Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Jan. 31, 2018 | Jun. 30, 2017 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | UNITED BANCSHARES INC/OH | ||
Document Type | 10-K | ||
Current Fiscal Year End Date | --12-31 | ||
Trading Symbol | uboh | ||
Entity Common Stock, Shares Outstanding | 3,267,945 | ||
Entity Public Float | $ 69,028,312 | ||
Amendment Flag | false | ||
Entity Central Index Key | 1,087,456 | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Well-known Seasoned Issuer | No | ||
Document Period End Date | Dec. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
CASH AND CASH EQUIVALENTS | ||
Cash and due from banks | $ 10,718 | $ 9,926 |
Interest-bearing deposits in other banks | 16,556 | 4,260 |
Total cash and cash equivalents | 27,274 | 14,186 |
SECURITIES, available-for-sale | 169,428 | 190,205 |
RESTRICTED BANK STOCK, at cost | 5,302 | 4,830 |
CERTIFICATES OF DEPOSIT, at cost | 1,494 | |
LOANS HELD FOR SALE | 2,384 | 1,510 |
LOANS & LEASES | 506,412 | 376,086 |
Less allowance for loan and lease losses | 2,835 | 3,345 |
Net loans & leases | 503,577 | 372,741 |
PREMISES AND EQUIPMENT, net | 19,336 | 13,395 |
GOODWILL | 25,203 | 10,072 |
CORE DEPOSIT INTANGIBLE ASSETS, net | 1,126 | 766 |
CASH SURRENDER VALUE OF LIFE INSURANCE | 17,828 | 17,351 |
OTHER REAL ESTATE OWNED | 159 | 578 |
OTHER ASSETS, including accrued interest receivable | 8,833 | 5,991 |
Total Assets | 780,450 | 633,119 |
Deposits: | ||
Non-interest bearing | 105,828 | 98,134 |
Interest-bearing | 524,720 | 426,546 |
Total deposits | 630,548 | 524,680 |
Other borrowings, Carrying amount | 57,148 | 18,774 |
Junior subordinated deferrable interest debentures, Carrying amount | 12,840 | 12,806 |
Other liabilities | 4,210 | 4,301 |
Total liabilities | 704,746 | 560,561 |
SHAREHOLDERS' EQUITY | ||
Common stock, stated value $1.00, authorized 10,000,000 shares; issued 3,760,557 shares | 3,761 | 3,761 |
Surplus | 14,783 | 14,674 |
Retained earnings | 64,994 | 62,717 |
Accumulated other comprehensive income | (124) | (866) |
Treasury stock, at cost, 490,040 shares at December 31, 2016 and 451,218 shares at December 31, 2015 | (7,710) | (7,728) |
Total shareholders' equity | 75,704 | 72,558 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 780,450 | $ 633,119 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares | Dec. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Common stock par value (in Dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized | 10,000,000 | 10,000,000 |
Common stock, shares issued | 3,760,557 | 3,760,557 |
Treasury stock, shares | 492,914 | 494,040 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
INTEREST INCOME | |||
Loans & leases, including fees | $ 21,305 | $ 17,457 | $ 18,323 |
Securities: | |||
Taxable | 2,403 | 2,202 | 2,549 |
Tax-exempt | 1,682 | 1,636 | 1,686 |
Other | 382 | 332 | 278 |
Total interest income | 25,772 | 21,627 | 22,836 |
INTEREST EXPENSE | |||
Deposits | 2,125 | 1,687 | 1,579 |
Borrowings | 993 | 544 | 498 |
Total interest expense | 3,118 | 2,231 | 2,077 |
Net interest income | 22,654 | 19,396 | 20,759 |
PROVISION (CREDIT) FOR LOAN AND LEASE LOSSES | (350) | (750) | 382 |
Net interest income after provision (credit) for loan and lease losses | 23,004 | 20,146 | 20,377 |
NON-INTEREST INCOME | |||
Service charges on deposit accounts | 1,711 | 1,681 | 1,515 |
Gain on sale of loans | 1,843 | 618 | 586 |
Net securities gains | (2) | 158 | 116 |
Change in fair value of mortgage servicing rights | (31) | (12) | 263 |
Increase in cash surrender value of life insurance | 397 | 393 | 427 |
Other operating income | 2,256 | 2,065 | 1,730 |
Total non-interest income | 6,174 | 4,903 | 4,637 |
NON-INTEREST EXPENSES | |||
Salaries, wages and employee benefits | 12,038 | 9,622 | 9,290 |
Occupancy expenses | 2,917 | 2,224 | 2,134 |
Other operating expenses | 7,498 | 5,938 | 6,268 |
Total non-interest expenses | 22,453 | 17,784 | 17,692 |
Income before income taxes | 6,725 | 7,265 | 7,322 |
PROVISION FOR INCOME TAXES | 2,879 | 1,744 | 1,405 |
NET INCOME | $ 3,846 | $ 5,521 | $ 5,917 |
NET INCOME PER SHARE (basic and diluted) (in dollars per share) | $ 1.18 | $ 1.68 | $ 1.77 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statement of Comprehensive Income [Abstract] | |||
NET INCOME | $ 3,846 | $ 5,521 | $ 5,917 |
Unrealized gains (losses) on securities: | |||
Unrealized holding gains (losses) during period | 1,122 | (3,271) | 93 |
Reclassification adjustments for gains included in net income | 2 | (158) | (116) |
Other comprehensive income (loss), before income taxes | 1,124 | (3,429) | (23) |
Income tax expense (benefit) related to items of other comprehensive income (loss) | 382 | (1,166) | (8) |
Other comprehensive income (loss) | 742 | (2,263) | (15) |
COMPREHENSIVE INCOME | $ 4,588 | $ 3,258 | $ 5,902 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Surplus [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Treasury Stock [Member] | Total |
Beginning balance at Dec. 31, 2014 | $ 3,761 | $ 14,666 | $ 53,925 | $ 1,412 | $ (5,992) | $ 67,772 |
Comprehensive income: | ||||||
Net income | 5,917 | 5,917 | ||||
Other comprehensive income (loss) | (15) | (15) | ||||
Repurchase of shares | (927) | (927) | ||||
Sale of treasury shares | 3 | 11 | 14 | |||
Cash dividends declared | (1,200) | (1,200) | ||||
Balance at Dec. 31, 2015 | 3,761 | 14,669 | 58,642 | 1,397 | (6,908) | 71,561 |
Comprehensive income: | ||||||
Net income | 5,521 | 5,521 | ||||
Other comprehensive income (loss) | (2,263) | (2,263) | ||||
Repurchase of shares | (833) | (833) | ||||
Sale of treasury shares | 5 | 13 | 18 | |||
Cash dividends declared | (1,446) | (1,446) | ||||
Balance at Dec. 31, 2016 | 3,761 | 14,674 | 62,717 | (866) | (7,728) | 72,558 |
Comprehensive income: | ||||||
Net income | 3,846 | 3,846 | ||||
Other comprehensive income (loss) | 742 | 742 | ||||
Sale of treasury shares | 9 | 18 | 27 | |||
Stock option expense | 100 | 100 | ||||
Cash dividends declared | (1,569) | (1,569) | ||||
Balance at Dec. 31, 2017 | $ 3,761 | $ 14,783 | $ 64,994 | $ (124) | $ (7,710) | $ 75,704 |
Consolidated Statements of Sha7
Consolidated Statements of Shareholders' Equity (Parentheticals) - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Shares of treasury stock sold | 1,126 | 843 | 715 |
Cash dividends declared per share (in Dollars per share) | $ 0.48 | $ 0.44 | $ 0.36 |
Repurchase of shares | 0 | 43,665 | 59,111 |
Treasury Stock [Member] | |||
Repurchase of shares | 43,665 | 59,111 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES | |||
Net income | $ 3,846,000 | $ 5,521,000 | $ 5,917,000 |
Depreciation and amortization | 938,000 | 909,000 | 659,000 |
Purchase accounting loan discount accretion | (891,000) | (450,000) | (1,495,000) |
Deferred income taxes | 2,660,000 | 793,000 | 859,000 |
Provision (credit) for loan losses | (350,000) | (750,000) | 382,000 |
Gain on sale of loans | (1,843,000) | (618,000) | (586,000) |
Net securities gains | 2,000 | (158,000) | (116,000) |
Change in fair value of mortgage servicing rights | 31,000 | 12,000 | (263,000) |
Loss (gain) on sale or write-down of other real estate owned | (22,000) | 38,000 | 183,000 |
Increase in cash surrender value of life insurance | (397,000) | (393,000) | (427,000) |
Net amortization of security premiums and discounts | 848,000 | 885,000 | 925,000 |
Stock option expense | 100,000 | ||
Deferred compensation expense | 90,000 | 85,000 | 76,000 |
Loss on disposal or write-down of premises and equipment and other assets | 176,000 | 49,000 | |
Proceeds from sale of loans held for sale | 63,495,000 | 27,714,000 | 28,767,000 |
Originations of loans held for sale | (59,430,000) | (27,369,000) | (28,433,000) |
(Increase) decrease in other assets | (519,000) | (354,000) | 1,613,000 |
Increase (decrease) in other liabilities | (2,698,000) | 572,000 | (1,223,000) |
Net cash provided by operating activities | 5,860,000 | 6,613,000 | 6,887,000 |
CASH FLOWS FROM INVESTING ACTIVITIES | |||
Proceeds from sales of available-for-sale securities | 38,087,000 | 11,558,000 | 28,437,000 |
Proceeds from maturities of available-for-sale securities, including paydowns on mortgage-backed securities | 16,591,000 | 30,106,000 | 30,797,000 |
Purchases of available-for-sale securities | (33,627,000) | (53,096,000) | (36,534,000) |
Net proceeds from certificates of deposits | 1,494,000 | 498,000 | 498,000 |
Proceeds from sales of premises and equipment | 315,000 | ||
Payment for acquisition | (24,660,000) | ||
Proceeds from sale of other real estate owned | 823,000 | 278,000 | 552,000 |
Net (increase) decrease in loans and leases | (34,311,000) | (23,009,000) | 7,306,000 |
BOLI premium | (80,000) | (124,000) | |
Purchases of premises and equipment | (4,182,000) | (2,399,000) | (312,000) |
Net cash provided by (used in) investing activities | (39,865,000) | (35,873,000) | 30,744,000 |
Net increase (decrease) in deposits | 10,405,000 | 6,279,000 | (46,914,000) |
Proceeds from other borrowings | 57,148,000 | 18,774,000 | 2,118,000 |
Principal payments on other borrowings | (18,774,000) | (2,118,000) | |
Purchase of treasury shares | (833,000) | (927,000) | |
Proceeds from sale of treasury shares | 27,000 | 18,000 | 14,000 |
Payments of deferred compensation | (144,000) | (150,000) | (154,000) |
Cash dividends paid | (1,569,000) | (1,446,000) | (1,200,000) |
Net cash provided by (used in) financing activities | 47,093,000 | 20,524,000 | (47,063,000) |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 13,088,000 | (8,736,000) | (9,432,000) |
CASH AND CASH EQUIVALENTS | |||
At beginning of year | 14,186,000 | 22,922,000 | 32,355,000 |
At end of year | 27,274,000 | 14,186,000 | 22,922,000 |
SUPPLEMENTAL CASH FLOW DISCLOSURES | |||
Interest | 3,394,000 | 2,195,000 | 2,227,000 |
Federal income taxes | 425,000 | 860,000 | 665,000 |
Change in deferred income taxes on net unrealized gain or loss on available-for-sale securities | 382,000 | (1,166,000) | (8,000) |
Transfer of loans to other real estate owned | 241,000 | 721,000 | 372,000 |
Change in net unrealized gain or loss on available-for-sale securities | $ 1,124,000 | $ (3,429,000) | $ (23,000) |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Summary of Significant Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | UNITED BANCSHARES, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES United Bancshares, Inc. (the “Corporation”) was incorporated in 1985 in the state of Ohio as a single-bank holding company for The Union Bank Company (the “Bank”). The Bank has formed a wholly-owned subsidiary, UBC Investments, Inc. (“UBC”) to hold and manage its securities portfolio. The operations of UBC are located in Wilmington, Delaware. The Bank has also formed a wholly-owned subsidiary, UBC Property, Inc. to hold and manage certain property that is acquired in lieu of foreclosure. The Corporation, through its wholly-owned subsidiary, the Bank, operates in one industry segment, the commercial banking industry. The Bank, organized in 1904 as an Ohio-chartered bank, is headquartered in Columbus Grove, Ohio, with branch offices in Bowling Green, Delaware, Delphos, Findlay, Gahanna, Gibsonburg, Kalida, Leipsic, Lima, Marion, Ottawa, Pemberville and Westerville, Ohio. The primary source of revenue of the Corporation is providing loans to customers primarily located in Northwestern and West Central Ohio. Such customers are predominately small and middle-market businesses and individuals. Significant accounting policies followed by the Corporation are presented below. Use of Estimates in Preparing Financial Statements The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during each reporting period. Actual results could differ from those estimates. The estimates most susceptible to significant change in the near term include the determination of the allowance for loan losses; valuation of securities, deferred tax assets, and goodwill; and fair value of assets acquired and liabilities assumed in a business combination. Principles of Consolidation The consolidated financial statements include the accounts of the Corporation and its wholly-owned subsidiary, the Bank, and its wholly-owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. Cash and Cash Equivalents For purposes of the consolidated statements of cash flows, cash and cash equivalents include cash on hand, amounts due from banks, and federal funds sold which mature overnight or within four days. Restrictions on Cash The Corporation was required to maintain cash on hand or on deposit with the Federal Reserve Bank of approximately $1.2 million and $1.1 million at December 31, 2017 and 2016, respectively, to meet regulatory reserve and clearing requirements. Securities, Federal Home Loan Bank Stock and Certificates of Deposits The Corporation has designated all securities as available-for-sale. Such securities are recorded at fair value, with unrealized gains and losses, net of applicable income taxes, excluded from income and reported as accumulated other comprehensive income (loss). The cost of debt securities is adjusted for amortization of premiums and accretion of discounts to maturity. Purchase premiums and discounts are recognized in interest income using the interest method over the terms of the securities. Declines in fair value of securities below their cost that are deemed to be other-than-temporary are reflected in income as realized losses. In estimating other-than-temporary impairment losses, management considers (1) the intent to sell the securities and the more likely than not requirement that the Corporation will be required to sell the securities prior to recovery, (2) the length of time and the extent to which the fair value has been less than cost, and (3) the financial condition and near-term prospects of the issuer. Gains and losses on the sale of securities are recorded on the trade date, using the specific identification method, and are included in non-interest income. Investment in Federal Home Loan Bank of Cincinnati stock is classified as a restricted security, carried at cost, and evaluated for impairment. Investments in certificates of deposit are carried at cost and evaluated for impairment annually or when circumstances change that may have a significant effect on fair value. Loans Held for Sale Loans originated and intended for sale in the secondary market are carried at the lower of cost or estimated fair value in the aggregate. Estimated fair value is determined based on quoted market prices in the secondary market. Any net unrealized losses are recognized through a valuation allowance by charges to income. The Corporation had no unrealized losses at December 31, 2017 and 2016. Loans and Leases Loans and leases that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off are generally stated at its outstanding principal amount adjusted for charge-offs and the allowance for loan and lease losses. Interest is accrued as earned based upon the daily outstanding principal balance. Loan and lease origination fees and certain direct obligation costs are capitalized and recognized as an adjustment of the yield of the related loan. The accrual of interest on mortgage and commercial loans is generally discontinued at the time the loan is 90 days past due unless the credit is well-secured and in process of collection. Personal loans are typically charged-off no later than when they become 150 days past due. Past due status is based on contractual terms of the loan. In all cases, loans are placed on non-accrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued but not collected for loans and leases that are placed on nonaccrual or charged-off is reversed against interest income. Interest on these loans and leases is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans and leases are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Allowance for Loan and Lease Losses The allowance for loan and lease losses (“allowance”) is established as losses are estimated to have occurred through a provision for loan and lease losses charged to income. Loan and lease losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. The allowance is evaluated on a regular basis by management and is based upon management’s periodic review of the collectability of loans and leases in light of historical experience, the nature and volume of the loan and lease portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. Due to potential changes in conditions, it is at least reasonably possible that changes in estimates will occur in the near term and that such changes could be material to the amounts reported in the Corporation’s consolidated financial statements. The allowance consists of specific, general and unallocated components. The specific component relates to impaired loans and leases when the discounted cash flows, collateral value, or observable market price of the impaired loan and lease is lower than the carrying value of that loan or lease. The general component covers classified loans and leases (substandard or special mention) without specific reserves, as well as non-classified loans and leases, and is based on historical loss experience adjusted for qualitative factors. An unallocated component is maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating specific and general losses in the portfolio. A loan or lease is considered impaired when, based on current information and events, it is probable that the Corporation will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan or lease agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans and leases that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan or lease and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured individually for commercial loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral if the loan is collateral dependent. Under certain circumstances, the Corporation will provide borrowers relief through loan restructurings. A restructuring of debt constitutes a troubled debt restructuring (TDR) if the Corporation, for economic or legal reasons related to the borrower’s financial difficulties, grants a concession to the borrower that it would not otherwise consider. Restructured loans typically present an elevated level of credit risk as the borrowers are not able to perform according to the original contractual terms. Loans that are reported as TDRs are considered impaired and measured for impairment as described above. TDR concessions can include reduction of interest rates, extension of maturity dates, forgiveness of principal or interest due, or acceptance of other assets in full or partial satisfaction of the debt. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Corporation does not separately identify individual consumer and residential loans for impairment disclosures. Acquired Loans Purchased loans acquired in a business combination are segregated into three types: pass rated loans with no discount attributable to credit quality, non-impaired loans with a discount attributable at least in part to credit quality and impaired loans with evidence of significant credit deterioration. • Pass rated loans (typically performing loans) are accounted for in accordance with ASC 310-20 “Nonrefundable Fees and Other Costs” as these loans do not have evidence of credit deterioration since origination. • Non-impaired loans (typically past-due loans, special mention loans and performing substandard loans) are accounted for in accordance with ASC 310-30 “Receivables - Loans and Debt Securities Acquired with Deteriorated Credit Quality” as they display at least some level of credit deterioration since origination. • Impaired loans (typically substandard loans on non-accrual status) are accounted for in accordance with ASC 310-30 as they display significant credit deterioration since origination. In accordance with ASC 310-30, for both purchased non-impaired loans and purchased impaired loans, the difference between contractually required payments at acquisition and the cash flows expected to be collected is referred to as the non-accretable difference. This amount is not recognized as a yield adjustment or as a loss accrual or a valuation allowance. Further, any excess of cash flows expected at acquisition over the estimated fair value is referred to as the accretable yield and is recognized into interest income over the remaining life of the loan when there is a reasonable expectation about the amount and timing of such cash flows. Increases in expected cash flows subsequent to the initial investment are recognized prospectively through adjustment of the yield on the loan over its remaining estimated life. Decreases in expected cash flows are recognized immediately as impairment. If the Corporation does not have the information necessary to reasonably estimate cash flows to be expected, it may use the cost recovery method or cash basis method of income recognition. Valuation allowances on these impaired loans reflect only losses incurred after the acquisition (meaning the present value of all cash flows expected at acquisition that ultimately are not to be received). Other Real Estate Owned Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at the lower of cost or fair value, less estimated cost to sell, at the date of foreclosure, establishing a new cost basis with loan balances in excess of fair value charged to the allowance for loan losses. Subsequent to foreclosure, valuations are periodically performed and the assets are carried at the lower of carrying amount or fair value less cost to sell. Revenue and expenses from operations and subsequent valuation adjustments are included in other operating expenses. Loan Sales and Servicing Certain mortgage loans are sold with mortgage servicing rights retained or released by the Corporation. The value of mortgage loans sold with servicing rights retained is reduced by the cost allocated to the associated mortgage servicing rights. Gains or losses on sales of mortgage loans are recognized based on the difference between the selling price and the carrying value of the related mortgage loans sold. The Corporation generally estimates fair value for servicing rights based on the present value of future expected cash flows, using management’s best estimates of the key assumptions – credit losses, prepayment speeds, servicing costs, earnings rate, and discount rates commensurate with the risks involved. Capitalized servicing rights are reported at fair value and changes in fair value are reported in net income for the period the change occurs. Servicing fee income is recorded for servicing loans, based on a contractual percentage of the outstanding principal, and is reported as other operating income. Amortization of mortgage servicing rights is charged against loan servicing fee income. Premises and Equipment Premises and equipment is stated at cost, less accumulated depreciation. Upon the sale or disposition of the assets, the difference between the depreciated cost and proceeds is charged or credited to income. Depreciation is determined based on the estimated useful lives of the individual assets (typically 20 to 40 years for buildings and 3 to 10 years for equipment) and is computed primarily using the straight-line method. Premises and equipment is reviewed for impairment when events indicate the carrying amount may not be recoverable from future undiscounted cash flows. If impaired, premises and equipment is recorded at fair value and any corresponding write-downs are charged against current year earnings. Off-Balance Sheet Credit Related Financial Instruments In the ordinary course of business, the Corporation has entered into commitments to extend credit, including commitments under commercial letters of credit, and standby letters of credit. Such financial instruments are recorded when they are funded. The Corporation maintains a separate allowance for off-balance sheet commitments. Management estimates anticipated losses using historical data and utilization assumptions. The allowance for off-balance sheet commitments is included in other liabilities. Goodwill and Core Deposit Intangible Assets Goodwill arising from acquisitions is not amortized, but is subject to an annual impairment test to determine if an impairment loss has occurred. Significant judgment is applied when goodwill is assessed for impairment. This judgment includes developing cash flow projections, selecting appropriate discount rates, identifying relevant market comparables, incorporating general economic and market conditions, and selecting an appropriate control premium. At December 31, 2017, the Corporation believes the Bank does not have any indicators of potential impairment based on the estimated fair value of its reporting unit. The core deposit intangible asset resulting from the March 2010 Findlay branch acquisition was determined to have a definite life and was amortized on a straight-line basis over seven years through March 2017. The core deposit intangible asset resulting from the November 2014 Ohio State Bank (“OSB”) acquisition was also determined to have a definite life and is being amortized on a straight-line basis over ten years through October 2024. The core deposit intangible asset resulting from the September 2017 Benchmark Bancorp, Inc. and its wholly owned subsidiary, Benchmark Bank (collectively referred to as “Benchmark”) acquisition was also determined to have a definite life and is being amortized on an accelerated basis over ten years through 2027. Amortization of core deposit intangible assets amounted to $124,000 , $96,000 and $96,000 for the years ended December 31, 2017, 2016 and 2015. Future amortization of core deposit intangible assets for the years 2018 thru 2022 are $173,000 , $158,000 , $151,000 , $143,000 , and $140,000 , respectively. Supplemental