on bank-owned life insurance (536) (571) (675)
Deferred income taxes 2,665 4,303 414
Stock compensation expense 14 13 20
Other, net (6,188) (1,737) (1,147)
Net cash provided by operating activities 7,984 7,521 6,594
INVESTING ACTIVITIES      
Purchase of investment securities – available for sale (45,427) (32,889) (42,844)
Purchase of investment securities – held to maturity (5,746) (10,572) (12,038)
Proceeds from maturities of investment securities – available for sale 16,299 22,311 24,574
Proceeds from maturities of investment securities – held to maturity 3,651 2,383 2,693
Proceeds from sales of investment securities – available for sale 9,466 8,143 8,966
Purchase of regulatory stock (18,681) (17,661) (10,911)
Proceeds from redemption of regulatory stock 18,836 16,345 12,180
Long-term loans originated (155,191) (154,054) (196,998)
Principal collected on long-term loans 193,936 157,258 189,505
Participations purchased (13,943) (11,804) (17,192)
Participations sold 1,500 2,800 18,900
Net (increase) decrease in other short-term loans 89 (502) (875)
Purchases of premises and equipment (2,144) (2,705) (1,380)
Proceeds from sale of other real estate owned 46 108 235
Proceeds from life insurance policies 0 614 0
Net cash provided by (used in) investing activities 2,691 (20,225) (25,185)
FINANCING ACTIVITIES      
Net (decrease) increase in deposit balances 1,226 (19,841) 64,492
Net increase (decrease) in other short-term borrowings (8,055) 36,330 (35,994)
Principal borrowings on advances from Federal Home Loan Bank 12,492 12,687 9,542
Principal repayments on advances from Federal Home Loan Bank (12,000) (12,000) (12,000)
Proceeds from Stock Options Exercised 61 160 74
Purchases of treasury stock (2,346) (3,404) 0
Preferred stock redemption 0 0 (21,000)
Preferred stock dividend paid 0 0 (15)
Common stock dividend paid (1,347) (1,113) (945)
Net cash provided by (used in) financing activities (9,969) 12,819 4,154
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 706 115 (14,437)
CASH AND CASH EQUIVALENTS AT JANUARY 1 34,188 34,073 48,510
CASH AND CASH EQUIVALENTS AT DECEMBER 31 $ 34,894 $ 34,188 $ 34,073