Retirement Benefits Annual provisions are made for the estimated liability for accumulated supplemental retirement benefits under agreements with certain officers and directors. These provisions are determined based on the terms of the agreements, as well as certain assumptions, including estimated service periods and discount rates. Advertising Costs All advertising costs are expensed as incurred. Income Taxes Deferred income taxes are provided on temporary differences between financial statement and income tax reporting. Temporary differences are differences between the amounts of assets and liabilities reported for financial statement purposes and its tax bases. Deferred tax assets are recognized for temporary differences that will be deductible in future years’ tax returns and for operating loss and tax credit carryforwards. Deferred tax assets are reduced by a valuation allowance if it is deemed more likely than not that some or all of the deferred tax assets will not be realized. Deferred tax liabilities are recognized for temporary differences that will be taxable in future years’ tax returns. Benefits from tax positions taken or expected to be taken in a tax return are not recognized if the likelihood that the tax position would be sustained upon examination by a taxing authority is considered to be 50% or less. The Corporation has adopted the policy of classifying any interest and penalties resulting from the filing of its income tax returns in the provision for income taxes. The Corporation is not currently subject to state or local income taxes. Transfers of Financial Assets Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Corporation, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Corporation does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. The transfer of a participating interest in an entire financial asset must also meet the definition of a participating interest. A participating interest in a financial asset has all of the following characteristics: (1) from the date of transfer, it must represent a proportionate (pro rata) ownership interest in the financial asset, (2) from the date of transfer, all cash flows received, except any cash flows allocated as any compensation for servicing or other services performed, must be divided proportionately among participating interest holders in the amount equal to their share ownership, (3) the rights of each participating interest holder must have the same priority, (4) no party has the right to pledge or exchange the entire financial asset unless all participating interest holders agree to do so. Comprehensive Income (Loss) Recognized revenue, expenses, gains and losses are included in net income. Although certain changes in assets and liabilities, such as unrealized gains and losses on available-for-sale securities, are reported as a separate component of the equity section of the consolidated balance sheet, such items, along with net income, are components of comprehensive income. Per Share Data Basic net income per share is computed based on the weighted average number of shares of common stock outstanding during each year. Diluted net income per share reflects additional common shares that would have been outstanding if dilutive potential common shares had been issued. The weighted average number of shares used for the years ended December 31, 2017, 2016 and 2015: 2017 2016 2015 Basic 3,267,305 3,289,497 3,339,242 Diluted 3,272,310 3,289,497 3,339,242 Dividends per share are based on the number of shares outstanding at the declaration date. Rate Lock Commitments Loan commitments related to the origination or acquisition of mortgage loans that will be held for sale are accounted for as derivative instruments. The Corporation enters into commitments to originate loans whereby the interest rate on the loan is determined prior to funding (rate lock commitments). Rate lock commitments on mortgage loans that are intended to be sold are considered to be derivatives. Accordingly, such commitments, along with any related fees received from potential borrowers, are to be recorded at fair value as derivative assets or liabilities, with changes in fair value recorded in the net gain or loss on sale of mortgage loans. Fair value is based on fees currently charged to enter into similar agreements, and for fixed-rate commitments also considers the difference between current levels of interest rates and the committed rates. At December 31, 2017 and 2016, derivative assets and liabilities relating to rate lock commitments were not material to the consolidated financial statements. Fair Values of Financial Instruments Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully discussed in Note 18. Fair value estimates involve uncertainties and matters of significant judgment regarding interest rates, credit risk, prepayments, and other factors, especially in the absence of broad markets for particular items. Changes in assumptions or in market conditions could significantly affect the estimates. Subsequent Events Management evaluated subsequent events through the date the consolidated financial statements were issued. Events or transactions occurring after December 31, 201 7 , but prior to when the consolidated financial statements were issued, that provided additional evidence about conditions that existed at December 31, 201 7 , have been recognized in the financial statements for the year ended December 31, 201 7 . Events or transactions that provided evidence about conditions that did not exist at December 31, 201 7 but arose before the financial statements were issued, have not been recognized in the consolidated financial statements for the year ended December 31, 201 7 . On January 18, 2018 , United Bancshares , Inc. issued a release announcing that its Board of Directors approved a cash dividend of $ 0.12 per common share payable March 15, 2018 to shareholders of record at the close of business on February 28, 2018 . |
New Accounting Pronouncements
New Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2017 | |
New Accounting Pronouncements [Abstract] | |
New Accounting Pronouncements | NOTE 2 - NEW ACCOUNTING PRONOUNCEMENTS In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606): Summary and Amendments that Create Revenue from Contracts with Customers (Topic 606) and Other Assets and Deferred Costs—Contracts with Customers (Subtopic 340-40). The guidance in this update supersedes the revenue recognition requirements in ASC Topic 605, Revenue Recognition, and most industry-specific guidance throughout the industry topics of the Codification. For public companies, this update will be effective for interim and annual periods beginning after December 15, 2017. The guidance does not apply to revenues associated with financial instruments, including loans and securities that are accounted for under U.S. GAAP. The Corporation has determined that the first quarter adoption of Topic 606-2018 will not have a material impact on its consolidated financial statements. In January 2016, the FASB issued ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities, amending ASU Subtopic 825-10. The amendments in this update make targeted improvements to generally accepted accounting principles (GAAP) as follows: 1) require equity investments to be measured at fair value with changes in fair value recognized in net income; 2) simplify the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment; 3) eliminate the requirement to disclose the fair value of financial instruments measured at amortized cost for entities that are not public business entities; 4) eliminate the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet; 5) require public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes; 6) require an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments; 7) require separate presentation of financial assets and financial liabilities by measurement category and form of financial asset on the balance sheet or the accompanying notes to the financial statements; and 8) clarify that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale securities in combination with the entity’s other deferred tax assets. The amendments in this update are effective for fiscal years beginning after December 15, 2017. The Corporation has determined that this guidance will not have a material impact on its consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). The ASU requires a lessee to recognize on the balance sheet assets and liabilities for leases with lease terms of more than 12 months. Consistent with current GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. Unlike current GAAP, which requires that only capital leases be recognized on the balance sheet, the ASC requires that both types of leases by recognized on the balance sheet. For public companies, this update will be effective for interim and annual periods beginning after December 15, 2018. Early application is permitted. The adoption of this guidance is not expected to have a material impact on the Corporation’s consolidated financial statements. In March 2016, the FASB issued ASU 2016-09, Compensation - Stock Compensation (Topic 718). ASU 2016-09 is intended to simplify the accounting for share-based payment transactions, including income tax consequences, classification of awards as either assets or liabilities and classification in the statement of cash flows. ASU 2016-09 is effective for annual periods beginning after December 15, 2017 and interim periods within annual periods beginning after December 15, 2018. Early adoption is permitted. The Corporation does not expect the adoption of ASU 2016-09 to have a material impact on its consolidated financial statements and related disclosures. In June 2016, the FASB issued ASU 2016-13, Financial Instruments Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The ASU requires an organization to measure all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to better inform their credit loss estimates. Many of the loss estimation techniques applied today will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. Organizations will continue to use judgment to determine which loss estimation method is appropriate for their circumstances. Additionally, the ASU amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. For public companies, this update will be effective for interim and annual periods beginning after December 15, 2019. Management has begun gathering data and evaluating the process for calculating the allowance for loan losses under the requirements of ASU 2016-13, but has not yet determined the expected impact the adoption of ASU 2016-13 will have on the consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. The guidance in this update eliminates the Step 2 from the goodwill impairment test. For public companies, this update will be effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted for interim and annual goodwill impairment test with a measurement date after January 1, 2017. The Corporation does not expect the guidance to have a material impact on the consolidated financial statements. |
Acquisition
Acquisition | 12 Months Ended |
Dec. 31, 2017 | |
Acquisition [Abstract] | |
Acquisition | NOTE 3 – ACQUISITION On September 8, 2017 , after receiving full board of director and regulatory approval, the Corporation completed the acquisition of Benchmark in an all cash transaction. Under the terms of the merger agreement, shareholders of Benchmark received approximately $8.59 per share for each outstanding common share. Immediately following the merger of Benchmark with and into the Corporation, Benchmark merged with and into the Bank. As a result of the acquisition, the two full-service banking centers of Benchmark located in Gahanna and Westerville, Ohio, became full service offices of the Bank, and one mortgage loan production office located in Gahanna Ohio, became a mortgage loan production office of the Bank. The acquisition expands the geographical footprint of the Corporation in Ohio’s fastest growing market and is expected to provide certain cost synergies with the existing Central Ohio operations, as well as income accretion through a larger asset base. Acquisition related costs amounted to $1,271,000 in 2017 and $65,000 in 2016, and are included in other non-interest expenses. Goodwill of $15.1 million arising from the acquisition consists largely of synergies and the cost savings expected to result from the combining of operations and is not deductible for income tax purposes. Consideration paid and the estimated fair value of the assets acquired and the liabilities assumed at the acquisition date are as follows (dollars in thousands): Cash and cash equivalents $ 6,092 Restricted stock 472 Loans, including loans held for sale 98,804 Premises and equipment 2,483 Core deposit intangible asset 493 Other real estate owned 141 Other assets, including accrued interest receivable 5,342 Total assets acquired 113,827 Deposits 95,545 Other liabilities 2,661 Total liabilities assumed 98,206 Net identifiable assets 15,621 Goodwill 15,131 Total cash paid $ 30,752 |
Securities
Securities | 12 Months Ended |
Dec. 31, 2017 | |
Securities [Abstract] | |
Securities | NOTE 4 – SECURITIES The amortized cost and fair value of securities as of December 31, 2017 and 2016 are as follows: (in thousands) 2017 2016 Amortized cost Fair value Amortized cost Fair value Available-for-sale: Obligations of states and political subdivisions $ 67,160 $ 67,979 $ 70,757 $ 70,624 Mortgage-backed 101,454 100,463 119,758 118,595 Other 1,002 986 1,002 986 Total $ 169,616 $ 169,428 $ 191,517 $ 190,205 A summary of unrealized gains and losses on securities at December 31, 2017 and 2016 follows: (in thousands) 2017 2016 Gross unrealized gains Gross unrealized losses Gross unrealized gains Gross unrealized losses Available-for-sale: Obligations of states and political subdivisions $ 977 $ 158 $ 644 $ 777 Mortgage-backed 285 1,276 769 1,932 Other - 16 - 16 Total $ 1,262 $ 1,450 $ 1,413 $ 2,725 The amortized cost and fair value of securities at December 31, 2017, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. (in thousands) Amortized Cost Fair value Due in one year or less $ 2,660 $ 2,690 Due after one year through five years 19,761 20,017 Due after five years through ten years 39,197 39,659 Due after ten years 106,996 106,076 Other securities having no maturity date 1,002 986 Total $ 169,616 $ 169,428 Securities with a carrying value of $27.7 million at December 31, 2017 and $26.5 million at December 31, 2016 were pledged to secure public deposits and for other purposes as required or permitted by law. The following table presents gross unrealized losses and fair value of debt securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2017 and 2016: (in thousands) Securities in a continuous unrealized loss position Less than 12 months 12 months or more Total 2017 Unrealized losses Fair value Unrealized losses Fair value Unrealized losses Total Fair value Obligations of states and political subdivisions $ 60 $ 11,951 $ 98 $ 6,193 $ 158 $ 18,144 Mortgage-backed 236 34,109 1,040 39,105 1,276 73,214 Other - - 16 986 16 986 Total temporarily impaired securities $ 296 $ 46,060 $ 1,154 $ 46,284 $ 1,450 $ 92,344 Less than 12 months 12 months or more Total 2016 Unrealized losses Fair value Unrealized losses Fair value Unrealized losses Total Fair value Obligations of states and political subdivisions $ 777 $ 33,312 $ - $ - $ 777 $ 33,312 Mortgage-backed 1,882 78,717 50 1,758 1,932 80,475 Other 16 986 - - 16 986 Total temporarily impaired securities $ 2,675 $ 113,015 $ 50 $ 1,758 $ 2,725 $ 114,773 There were 102 securities in an unrealized loss position at December 31, 2017, 66 of which were in a continuous unrealized loss position for 12 months or more. Management has considered industry analyst reports, whether downgrades by bond rating agencies have occurred, sector credit reports, issuer’s financial condition and prospects, the Corporation’s ability and intent to hold securities to maturity, and volatility in the bond market, in concluding that the unrealized losses as of December 31, 2017 were primarily the result of customary and expected fluctuations in the bond market. As a result, all security impairments as of December 31, 2017 are considered to be temporary. Gross realized gains from sale of securities, including securities calls, amounted to $241,000 in 2017, $215,000 in 2016, and $ 142,000 in 2015, with the income tax provision applicable to such gains amounting to $82,000 in 2017, $73,000 in 2016, and $ 48,000 in 2015. Gross realized losses from sale of securities amounted to $243,000 in 2017, $57,000 in 2016, and $ 26,000 in 2015 with related income tax effect of $83,000 in 2017, $ 19,000 in 2016 and $ 9,000 in 2015. |
Loans and Leases
Loans and Leases | 12 Months Ended |
Dec. 31, 2017 | |
Loans and Leases [Abstract] | |
Loans and Leases | NOTE 5 – LOANS AND LEASES Loans and leases at December 31, 2017 and 2016 consist of the following: (in thousands) 2017 2016 Residential real estate $ 121,418 $ 88,869 Commercial 335,820 244,097 Agriculture 44,510 39,108 Consumer 4,664 4,012 Total loans and leases $ 506,412 $ 376,086 Fixed rate loans and leases approximated $112,007,000 at December 31, 2017 and $75,723,000 at December 31, 2016. Certain commercial and agricultural loans and leases are secured by real estate. Most of the Corporation’s lending activities are with customers located in Northwestern and West Central Ohio. As of December 31, 2017 and 2016, the Corporation’s loans and leases from borrowers in the agriculture industry represent the single largest industry and amounted to $44,510,000 and $39,108,000 , respectively. Agriculture loans and leases are generally secured by property and equipment. Repayment is primarily expected from cash flow generated through the harvest and sale of crops or milk production for dairy products. Agriculture customers are subject to various risks and uncertainties which can adversely impact the cash flow generated from their operations, including weather conditions; milk production; health and stability of livestock; costs of key operating items such as fertilizer, fuel, seed, or animal feed; and market prices for crops, milk, and livestock. Credit evaluation of agricultural lending is based on an evaluation of cash flow coverage of principal and interest payments and the adequacy of collateral received. The Corporation originates 1-4 family real estate and consumer loans and leases utilizing credit reports to supplement the underwriting process. The Corporation’s underwriting standards for 1-4 family loans and leases are generally in accordance with the Federal Home Loan Mortgage Corporation (FHLMC) manual underwriting guidelines. Properties securing 1-4 family real estate loans and leases are appraised by fee appraisers, which is independent of the loan and lease origination function and has been approved by the Board of Directors and the Loan Policy Committee. The loan-to-value ratios normally do not exceed 80% without credit enhancements such as mortgage insurance. The Corporation will lend up to 100% of the lesser of the appraised value or purchase price for conventional 1-4 family real estate loans, provided private mortgage insurance is obtained. The underwriting standards for consumer loans and leases include a determination of the applicant’s payment history on other debts and an assessment of their ability to meet existing obligations and payments on the proposed loan or lease. To monitor and manage loan and lease risk, policies and procedures are developed and modified, as needed by management. This activity, coupled with smaller loan and lease amounts that are spread across many individual borrowers, minimizes risk. Additionally, market conditions are reviewed by management on a regular basis. The Corporation ’s 1-4 family real estate loans and leases are secured primarily by properties located in its primary market area. Commercial and agricultural real estate loans and leases are subject to underwriting standards and processes similar to commercial and agricultural operating loans and leases, in addition to those unique to real estate loans and leases. These loans and leases are viewed primarily as cash flow loans and secondarily as loans secured by real estate. Commercial and agricultural real estate lending typically involves higher loan principal amounts and the repayment of these loans is generally dependent on the successful operation of the property securing the loan or the business conducted on the property securing the loan. Loan to value is generally 75% of the cost or appraised value of the assets. Appraisals on properties securing these loans are performed by fee appraisers approved by the Board of Directors. Because payments on commercial and agricultural real estate loans are often dependent on the successful operation or management of the properties, repayment of such loans may be subject to adverse conditions in the real estate market or the economy. M anagement monitors and evaluates commercial and agricultural real estate loans and leases based on collateral and risk rating criteria. The Corporation may require guarantees on these loans and leases. The Corporation ’s commercial and agricultural real estate loans and leases are secured primarily by properties located in its primary market area. Commercial and agricultural operating loans and leases are underwritten based on the Corporation ’s examination of current and projected cash flows to determine the ability of the borrower to repay their obligations as agreed. This underwriting includes the evaluation of cash flows of the borrower, underlying collateral, if applicable and the borrower’s ability to manage its business activities. The cash flows of borrowers and the collateral securing these loans and leases may fluctuate in value after the initial evaluation. A first priority lien on the general assets of the business normally secures these types of loans and leases. Loan to value limits vary and are dependent upon the nature and type of the underlying collateral and the financial strength of the borrower. Crop and/or hail insurance may be required for agricultural borrowers. Loans are generally guaranteed by the principal(s). The Corporation ’s commercial and agricultural operating lending is primarily in its primary market area. The Corporation maintains an internal audit department that reviews and validates the credit risk program on a periodic basis. Results of these reviews are presented to management and the audit committee. The internal audit process complements and reinforces the risk identification and assessment decisions made by lenders and credit personnel, as well as the Corporation ’s policies and procedures. The following tables present the activity in the allowance for loan and lease losses by portfolio segment for the years ended December 31, 2017, 2016 and 2015: (in thousands) Commercial Commercial and multi-family real estate Residential 1 – 4 family real estate Consumer Total Balance at December 31, 2016 $ 896 $ 1,876 $ 542 $ 31 $ 3,345 Provision (credit) for loan and lease losses (424) 9 34 31 (350) Losses charged off (63) (553) (45) (28) (689) Recoveries 92 414 14 9 529 Balance at December 31, 2017 $ 501 $ 1,746 $ 545 $ 43 $ 2,835 Commercial Commercial and multi-family real estate Residential 1 – 4 family real estate Consumer Total Balance at December 31, 2015 $ 893 $ 2,540 $ 373 $ 28 $ 3,834 Provision (credit) for loan and lease losses 55 (969) 160 4 (750) Losses charged off (86) (12) (52) (10) (160) Recoveries 34 317 61 9 421 Balance at December 31, 2016 $ 896 $ 1,876 $ 542 $ 31 $ 3,345 Commercial Commercial and multi-family real estate Residential 1 – 4 family real estate Consumer Total Balance at December 31, 2014 $ 199 $ 3,255 $ 363 $ 23 $ 3,840 Provision (credit) for loan and lease losses 971 (767) 166 12 382 Losses charged off (349) (98) (176) (16) (639) Recoveries 72 150 20 9 251 Balance at December 31, 2015 $ 893 $ 2,540 $ 373 $ 28 $ 3,834 The following tables present the balance in the allowance for loan and lease losses and the recorded investment in loans and leases by portfolio segment and based on impairment method as of December 31, 2017 and 2016: (in thousands) Commercial Commercial and multi-family real estate Residential 1 – 4 family real estate Consumer Total 2017 Allowance for loan and lease losses: Attributable to loans and leases individually evaluated for impairment $ - $ - $ - $ - $ - Collectively evaluated for impairment 501 1,746 545 43 2,835 Total allowance for loan and lease losses $ 501 $ 1,746 $ 545 $ 43 $ 2,835 Loans and leases: Individually evaluated for impairment $ - $ - $ - $ - $ - Acquired with deteriorated credit quality - 984 194 - 1,178 Collectively evaluated for impairment 68,072 311,274 121,224 4,664 505,234 Total ending loans and leases balance $ 68,072 $ 312,258 $ 121,418 $ 4,664 $ 506,412 Commercial Commercial and multi-family real estate Residential 1 – 4 family real estate Consumer Total 2016 Allowance for loan and lease losses: Attributable to loans and leases individually evaluated for impairment $ 399 $ 619 $ - $ - $ 1,018 Collectively evaluated for impairment 497 1,257 542 31 2,327 Total allowance for loan and lease losses $ 896 $ 1,876 $ 542 $ 31 $ 3,345 Loans and leases: Individually evaluated for impairment $ 937 $ 1,980 $ - $ - $ 2,917 Acquired with deteriorated credit quality - 573 51 - 624 Collectively evaluated for impairment 62,782 216,933 88,818 4,012 372,545 Total ending loans and leases balance $ 63,719 $ 219,486 $ 88,869 $ 4,012 $ 376,086 The following is a summary of the activity in the allowance for loan and lease losses of impaired loans, which is a part of the Corporation’s overall allowance for loan and lease losses for the years ended December 31, 2017, 2016, and 2015: (in thousands) 2017 2016 2015 Balance at beginning of year $ 1,018 $ 1,371 $ 807 Provision (credit) for loan and lease losses (865) (1,155) 852 Loans charged off (414) - (326) Recoveries 261 802 38 Balance at end of year $ - $ 1,018 $ 1,371 The average balance of impaired loans and leases (excluding loans and leases acquired with deteriorated credit quality) amounted to $1,450,000 , $3,691,000 and $5,579,000 during 2017, 2016 and 2015, respectively. There was no interest income on impaired loans and leases in 2017 compared to $245,000 and $393,000 in interest income recognized by the Corporation on impaired loans and leases on an accrual or cash basis during 2016 and 2015, respectively. The following table presents loans and leases individually evaluated for impairment by class of loans as of December 31, 2017 and 2016: (in thousands) 2017 2016 Recorded investment Allowance for loan and lease losses allocated Recorded investment Allowance for loan and lease losses allocated With no related allowance recorded: Commercial $ - $ - $ - $ - Commercial and multi-family real estate - - - - Agriculture - - - - Agricultural real estate - - - - Consumer - - - - Residential 1-4 family real estate - - - - With an allowance recorded: Commercial - - 937 399 Commercial and multi-family real estate - - 1,980 619 Agriculture - - - - Agricultural real estate - - - - Consumer - - - - Residential 1-4 family real estate - - - - Total $ - $ - $ 2,917 $ 1,018 The following table presents the recorded investment in nonaccrual loans and leases, loans and leases past due over 90 days still on accrual and troubled debt restructurings by class of loans as of December 31, 2017 and 2016: (in thousands) 2017 2016 Nonaccrual Loans and leases past due over 90 days still accruing Troubled Debt Restructurings Nonaccrual Loans and leases past due over 90 days still accruing Troubled Debt Restructurings Commercial $ 532 $ 60 $ 27 $ 1,295 $ - $ 29 Commercial real estate 1,411 - 257 3,462 - 722 Agricultural real estate 233 - - 277 - - Agriculture - - - - 73 - Consumer - - - 3 - - Residential: 1 – 4 family 591 110 428 966 81 457 Home equity - - - - - - Total $ 2,767 $ 170 $ 712 $ 6,003 $ 154 $ 1,208 The nonaccrual balances in the table above include troubled debt restructurings that have been classified as nonaccrual. The following table presents the aging of the recorded investment in past due loans and leases as of December 31, 2017 and 2016 by class of loans and leases: (in thousands) 30 – 59 days past due 60 – 89 days past due Greater than 90 days past due Total past due Loans and leases not past due Total 2017 Commercial $ 419 $ 34 $ 60 $ 513 $ 55,410 $ 55,923 Commercial real estate 636 354 631 1,621 278,276 279,897 Agriculture - 145 - 145 12,318 12,463 Agricultural real estate 25 - - 25 32,022 32,047 Consumer 1 - - 1 4,663 4,664 Residential real estate 3,418 195 392 4,005 117,413 121,418 Total $ 4,499 $ 728 $ 1,083 $ 6,310 $ 500,102 $ 506,412 30 – 59 days past due 60 – 89 days past due Greater than 90 days past due Total past due Loans and leases not past due Total 2016 Commercial $ 326 $ 71 $ 79 $ 476 $ 49,988 $ 50,464 Commercial real estate 103 147 553 803 192,830 193,633 Agriculture 227 - - 227 13,026 13,253 Agricultural real estate - - 5 5 25,850 25,855 Consumer 10 2 - 12 4,000 4,012 Residential real estate 1,770 484 462 2,716 86,153 88,869 Total $ 2,436 $ 704 $ 1,099 $ 4,239 $ 371,847 $ 376,086 Credit Quality Indicators: The Corporation categorizes loans and leases into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Corporation analyzes loans and leases individually by classifying the loans and leases as to the credit risk. This analysis generally includes loans and leases with an outstanding balance greater than $500,000 and non-homogenous loans and leases, such as commercial and commercial real estate loans and leases. This analysis is performed on a quarterly basis. The Corporation uses the following definitions for risk ratings: · Special Mention: Loans and leases which possess some credit deficiency or potential weakness which deserves close attention, but which do not yet warrant substandard classification. Such loans and leases pose unwarranted financial risk that, if not corrected, could weaken the loan and lease and increase risk in the future. The key distinctions of a Special Mention classification are that (1) it is indicative of an unwarranted level of risk, and (2) weaknesses are considered "potential", versus "defined", impairments to the primary source of loan repayment. · Substandard: These loans and leases are inadequately protected by the current sound net worth and paying ability of the borrower. Loans and leases of this type will generally display negative financial trends such as poor or negative net worth, earnings or cash flow. These loans and leases may also have historic and/or severe delinquency problems, and Corporation management may depend on secondary repayment sources to liquidate these loans and leases. The Corporation could sustain some degree of loss in these loans and leases if the weaknesses remain uncorrected. · Doubtful: Loans and leases in this category display a high degree of loss, although the amount of actual loss at the time of classification is undeterminable. This should be a temporary category until such time that actual loss can be identified, or improvements made to reduce the seriousness of the classification. Loans and leases not meeting the criteria above that are analyzed individually as part of the above described process are considered to be pass rated loans and leases. Loans and leases listed as not rated are generally either less than $500,000 or are included in groups of homogenous loans and leases. As of December 31, 2017 and 2016, and based on the most recent analysis performed, the risk category of loans by class of loans and leases is as follows: (in thousands) Pass Special Mention Substandard Doubtful Not rated 2017 Commercial $ 47,054 $ - $ 1,845 $ - $ 19,173 Commercial and multi- family real estate 234,428 2,344 3,868 - 71,618 Residential 1 - 4 family 11,637 - 174 - 109,607 Consumer - - - - 4,664 Total $ 293,119 $ 2,344 $ 5,887 $ - $ 205,062 Pass Special Mention Substandard Doubtful Not rated 2016 Commercial $ 41,234 $ - $ 3,666 $ - $ 18,819 Commercial and multi- family real estate 162,398 4,239 3,850 - 48,999 Residential 1 - 4 family 210 - - - 88,659 Consumer - - - - 4,012 Total $ 203,842 $ 4,239 $ 7,516 $ - $ 160,489 The Corporation considers the performance of the loan and lease portfolio and its impact on the allowance for loan and lease losses. For all loan classes that are not rated, the Corporation also evaluates credit quality based on the aging status of the loan, which was previously presented, and by payment activity. Generally, all loans not rated that are 90 days past due or are classified as nonaccrual and collectively evaluated for impairment, are considered nonperforming. The following table presents the recorded investment in all loans that are not risk rated, based on payment activity as of December 31, 2017 and 2016: (in thousands) Commercial Commercial and multi-family real estate Residential 1-4 family Consumer 2017 Performing $ 19,113 $ 70,987 $ 109,214 $ 4,664 Nonperforming 60 631 393 - Total $ 19,173 $ 71,618 $ 109,607 $ 4,664 Commercial Commercial and multi-family real estate Residential 1-4 family Consumer 2016 Performing $ 18,740 $ 48,441 $ 88,197 $ 4,012 Nonperforming 79 558 462 - Total $ 18,819 $ 48,999 $ 88,659 $ 4,012 Modifications: The Corporation’s loan and lease portfolio also includes certain loans and leases that have been modified in a TDR, where economic concessions have been granted to borrowers who have experienced or are expected to experience financial difficulties. These concessions typically result from the Corporation’s loss mitigation activities and could include reductions in the interest rate, payment extensions, forgiveness of principal, forbearance or other actions. All TDRs are also classified as impaired loans and leases. When the Corporation modifies a loan or lease, management evaluates any possible concession based on the present value of expected future cash flows, discounted at the contractual interest rate of the original loan or lease agreement, except when the sole (remaining) source of repayment for the loan or lease is the operation or liquidation of the collateral. In these cases, management uses the current fair value of the collateral, less selling costs, instead of discounted cash flows. If management determines that the value of the modified loan or lease is less than the recorded investment in the loan or lease (net of previous charge-offs, deferred loan fees or costs and unamortized premium or discount), an impairment is recognized through a specific reserve in the allowance or a direct write down of the loan or lease balance if collection is not expected. The following table includes the recorded investment and number of modifications for TDR loans and leases during the year ended December 31, 2016 (there were none in 2017). There were no other subsequent defaults relating to TDR loans and leases during the years ended December 31, 2017 and 2016. (dollars in thousands) Number of modifications Recorded investment Allowance for loan and lease losses allocated 2016 Residential Real Estate 1 $ 72 $ - Commercial 1 30 - Commercial Real Estate 4 256 - Total 6 $ 358 $ - The concessions granted during 2016 included the following: the bank renewed two loans for another one year term, granted an interest only period on one loan, lowered payments and extended the maturity on one loan, modified payments on one loan and brought interest payments current and liquidating inventory of one loan. The following is additional information with respect to loans and leases acquired with the Benchmark and OSB acquisitions as of December 31, 2017 and 2016: Benchmark Bank (in thousands) Contractual Principal Accretable Carrying Receivable Difference Amount Purchased Performing Loans and Leases Balance at acquisition $ 96,914 $ (2,273) $ 94,641 Change due to payments received (7,763) 207 (7,556) Transfer to foreclosed real estate - - - Change due to loan charge-off - - - Balance at December 31, 2017 $ 89,151 $ (2,066) $ 87,085 Contractual Non Principal Accretable Carrying Receivable Difference Amount Purchased Impaired Loans and Leases Balance at acquisition $ 1,588 $ (674) $ 914 Change due to payments received - - Transfer to foreclosed real estate - - - Change due to loan charge-off - - - Balance at December 31, 2017 $ 1,588 $ (674) $ 914 The Ohio State Bank (in thousands) Contractual Principal Accretable Carrying 2017 Receivable Difference Amount Purchased Performing Loans and Leases Balance at December 31, 2016 $ 34,416 $ (1,476) $ 32,940 Accretion of loan discounts (8,907) 547 (8,360) Transfer to foreclosed real estate - - - Change due to loan charge-offs - - - Balance at December 31, 2017 $ 25,509 $ (929) $ 24,580 Contractual Non Principal Accretable Carrying Receivable Difference Amount Purchased Impaired Loans and Leases Balance at December 31, 2016 $ 1,520 $ (896) $ 624 Change due to payments received (465) 176 (289) Transfer to foreclosed real estate - - - Change due to loan charge-offs (559) 488 (71) Balance at December 31, 2017 $ 496 $ (232) $ 264 Contractual Principal Accretable Carrying 2016 Receivable Difference Amount Purchased Performing Loans and Leases Balance at December 31, 2015 $ 41,873 $ (1,809) $ 40,064 Accretion of loan discounts (7,457) 333 (7,124) Transfer to foreclosed real estate - - - Change due to loan charge-offs - - - Balance at December 31, 2016 $ 34,416 $ (1,476) $ 32,940 Contractual Non Principal Accretable Carrying Receivable Difference Amount Purchased Impaired Loans and Leases Balance at December 31, 2015 $ 1,959 $ (1,194) $ 765 Change due to payments received (238) 108 (130) Transfer to foreclosed real estate - - - Change due to loan charge-offs (201) 190 (11) Balance at December 31, 2016 $ 1,520 $ (896) $ 624 As a result of the acquisitions, the Corporation has loans, for which there was at acquisition, evidence of deterioration of credit quality since origination and for which it was probable at acquisition, that all contractually required payments would not be collected. The carrying amount of those loans was $914,000 as of December 31, 2017 and $967,000 at acquisition for Benchmark. The carrying amount of those loans as of December 31, 2017, December 31, 2016 as well as the date of acquisition, November 14, 2014 was $264,000 , $624,000 and $959,000 , respectively, for the OSB acquisition. A $101,000 provision for loan and lease losses was recognized for the year ended December 31, 2017 related to one purchase credit impaired commercial loan from the OSB acquisition for which the sheriff’s appraisal was substantially below the expected collateral value. There was no other provision for loan and lease losses recognized for the years ended December 31, 2017 and 2016 related to the acquired loans and leases as there was no significant change to the credit quality of the loans and leases during the periods. Certain directors and executive officers, including their immediate families and companies in which they are principal owners, are loan and lease customers of the Corporation. Such loans and leases are made in the ordinary course of business in accordance with the normal lending policies of the Corporation, including the interest rate charged and collateralization. Such loans amounted to $491,000 and $370,000 at December 31, 2017 and 2016 respectively. The following is a summary of activity during 2017, 2016 and 2015 for such loans: (in thousands) 2017 2016 2015 Beginning of year $ 370 $ 63 $ 34 Additions 300 630 160 Repayments (179) (323) (131) End of year $ 491 $ 370 $ 63 Additions and repayments include loan and lease renewals, as well as net borrowings and repayments under revolving lines-of-credit. |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2017 | |
Premises and Equipment [Abstract] | |
Premises and Equipment | NOTE 6 - PREMISES AND EQUIPMENT The following is a summary of premises and equipment at December 31, 2017 and 2016: (in thousands) 2017 2016 Land and improvements $ 4,069 $ 3,469 Buildings 17,311 10,434 Equipment 5,018 3,621 Construction in progress - 2,209 26,398 19,733 Less accumulated depreciation 7,062 6,338 Premises and equipment, net $ 19,336 $ 13,395 Depreciation expense amounted to $724,000 in 2017, $562,000 in 2016 and $599,000 in 2015. |
Servicing
Servicing | 12 Months Ended |
Dec. 31, 2017 | |
Servicing [Abstract] | |
Servicing | NOTE 7 - SERVICING Mortgage loans serviced for others are not included in the accompanying consolidated balance sheets. The unpaid principal balance of mortgage loans serviced for others amounted to $174,669,000 and $172,171,000 at December 31, 2017 and 2016, respectively. Mortgage servicing rights are included in other assets in the accompanying consolidated balance sheets. The Corporation has elected to record its mortgage servicing rights using the fair value measurement method. Significant assumptions used in determining the fair value of servicing rights as of December 31, 2017 and 2016 include: Prepayment assumptions: Based on the PSA Standard Prepayment Model Internal rate of return: 9% to 11% Servicing costs: $50 – $65 per loan, annually, increased at the rate of $1 per 1% delinquency based on loan count Inflation rate of servicing costs: 3% Earnings rate: 0.25% Following is a summary of mortgage servicing rights activity for the years ended December 31, 2017, 2016 and 2015: (in thousands) 2017 2016 2015 Fair value at beginning of year $ 1,247 $ 1,181 $ 1,218 Capitalized servicing rights – new loan sales 183 273 252 Disposals (amortization based on loan payments and payoffs) (129) (195) (552) Change in fair value (31) (12) 263 Fair value at end of year $ 1,270 $ 1,247 $ 1,181 The changes in fair value of servicing rights for the years ended December 31, 2017, 2016 and 2015 resulted from changes in external market conditions, including prepayment assumptions, which is a key valuation input used in determining the fair value of servicing. While prepayment assumptions are constantly changing, such changes are typically within a relatively small parameter from period to period. The prepayment assumption factor used in determining the fair value of servicing at December 31, 2017 was 159 compared to 148 at December 31, 2016 and 170 at December 31, 2015. The earnings rate used in determining the fair value of servicing was 0.25% in 2017, 2016 and 2015. |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2017 | |
Deposits [Abstract] | |
Deposits | NOTE 8 - DEPOSITS Time deposits at December 31, 2017 and 2016 include individual deposits greater than $250,000 of $11,170,000 and $4,341,000 , respectively. Interest expense on time deposits greater than $250,000 amounted to $111,000 for 2017, $31,000 for 2016, and $23,000 for 2015. At December 31, 2017, time deposits amounted to $170,615,000 and were scheduled to mature as follows: 2018, $104,983,000; 2019, $31,964,000; 2020, $14,385,000; 2021, $9,873,000; 2022, $9,213,000; and thereafter, $196,000 . Certain directors and executive officers, including their immediate families and companies in which they are principal owners, are depositors of the Corporation. Such deposits amounted to $3,991,000 and $3,436,000 at December 31, 2017 and 2016, respectively. |
Other Borrowings
Other Borrowings | 12 Months Ended |
Dec. 31, 2017 | |
Other Borrowings [Abstract] | |
Other Borrowings | NOTE 9 – OTHER BORROWINGS Other borrowings consists of the following at December 31, 2017 and December 31, 2016: (in thousands) 2017 2016 Federal Home Loan Bank borrowings: Secured notes, with interest at .74% , due March, 2017 - 18,774 Secured note, with interest at 1.52% , due March, 2018 22,048 Secured note, with interest at 0.0% , due October, 2018 100 Secured note, with interest at 1.56% , due September, 2021 7,000 Secured note, with interest at 1.72% , due September, 2020 6,000 Secured note, with interest at 1.86% , due September, 2021 6,000 Secured note, with interest at 1.97% , due September, 2022 6,000 United Bankers Bank Note payable, with interest at 4.875% payable quarterly, and $250,000 principal payments commencing December 1, 2018, with any remaining unpaid principal, due September 1, 2022 . All Union Bank stock is held as collateral. 10,000 Total other borrowings $ 57,148 $ 18,774 Federal Home Loan Bank borrowings are secured by Federal Home Loan Bank stock and eligible mortgage loans approximating $88,454,000 at December 31, 2017. At December 31, 2017, the Corporation had $63,704,000 of borrowing availability under various line-of-credit agreements with the Federal Home Loan Bank and other financial institutions. Future maturities of other borrowings are as follows: 2018, $22,398 ; 2019, $1,000,000 ; 2020, $7,000,000 ; 2021, $14,000,000 ; and 2022, $12,750,000 . |
Junior Subordinated Deferrable
Junior Subordinated Deferrable Interest Debentures | 12 Months Ended |
Dec. 31, 2017 | |
Junior Subordinated Deferrable Interest Debentures [Abstract] | |
Junior Subordinated Deferrable Interest Debentures | NOTE 10 - JUNIOR SUBORDINATED DEFERRABLE INTEREST DEBENTURES The Corporation has formed and invested $300,000 in a business trust, United (OH) Statutory Trust (United Trust) which is not consolidated by the Corporation. United Trust issued $10,000,000 of trust preferred securities, which are guaranteed by the Corporation, and are subject to mandatory redemption upon payment of the debentures. United Trust used the proceeds from the issuance of the trust preferred securities, as well as the Corporation’s capital investment, to purchase $10,300,000 of junior subordinated deferrable interest debentures issued by the Corporation. The debentures have a stated maturity date of March 26, 2033 . As of March 26, 2008, and quarterly thereafter, the debentures may be shortened at the Corporation’s option. Interest is at a floating rate adjustable quarterly and equal to 315 basis points over the 3-month LIBOR amounting to 4.82% at December 31, 2017, 4.15% at December 31, 2016, and 3.57% at December 31, 2015, with interest payable quarterly. The Corporation has the right, subject to events in default, to defer payments of interest on the debentures by extending the interest payment period for a period not exceeding 20 consecutive quarterly periods. The Corporation assumed $3,093,000 of trust preferred securities from the OSB acquisition with $3,000,000 of the liability guaranteed by the Corporation, and the remaining $93,000 secured by an investment in the trust preferred securities. The trust preferred securities have a carrying value of $2,540,000 at December 31, 2017 and $2,506,000 at December 31, 2016. The difference between the principal owed and the carrying value is due to the below-market interest rate on the debentures. The debentures have a stated maturity date of April 23, 2034 . Interest is at a floating rate adjustable quarterly and equal to 285 basis points over the 3-month LIBOR amounting to 4.21% at December 31, 2017 and 3.73% at December 31, 2016. Interest expense on the debentures amounted to $596,000 in 2017, $496,000 in 2016, and $446,000 in 2015, and is included in interest expense-borrowings in the accompanying consolidated statements of income. Each issue of the trust preferred securities carries an interest rate identical to that of the related debenture. The securities have been structured to qualify as Tier I capital for regulatory purposes and the dividends paid on such are tax deductible. However, the securities cannot be used to constitute more than 25% of the Corporation’s Tier I capital inclusive of these securities under Federal Reserve Board guidelines. |
Other Operating Expenses
Other Operating Expenses | 12 Months Ended |
Dec. 31, 2017 | |
Other Operating Expenses [Abstract] | |
Other Operating Expenses | NOTE 11 - OTHER OPERATING EXPENSES Other operating expenses consisted of the following for the years ended December 31, 2017, 2016 and 2015: (in thousands) 2017 2016 2015 Data processing $ 1,164 $ 999 $ 1,053 Professional fees 1,471 785 907 Ohio Financial Institution tax 523 285 453 Advertising 1,062 605 484 ATM processing and other fees 611 570 438 Amortization of core deposit intangible assets 133 137 137 Postage 43 40 43 Stationery and supplies 178 105 99 FDIC assessment 185 269 358 Loan closing fees 421 290 191 Other real estate owned 36 46 354 Deposit losses 72 27 36 Other 1,599 1,780 1,715 Total other operating expenses $ 7,498 $ 5,938 $ 6,268 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Taxes [Abstract] | |
Income Taxes | NOTE 12 - INCOME TAXES On December 22, 2017, the U.S. Securities and Exchange Commission (“SEC”) released Staff Accounting Bulletin No. 118 (“SAB 118”), which allows us to record provisional amounts if our accounting for the effects of H.R. 1 at December 31, 2017 is incomplete because we do not have the necessary information available, prepared, or analyzed in reasonable detail. This would include lack of clarity in interpreting and applying all of the provisions of H.R. 1. Accordingly, our total $1,136 million expense to re-measure our deferred taxes is provisional for certain items, including fixed assets depreciation and the deductibility of certain executive compensation. SAB 118 allows a measurement period not to extend beyond one year from the Act’s enactment date to complete the necessary accounting. The provision for income taxes for the years ended December 31, 2017, 2016 and 2015 consist of the following: (in thousands) 2017 2016 2015 Current $ 219 $ 951 $ 546 Deferred 1,524 793 859 Enactment of federal tax reform 1,136 - - Total provision for income taxes $ 2,879 $ 1,744 $ 1,405 The income tax provision attributable to income from operations differed from the amounts computed by applying the U.S. federal income tax rate of 34% to income before income taxes as a result of the following: (in thousands) 2017 2016 2015 Expected tax using statutory tax rate of 34% $ 2,287 $ 2,470 $ 2,489 Increase (decrease) in tax resulting from: Tax-exempt income on state and municipal securities and political subdivision loans (572) (558) (577) Tax-exempt income on life insurance contracts (135) (134) (145) Deductible dividends paid to United Bancshares, Inc. ESOP (57) (49) (39) Uncertain tax position reserves - (22) (25) Non-deductible merger and acquisition costs 117 - - Accounting method change relating to bad debt reserve recapture - - (332) Enactment of federal tax reform 1,136 Other, net 103 37 34 Total provision for income taxes $ 2,879 $ 1,744 $ 1,405 The deferred income tax provision of $2,660,000 in 2017 included the impact of federal tax reforms. The remaining deferred income tax provision in 2017, as well as the deferred tax provision of $793,000 in 2016 and $859,000 in 2015, resulted from the tax effects of temporary differences. There was no impact for changes in the valuation allowance for deferred tax assets; however, there was a one-time tax benefit of $332,000 recognized in 2015 due to the I.R.S. Revenue Procedures 2015-13 and 2015-14 reclassed in January 2015. The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2017 and 2016 are presented below: (in thousands) 2017 2016 Deferred tax assets: Allowance for loan losses $ 611 $ 1,156 Deferred compensation 305 512 Alternative minimum tax credits 847 627 Nonaccrual loan interest 301 598 Deferred loan fees 112 153 Accrued vacation expense 86 134 Accrued profit sharing 115 161 Loans fair value adjustments 781 709 Unrealized loss on securities available-for sale 64 446 Other 81 91 Net operating loss carryforward 2,461 708 Total deferred tax assets 5,764 5,295 Deferred tax liabilities: Federal Home Loan Bank stock dividends 526 849 Capitalized mortgage servicing rights 267 424 Fixed asset depreciation 264 75 Acquisition intangibles 1,803 2,679 Trust preferred fair value adjustment 116 200 Other 107 12 Total deferred tax liabilities 3,083 4,239 Net deferred tax assets $ 2,681 $ 1,056 Net deferred tax assets at December 31, 2017 and 2016 are included in other assets in the consolidated balance sheets. At December 31, 2017, the corporation has $847,000 of federal alternative minimum tax credit carryforwards that do not expire. Under the Act, the Corporation expects to recover $832,000 of this by 2022 via reduction of regular tax liability or refund. The remaining $15,000 was acquired with the acquisition of Benchmark and is subject to limitations under Section 382 of the Internal Revenue Code. Management expects this amount to be fully recoverable. The Corporation acquired $15 million in federal loss carryforwards with the acquisition of OSB during 2014, which losses expire in years ranging from 2029 to 2033 . Use of these losses is limited to $126,000 per year under Section 382 of the Internal Revenue Code; therefore Management recorded in deferred tax assets the tax benefit of only $2.5 million of the losses that are more likely than not to be utilized before expiration. At December 31, 2017 $14.7 million of the loss carryforwards remain; the benefit of $2.1 million of these losses is reflected in deferred tax assets. The Corporation acquired $9.6 million in federal loss carryforwards with the Benchmark acquisition described in Note 3, which losses expire in years ranging from 2029 to 2036 . Under Section 382 of the Internal Revenue Code, the annual limitation on the use of these losses is $594,000 . Management has determined that all of the losses are more likely than not to be utilized before expiration. At December 31, 2017 $9.6 million of the loss carryforwards remain; the benefit of which is reflected in deferred tax assets. Management believes it is more likely than not that the benefit of recorded deferred tax assets will be realized. Consequently, no valuation allowance for deferred tax assets is deemed necessary as of December 31, 2017 and 2016. Unrecognized Tax Benefits A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: (in thousands) 2017 2016 Balance at January 1 $ - $ 20 Reductions due to the statute of limitation - (20) Balance at December 31 $ - $ - The Corporation had no unrecognized tax benefits at December 31, 2017 and 2016. The Corporation and its subsidiaries are subject to U.S. federal income tax. The Corporation and its subsidiaries are no longer subject to examination by taxing authorities for years before 2014. There are no current federal examinations of the Corporation’s open tax years. |
Employee and Director Benefits
Employee and Director Benefits | 12 Months Ended |
Dec. 31, 2017 | |
Employee and Director Benefits [Abstract] | |
Employee and Director Benefits | NOTE 13 - EMPLOYEE AND DIRECTOR BENEFITS The Corporation sponsors a salary deferral, defined contribution plan which provides for both profit sharing and employer matching contributions. The plan permits investing in the Corporation’s stock subject to certain limitations. Participants who meet certain eligibility conditions are eligible to participate and defer a specified percentage of their eligible compensation subject to certain income tax law limitations. The Corporation makes discretionary matching and profit sharing contributions, as approved annually by the Board of Directors, subject to certain income tax law limitations. Contribution expense for the plan amounted to $776,000 , $632,000 and 617,000 , in 2017, 2016, and 2015, respectively. At December 31, 2017, the plan owned 359,761 shares of the Corporation’s common stock. The Corporation also sponsors nonqualified deferred compensation plans, covering certain directors and employees, which have been indirectly funded through the purchase of split-dollar life insurance policies. In connection with the policies, the Corporation has provided an estimated liability for accumulated supplemental retirement benefits amounting to $1,452,000 and $1,506,000 at December 31, 2017 and 2016, respectively, which is included in other liabilities in the accompanying consolidated balance sheets. The Corporation has also purchased split-dollar life insurance policies for investment purposes and to fund other employee benefit plans. The combined cash values of these policies aggregated $17,830,000 and $17,351,000 at December 31, 2017 and 2016, respectively. Under an employee stock purchase plan, eligible employees may defer a portion of their compensation and use the proceeds to purchase stock of the Corporation at a discount determined semi-annually by the Board of Directors as stipulated in the plan. The Corporation sold from treasury 1,126 shares in 2017, 843 shares in 2016, and 715 shares in 2015 under the plan. The Chief Executive Officer of the Corporation has an employment agreement which provides for certain compensation and benefits should any triggering events occur, as specified in the agreement, including change of control or termination without cause. |
Financial Instruments With Off-
Financial Instruments With Off-Balance Sheet Risk | 12 Months Ended |
Dec. 31, 2017 | |
Financial Instruments With Off-Balance Sheet Risk [Abstract] | |
Financial Instruments With Off-Balance Sheet Risk | NOTE 14 - FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK The Corporation is party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments are primarily loan commitments to extend credit and letters of credit. These instruments involve, to varying degrees, elements of credit risk in excess of the amounts recognized in the consolidated balance sheets. The contract amount of these instruments reflects the extent of involvement the Corporation has in these financial instruments. The Corporation’s exposure to credit loss in the event of the nonperformance by the other party to the financial instruments for loan commitments to extend credit and letters of credit is represented by the contractual amounts of these instruments. The Corporation uses the same credit policies in making loan commitments as it does for on-balance sheet loans. The following financial instruments whose contract amount represents credit risk were outstanding at December 31, 2017 and 2016: (in thousands) Contract amount 2017 2016 Commitments to extend credit $ 126,885 $ 90,713 Letters of credit $ 623 $ 310 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amount does not necessarily represent future cash requirements. The Corporation evaluates each customer’s credit worthiness on a case-by-case basis. The amount of collateral obtained if deemed necessary by the Corporation upon extension of credit is based on management’s credit evaluation of the customer. Collateral held varies but may include accounts receivable, inventory, property, plant, and equipment, and income-producing commercial properties. Letters of credit are written conditional commitments issued by the Corporation to guarantee the performance of a customer to a third party and are reviewed for renewal at expiration. All of the letters of credit outstanding at December 31, 2017 expire in 2018. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. The Corporation requires collateral supporting these commitments when deemed necessary. |
Regulatory Matters
Regulatory Matters | 12 Months Ended |
Dec. 31, 2017 | |
Regulatory Matters [Abstract] | |
Regulatory Matters | NOTE 15 - REGULATORY MATTERS The Corporation (on a consolidated basis) and Bank are subject to various regulatory capital requirements administered by the federal and state banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Corporation’s and Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Corporation and Bank must meet specific capital guidelines that involve quantitative measures of their assets, liabilities, and certain off-balance-sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Prompt corrective action provisions are not applicable to bank holding companies. Quantitative measures established by regulation to ensure capital adequacy require the Corporation and Bank to maintain minimum amounts and ratios (set forth in the following table) of Common Equity Tier 1 Capital (CET1) to risk-weighted assets (as defined), total and Tier I capital (as defined) to risk-weighted assets (as defined), and of Tier I capital to average assets (as defined). Management believes, as of December 31, 2017 and 2016, that the Corporation and Bank meet all capital adequacy requirements to which they are subject. Furthermore, the Board of Directors of the Bank has adopted a resolution to maintain Tier I capital at or above 8% of total assets. As of December 31, 2017, the most recent notification from federal and state banking agencies categorized the Bank as “well capitalized” under the regulatory framework for prompt corrective action. To be categorized as “well capitalized”, an institution must maintain minimum CET1, total risk-based, Tier I risk-based and Tier I leverage ratios as set forth in the following table. There are no conditions or events since that notification that management believes have changed the Bank’s category. In July 2013 the U.S federal banking authorities approved the final rules (the “Basel III Capital Rules”) which established a new comprehensive capital framework for U.S. banking organizations. The Basel III Capital Rules have maintained the general structure of the current prompt corrective action framework, while incorporating provisions which will increase both the quality and quantity of the Bank’s capital. Generally, the Bank became subject to the new rules on January 1, 2015 with phase-in periods for many of the new provisions. Management believes the Bank is complying with the new capital requirements as they are phased-in. The actual capital amounts and ratios of the Corporation and Bank as of December 31, 2017 and 2016 are presented in the following table: Minimum to be well capitalized Minimum under prompt capital corrective Actual requirement action provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of December 31, 2017 Common Equity Tier 1 Capital (CET1) (to Risk Weighted Assets) * Consolidated $ 60,438 10.2% $ 26,765 ≥ 4.5% N/A N/A Bank $ 63,649 10.7% $ 26,704 ≥ 4.5% $ 38,573 6.5% Total Capital (to Risk Weighted Assets) Consolidated $ 63,273 10.6% $ 47,581 ≥ 8.0% N/A N/A Bank $ 66,559 11.2% $ 47,474 ≥ 8.0% $ 59,343 10.0% Tier 1 Capital (to Risk weighted Assets) Consolidated $ 60,438 10.2% $ 35,686 ≥ 6.0% N/A N/A Bank $ 63,649 10.7% $ 35,606 ≥ 6.0% $ 47,474 8.0% Tier 1 Capital (to Average Assets) Consolidated $ 60,438 9.2% $ 26,198 ≥ 4.0% N/A N/A Bank $ 63,649 8.5% $ 29,838 ≥ 4.0% $ 37,298 5.0% As of December 31, 2016 Common Equity Tier 1 Capital (CET1) (to Risk Weighted Assets) * Consolidated $ 75,273 16.2% $ 20,912 ≥ 4.5% N/A N/A Bank $ 73,559 15.9% $ 20,878 ≥ 4.5% $ 30,157 6.5% Total Capital (to Risk Weighted Assets) Consolidated $ 78,618 16.9% $ 37,177 ≥ 8.0% N/A N/A Bank $ 76,959 16.6% $ 37,116 ≥ 8.0% $ 46,395 10.0% Tier 1 Capital (to Risk weighted Assets) Consolidated $ 75,273 16.2% $ 27,882 ≥ 6.0% N/A N/A Bank $ 73,559 15.9% $ 27,837 ≥ 6.0% $ 37,116 8.0% Tier 1 Capital (to Average Assets) Consolidated $ 75,273 12.5% $ 24,147 ≥ 4.0% N/A N/A Bank $ 73,559 12.0% $ 24,461 ≥ 4.0% $ 30,576 5.0% *CET1 is effective as of January 1, 2016 On a parent company only basis, the Corporation’s primary source of funds is dividends paid by the Bank. The ability of the Bank to pay dividends is subject to limitations under various laws and regulations, and to prudent and sound banking principles. Generally, subject to certain minimum capital requirements, the Bank may declare dividends without the approval of the State of Ohio, Division of Financial Institutions (the “ODFI”), unless the total dividends in a calendar year exceed the total of the Bank’s net profits for the year combined with its retained profits of the two preceding years. |
Condensed Parent Company Financ
Condensed Parent Company Financial Information | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Parent Company Financial Information [Abstract] | |
Condensed Financial Information of Parent Company Only | NOTE 16 - CONDENSED PARENT COMPANY FINANCIAL INFORMATION A summary of condensed financial information of the parent company as of December 31, 2017 and 2016 and for each of the years in the three-year period ended December 31, 2017, is as follows: Condensed Balance Sheets (in thousands) Assets: 2017 2016 Cash $ 4,268 $ 294 Investment in bank subsidiary 92,247 83,950 Other assets 2,167 1,222 Total assets $ 98,682 $ 85,466 Liabilities: Junior subordinated deferrable interest debentures $ 12,840 $ 12,806 Other borrowings 10,000 - Other liabilities 138 102 Total liabilities 22,978 12,908 Shareholders' equity 75,704 72,558 Total liabilities and shareholders’ equity $ 98,682 $ 85,466 (in thousands) Condensed Statements of Income 2017 2016 2015 Income – dividends from bank subsidiary $ 28,000 $ 2,575 $ 3,000 Expenses – interest expense, professional fees and other expenses, net of federal income tax benefit (835) (703) (577) Income before equity in undistributed net income of bank subsidiary 27,165 1,872 2,423 Equity in undistributed net income of bank subsidiary (23,319) 3,649 3,494 Net income $ 3,846 $ 5,521 $ 5,917 (in thousands) Condensed Statements of Cash Flows 2017 2016 2015 Cash flows from operating activities: Net income $ 3,846 $ 5,521 $ 5,917 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed net income of bank subsidiary 23,319 (3,649) (3,494) Depreciation and amortization 34 39 59 Loss on disposal of premises - 91 - (Increase) decrease in other assets (945) 17 (53) Increase (decrease) in other liabilities 14 32 (101) Net cash provided by operating activities 26,268 2,051 2,328 Cash flows from investing activities: Acquisition of Benchmark (30,752) - - Proceeds from sale of premises - 170 - Net cash provided by (used in) investing activities (30,752) 170 - Cash flows from financing activities: Proceeds from other borrowings 10,000 - - Purchase treasury stock - (833) (927) Proceeds from sale of treasury shares 27 18 14 Cash dividends paid (1,569) (1,446) (1,200) Net cash provided by (used in) financing activities 8,458 (2,261) (2,113) Net increase (decrease) in cash 3,974 (40) 215 Cash at beginning of the year 294 334 119 Cash at end of the year $ 4,268 $ 294 $ 334 During 2005, the Board of Directors approved a program whereby the Corporation purchases shares of its common stock in the open market. The decision to purchase shares, the number of shares to be purchased, and the price to be paid depends upon the availability of shares, prevailing market prices, and other possible considerations which may impact the advisability of purchasing shares. The Corporation purchased 43,665 shares in 2016 and 59,111 shares in 2015 ( none in 2017) under the program. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value [Abstract] | |
Fair Value Measurements | NOTE 17 - FAIR VALUE MEASUREMENTS Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The price in the principal (or most advantageous) market used to measure the fair value of the asset or liability shall not be adjusted for transaction costs. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets and liabilities; it is not a forced transaction. Market participants are buyers and sellers in the principal market that are independent, knowledgeable, and both able and willing to transact. FASB ASC 820-10, Fair Value Measurements (ASC 820-10) requires the use of valuation techniques that are consistent with the market approach, the income approach, and/or the cost approach. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets and liabilities. The income approach uses valuation techniques to convert future amounts, such as cash flows or earnings, to a single present amount on a discounted basis. The cost approach is based on the amount that currently would be required to replace the service capacity of an asset (replacement cost). Valuation techniques should be consistently applied. Inputs to valuation techniques refer to the assumptions that market participants would use in pricing the asset or liability. Inputs may be observable or unobservable. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from independent sources. Unobservable inputs reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. In that regard, ASC 820-10 establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows: Level 1 – Unadjusted quoted prices in active markets for identical assets or liabilities that the Corporation has the ability to access at the measurement date. Level 2 – Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; inputs other than quoted prices that are observable for the asset or liability; and inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 3 – Unobservable inputs for the asset or liability for which there is little, if any, market activity at the measurement date. Unobservable inputs reflect the Corporation’s own assumptions about what market participants would use to price the asset or liability. The inputs are developed based on the best information available in the circumstances, which might include the Corporation’s own financial data such as internally developed pricing models, discounted cash flow methodologies, as well as instruments for which the fair value determination requires significant management judgment. The following table summarizes financial assets (there were no financial liabilities) measured at fair value as of December 31, 2017 and 2016, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: (in thousands) 2017 Level 1 inputs Level 2 inputs Level 3 inputs Total fair value Recurring: Securities available-for-sale: Obligations of state and political subdivisions $ - $ 67,979 $ - $ 67,979 Mortgage-backed - 100,463 - 100,463 Other 984 2 - 986 Mortgage servicing rights - - 1,270 1,270 Total recurring $ 984 $ 168,444 $ 1,270 $ 170,698 Nonrecurring: Other real estate owned - - 159 159 Total nonrecurring $ - $ - $ 159 $ 159 (in thousands) 2016 Level 1 inputs Level 2 inputs Level 3 inputs Total fair value Recurring: Securities available-for-sale: Obligations of state and political subdivisions - $ 68,386 $ 2,238 $ 70,624 Mortgage-backed - 118,595 - 118,595 Other 984 2 - 986 Mortgage servicing rights - - 1,247 1,247 Total recurring $ 984 $ 186,983 $ 3,485 $ 191,452 Nonrecurring: Impaired loans, net $ - $ - $ 1,899 $ 1,899 Other real estate owned - - 578 578 Total nonrecurring $ - $ - $ 2,477 $ 2,477 There was one security measured at fair value included in the Level 3 hierarchy during 2016 due to the lack of observable quotes in inactive markets for the instrument. The following table presents the changes in fair value for the security for the years ended December 31, 2017, 2016, and 2015. (in thousands) Securities valued using Level 3 inputs 2017 2016 2015 Balance at beginning of year $ 2,238 $ 2,389 $ 2,536 Principal payments received (2,238) (151) (145) Changes in fair value - - (2) Balance at end of year $ - $ 2,238 $ 2,389 The table below presents a reconciliation and income statement classification of gains and losses for mortgage servicing rights, which is measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the years ended December 31, 2017, 2016 and 2015: (in thousands) Mortgage Servicing Rights 2017 2016 2015 Balance at beginning of year $ 1,247 $ 1,181 $ 1,218 Gains or losses, including realized and unrealized: Purchases, issuances, and settlements 183 273 252 Disposals – amortization based on loan payments and payoffs (129) (195) (552) Changes in fair value (31) (12) 263 Balance at end of year $ 1,270 $ 1,247 $ 1,181 A description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, and disclosure of unobservable inputs follows. In general, fair value is based upon quoted market prices, where available. If such quoted market prices are not available, fair value is based upon internally developed models that primarily use, as inputs, observable market-based parameters. Valuation adjustments may be made to ensure that financial instruments are recorded at fair value. These adjustments may include amounts to reflect counterparty credit quality, the Corporation’s creditworthiness, among other things, as well as unobservable parameters. Any such valuation adjustments are applied consistently over time. The Corporation’s valuation methodologies may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. While management believes the Corporation’s valuation methodologies are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. Securities Available-for-Sale Where quoted prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. Level 1 securities would typically include government bonds and exchange traded equities. If quoted market prices are not available, then fair values are estimated using pricing models, quoted prices of securities with similar characteristics, or discounted cash flows. Examples of such instruments, which would generally be classified within Level 2 of the valuation hierarchy, include U.S. Government and agencies, municipal bonds, mortgage-backed securities, and asset-backed securities. In certain cases where there is limited activity or less transparency around inputs to the valuation, securities may be classified within Level 3 of the valuation hierarchy. Mortgage Servicing Rights The Corporation records mortgage servicing rights at estimated fair value based on a discounted cash flow model which includes discount rates between 9 % and 11 %, in addition to assumptions disclosed in Note 7 that are considered to be unobservable inputs. Due to the significance of the level 3 inputs, mortgage servicing rights have been classified as level 3. Impaired Loans The Corporation does not record impaired loans at fair value on a recurring basis. However, periodically, a loan is considered impaired and is reported at the fair value of the underlying collateral less estimated cost to sell, if repayment is expected solely from collateral. Collateral values are estimated using level 2 inputs, including recent appraisals and level 3 inputs based on customized discounting criteria such as additional appraisal adjustments to consider deterioration of value subsequent to appraisal date and estimated cost to sell. Additional appraisal adjustments range between 10 % and 40 % of appraised value, and estimated selling cost ranges between 10 % and 20 % of the adjusted appraised value. Due to the significance of the level 3 inputs, impaired loans fair values have been classified as level 3. Other Real Estate Owned The Corporation values other real estate owned at the estimated fair value of the underlying collateral less appraisal adjustments between 10 % and 70 % of appraised value, and expected selling costs between 10 % and 20 % of adjusted appraised value. Such values are estimated primarily using appraisals and reflect a market value approach. Due to the significance of the Level 3 inputs, other real estate owned has been classified as Level 3. Certain financial assets and financial liabilities are measured at fair value on a nonrecurring basis; that is, the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances, for example, when there is evidence of impairment. Financial assets and financial liabilities, excluding impaired loans and other real estate owned, measured at fair value on a nonrecurring basis were not significant at December 31, 2017. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value [Abstract] | |
Fair Value of Financial Instruments | NOTE 18 - FAIR VALUE OF FINANCIAL INSTRUMENTS The carrying amounts and estimated fair values of recognized financial instruments at December 31, 2017 and 2016 are as follows: (in thousands) 2017 2016 Carrying Amount Estimated Value Carrying Amount Estimated Value Input Level FINANCIAL ASSETS Cash and cash equivalents $ 27,274 $ 27,274 $ 14,186 $ 14,186 1 Securities, including FHLB stock 174,730 174,730 195,035 195,035 2,3 Certificates of deposit - - 1,494 1,494 2 Loans held for sale 2,384 2,384 1,510 1,510 3 Net loans and leases 503,577 500,916 372,741 371,493 3 Mortgage servicing rights 1,270 1,270 1,247 1,247 3 $ 709,235 $ 706,574 $ 586,213 $ 584,965 (in thousands) 2017 2016 Carrying Amount Estimated Value Carrying Amount Estimated Value Input Level FINANCIAL LIABILITIES Deposits Maturity $ 170,615 $ 168,914 $ 129,460 $ 128,592 3 Non-maturity 459,933 459,933 395,220 395,220 1 Other borrowings 57,148 57,096 18,774 18,774 3 Junior subordinated deferrable interest debentures 12,840 9,790 12,806 9,295 3 $ 700,536 $ 695,733 $ 556,260 $ 551,881 The above summary does not include accrued interest receivable and cash surrender value of life insurance which are also considered financial instruments. The estimated fair value of such items is considered to be their carrying amounts, and would be considered Level 1 inputs. There are also unrecognized financial instruments at December 31, 2017 and 2016 which relate to commitments to extend credit and letters of credit. The contract amount of such financial instruments amounts to $127,508,000 at December 31, 2017 and $91,023,000 at December 31, 2016. Such amounts are also considered to be the estimated fair values. The following methods and assumptions were used to estimate the fair value of each class of financial instruments shown above: Cash and cash equivalents: Fair value is determined to be the carrying amount for these items (which include cash on hand, due from banks, and federal funds sold) because they represent cash or mature in 90 days or less and do not represent unanticipated credit concerns. Securities: Where quoted prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. Level 1 securities would typically include government bonds and exchange traded equities. If quoted market prices are not available, then fair values are estimated using pricing models, quoted prices of securities with similar characteristics, or discounted cash flows. Examples of such instruments, which would generally be classified within Level 2 of the valuation hierarchy, include municipal bonds, mortgage-backed securities, and asset-backed securities. In certain cases where there is limited activity or less transparency around inputs to the valuation, securities may be classified within Level 3 of the valuation hierarchy. The Corporation had one security that was classified as Level 3 at December 31, 2016 ( none at December 31, 2017). Certificates of deposit: Carrying value of certificates of deposit estimates fair value. Loans and leases: Fair value for loans and leases was estimated for portfolios of loans and leases with similar financial characteristics. For adjustable rate loans, which re-price at least annually and generally possess low risk characteristics, the carrying amount is believed to be a reasonable estimate of fair value. For fixed rate loans the fair value is estimated based on a discounted cash flow analysis, considering weighted average rates and terms of the portfolio, adjusted for credit and interest rate risk inherent in the loans. Fair value for nonperforming loans is based on recent appraisals or estimated discounted cash flows. Mortgage servicing rights: The fair value for mortgage servicing rights is determined based on an analysis of the portfolio by an independent third party. Deposit liabilities: The fair value of core deposits, including demand deposits, savings accounts, and certain money market deposits, is the amount payable on demand. The fair value of fixed-maturity certificates of deposit is estimated using the rates offered at year end for deposits of similar remaining maturities. The estimated fair value does not include the benefit that results from the low-cost funding provided by the deposit liabilities compared to the cost of borrowing funds in the marketplace. Other financial instruments: The fair value of commitments to extend credit and letters of credit is determined to be the contract amount, since these financial instruments generally represent commitments at existing rates. The fair value of other borrowings is determined based on a discounted cash flow analysis using current interest rates. The fair value of the junior subordinated deferrable interest debentures is determined based on quoted market prices of similar instruments. The fair value estimates of financial instruments are made at a specific point in time based on relevant market information. These estimates do not reflect any premium or discount that could result from offering for sale at one time the entire holdings of a particular financial instrument over the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. Since no ready market exists for a significant portion of the financial instruments, fair value estimates are largely based on judgments after considering such factors as future expected credit losses, current economic conditions, risk characteristics of various financial instruments, and other factors. 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 these estimates. |
Leasing Arrangements
Leasing Arrangements | 12 Months Ended |
Dec. 31, 2017 | |
Leasing Arrangements [Abstract] | |
Leasing Arrangements | NOTE 19 – LEASING ARRANGEMENTS The Corporation leases various branch facilities under operating leases. Rent expense was $111,000 , $107,000 , and $45,000 for the years 2017, 2016 and 2015, respectively. The following is a schedule of future minimum rental payments required under the facility leases as of December 31, 2017: Year ending Amount December 31 (in thousands) 2018 $ 258 2019 259 2020 261 2021 263 2022 140 Total $ 1,181 |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2017 | |
Stock-Based Compensation [Abstract] | |
Stock-Based Compensation | NOTE 20 – STOCK-BASED COMPENSATION At the 2016 Annual Shareholders Meeting, the shareholders of the Corporation adopted the United Bancshares, Inc. 2016 Stock Option Plan (the “Plan”), which permits the Corporation to award non-qualified stock options to eligible participants. A total of 250,000 shares are available for issuance pursuant to the Plan. Under the Plan, the Corporation issued 30,151 options during 2017 at an exercise price of $21.70 and 33,352 options during 2016 at an exercise price of $19.32 . Following is a summary of activity for stock options for the years ended December 31, 2017 and 2016 (number of shares): 2017 2016 Outstanding, beginning of year 33,352 - Granted 30,151 33,352 Exercised - - Outstanding, end of year 63,503 33,352 Weighted average exercise price at end of year $ 20.45 $ 19.32 The options vest over a three -year period on the anniversary of the date of grant. At December 31, 2017, 11,117 options were vested and outstanding options had a weighted average remaining contractual term of 6.28 years. The fair value of options granted is estimated at the date of grant using the Black Scholes option pricing model. Following are assumptions used in calculating the fair value of the options granted in 2017 and 2016: 2017 2016 Weighted-average fair value of options granted $ 7.35 $ 6.27 Average dividend yield 2.23 % 2.31 % Expected volatility 40.00 % 40.00 % Rick-free interest rate 2.06 % 1.58 % Expected term (years) 7 7 Total compensation expense related to the stock options granted in 2016 is expected to be $209,000 and is being recognized ratably over the 36 month period beginning January 1, 2017. Total compensation expense related to the stock options granted in 2017 is expected to be $222,000 and is being recognized ratably over the 36 month period beginning August 1, 2017. Stock option expense for outstanding awards amounted to $100,000 for the year ended December 31, 2017. |
Contingent Liabilities
Contingent Liabilities | 12 Months Ended |
Dec. 31, 2017 | |
Contingent Liabilities [Abstract] | |
Contingent Liabilities | NOTE 21 - CONTINGENT LIABILITIES In the normal course of business, the Corporation and its subsidiary may be involved in various legal actions, but in the opinion of management and legal counsel, the ultimate disposition of such matters is not expected to have a material adverse effect on the consolidated financial statements. |
Quarterly Financial Data (Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Data [Abstract] | |
Quarterly Financial Data | NOTE 22 - QUARTERLY FINANCIAL DATA (UNAUDITED) The following represents a summary of selected unaudited quarterly financial data for 2017 and 2016: (in thousands, except share data) Net Net Income Interest Interest Net Per Share Income Income Income Basic Diluted 2017 First quarter $ 5,468 $ 4,859 $ 1,394 $ 0.43 $ 0.43 Second quarter $ 5,920 $ 5,270 $ 1,185 $ 0.36 $ 0.36 Third quarter $ 6,484 $ 5,708 $ 402 $ 0.12 $ 0.12 Fourth quarter $ 7,900 $ 6,817 $ 865 $ 0.27 $ 0.27 2016 First quarter $ 5,245 $ 4,731 $ 1,307 $ 0.40 $ 0.40 Second quarter $ 5,303 $ 4,746 $ 1,336 $ 0.40 $ 0.40 Third quarter $ 5,541 $ 4,961 $ 1,378 $ 0.42 $ 0.42 Fourth quarter $ 5,538 $ 4,958 $ 1,500 $ 0.46 $ 0.46 |
Summary of Significant Accoun31
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Summary of Significant Accounting Policies [Abstract] | |
Use of Estimates in Preparing Financial Statements | Use of Estimates in Preparing Financial Statements The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during each reporting period. Actual results could differ from those estimates. The estimates most susceptible to significant change in the near term include the determination of the allowance for loan losses; valuation of securities, deferred tax assets, and goodwill; and fair value of assets acquired and liabilities assumed in a business combination. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of the Corporation and its wholly-owned subsidiary, the Bank, and its wholly-owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. |
Cash and Cash Equivalents | Cash and Cash Equivalents For purposes of the consolidated statements of cash flows, cash and cash equivalents include cash on hand, amounts due from banks, and federal funds sold which mature overnight or within four days. |
Restrictions on Cash | Restrictions on Cash The Corporation was required to maintain cash on hand or on deposit with the Federal Reserve Bank of approximately $1.2 million and $1.1 million at December 31, 2017 and 2016, respectively, to meet regulatory reserve and clearing requirements. |
Securities, FHLB Stock, and Certificates of Deposits | Securities, Federal Home Loan Bank Stock and Certificates of Deposits The Corporation has designated all securities as available-for-sale. Such securities are recorded at fair value, with unrealized gains and losses, net of applicable income taxes, excluded from income and reported as accumulated other comprehensive income (loss). The cost of debt securities is adjusted for amortization of premiums and accretion of discounts to maturity. Purchase premiums and discounts are recognized in interest income using the interest method over the terms of the securities. Declines in fair value of securities below their cost that are deemed to be other-than-temporary are reflected in income as realized losses. In estimating other-than-temporary impairment losses, management considers (1) the intent to sell the securities and the more likely than not requirement that the Corporation will be required to sell the securities prior to recovery, (2) the length of time and the extent to which the fair value has been less than cost, and (3) the financial condition and near-term prospects of the issuer. Gains and losses on the sale of securities are recorded on the trade date, using the specific identification method, and are included in non-interest income. Investment in Federal Home Loan Bank of Cincinnati stock is classified as a restricted security, carried at cost, and evaluated for impairment. Investments in certificates of deposit are carried at cost and evaluated for impairment annually or when circumstances change that may have a significant effect on fair value. |
Loans Held for Sale | Loans Held for Sale Loans originated and intended for sale in the secondary market are carried at the lower of cost or estimated fair value in the aggregate. Estimated fair value is determined based on quoted market prices in the secondary market. Any net unrealized losses are recognized through a valuation allowance by charges to income. The Corporation had no unrealized losses at December 31, 2017 and 2016. |
Loans and Leases | Loans and Leases Loans and leases that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off are generally stated at its outstanding principal amount adjusted for charge-offs and the allowance for loan and lease losses. Interest is accrued as earned based upon the daily outstanding principal balance. Loan and lease origination fees and certain direct obligation costs are capitalized and recognized as an adjustment of the yield of the related loan. The accrual of interest on mortgage and commercial loans is generally discontinued at the time the loan is 90 days past due unless the credit is well-secured and in process of collection. Personal loans are typically charged-off no later than when they become 150 days past due. Past due status is based on contractual terms of the loan. In all cases, loans are placed on non-accrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued but not collected for loans and leases that are placed on nonaccrual or charged-off is reversed against interest income. Interest on these loans and leases is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans and leases are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. |
Allowance for Loan Losses | Allowance for Loan and Lease Losses The allowance for loan and lease losses (“allowance”) is established as losses are estimated to have occurred through a provision for loan and lease losses charged to income. Loan and lease losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. The allowance is evaluated on a regular basis by management and is based upon management’s periodic review of the collectability of loans and leases in light of historical experience, the nature and volume of the loan and lease portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. Due to potential changes in conditions, it is at least reasonably possible that changes in estimates will occur in the near term and that such changes could be material to the amounts reported in the Corporation’s consolidated financial statements. The allowance consists of specific, general and unallocated components. The specific component relates to impaired loans and leases when the discounted cash flows, collateral value, or observable market price of the impaired loan and lease is lower than the carrying value of that loan or lease. The general component covers classified loans and leases (substandard or special mention) without specific reserves, as well as non-classified loans and leases, and is based on historical loss experience adjusted for qualitative factors. An unallocated component is maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating specific and general losses in the portfolio. A loan or lease is considered impaired when, based on current information and events, it is probable that the Corporation will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan or lease agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans and leases that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan or lease and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured individually for commercial loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral if the loan is collateral dependent. Under certain circumstances, the Corporation will provide borrowers relief through loan restructurings. A restructuring of debt constitutes a troubled debt restructuring (TDR) if the Corporation, for economic or legal reasons related to the borrower’s financial difficulties, grants a concession to the borrower that it would not otherwise consider. Restructured loans typically present an elevated level of credit risk as the borrowers are not able to perform according to the original contractual terms. Loans that are reported as TDRs are considered impaired and measured for impairment as described above. TDR concessions can include reduction of interest rates, extension of maturity dates, forgiveness of principal or interest due, or acceptance of other assets in full or partial satisfaction of the debt. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Corporation does not separately identify individual consumer and residential loans for impairment disclosures. |
Acquired Loans | Acquired Loans Purchased loans acquired in a business combination are segregated into three types: pass rated loans with no discount attributable to credit quality, non-impaired loans with a discount attributable at least in part to credit quality and impaired loans with evidence of significant credit deterioration. • Pass rated loans (typically performing loans) are accounted for in accordance with ASC 310-20 “Nonrefundable Fees and Other Costs” as these loans do not have evidence of credit deterioration since origination. • Non-impaired loans (typically past-due loans, special mention loans and performing substandard loans) are accounted for in accordance with ASC 310-30 “Receivables - Loans and Debt Securities Acquired with Deteriorated Credit Quality” as they display at least some level of credit deterioration since origination. • Impaired loans (typically substandard loans on non-accrual status) are accounted for in accordance with ASC 310-30 as they display significant credit deterioration since origination. In accordance with ASC 310-30, for both purchased non-impaired loans and purchased impaired loans, the difference between contractually required payments at acquisition and the cash flows expected to be collected is referred to as the non-accretable difference. This amount is not recognized as a yield adjustment or as a loss accrual or a valuation allowance. Further, any excess of cash flows expected at acquisition over the estimated fair value is referred to as the accretable yield and is recognized into interest income over the remaining life of the loan when there is a reasonable expectation about the amount and timing of such cash flows. Increases in expected cash flows subsequent to the initial investment are recognized prospectively through adjustment of the yield on the loan over its remaining estimated life. Decreases in expected cash flows are recognized immediately as impairment. If the Corporation does not have the information necessary to reasonably estimate cash flows to be expected, it may use the cost recovery method or cash basis method of income recognition. Valuation allowances on these impaired loans reflect only losses incurred after the acquisition (meaning the present value of all cash flows expected at acquisition that ultimately are not to be received). |
Other Real Estate Owned | Other Real Estate Owned Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at the lower of cost or fair value, less estimated cost to sell, at the date of foreclosure, establishing a new cost basis with loan balances in excess of fair value charged to the allowance for loan losses. Subsequent to foreclosure, valuations are periodically performed and the assets are carried at the lower of carrying amount or fair value less cost to sell. Revenue and expenses from operations and subsequent valuation adjustments are included in other operating expenses. |
Loan Sales and Servicing | Loan Sales and Servicing Certain mortgage loans are sold with mortgage servicing rights retained or released by the Corporation. The value of mortgage loans sold with servicing rights retained is reduced by the cost allocated to the associated mortgage servicing rights. Gains or losses on sales of mortgage loans are recognized based on the difference between the selling price and the carrying value of the related mortgage loans sold. The Corporation generally estimates fair value for servicing rights based on the present value of future expected cash flows, using management’s best estimates of the key assumptions – credit losses, prepayment speeds, servicing costs, earnings rate, and discount rates commensurate with the risks involved. Capitalized servicing rights are reported at fair value and changes in fair value are reported in net income for the period the change occurs. Servicing fee income is recorded for servicing loans, based on a contractual percentage of the outstanding principal, and is reported as other operating income. Amortization of mortgage servicing rights is charged against loan servicing fee income. |
Premises and Equipment | Premises and Equipment Premises and equipment is stated at cost, less accumulated depreciation. Upon the sale or disposition of the assets, the difference between the depreciated cost and proceeds is charged or credited to income. Depreciation is determined based on the estimated useful lives of the individual assets (typically 20 to 40 years for buildings and 3 to 10 years for equipment) and is computed primarily using the straight-line method. Premises and equipment is reviewed for impairment when events indicate the carrying amount may not be recoverable from future undiscounted cash flows. If impaired, premises and equipment is recorded at fair value and any corresponding write-downs are charged against current year earnings. |
Off-Balance Sheet Credit Related Financial Instruments | Off-Balance Sheet Credit Related Financial Instruments In the ordinary course of business, the Corporation has entered into commitments to extend credit, including commitments under commercial letters of credit, and standby letters of credit. Such financial instruments are recorded when they are funded. The Corporation maintains a separate allowance for off-balance sheet commitments. Management estimates anticipated losses using historical data and utilization assumptions. The allowance for off-balance sheet commitments is included in other liabilities. |
Goodwill and Core Deposit Intangible Assets | Goodwill and Core Deposit Intangible Assets Goodwill arising from acquisitions is not amortized, but is subject to an annual impairment test to determine if an impairment loss has occurred. Significant judgment is applied when goodwill is assessed for impairment. This judgment includes developing cash flow projections, selecting appropriate discount rates, identifying relevant market comparables, incorporating general economic and market conditions, and selecting an appropriate control premium. At December 31, 2017, the Corporation believes the Bank does not have any indicators of potential impairment based on the estimated fair value of its reporting unit. The core deposit intangible asset resulting from the March 2010 Findlay branch acquisition was determined to have a definite life and was amortized on a straight-line basis over seven years through March 2017. The core deposit intangible asset resulting from the November 2014 Ohio State Bank (“OSB”) acquisition was also determined to have a definite life and is being amortized on a straight-line basis over ten years through October 2024. The core deposit intangible asset resulting from the September 2017 Benchmark Bancorp, Inc. and its wholly owned subsidiary, Benchmark Bank (collectively referred to as “Benchmark”) acquisition was also determined to have a definite life and is being amortized on an accelerated basis over ten years through 2027. Amortization of core deposit intangible assets amounted to $124,000 , $96,000 and $96,000 for the years ended December 31, 2017, 2016 and 2015. Future amortization of core deposit intangible assets for the years 2018 thru 2022 are $173,000 , $158,000 , $151,000 , $143,000 , and $140,000 , respectively. |
Supplemental Retirement Benefits | Supplemental Retirement Benefits Annual provisions are made for the estimated liability for accumulated supplemental retirement benefits under agreements with certain officers and directors. These provisions are determined based on the terms of the agreements, as well as certain assumptions, including estimated service periods and discount rates. |
Advertising Costs | Advertising Costs All advertising costs are expensed as incurred. |
Income Taxes | Income Taxes Deferred income taxes are provided on temporary differences between financial statement and income tax reporting. Temporary differences are differences between the amounts of assets and liabilities reported for financial statement purposes and its tax bases. Deferred tax assets are recognized for temporary differences that will be deductible in future years’ tax returns and for operating loss and tax credit carryforwards. Deferred tax assets are reduced by a valuation allowance if it is deemed more likely than not that some or all of the deferred tax assets will not be realized. Deferred tax liabilities are recognized for temporary differences that will be taxable in future years’ tax returns. Benefits from tax positions taken or expected to be taken in a tax return are not recognized if the likelihood that the tax position would be sustained upon examination by a taxing authority is considered to be 50% or less. The Corporation has adopted the policy of classifying any interest and penalties resulting from the filing of its income tax returns in the provision for income taxes. The Corporation is not currently subject to state or local income taxes. |
Transfers of Financial Assets | Transfers of Financial Assets Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Corporation, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Corporation does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. The transfer of a participating interest in an entire financial asset must also meet the definition of a participating interest. A participating interest in a financial asset has all of the following characteristics: (1) from the date of transfer, it must represent a proportionate (pro rata) ownership interest in the financial asset, (2) from the date of transfer, all cash flows received, except any cash flows allocated as any compensation for servicing or other services performed, must be divided proportionately among participating interest holders in the amount equal to their share ownership, (3) the rights of each participating interest holder must have the same priority, (4) no party has the right to pledge or exchange the entire financial asset unless all participating interest holders agree to do so. |
Comprehensive Income (Loss) | Comprehensive Income (Loss) Recognized revenue, expenses, gains and losses are included in net income. Although certain changes in assets and liabilities, such as unrealized gains and losses on available-for-sale securities, are reported as a separate component of the equity section of the consolidated balance sheet, such items, along with net income, are components of comprehensive income. |
Per Share Data | Per Share Data Basic net income per share is computed based on the weighted average number of shares of common stock outstanding during each year. Diluted net income per share reflects additional common shares that would have been outstanding if dilutive potential common shares had been issued. The weighted average number of shares used for the years ended December 31, 2017, 2016 and 2015: 2017 2016 2015 Basic 3,267,305 3,289,497 3,339,242 Diluted 3,272,310 3,289,497 3,339,242 Dividends per share are based on the number of shares outstanding at the declaration date. |
Rate Lock Commitments | Rate Lock Commitments Loan commitments related to the origination or acquisition of mortgage loans that will be held for sale are accounted for as derivative instruments. The Corporation enters into commitments to originate loans whereby the interest rate on the loan is determined prior to funding (rate lock commitments). Rate lock commitments on mortgage loans that are intended to be sold are considered to be derivatives. Accordingly, such commitments, along with any related fees received from potential borrowers, are to be recorded at fair value as derivative assets or liabilities, with changes in fair value recorded in the net gain or loss on sale of mortgage loans. Fair value is based on fees currently charged to enter into similar agreements, and for fixed-rate commitments also considers the difference between current levels of interest rates and the committed rates. At December 31, 2017 and 2016, derivative assets and liabilities relating to rate lock commitments were not material to the consolidated financial statements. |
Fair Values of Financial Instruments | Fair Values of Financial Instruments Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully discussed in Note 18. Fair value estimates involve uncertainties and matters of significant judgment regarding interest rates, credit risk, prepayments, and other factors, especially in the absence of broad markets for particular items. Changes in assumptions or in market conditions could significantly affect the estimates. |
Subsequent Events | Subsequent Events Management evaluated subsequent events through the date the consolidated financial statements were issued. Events or transactions occurring after December 31, 201 7 , but prior to when the consolidated financial statements were issued, that provided additional evidence about conditions that existed at December 31, 201 7 , have been recognized in the financial statements for the year ended December 31, 201 7 . Events or transactions that provided evidence about conditions that did not exist at December 31, 201 7 but arose before the financial statements were issued, have not been recognized in the consolidated financial statements for the year ended December 31, 201 7 . On January 18, 2018 , United Bancshares , Inc. issued a release announcing that its Board of Directors approved a cash dividend of $ 0.12 per common share payable March 15, 2018 to shareholders of record at the close of business on February 28, 2018 |
Summary of Significant Accoun32
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Summary of Significant Accounting Policies [Abstract] | |
Weighted Average Number of Shares Used for Net Income Per Share | The weighted average number of shares used for the years ended December 31, 2017, 2016 and 2015: 2017 2016 2015 Basic 3,267,305 3,289,497 3,339,242 Diluted 3,272,310 3,289,497 3,339,242 |
Acquisition (Tables)
Acquisition (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Acquisition [Abstract] | |
Schedule of Assets and Deposits Assumed in Acquisition | Consideration paid and the estimated fair value of the assets acquired and the liabilities assumed at the acquisition date are as follows (dollars in thousands): Cash and cash equivalents $ 6,092 Restricted stock 472 Loans, including loans held for sale 98,804 Premises and equipment 2,483 Core deposit intangible asset 493 Other real estate owned 141 Other assets, including accrued interest receivable 5,342 Total assets acquired 113,827 Deposits 95,545 Other liabilities 2,661 Total liabilities assumed 98,206 Net identifiable assets 15,621 Goodwill 15,131 Total cash paid $ 30,752 |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Securities [Abstract] | |
Amortized Cost and Fair Value of Securities | The amortized cost and fair value of securities as of December 31, 2017 and 2016 are as follows: (in thousands) 2017 2016 Amortized cost Fair value Amortized cost Fair value Available-for-sale: Obligations of states and political subdivisions $ 67,160 $ 67,979 $ 70,757 $ 70,624 Mortgage-backed 101,454 100,463 119,758 118,595 Other 1,002 986 1,002 986 Total $ 169,616 $ 169,428 $ 191,517 $ 190,205 |
Unrealized Gain (Loss) on Securities | A summary of unrealized gains and losses on securities at December 31, 2017 and 2016 follows: (in thousands) 2017 2016 Gross unrealized gains Gross unrealized losses Gross unrealized gains Gross unrealized losses Available-for-sale: Obligations of states and political subdivisions $ 977 $ 158 $ 644 $ 777 Mortgage-backed 285 1,276 769 1,932 Other - 16 - 16 Total $ 1,262 $ 1,450 $ 1,413 $ 2,725 |
Amortized Cost and Fair Value of Securities by Contractual Maturity | The amortized cost and fair value of securities at December 31, 2017, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. (in thousands) Amortized Cost Fair value Due in one year or less $ 2,660 $ 2,690 Due after one year through five years 19,761 20,017 Due after five years through ten years 39,197 39,659 Due after ten years 106,996 106,076 Other securities having no maturity date 1,002 986 Total $ 169,616 $ 169,428 |
Schedule of Gross Unrealized Losses and Fair Value of Debt Securities | The following table presents gross unrealized losses and fair value of debt securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2017 and 2016: (in thousands) Securities in a continuous unrealized loss position Less than 12 months 12 months or more Total 2017 Unrealized losses Fair value Unrealized losses Fair value Unrealized losses Total Fair value Obligations of states and political subdivisions $ 60 $ 11,951 $ 98 $ 6,193 $ 158 $ 18,144 Mortgage-backed 236 34,109 1,040 39,105 1,276 73,214 Other - - 16 986 16 986 Total temporarily impaired securities $ 296 $ 46,060 $ 1,154 $ 46,284 $ 1,450 $ 92,344 Less than 12 months 12 months or more Total 2016 Unrealized losses Fair value Unrealized losses Fair value Unrealized losses Total Fair value Obligations of states and political subdivisions $ 777 $ 33,312 $ - $ - $ 777 $ 33,312 Mortgage-backed 1,882 78,717 50 1,758 1,932 80,475 Other 16 986 - - 16 986 Total temporarily impaired securities $ 2,675 $ 113,015 $ 50 $ 1,758 $ 2,725 $ 114,773 |
Loans and Leases (Tables)
Loans and Leases (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Loans and Leases [Abstract] | |
Composition of Loans | Loans and leases at December 31, 2017 and 2016 consist of the following: (in thousands) 2017 2016 Residential real estate $ 121,418 $ 88,869 Commercial 335,820 244,097 Agriculture 44,510 39,108 Consumer 4,664 4,012 Total loans and leases $ 506,412 $ 376,086 |
Activity in the Allowance for Credit Losses on Financing Receivables | The following tables present the activity in the allowance for loan and lease losses by portfolio segment for the years ended December 31, 2017, 2016 and 2015: (in thousands) Commercial Commercial and multi-family real estate Residential 1 – 4 family real estate Consumer Total Balance at December 31, 2016 $ 896 $ 1,876 $ 542 $ 31 $ 3,345 Provision (credit) for loan and lease losses (424) 9 34 31 (350) Losses charged off (63) (553) (45) (28) (689) Recoveries 92 414 14 9 529 Balance at December 31, 2017 $ 501 $ 1,746 $ 545 $ 43 $ 2,835 Commercial Commercial and multi-family real estate Residential 1 – 4 family real estate Consumer Total Balance at December 31, 2015 $ 893 $ 2,540 $ 373 $ 28 $ 3,834 Provision (credit) for loan and lease losses 55 (969) 160 4 (750) Losses charged off (86) (12) (52) (10) (160) Recoveries 34 317 61 9 421 Balance at December 31, 2016 $ 896 $ 1,876 $ 542 $ 31 $ 3,345 Commercial Commercial and multi-family real estate Residential 1 – 4 family real estate Consumer Total Balance at December 31, 2014 $ 199 $ 3,255 $ 363 $ 23 $ 3,840 Provision (credit) for loan and lease losses 971 (767) 166 12 382 Losses charged off (349) (98) (176) (16) (639) Recoveries 72 150 20 9 251 Balance at December 31, 2015 $ 893 $ 2,540 $ 373 $ 28 $ 3,834 |
Allowance for Loan Losses, Current | The following tables present the balance in the allowance for loan and lease losses and the recorded investment in loans and leases by portfolio segment and based on impairment method as of December 31, 2017 and 2016: (in thousands) Commercial Commercial and multi-family real estate Residential 1 – 4 family real estate Consumer Total 2017 Allowance for loan and lease losses: Attributable to loans and leases individually evaluated for impairment $ - $ - $ - $ - $ - Collectively evaluated for impairment 501 1,746 545 43 2,835 Total allowance for loan and lease losses $ 501 $ 1,746 $ 545 $ 43 $ 2,835 Loans and leases: Individually evaluated for impairment $ - $ - $ - $ - $ - Acquired with deteriorated credit quality - 984 194 - 1,178 Collectively evaluated for impairment 68,072 311,274 121,224 4,664 505,234 Total ending loans and leases balance $ 68,072 $ 312,258 $ 121,418 $ 4,664 $ 506,412 Commercial Commercial and multi-family real estate Residential 1 – 4 family real estate Consumer Total 2016 Allowance for loan and lease losses: Attributable to loans and leases individually evaluated for impairment $ 399 $ 619 $ - $ - $ 1,018 Collectively evaluated for impairment 497 1,257 542 31 2,327 Total allowance for loan and lease losses $ 896 $ 1,876 $ 542 $ 31 $ 3,345 Loans and leases: Individually evaluated for impairment $ 937 $ 1,980 $ - $ - $ 2,917 Acquired with deteriorated credit quality - 573 51 - 624 Collectively evaluated for impairment 62,782 216,933 88,818 4,012 372,545 Total ending loans and leases balance $ 63,719 $ 219,486 $ 88,869 $ 4,012 $ 376,086 |
Schedule of Activity in Allowance of Impaired Loans | The following is a summary of the activity in the allowance for loan and lease losses of impaired loans, which is a part of the Corporation’s overall allowance for loan and lease losses for the years ended December 31, 2017, 2016, and 2015: (in thousands) 2017 2016 2015 Balance at beginning of year $ 1,018 $ 1,371 $ 807 Provision (credit) for loan and lease losses (865) (1,155) 852 Loans charged off (414) - (326) Recoveries 261 802 38 Balance at end of year $ - $ 1,018 $ 1,371 |
Schedule of Loans and Leases Individually Evaluated for Impairment by Class of Loans | The following table presents loans and leases individually evaluated for impairment by class of loans as of December 31, 2017 and 2016: (in thousands) 2017 2016 Recorded investment Allowance for loan and lease losses allocated Recorded investment Allowance for loan and lease losses allocated With no related allowance recorded: Commercial $ - $ - $ - $ - Commercial and multi-family real estate - - - - Agriculture - - - - Agricultural real estate - - - - Consumer - - - - Residential 1-4 family real estate - - - - With an allowance recorded: Commercial - - 937 399 Commercial and multi-family real estate - - 1,980 619 Agriculture - - - - Agricultural real estate - - - - Consumer - - - - Residential 1-4 family real estate - - - - Total $ - $ - $ 2,917 $ 1,018 |
Schedule of Financing Receivables, Non-Accrual Status | The following table presents the recorded investment in nonaccrual loans and leases, loans and leases past due over 90 days still on accrual and troubled debt restructurings by class of loans as of December 31, 2017 and 2016: (in thousands) 2017 2016 Nonaccrual Loans and leases past due over 90 days still accruing Troubled Debt Restructurings Nonaccrual Loans and leases past due over 90 days still accruing Troubled Debt Restructurings Commercial $ 532 $ 60 $ 27 $ 1,295 $ - $ 29 Commercial real estate 1,411 - 257 3,462 - 722 Agricultural real estate 233 - - 277 - - Agriculture - - - - 73 - Consumer - - - 3 - - Residential: 1 – 4 family 591 110 428 966 81 457 Home equity - - - - - - Total $ 2,767 $ 170 $ 712 $ 6,003 $ 154 $ 1,208 |
Past Due Financing Receivables | The following table presents the aging of the recorded investment in past due loans and leases as of December 31, 2017 and 2016 by class of loans and leases: (in thousands) 30 – 59 days past due 60 – 89 days past due Greater than 90 days past due Total past due Loans and leases not past due Total 2017 Commercial $ 419 $ 34 $ 60 $ 513 $ 55,410 $ 55,923 Commercial real estate 636 354 631 1,621 278,276 279,897 Agriculture - 145 - 145 12,318 12,463 Agricultural real estate 25 - - 25 32,022 32,047 Consumer 1 - - 1 4,663 4,664 Residential real estate 3,418 195 392 4,005 117,413 121,418 Total $ 4,499 $ 728 $ 1,083 $ 6,310 $ 500,102 $ 506,412 30 – 59 days past due 60 – 89 days past due Greater than 90 days past due Total past due Loans and leases not past due Total 2016 Commercial $ 326 $ 71 $ 79 $ 476 $ 49,988 $ 50,464 Commercial real estate 103 147 553 803 192,830 193,633 Agriculture 227 - - 227 13,026 13,253 Agricultural real estate - - 5 5 25,850 25,855 Consumer 10 2 - 12 4,000 4,012 Residential real estate 1,770 484 462 2,716 86,153 88,869 Total $ 2,436 $ 704 $ 1,099 $ 4,239 $ 371,847 $ 376,086 |
Risk Category of Loans, Credit Quality Indicators | As of December 31, 2017 and 2016, and based on the most recent analysis performed, the risk category of loans by class of loans and leases is as follows: (in thousands) Pass Special Mention Substandard Doubtful Not rated 2017 Commercial $ 47,054 $ - $ 1,845 $ - $ 19,173 Commercial and multi- family real estate 234,428 2,344 3,868 - 71,618 Residential 1 - 4 family 11,637 - 174 - 109,607 Consumer - - - - 4,664 Total $ 293,119 $ 2,344 $ 5,887 $ - $ 205,062 Pass Special Mention Substandard Doubtful Not rated 2016 Commercial $ 41,234 $ - $ 3,666 $ - $ 18,819 Commercial and multi- family real estate 162,398 4,239 3,850 - 48,999 Residential 1 - 4 family 210 - - - 88,659 Consumer - - - - 4,012 Total $ 203,842 $ 4,239 $ 7,516 $ - $ 160,489 |
Performance of Residential and Consumer Loan Portfolio | The following table presents the recorded investment in all loans that are not risk rated, based on payment activity as of December 31, 2017 and 2016: (in thousands) Commercial Commercial and multi-family real estate Residential 1-4 family Consumer 2017 Performing $ 19,113 $ 70,987 $ 109,214 $ 4,664 Nonperforming 60 631 393 - Total $ 19,173 $ 71,618 $ 109,607 $ 4,664 Commercial Commercial and multi-family real estate Residential 1-4 family Consumer 2016 Performing $ 18,740 $ 48,441 $ 88,197 $ 4,012 Nonperforming 79 558 462 - Total $ 18,819 $ 48,999 $ 88,659 $ 4,012 |
Troubled Debt Restructurings on Financing Receivables | The following table includes the recorded investment and number of modifications for TDR loans and leases during the year ended December 31, 2016 (there were none in 2017). There were no other subsequent defaults relating to TDR loans and leases during the years ended December 31, 2017 and 2016. (dollars in thousands) Number of modifications Recorded investment Allowance for loan and lease losses allocated 2016 Residential Real Estate 1 $ 72 $ - Commercial 1 30 - Commercial Real Estate 4 256 - Total 6 $ 358 $ - |
Schedule of Loans Acquired in Acquisition | The following is additional information with respect to loans and leases acquired with the Benchmark and OSB acquisitions as of December 31, 2017 and 2016: Benchmark Bank (in thousands) Contractual Principal Accretable Carrying Receivable Difference Amount Purchased Performing Loans and Leases Balance at acquisition $ 96,914 $ (2,273) $ 94,641 Change due to payments received (7,763) 207 (7,556) Transfer to foreclosed real estate - - - Change due to loan charge-off - - - Balance at December 31, 2017 $ 89,151 $ (2,066) $ 87,085 Contractual Non Principal Accretable Carrying Receivable Difference Amount Purchased Impaired Loans and Leases Balance at acquisition $ 1,588 $ (674) $ 914 Change due to payments received - - Transfer to foreclosed real estate - - - Change due to loan charge-off - - - Balance at December 31, 2017 $ 1,588 $ (674) $ 914 The Ohio State Bank (in thousands) Contractual Principal Accretable Carrying 2017 Receivable Difference Amount Purchased Performing Loans and Leases Balance at December 31, 2016 $ 34,416 $ (1,476) $ 32,940 Accretion of loan discounts (8,907) 547 (8,360) Transfer to foreclosed real estate - - - Change due to loan charge-offs - - - Balance at December 31, 2017 $ 25,509 $ (929) $ 24,580 Contractual Non Principal Accretable Carrying Receivable Difference Amount Purchased Impaired Loans and Leases Balance at December 31, 2016 $ 1,520 $ (896) $ 624 Change due to payments received (465) 176 (289) Transfer to foreclosed real estate - - - Change due to loan charge-offs (559) 488 (71) Balance at December 31, 2017 $ 496 $ (232) $ 264 Contractual Principal Accretable Carrying 2016 Receivable Difference Amount Purchased Performing Loans and Leases Balance at December 31, 2015 $ 41,873 $ (1,809) $ 40,064 Accretion of loan discounts (7,457) 333 (7,124) Transfer to foreclosed real estate - - - Change due to loan charge-offs - - - Balance at December 31, 2016 $ 34,416 $ (1,476) $ 32,940 Contractual Non Principal Accretable Carrying Receivable Difference Amount Purchased Impaired Loans and Leases Balance at December 31, 2015 $ 1,959 $ (1,194) $ 765 Change due to payments received (238) 108 (130) Transfer to foreclosed real estate - - - Change due to loan charge-offs (201) 190 (11) Balance at December 31, 2016 $ 1,520 $ (896) $ 624 |
Schedule of Related Party Loans | The following is a summary of activity during 2017, 2016 and 2015 for such loans: (in thousands) 2017 2016 2015 Beginning of year $ 370 $ 63 $ 34 Additions 300 630 160 Repayments (179) (323) (131) End of year $ 491 $ 370 $ 63 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Premises and Equipment [Abstract] | |
Property, Plant and Equipment | The following is a summary of premises and equipment at December 31, 2017 and 2016: (in thousands) 2017 2016 Land and improvements $ 4,069 $ 3,469 Buildings 17,311 10,434 Equipment 5,018 3,621 Construction in progress - 2,209 26,398 19,733 Less accumulated depreciation 7,062 6,338 Premises and equipment, net $ 19,336 $ 13,395 |
Servicing (Tables)
Servicing (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Servicing [Abstract] | |
Schedule of Servicing Assets at Fair Value | Following is a summary of mortgage servicing rights activity for the years ended December 31, 2017, 2016 and 2015: (in thousands) 2017 2016 2015 Fair value at beginning of year $ 1,247 $ 1,181 $ 1,218 Capitalized servicing rights – new loan sales 183 273 252 Disposals (amortization based on loan payments and payoffs) (129) (195) (552) Change in fair value (31) (12) 263 Fair value at end of year $ 1,270 $ 1,247 $ 1,181 |
Other Borrowings (Tables)
Other Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Other Borrowings [Abstract] | |
Composition of Other Borrowings | Other borrowings consists of the following at December 31, 2017 and December 31, 2016: (in thousands) 2017 2016 Federal Home Loan Bank borrowings: Secured notes, with interest at .74% , due March, 2017 - 18,774 Secured note, with interest at 1.52% , due March, 2018 22,048 Secured note, with interest at 0.0% , due October, 2018 100 Secured note, with interest at 1.56% , due September, 2021 7,000 Secured note, with interest at 1.72% , due September, 2020 6,000 Secured note, with interest at 1.86% , due September, 2021 6,000 Secured note, with interest at 1.97% , due September, 2022 6,000 United Bankers Bank Note payable, with interest at 4.875% payable quarterly, and $250,000 principal payments commencing December 1, 2018, with any remaining unpaid principal, due September 1, 2022 . All Union Bank stock is held as collateral. 10,000 Total other borrowings $ 57,148 $ 18,774 |
Other Operating Expenses (Table
Other Operating Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Other Operating Expenses [Abstract] | |
Composition of Other Operating Expenses | Other operating expenses consisted of the following for the years ended December 31, 2017, 2016 and 2015: (in thousands) 2017 2016 2015 Data processing $ 1,164 $ 999 $ 1,053 Professional fees 1,471 785 907 Ohio Financial Institution tax 523 285 453 Advertising 1,062 605 484 ATM processing and other fees 611 570 438 Amortization of core deposit intangible assets 133 137 137 Postage 43 40 43 Stationery and supplies 178 105 99 FDIC assessment 185 269 358 Loan closing fees 421 290 191 Other real estate owned 36 46 354 Deposit losses 72 27 36 Other 1,599 1,780 1,715 Total other operating expenses $ 7,498 $ 5,938 $ 6,268 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Taxes [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The provision for income taxes for the years ended December 31, 2017, 2016 and 2015 consist of the following: (in thousands) 2017 2016 2015 Current $ 219 $ 951 $ 546 Deferred 1,524 793 859 Enactment of federal tax reform 1,136 - - Total provision for income taxes $ 2,879 $ 1,744 $ 1,405 |
Schedule of Effective Income Tax Rate Reconciliation | The income tax provision attributable to income from operations differed from the amounts computed by applying the U.S. federal income tax rate of 34% to income before income taxes as a result of the following: (in thousands) 2017 2016 2015 Expected tax using statutory tax rate of 34% $ 2,287 $ 2,470 $ 2,489 Increase (decrease) in tax resulting from: Tax-exempt income on state and municipal securities and political subdivision loans (572) (558) (577) Tax-exempt income on life insurance contracts (135) (134) (145) Deductible dividends paid to United Bancshares, Inc. ESOP (57) (49) (39) Uncertain tax position reserves - (22) (25) Non-deductible merger and acquisition costs 117 - - Accounting method change relating to bad debt reserve recapture - - (332) Enactment of federal tax reform 1,136 Other, net 103 37 34 Total provision for income taxes $ 2,879 $ 1,744 $ 1,405 |
Schedule of Deferred Tax Assets and Liabilities | The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2017 and 2016 are presented below: (in thousands) 2017 2016 Deferred tax assets: Allowance for loan losses $ 611 $ 1,156 Deferred compensation 305 512 Alternative minimum tax credits 847 627 Nonaccrual loan interest 301 598 Deferred loan fees 112 153 Accrued vacation expense 86 134 Accrued profit sharing 115 161 Loans fair value adjustments 781 709 Unrealized loss on securities available-for sale 64 446 Other 81 91 Net operating loss carryforward 2,461 708 Total deferred tax assets 5,764 5,295 Deferred tax liabilities: Federal Home Loan Bank stock dividends 526 849 Capitalized mortgage servicing rights 267 424 Fixed asset depreciation 264 75 Acquisition intangibles 1,803 2,679 Trust preferred fair value adjustment 116 200 Other 107 12 Total deferred tax liabilities 3,083 4,239 Net deferred tax assets $ 2,681 $ 1,056 |
Rollforward of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: (in thousands) 2017 2016 Balance at January 1 $ - $ 20 Reductions due to the statute of limitation - (20) Balance at December 31 $ - $ - |
Financial Instruments with Of41
Financial Instruments with Off-Balance Sheet Risk (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Financial Instruments With Off-Balance Sheet Risk [Abstract] | |
Schedule of Financial Instruments With Off-Balance Sheet Risk | The following financial instruments whose contract amount represents credit risk were outstanding at December 31, 2017 and 2016: (in thousands) Contract amount 2017 2016 Commitments to extend credit $ 126,885 $ 90,713 Letters of credit $ 623 $ 310 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Regulatory Matters [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | The actual capital amounts and ratios of the Corporation and Bank as of December 31, 2017 and 2016 are presented in the following table: Minimum to be well capitalized Minimum under prompt capital corrective Actual requirement action provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of December 31, 2017 Common Equity Tier 1 Capital (CET1) (to Risk Weighted Assets) * Consolidated $ 60,438 10.2% $ 26,765 ≥ 4.5% N/A N/A Bank $ 63,649 10.7% $ 26,704 ≥ 4.5% $ 38,573 6.5% Total Capital (to Risk Weighted Assets) Consolidated $ 63,273 10.6% $ 47,581 ≥ 8.0% N/A N/A Bank $ 66,559 11.2% $ 47,474 ≥ 8.0% $ 59,343 10.0% Tier 1 Capital (to Risk weighted Assets) Consolidated $ 60,438 10.2% $ 35,686 ≥ 6.0% N/A N/A Bank $ 63,649 10.7% $ 35,606 ≥ 6.0% $ 47,474 8.0% Tier 1 Capital (to Average Assets) Consolidated $ 60,438 9.2% $ 26,198 ≥ 4.0% N/A N/A Bank $ 63,649 8.5% $ 29,838 ≥ 4.0% $ 37,298 5.0% As of December 31, 2016 Common Equity Tier 1 Capital (CET1) (to Risk Weighted Assets) * Consolidated $ 75,273 16.2% $ 20,912 ≥ 4.5% N/A N/A Bank $ 73,559 15.9% $ 20,878 ≥ 4.5% $ 30,157 6.5% Total Capital (to Risk Weighted Assets) Consolidated $ 78,618 16.9% $ 37,177 ≥ 8.0% N/A N/A Bank $ 76,959 16.6% $ 37,116 ≥ 8.0% $ 46,395 10.0% Tier 1 Capital (to Risk weighted Assets) Consolidated $ 75,273 16.2% $ 27,882 ≥ 6.0% N/A N/A Bank $ 73,559 15.9% $ 27,837 ≥ 6.0% $ 37,116 8.0% Tier 1 Capital (to Average Assets) Consolidated $ 75,273 12.5% $ 24,147 ≥ 4.0% N/A N/A Bank $ 73,559 12.0% $ 24,461 ≥ 4.0% $ 30,576 5.0% *CET1 is effective as of January 1, 2016 |
Condensed Parent Company Fina43
Condensed Parent Company Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Parent Company Financial Information [Abstract] | |
Condensed Parent Company Balance Sheet | Condensed Balance Sheets (in thousands) Assets: 2017 2016 Cash $ 4,268 $ 294 Investment in bank subsidiary 92,247 83,950 Other assets 2,167 1,222 Total assets $ 98,682 $ 85,466 Liabilities: Junior subordinated deferrable interest debentures $ 12,840 $ 12,806 Other borrowings 10,000 - Other liabilities 138 102 Total liabilities 22,978 12,908 Shareholders' equity 75,704 72,558 Total liabilities and shareholders’ equity $ 98,682 $ 85,466 |
Condensed Parent Company Income Statement | (in thousands) Condensed Statements of Income 2017 2016 2015 Income – dividends from bank subsidiary $ 28,000 $ 2,575 $ 3,000 Expenses – interest expense, professional fees and other expenses, net of federal income tax benefit (835) (703) (577) Income before equity in undistributed net income of bank subsidiary 27,165 1,872 2,423 Equity in undistributed net income of bank subsidiary (23,319) 3,649 3,494 Net income $ 3,846 $ 5,521 $ 5,917 |
Condensed Parent Company Cash Flow Statement | (in thousands) Condensed Statements of Cash Flows 2017 2016 2015 Cash flows from operating activities: Net income $ 3,846 $ 5,521 $ 5,917 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed net income of bank subsidiary 23,319 (3,649) (3,494) Depreciation and amortization 34 39 59 Loss on disposal of premises - 91 - (Increase) decrease in other assets (945) 17 (53) Increase (decrease) in other liabilities 14 32 (101) Net cash provided by operating activities 26,268 2,051 2,328 Cash flows from investing activities: Acquisition of Benchmark (30,752) - - Proceeds from sale of premises - 170 - Net cash provided by (used in) investing activities (30,752) 170 - Cash flows from financing activities: Proceeds from other borrowings 10,000 - - Purchase treasury stock - (833) (927) Proceeds from sale of treasury shares 27 18 14 Cash dividends paid (1,569) (1,446) (1,200) Net cash provided by (used in) financing activities 8,458 (2,261) (2,113) Net increase (decrease) in cash 3,974 (40) 215 Cash at beginning of the year 294 334 119 Cash at end of the year $ 4,268 $ 294 $ 334 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value [Abstract] | |
Fair Value Measurements, Recurring and Nonrecurring | The following table summarizes financial assets (there were no financial liabilities) measured at fair value as of December 31, 2017 and 2016, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: (in thousands) 2017 Level 1 inputs Level 2 inputs Level 3 inputs Total fair value Recurring: Securities available-for-sale: Obligations of state and political subdivisions $ - $ 67,979 $ - $ 67,979 Mortgage-backed - 100,463 - 100,463 Other 984 2 - 986 Mortgage servicing rights - - 1,270 1,270 Total recurring $ 984 $ 168,444 $ 1,270 $ 170,698 Nonrecurring: Other real estate owned - - 159 159 Total nonrecurring $ - $ - $ 159 $ 159 (in thousands) 2016 Level 1 inputs Level 2 inputs Level 3 inputs Total fair value Recurring: Securities available-for-sale: Obligations of state and political subdivisions - $ 68,386 $ 2,238 $ 70,624 Mortgage-backed - 118,595 - 118,595 Other 984 2 - 986 Mortgage servicing rights - - 1,247 1,247 Total recurring $ 984 $ 186,983 $ 3,485 $ 191,452 Nonrecurring: Impaired loans, net $ - $ - $ 1,899 $ 1,899 Other real estate owned - - 578 578 Total nonrecurring $ - $ - $ 2,477 $ 2,477 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | There was one security measured at fair value included in the Level 3 hierarchy during 2016 due to the lack of observable quotes in inactive markets for the instrument. The following table presents the changes in fair value for the security for the years ended December 31, 2017, 2016, and 2015. (in thousands) Securities valued using Level 3 inputs 2017 2016 2015 Balance at beginning of year $ 2,238 $ 2,389 $ 2,536 Principal payments received (2,238) (151) (145) Changes in fair value - - (2) Balance at end of year $ - $ 2,238 $ 2,389 The table below presents a reconciliation and income statement classification of gains and losses for mortgage servicing rights, which is measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the years ended December 31, 2017, 2016 and 2015: (in thousands) Mortgage Servicing Rights 2017 2016 2015 Balance at beginning of year $ 1,247 $ 1,181 $ 1,218 Gains or losses, including realized and unrealized: Purchases, issuances, and settlements 183 273 252 Disposals – amortization based on loan payments and payoffs (129) (195) (552) Changes in fair value (31) (12) 263 Balance at end of year $ 1,270 $ 1,247 $ 1,181 |
Fair Value of Financial Instr45
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value [Abstract] | |
Carrying Amounts and Fair Values of Recognized Financial Instruments | The carrying amounts and estimated fair values of recognized financial instruments at December 31, 2017 and 2016 are as follows: (in thousands) 2017 2016 Carrying Amount Estimated Value Carrying Amount Estimated Value Input Level FINANCIAL ASSETS Cash and cash equivalents $ 27,274 $ 27,274 $ 14,186 $ 14,186 1 Securities, including FHLB stock 174,730 174,730 195,035 195,035 2,3 Certificates of deposit - - 1,494 1,494 2 Loans held for sale 2,384 2,384 1,510 1,510 3 Net loans and leases 503,577 500,916 372,741 371,493 3 Mortgage servicing rights 1,270 1,270 1,247 1,247 3 $ 709,235 $ 706,574 $ 586,213 $ 584,965 (in thousands) 2017 2016 Carrying Amount Estimated Value Carrying Amount Estimated Value Input Level FINANCIAL LIABILITIES Deposits Maturity $ 170,615 $ 168,914 $ 129,460 $ 128,592 3 Non-maturity 459,933 459,933 395,220 395,220 1 Other borrowings 57,148 57,096 18,774 18,774 3 Junior subordinated deferrable interest debentures 12,840 9,790 12,806 9,295 3 $ 700,536 $ 695,733 $ 556,260 $ 551,881 |
Leasing Arrangements (Tables)
Leasing Arrangements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Leasing Arrangements [Abstract] | |
Schedule of Future Minimum Rental Payments | The following is a schedule of future minimum rental payments required under the facility leases as of December 31, 2017: Year ending Amount December 31 (in thousands) 2018 $ 258 2019 259 2020 261 2021 263 2022 140 Total $ 1,181 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Stock-Based Compensation [Abstract] | |
Summary of Activity for Stock Options | Following is a summary of activity for stock options for the years ended December 31, 2017 and 2016 (number of shares): 2017 2016 Outstanding, beginning of year 33,352 - Granted 30,151 33,352 Exercised - - Outstanding, end of year 63,503 33,352 Weighted average exercise price at end of year $ 20.45 $ 19.32 |
Assumptions Used in Calculating the Fair Value of the Options | Following are assumptions used in calculating the fair value of the options granted in 2017 and 2016: 2017 2016 Weighted-average fair value of options granted $ 7.35 $ 6.27 Average dividend yield 2.23 % 2.31 % Expected volatility 40.00 % 40.00 % Rick-free interest rate 2.06 % 1.58 % Expected term (years) 7 7 |
Quarterly Financial Data (Una48
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Data [Abstract] | |
Schedule of Quarterly Financial Information | The following represents a summary of selected unaudited quarterly financial data for 2017 and 2016: (in thousands, except share data) Net Net Income Interest Interest Net Per Share Income Income Income Basic Diluted 2017 First quarter $ 5,468 $ 4,859 $ 1,394 $ 0.43 $ 0.43 Second quarter $ 5,920 $ 5,270 $ 1,185 $ 0.36 $ 0.36 Third quarter $ 6,484 $ 5,708 $ 402 $ 0.12 $ 0.12 Fourth quarter $ 7,900 $ 6,817 $ 865 $ 0.27 $ 0.27 2016 First quarter $ 5,245 $ 4,731 $ 1,307 $ 0.40 $ 0.40 Second quarter $ 5,303 $ 4,746 $ 1,336 $ 0.40 $ 0.40 Third quarter $ 5,541 $ 4,961 $ 1,378 $ 0.42 $ 0.42 Fourth quarter $ 5,538 $ 4,958 $ 1,500 $ 0.46 $ 0.46 |
Summary of Significant Accoun49
Summary of Significant Accounting Policies (Narrative) (Details) | Jan. 18, 2018$ / shares | Dec. 31, 2017USD ($) | Dec. 31, 2017USD ($)segment | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) |
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Number of operating segments | segment | 1 | ||||
Required cash on hand with Federal Reserve Bank | $ 1,200,000 | $ 1,200,000 | $ 1,100,000 | ||
Gross unrealized losses | 0 | 0 | |||
Amortization of intangible assets | $ 133,000 | 137,000 | $ 137,000 | ||
Core Deposits [Member] | |||||
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Intangible asset useful life | 7 years | ||||
Amortization of intangible assets | $ 124,000 | $ 96,000 | $ 96,000 | ||
Amortization of core deposit intangible asset, FY 2018 | 173,000 | 173,000 | |||
Amortization of core deposit intangible asset, FY 2019 | 158,000 | 158,000 | |||
Amortization of core deposit intangible asset, FY 2020 | 151,000 | 151,000 | |||
Amortization of core deposit intangible asset, FY 2021 | 143,000 | 143,000 | |||
Amortization of core deposit intangible asset, FY 2022 | $ 140,000 | $ 140,000 | |||
Subsequent Event [Member] | |||||
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Dividends, date declared | Jan. 18, 2018 | ||||
Dividends payable (dollars per share) | $ / shares | $ 0.12 | ||||
Dividends, date to be paid | Mar. 15, 2018 | ||||
Dividends, date of record | Feb. 28, 2018 | ||||
Ohio State Bancshares, Inc. [Member] | Core Deposits [Member] | |||||
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Intangible asset useful life | 10 years | ||||
Benchmark [Member] | Core Deposits [Member] | |||||
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Intangible asset useful life | 10 years | ||||
Minimum [Member] | Building [Member] | |||||
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Property, plant, and equipment, useful life | 20 years | ||||
Minimum [Member] | Equipment [Member] | |||||
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Property, plant, and equipment, useful life | 3 years | ||||
Maximum [Member] | Building [Member] | |||||
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Property, plant, and equipment, useful life | 40 years | ||||
Maximum [Member] | Equipment [Member] | |||||
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Property, plant, and equipment, useful life | 10 years |
Summary of Significant Accoun50
Summary of Significant Accounting Policies (Weighted Average Number of Shares Outstanding) (Details) - shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
The Weighted Average Number of Shares Outstanding [Abstract] | |||
Basic | 3,267,305 | 3,289,497 | 3,339,242 |
Diluted | 3,272,310 | 3,289,497 | 3,339,242 |
Acquisition (Narrative) (Detail
Acquisition (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Sep. 08, 2017 | |
Business Acquisition [Line Items] | |||
Acquisition related costs | $ 1,271,000 | $ 65,000 | |
Goodwill | $ 25,203,000 | $ 10,072,000 | |
Benchmark [Member] | |||
Business Acquisition [Line Items] | |||
Date of acquisition | Sep. 8, 2017 | ||
Share price in business merger | $ 8.59 | ||
Goodwill | $ 15,100,000 |
Acquisition (Schedule of Assets
Acquisition (Schedule of Assets and Deposits Assumed in Acquisition) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Sep. 08, 2017 | Dec. 31, 2016 |
Business Acquisition [Line Items] | |||
Goodwill | $ 25,203 | $ 10,072 | |
Benchmark Bancorp, Inc. [Member] | |||
Business Acquisition [Line Items] | |||
Cash and cash equivalents | $ 6,092 | ||
Restricted stock | 472 | ||
Loans, including loans held for sale | 98,804 | ||
Premises and equipment | 2,483 | ||
Other real estate owned | 141 | ||
Other assets, including accrued interest receivable | 5,342 | ||
Total assets acquired | 113,827 | ||
Deposits | 95,545 | ||
Other liabilities | 2,661 | ||
Total liabilities assumed | 98,206 | ||
Net identifiable assets | 15,621 | ||
Goodwill | 15,131 | ||
Total cash paid | 30,752 | ||
Core Deposits [Member] | Benchmark Bancorp, Inc. [Member] | |||
Business Acquisition [Line Items] | |||
Other intangible assets | $ 493 |
Securities (Narrative) (Details
Securities (Narrative) (Details) | 12 Months Ended | ||
Dec. 31, 2017USD ($)security | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Available for sale securities pledged as collateral | $ 27,700,000 | $ 26,500,000 | |
Number of available for sale securities in unrealized loss position | security | 102 | ||
Number of available for sale securities in unrealized loss position, one year or more | security | 66 | ||
Available for sale securities, gross realized gains | $ 241,000 | 215,000 | $ 142,000 |
Income tax expense (benefit) | 2,879,000 | 1,744,000 | 1,405,000 |
Available for sale securities, gross realized losses | 243,000 | 57,000 | 26,000 |
Realized Gains on Sale of Securities [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Income tax expense (benefit) | 82,000 | 73,000 | 48,000 |
Realized Losses on Sale of Securities [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Income tax expense (benefit) | $ 83,000 | $ 19,000 | $ 9,000 |
Securities (Amortized Cost and
Securities (Amortized Cost and Fair Value of Available-For-Sale Securities) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Amortized cost | $ 169,616 | $ 191,517 |
Fair value, securities | 169,428 | 190,205 |
U.S. States and Political Subdivisions Debt Securities [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Amortized cost | 67,160 | 70,757 |
Fair value, securities | 67,979 | 70,624 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Amortized cost | 101,454 | 119,758 |
Fair value, securities | 100,463 | 118,595 |
Other Available-for-Sale Securities [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Amortized cost | 1,002 | 1,002 |
Fair value, securities | $ 986 | $ 986 |
Securities (Gross Unrealized Ga
Securities (Gross Unrealized Gains and Losses on Available-For-Sale Securities) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Available-for-sale: | ||
Available-for-sale securities gross unrealized gains | $ 1,262 | $ 1,413 |
Available-for-sale securities gross unrealized losses | 1,450 | 2,725 |
U.S. States and Political Subdivisions Debt Securities [Member] | ||
Available-for-sale: | ||
Available-for-sale securities gross unrealized gains | 977 | 644 |
Available-for-sale securities gross unrealized losses | 158 | 777 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Available-for-sale: | ||
Available-for-sale securities gross unrealized gains | 285 | 769 |
Available-for-sale securities gross unrealized losses | 1,276 | 1,932 |
Other Available-for-Sale Securities [Member] | ||
Available-for-sale: | ||
Available-for-sale securities gross unrealized losses | $ 16 | $ 16 |
Securities (Securities by Contr
Securities (Securities by Contractual Maturity) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Securities [Abstract] | ||
Due in one year or less | $ 2,660 | |
Due in one year or less, Fair value | 2,690 | |
Due after one year through five years | 19,761 | |
Due after one year through five years, Fair value | 20,017 | |
Due after five years through ten years | 39,197 | |
Due after five years through ten years, Fair value | 39,659 | |
Due after ten years | 106,996 | |
Due after ten years, Fair value | 106,076 | |
Other securities having no maturity date | 1,002 | |
Other securities having no maturity date, Fair value | 986 | |
Total amoritzed cost | 169,616 | $ 191,517 |
Available-for-sale Securities, Total | $ 169,428 | $ 190,205 |
Securities (Securities in a Con
Securities (Securities in a Continuous Unrealized Loss Position) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Securities in a continuous unrealized loss position less than 12 months unrealized losses | $ 296 | $ 2,675 |
Securities in a continuous unrealized loss position less than 12 months fair value | 46,060 | 113,015 |
Securities in a continuous unrealized loss position 12 months or more unrealized losses | 1,154 | 50 |
Securities in a continuous unrealized loss position 12 months or more fair value | 46,284 | 1,758 |
Securities in a continuous unrealized loss position unrealized losses | 1,450 | 2,725 |
Securities in a continuous unrealized loss position fair value | 92,344 | 114,773 |
U.S. States and Political Subdivisions Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Securities in a continuous unrealized loss position less than 12 months unrealized losses | 60 | 777 |
Securities in a continuous unrealized loss position less than 12 months fair value | 11,951 | 33,312 |
Securities in a continuous unrealized loss position 12 months or more unrealized losses | 98 | |
Securities in a continuous unrealized loss position 12 months or more fair value | 6,193 | |
Securities in a continuous unrealized loss position unrealized losses | 158 | 777 |
Securities in a continuous unrealized loss position fair value | 18,144 | 33,312 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Securities in a continuous unrealized loss position less than 12 months unrealized losses | 236 | 1,882 |
Securities in a continuous unrealized loss position less than 12 months fair value | 34,109 | 78,717 |
Securities in a continuous unrealized loss position 12 months or more unrealized losses | 1,040 | 50 |
Securities in a continuous unrealized loss position 12 months or more fair value | 39,105 | 1,758 |
Securities in a continuous unrealized loss position unrealized losses | 1,276 | 1,932 |
Securities in a continuous unrealized loss position fair value | 73,214 | 80,475 |
Other Available-for-Sale Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Securities in a continuous unrealized loss position less than 12 months unrealized losses | 16 | |
Securities in a continuous unrealized loss position less than 12 months fair value | 986 | |
Securities in a continuous unrealized loss position 12 months or more unrealized losses | 16 | |
Securities in a continuous unrealized loss position 12 months or more fair value | 986 | |
Securities in a continuous unrealized loss position unrealized losses | 16 | 16 |
Securities in a continuous unrealized loss position fair value | $ 986 | $ 986 |
Loans and Leases (Narrative) (D
Loans and Leases (Narrative) (Details) | 12 Months Ended | |||||
Dec. 31, 2017USD ($)contract | Dec. 31, 2016USD ($)loan | Dec. 31, 2015USD ($) | Sep. 08, 2017USD ($) | Dec. 31, 2014USD ($) | Nov. 14, 2014USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans Receivable | $ 506,412,000 | $ 376,086,000 | ||||
Impaired Financing Receivable, Average Recorded Investment | 1,450,000 | 3,691,000 | $ 5,579,000 | |||
Impaired Financing Receivable, Interest Income, Accrual Method | $ 0 | $ 245,000 | 393,000 | |||
Contracts modified | 0 | 6 | ||||
Loans acquired with deteriorated credit quality | $ 1,178,000 | $ 624,000 | ||||
Provision for loan losses | 101,000 | 0 | ||||
Loans and Leases Receivable, Related Parties | 491,000 | $ 370,000 | $ 63,000 | $ 34,000 | ||
Extended Maturity [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Contracts modified | loan | 2 | |||||
Granted Interest Only Period [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Contracts modified | loan | 1 | |||||
Lowered Payments and Extended Maturity [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Contracts modified | loan | 1 | |||||
Principal Forgiveness [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Contracts modified | loan | 1 | |||||
Brought Interest Payment Current and Liquidating Inventory [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Contracts modified | loan | 1 | |||||
Fixed-Rate Loans [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans Receivable | 112,007,000 | $ 75,723,000 | ||||
Agriculture (Member) | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans Receivable | 44,510,000 | 39,108,000 | ||||
Ohio State Bancshares, Inc. [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans acquired with deteriorated credit quality | 264,000 | $ 624,000 | $ 959,000 | |||
Benchmark [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans acquired with deteriorated credit quality | $ 914,000 | $ 967,000 |
Loans and Leases (Composition o
Loans and Leases (Composition of Loans) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
LOANS & LEASES | $ 506,412 | $ 376,086 |
Residential Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
LOANS & LEASES | 121,418 | 88,869 |
Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
LOANS & LEASES | 335,820 | 244,097 |
Agriculture (Member) | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
LOANS & LEASES | 44,510 | 39,108 |
Consumer Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
LOANS & LEASES | $ 4,664 | $ 4,012 |
Loans and Leases (Activity in t
Loans and Leases (Activity in the Allowance for Loan Losses) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Allowance for loan losses | $ 3,345 | $ 3,834 | $ 3,840 |
Provision charged to operations | (350) | (750) | 382 |
Loans charged-off | (689) | (160) | (639) |
Recoveries | 529 | 421 | 251 |
Allowance for loan losses | 2,835 | 3,345 | 3,834 |
Impaired Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Allowance for loan losses | 1,018 | 1,371 | 807 |
Provision charged to operations | (865) | (1,155) | 852 |
Loans charged-off | (414) | (326) | |
Recoveries | 261 | 802 | 38 |
Allowance for loan losses | 1,018 | 1,371 | |
Commercial Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Allowance for loan losses | 896 | 893 | 199 |
Provision charged to operations | (424) | 55 | 971 |
Loans charged-off | (63) | (86) | (349) |
Recoveries | 92 | 34 | 72 |
Allowance for loan losses | 501 | 896 | 893 |
Commercial and Multi-Family Real Estate [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Allowance for loan losses | 1,876 | 2,540 | 3,255 |
Provision charged to operations | 9 | (969) | (767) |
Loans charged-off | (553) | (12) | (98) |
Recoveries | 414 | 317 | 150 |
Allowance for loan losses | 1,746 | 1,876 | 2,540 |
Residential 1-4 Family Real Estate [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Allowance for loan losses | 542 | 373 | 363 |
Provision charged to operations | 34 | 160 | 166 |
Loans charged-off | (45) | (52) | (176) |
Recoveries | 14 | 61 | 20 |
Allowance for loan losses | 545 | 542 | 373 |
Consumer Portfolio Segment [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Allowance for loan losses | 31 | 28 | 23 |
Provision charged to operations | 31 | 4 | 12 |
Loans charged-off | (28) | (10) | (16) |
Recoveries | 9 | 9 | 9 |
Allowance for loan losses | $ 43 | $ 31 | $ 28 |
Loans and Leases (Activity in61
Loans and Leases (Activity in the Allowance for Loan Losses by Portfolio Segment) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Loans individually evaluated for impairment | $ 2,917 | |
Loans collectively evaluated for impairment | $ 505,234 | 372,545 |
Loans acquired with deteriorated credit quality | 1,178 | 624 |
Total ending loans and leases balance | 506,412 | 376,086 |
Allowance for loan losses, attributable to loans individually evaluated | 1,018 | |
Allowance for loan losses, collectively evaluated | 2,835 | 2,327 |
Commercial Loans [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Loans individually evaluated for impairment | 937 | |
Loans collectively evaluated for impairment | 68,072 | 62,782 |
Total ending loans and leases balance | 68,072 | 63,719 |
Allowance for loan losses, attributable to loans individually evaluated | 399 | |
Allowance for loan losses, collectively evaluated | 501 | 497 |
Commercial and Multi-Family Real Estate [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Loans individually evaluated for impairment | 1,980 | |
Loans collectively evaluated for impairment | 311,274 | 216,933 |
Loans acquired with deteriorated credit quality | 984 | 573 |
Total ending loans and leases balance | 312,258 | 219,486 |
Allowance for loan losses, attributable to loans individually evaluated | 619 | |
Allowance for loan losses, collectively evaluated | 1,746 | 1,257 |
Residential 1-4 Family Real Estate [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Loans collectively evaluated for impairment | 121,224 | 88,818 |
Loans acquired with deteriorated credit quality | 194 | 51 |
Total ending loans and leases balance | 121,418 | 88,869 |
Allowance for loan losses, collectively evaluated | 545 | 542 |
Consumer Portfolio Segment [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Loans collectively evaluated for impairment | 4,664 | 4,012 |
Total ending loans and leases balance | 4,664 | 4,012 |
Allowance for loan losses, collectively evaluated | $ 43 | $ 31 |
Loans and Leases (Loans Individ
Loans and Leases (Loans Individually Evaluated for Impairment) (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Financing Receivable, Impaired [Line Items] | |
Allowance for Loan and Lease Losses Allocated | |
Indivdually Evaluated for Impairment [Member] | |
Financing Receivable, Impaired [Line Items] | |
Recorded investment, with allowance recorded | 2,917 |
Allowance for Loan and Lease Losses Allocated | 1,018 |
Commercial Portfolio Segment [Member] | Indivdually Evaluated for Impairment [Member] | |
Financing Receivable, Impaired [Line Items] | |
Recorded investment, with allowance recorded | 937 |
Allowance for Loan and Lease Losses Allocated | 399 |
Commercial and Multi-Family Real Estate [Member] | Indivdually Evaluated for Impairment [Member] | |
Financing Receivable, Impaired [Line Items] | |
Recorded investment, with allowance recorded | 1,980 |
Allowance for Loan and Lease Losses Allocated | $ 619 |
Loans and Leases (Nonaccrual Lo
Loans and Leases (Nonaccrual Loans) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | $ 2,767 | $ 6,003 |
Loans and leases past due over 90 days and still accruing | 170 | 154 |
Troubled debt restructurings | 712 | 1,208 |
Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | 532 | 1,295 |
Loans and leases past due over 90 days and still accruing | 60 | |
Troubled debt restructurings | 27 | 29 |
Commercial Real Estate Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | 1,411 | 3,462 |
Troubled debt restructurings | 257 | 722 |
Agricultural Real Estate [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | 233 | 277 |
Agriculture Portfolio [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases past due over 90 days and still accruing | 73 | |
Consumer Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | 3 | |
Residential 1-4 Family Real Estate [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | 591 | 966 |
Loans and leases past due over 90 days and still accruing | 110 | 81 |
Troubled debt restructurings | $ 428 | $ 457 |
Loans and Leases (Aging of the
Loans and Leases (Aging of the Recorded Investment in Past Due Loans) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | $ 6,310 | $ 4,239 |
Loans and leases not past due | 500,102 | 371,847 |
Total ending loans and leases balance | 506,412 | 376,086 |
Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 4,499 | 2,436 |
Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 728 | 704 |
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 1,083 | 1,099 |
Commercial Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 513 | 476 |
Loans and leases not past due | 55,410 | 49,988 |
Total ending loans and leases balance | 55,923 | 50,464 |
Commercial Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 419 | 326 |
Commercial Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 34 | 71 |
Commercial Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 60 | 79 |
Commercial Real Estate Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 1,621 | 803 |
Loans and leases not past due | 278,276 | 192,830 |
Total ending loans and leases balance | 279,897 | 193,633 |
Commercial Real Estate Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 636 | 103 |
Commercial Real Estate Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 354 | 147 |
Commercial Real Estate Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 631 | 553 |
Agriculture Portfolio [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 145 | 227 |
Loans and leases not past due | 12,318 | 13,026 |
Total ending loans and leases balance | 12,463 | 13,253 |
Agriculture Portfolio [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 227 | |
Agriculture Portfolio [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 145 | |
Agricultural Real Estate [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 25 | 5 |
Loans and leases not past due | 32,022 | 25,850 |
Total ending loans and leases balance | 32,047 | 25,855 |
Agricultural Real Estate [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 25 | |
Agricultural Real Estate [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 5 | |
Consumer Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 1 | 12 |
Loans and leases not past due | 4,663 | 4,000 |
Total ending loans and leases balance | 4,664 | 4,012 |
Consumer Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 1 | 10 |
Consumer Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 2 | |
Residential Real Estate Portfolio [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 4,005 | 2,716 |
Loans and leases not past due | 117,413 | 86,153 |
Total ending loans and leases balance | 121,418 | 88,869 |
Residential Real Estate Portfolio [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 3,418 | 1,770 |
Residential Real Estate Portfolio [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | 195 | 484 |
Residential Real Estate Portfolio [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total past due | $ 392 | $ 462 |
Loans and Leases (Loans By Cred
Loans and Leases (Loans By Credit Quality Indicators) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | $ 506,412 | $ 376,086 |
Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 293,119 | 203,842 |
Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 2,344 | 4,239 |
Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 5,887 | 7,516 |
Not Rated [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 205,062 | 160,489 |
Commercial Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 335,820 | 244,097 |
Commercial Portfolio Segment [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 47,054 | 41,234 |
Commercial Portfolio Segment [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 1,845 | 3,666 |
Commercial Portfolio Segment [Member] | Not Rated [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 19,173 | 18,819 |
Commercial and Multi-Family Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 312,258 | 219,486 |
Commercial and Multi-Family Real Estate [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 234,428 | 162,398 |
Commercial and Multi-Family Real Estate [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 2,344 | 4,239 |
Commercial and Multi-Family Real Estate [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 3,868 | 3,850 |
Commercial and Multi-Family Real Estate [Member] | Not Rated [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 71,618 | 48,999 |
Residential 1-4 Family Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 121,418 | 88,869 |
Residential 1-4 Family Real Estate [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 11,637 | 210 |
Residential 1-4 Family Real Estate [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 174 | |
Residential 1-4 Family Real Estate [Member] | Not Rated [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 109,607 | 88,659 |
Consumer Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | 4,664 | 4,012 |
Consumer Portfolio Segment [Member] | Not Rated [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans Receivable | $ 4,664 | $ 4,012 |
Loans and Leases (Performance o
Loans and Leases (Performance of the Loan Portfolio) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonimpaired loans | $ 1,178 | $ 624 |
Commercial Portfolio Segment [Member] | Performing Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonimpaired loans | 19,113 | 18,740 |
Commercial Portfolio Segment [Member] | Nonperforming Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonimpaired loans | 60 | 79 |
Commercial Portfolio Segment [Member] | Nonimpaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonimpaired loans | 19,173 | 18,819 |
Commercial and Multi-Family Real Estate [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonimpaired loans | 984 | 573 |
Commercial and Multi-Family Real Estate [Member] | Performing Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonimpaired loans | 70,987 | 48,441 |
Commercial and Multi-Family Real Estate [Member] | Nonperforming Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonimpaired loans | 631 | 558 |
Commercial and Multi-Family Real Estate [Member] | Nonimpaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonimpaired loans | 71,618 | 48,999 |
Residential 1-4 Family Real Estate [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonimpaired loans | 194 | 51 |
Residential 1-4 Family Real Estate [Member] | Performing Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonimpaired loans | 109,214 | 88,197 |
Residential 1-4 Family Real Estate [Member] | Nonperforming Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonimpaired loans | 393 | 462 |
Residential 1-4 Family Real Estate [Member] | Nonimpaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonimpaired loans | 109,607 | 88,659 |
Consumer Portfolio Segment [Member] | Performing Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonimpaired loans | 4,664 | 4,012 |
Consumer Portfolio Segment [Member] | Nonimpaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonimpaired loans | $ 4,664 | $ 4,012 |
Loans and Leases (Troubled Debt
Loans and Leases (Troubled Debt Restructurings) (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017contract | Dec. 31, 2016USD ($)loan | |
Financing Receivable, Modifications [Line Items] | ||
Contracts modified | 0 | 6 |
Recorded investment | $ 358 | |
Allowance for loan and lease losses allocated | ||
Residential Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Contracts modified | loan | 1 | |
Recorded investment | $ 72 | |
Allowance for loan and lease losses allocated | ||
Commercial Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Contracts modified | loan | 1 | |
Recorded investment | $ 30 | |
Allowance for loan and lease losses allocated | ||
Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Contracts modified | loan | 4 | |
Recorded investment | $ 256 | |
Allowance for loan and lease losses allocated |
Loans and Leases (Schedule of L
Loans and Leases (Schedule of Loans Acquired in Acquisition) (Details) - USD ($) $ in Thousands | 4 Months Ended | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | |
Ohio State Bancshares, Inc. [Member] | Performing Financing Receivable [Member] | |||
Contractual Principal Receivable [Abstract] | |||
Contractual principal receivable, beginning balance | $ 34,416 | $ 41,873 | |
Contractual principal receivable, change due to payments received | (8,907) | (7,457) | |
Contractual principal receivable, transfer to foreclosed real estate | |||
Contractual principal receivable, change due to loan charge-off | |||
Contractual principal receivable, ending balance | 25,509 | 25,509 | 34,416 |
Difference [Abstract] | |||
Accretable yield, beginning balance | (1,476) | (1,809) | |
Accretable yield, change due to payments received | 547 | 333 | |
Accretable yield, transfer to foreclosed real estate | |||
Accretable yield, change due to loan charge-off | |||
Accretable yield, ending balance | (929) | (929) | (1,476) |
Carrying Amount [Abstract] | |||
Carrying amount, beginning balance | 32,940 | 40,064 | |
Carrying amount, change due to payments received | (8,360) | (7,124) | |
Carrying amount, transfer to foreclosed real estate | |||
Carrying amount, change due to loan charge-off | |||
Carrying amount, ending balance | 24,580 | 24,580 | 32,940 |
Ohio State Bancshares, Inc. [Member] | Nonperforming Financing Receivable [Member] | |||
Contractual Principal Receivable [Abstract] | |||
Contractual principal receivable, beginning balance | 1,520 | 1,959 | |
Contractual principal receivable, change due to payments received | (465) | (238) | |
Contractual principal receivable, transfer to foreclosed real estate | |||
Contractual principal receivable, change due to loan charge-off | (559) | (559) | (201) |
Contractual principal receivable, ending balance | 496 | 496 | 1,520 |
Difference [Abstract] | |||
Non-accretable difference, beginning balance | (896) | (1,194) | |
Accretable yield, change due to payments received | 176 | 108 | |
Accretable yield, transfer to foreclosed real estate | |||
Accretable yield, change due to loan charge-off | 488 | 190 | |
Non-accretable difference, ending balance | (232) | (232) | (896) |
Carrying Amount [Abstract] | |||
Carrying amount, beginning balance | 624 | 765 | |
Carrying amount, change due to payments received | (289) | (130) | |
Carrying amount, transfer to foreclosed real estate | |||
Carrying amount, change due to loan charge-off | (71) | (11) | |
Carrying amount, ending balance | 264 | 264 | $ 624 |
Benchmark [Member] | Performing Financing Receivable [Member] | |||
Contractual Principal Receivable [Abstract] | |||
Contractual principal receivable, beginning balance | 96,914 | ||
Contractual principal receivable, change due to payments received | (7,763) | ||
Contractual principal receivable, ending balance | 89,151 | 89,151 | |
Difference [Abstract] | |||
Accretable yield, beginning balance | (2,273) | ||
Accretable yield, change due to payments received | 207 | ||
Accretable yield, ending balance | (2,066) | (2,066) | |
Carrying Amount [Abstract] | |||
Carrying amount, beginning balance | 94,641 | ||
Carrying amount, change due to payments received | (7,556) | ||
Carrying amount, ending balance | 87,085 | 87,085 | |
Benchmark [Member] | Nonperforming Financing Receivable [Member] | |||
Contractual Principal Receivable [Abstract] | |||
Contractual principal receivable, beginning balance | 1,588 | ||
Contractual principal receivable, ending balance | 1,588 | 1,588 | |
Difference [Abstract] | |||
Non-accretable difference, beginning balance | (674) | ||
Non-accretable difference, ending balance | (674) | (674) | |
Carrying Amount [Abstract] | |||
Carrying amount, beginning balance | 914 | ||
Carrying amount, ending balance | $ 914 | $ 914 |
Loans and Leases (Related Party
Loans and Leases (Related Party Loans) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Loans and Leases [Abstract] | |||
Beginning of year | $ 370 | $ 63 | $ 34 |
Additions | 300 | 630 | 160 |
Repayments | (179) | (323) | (131) |
End of year | $ 491 | $ 370 | $ 63 |
Premises and Equipment (Narrati
Premises and Equipment (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Premises and Equipment [Abstract] | |||
Depreciation | $ 724,000 | $ 562,000 | $ 599,000 |
Premises and Equipment (Summary
Premises and Equipment (Summary of Premises and Equipment) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Premises and Equipment [Abstract] | ||
Land and improvements | $ 4,069 | $ 3,469 |
Buildings | 17,311 | 10,434 |
Equipment | 5,018 | 3,621 |
Construction in progress | 2,209 | |
Premises and equipment, gross | 26,398 | 19,733 |
Less accumulated depreciation | 7,062 | 6,338 |
Premises and equipment, net | $ 19,336 | $ 13,395 |
Servicing (Narrative) (Details)
Servicing (Narrative) (Details) | 12 Months Ended | ||
Dec. 31, 2017USD ($)factor$ / loan | Dec. 31, 2016USD ($)factor | Dec. 31, 2015factor | |
Risks Inherent in Servicing Assets and Servicing Liabilities [Line Items] | |||
Unpaid Principal Balance of Loans Serviced for Others (in Dollars) | $ | $ 174,669,000 | $ 172,171,000 | |
Servicing Assets and Servicing Liabilities, Fair Value, Valuation Techniques | Based on the PSA Standard Prepayment Model | ||
Servicing Assets And Servicing Liabilities At Fair Value Assumptions Used To Estimate Fair Value Incremental Increase Based On Loan Count (in Dollars) | $ | $ 1 | ||
Servicing Assets And Servicing Liabilities At Fair Value Assumptions Used To Estimate Fair Value Prepayment Factor | factor | 159 | 148 | 170 |
Inflation Rate [Member] | |||
Risks Inherent in Servicing Assets and Servicing Liabilities [Line Items] | |||
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Earnings Rate | 3.00% | ||
Earnings Rate [Member] | |||
Risks Inherent in Servicing Assets and Servicing Liabilities [Line Items] | |||
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Earnings Rate | 0.25% | 0.25% | 0.25% |
Minimum [Member] | |||
Risks Inherent in Servicing Assets and Servicing Liabilities [Line Items] | |||
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Earnings Rate | 9.00% | ||
Servicing Assets And Servicing Liabilities At Fair Value Assumptions Used To Estimate Fair Value Servicing Costs (in Dollars) | $ / loan | 50 | ||
Maximum [Member] | |||
Risks Inherent in Servicing Assets and Servicing Liabilities [Line Items] | |||
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Earnings Rate | 11.00% | ||
Servicing Assets And Servicing Liabilities At Fair Value Assumptions Used To Estimate Fair Value Servicing Costs (in Dollars) | $ / loan | 65 |
Servicing (Mortgage Servicing R
Servicing (Mortgage Servicing Rights Activity) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Servicing [Abstract] | |||
Balance | $ 1,247 | $ 1,181 | $ 1,218 |
Capitalized servicing rights - new loan sales | 183 | 273 | 252 |
Disposal (amortization based on loan payment and payoffs) | (129) | (195) | (552) |
Change in fair value | (31) | (12) | 263 |
Balance | $ 1,270 | $ 1,247 | $ 1,181 |
Deposits (Narrative) (Details)
Deposits (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Deposits [Abstract] | |||
Time Deposits, $250,000 or More | $ 11,170,000 | $ 4,341,000 | |
Interest Expense, Time Deposits, $250,000 or More | 111,000 | 31,000 | $ 23,000 |
Time Deposits | 170,615,000 | ||
Time Deposit Maturities, Next Twelve Months | 104,983,000 | ||
Time Deposit Maturities, Year Two | 31,964,000 | ||
Time Deposit Maturities, Year Three | 14,385,000 | ||
Time Deposit Maturities, Year Four | 9,873,000 | ||
Time Deposit Maturities, Year Five | 9,213,000 | ||
Time Deposit Maturities, after Year Five | 196,000 | ||
Related party deposits | $ 3,991,000 | $ 3,436,000 |
Other Borrowings (Narrative) (D
Other Borrowings (Narrative) (Details) | Dec. 31, 2017USD ($) |
Short-term Debt [Line Items] | |
Maturities in 2018 | $ 22,398 |
Maturities in 2019 | 1,000,000 |
Maturities in 2020 | 7,000,000 |
Maturities in 2021 | 14,000,000 |
Maturities in 2022 | 12,750,000 |
Federal Home Loan Bank Advances [Member] | |
Short-term Debt [Line Items] | |
Loans Pledged as Collateral | 88,454,000 |
Line of Credit Facility, Remaining Borrowing Capacity | $ 63,704,000 |
Other Borrowings (Composition o
Other Borrowings (Composition of Other Borrowings) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Short-term Debt [Line Items] | ||
Total other borrowings | $ 57,148,000 | $ 18,774,000 |
Secured Notes, Due March 2017 [Member] | Secured Debt [Member] | ||
Short-term Debt [Line Items] | ||
Interest rate | 0.74% | |
Maturity date | Mar. 1, 2017 | |
Secured Notes, Due March 2017 [Member] | Secured Debt [Member] | Federal Home Loan Bank [Member] | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank borrowings | $ 18,774,000 | |
Secured Notes, Due March 2018 [Member] | Secured Debt [Member] | ||
Short-term Debt [Line Items] | ||
Interest rate | 1.52% | |
Maturity date | Mar. 1, 2018 | |
Secured Notes, Due March 2018 [Member] | Secured Debt [Member] | Federal Home Loan Bank [Member] | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank borrowings | $ 22,048,000 | |
Secured Notes, Due October 2018 [Member] | Secured Debt [Member] | ||
Short-term Debt [Line Items] | ||
Interest rate | 0.00% | |
Maturity date | Oct. 1, 2018 | |
Secured Notes, Due October 2018 [Member] | Secured Debt [Member] | Federal Home Loan Bank [Member] | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank borrowings | $ 100,000 | |
First Secured Notes, Due September 2021 [Member] | Secured Debt [Member] | ||
Short-term Debt [Line Items] | ||
Interest rate | 1.56% | |
Maturity date | Sep. 1, 2021 | |
First Secured Notes, Due September 2021 [Member] | Secured Debt [Member] | Federal Home Loan Bank [Member] | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank borrowings | $ 7,000,000 | |
Secured Notes, Due September 2020 [Member] | Secured Debt [Member] | ||
Short-term Debt [Line Items] | ||
Interest rate | 1.72% | |
Maturity date | Sep. 1, 2020 | |
Secured Notes, Due September 2020 [Member] | Secured Debt [Member] | Federal Home Loan Bank [Member] | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank borrowings | $ 6,000,000 | |
Second Secured Notes, Due September 2021 [Member] | Secured Debt [Member] | ||
Short-term Debt [Line Items] | ||
Interest rate | 1.86% | |
Maturity date | Sep. 1, 2021 | |
Second Secured Notes, Due September 2021 [Member] | Secured Debt [Member] | Federal Home Loan Bank [Member] | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank borrowings | $ 6,000,000 | |
Secured Notes, Due September 2022 [Member] | Secured Debt [Member] | ||
Short-term Debt [Line Items] | ||
Interest rate | 1.97% | |
Maturity date | Sep. 1, 2022 | |
Secured Notes, Due September 2022 [Member] | Secured Debt [Member] | Federal Home Loan Bank [Member] | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank borrowings | $ 6,000,000 | |
Notes, Due September 2022 [Member] | ||
Short-term Debt [Line Items] | ||
Interest rate | 4.875% | |
Periodic principal payment | $ 250,000 | |
Maturity date | Sep. 1, 2022 | |
Notes, Due September 2022 [Member] | United Bankers Bank [Member] | ||
Short-term Debt [Line Items] | ||
Total other borrowings | $ 10,000,000 |
Junior Subordinated Deferrabl77
Junior Subordinated Deferrable Interest Debentures (Narrative) (Details) - USD ($) | Mar. 26, 2008 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Investments in and Advances to Affiliates, Balance, Principal Amount | $ 300,000 | |||
Guarantor Obligations, Maximum Exposure, Undiscounted | 10,000,000 | |||
Junior Subordinated Debenture Owed to Unconsolidated Subsidiary Trust | 12,840,000 | $ 12,806,000 | ||
Interest Expense, Debt | $ 596,000 | $ 496,000 | $ 446,000 | |
Maximum Amount of Core Capital | 25.00% | |||
Trust Preferred Securities [Member] | ||||
Junior Subordinated Debenture Owed to Unconsolidated Subsidiary Trust | $ 10,300,000 | |||
Maturity Date | Mar. 26, 2033 | |||
Effective Cost of the Debentures | 4.82% | 4.15% | 3.57% | |
Liability Assumed | $ 3,093,000 | |||
Guaranteed Trust Preferred Securities [Member] | ||||
Liability Assumed | $ 3,000,000 | |||
London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument, Basis Spread on Variable Rate | 3.15% | |||
Ohio State Bancshares, Inc. [Member] | ||||
Interest rate | 4.21% | 3.73% | ||
Ohio State Bancshares, Inc. [Member] | Trust Preferred Securities [Member] | ||||
Maturity Date | Apr. 23, 2034 | |||
Other Debt, Carrying Value | $ 2,540,000 | $ 2,506,000 | ||
Ohio State Bancshares, Inc. [Member] | Trust Preferred Securities Secured by an Investment [Member] | ||||
Liability Assumed | $ 93,000 | |||
Ohio State Bancshares, Inc. [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument, Basis Spread on Variable Rate | 2.85% |
Other Operating Expenses (Detai
Other Operating Expenses (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Business Acquisition [Line Items] | |||
Data processing | $ 1,164,000 | $ 999,000 | $ 1,053,000 |
Professional fees | 1,471,000 | 785,000 | 907,000 |
Ohio Financial Institution tax | 523,000 | 285,000 | 453,000 |
Advertising | 1,062,000 | 605,000 | 484,000 |
ATM processing and other fees | 611,000 | 570,000 | 438,000 |
Amortization of core deposit intangible asset | 133,000 | 137,000 | 137,000 |
Postage | 43,000 | 40,000 | 43,000 |
Stationery and supplies | 178,000 | 105,000 | 99,000 |
FDIC assessment | 185,000 | 269,000 | 358,000 |
Loan closing fees | 421,000 | 290,000 | 191,000 |
Other real estate owned | 36,000 | 46,000 | 354,000 |
Deposit losses & recoveries | 72,000 | 27,000 | 36,000 |
Other | 1,599,000 | 1,780,000 | 1,715,000 |
Total other operating expenses | 7,498,000 | 5,938,000 | $ 6,268,000 |
Ohio State Bancshares, Inc. [Member] | |||
Business Acquisition [Line Items] | |||
Total other operating expenses | $ 65,000 | ||
Benchmark [Member] | |||
Business Acquisition [Line Items] | |||
Total other operating expenses | $ 1,271,000 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Provisional expense to re-mesure deferred taxes | $ 1,136,000 | $ 1,136,000 | |||
Effective income tax rate reconciliation, at federal statutory income tax rate, percent | 34.00% | ||||
Deferred income tax expense | $ 2,660,000 | $ 793,000 | $ 859,000 | ||
Alternative minimum tax credits | 847,000 | 847,000 | 627,000 | ||
Operating loss carryforwards | 832,000 | $ 832,000 | |||
Carryforward expiration date | Dec. 31, 2022 | ||||
Unrecognized tax benefits | 0 | $ 0 | $ 0 | 20,000 | |
Tax adjustment, tax benefit | $ 332,000 | ||||
Ohio State Bancshares, Inc. [Member] | |||||
Operating loss carryforwards | 14,700,000 | 14,700,000 | |||
Federal loss carryforwards limit to amount each year | 126,000 | 126,000 | |||
Federal loss carryforward acquired | $ 15,000,000 | ||||
Deferred tax asset | 2,100,000 | 2,100,000 | |||
Unrecognized tax benefits | 2,500,000 | $ 2,500,000 | |||
Ohio State Bancshares, Inc. [Member] | Minimum [Member] | |||||
Carryforward expiration date | Jan. 1, 2029 | ||||
Ohio State Bancshares, Inc. [Member] | Maximum [Member] | |||||
Carryforward expiration date | Dec. 31, 2033 | ||||
Benchmark [Member] | |||||
Operating loss carryforwards | 9,600,000 | $ 9,600,000 | |||
Federal loss carryforwars limitation on use | $ 15,000 | ||||
Federal loss carryforwards limit to amount each year | 594,000 | $ 594,000 | |||
Federal loss carryforward acquired | $ 9,600,000 | $ 9,600,000 | |||
Benchmark [Member] | Minimum [Member] | |||||
Carryforward expiration date | Jan. 1, 2029 | ||||
Benchmark [Member] | Maximum [Member] | |||||
Carryforward expiration date | Dec. 31, 2036 |
Income Taxes (Provision for Inc
Income Taxes (Provision for Income Taxes) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Income Taxes [Abstract] | ||||
Current | $ 219 | $ 951 | $ 546 | |
Deferred | 1,524 | 793 | 859 | |
Enactment of federal tax reform | $ 1,136 | 1,136 | ||
Total provision for income taxes | $ 2,879 | $ 1,744 | $ 1,405 |
Income Taxes (Income Tax Reconc
Income Taxes (Income Tax Reconciliation) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Income Taxes [Abstract] | ||||
Expected tax using statutory tax rate of 34% | $ 2,287 | $ 2,470 | $ 2,489 | |
Increase (decrease) in tax resulting from: | ||||
Tax-exempt income on state and municipal securities and political subdivision loans | (572) | (558) | (577) | |
Tax-exempt income on life insurance contracts | (135) | (134) | (145) | |
Deductible dividends paid to United Bancshares, Inc. ESOP | (57) | (49) | (39) | |
Uncertain tax position reserves | (22) | (25) | ||
Merger and acquisition costs | 117 | |||
Accounting method change relating to bad debt reserve recapture | (332) | |||
Enactment of federal tax reform | $ 1,136 | 1,136 | ||
Other, net | 103 | 37 | 34 | |
Total provision for income taxes | $ 2,879 | $ 1,744 | $ 1,405 | |
Statutory tax rate | 34.00% |
Income Taxes (Deferred Tax Asse
Income Taxes (Deferred Tax Assets and Liabilities) (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred tax assets: | ||
Allowance for loan losses | $ 611,000 | $ 1,156,000 |
Deferred compensation | 305,000 | 512,000 |
Alternative minimum tax credits | 847,000 | 627,000 |
Nonaccrual loan interest | 301,000 | 598,000 |
Deferred loan fees | 112,000 | 153,000 |
Accrued vacation expense | 86,000 | 134,000 |
Unrealized loss on securities available-for-sale | 64,000 | 446,000 |
Accrued profit sharing | 115,000 | 161,000 |
Loans fair value adjustments | 781,000 | 709,000 |
Other | 81,000 | 91,000 |
Net operating loss carryfoward | 2,461,000 | 708,000 |
Total deferred tax assets | 5,764,000 | 5,295,000 |
Deferred tax liabilities: | ||
Federal Home Loan Bank stock dividends | 526,000 | 849,000 |
Capitalized mortgage servicing rights | 267,000 | 424,000 |
Prepaid expenses | 264,000 | 75,000 |
Acquisition intangibles | 1,803,000 | 2,679,000 |
Trust preferred fair value adjustment | 116,000 | 200,000 |
Other | 107,000 | 12,000 |
Total deferred tax liabilities | 3,083,000 | 4,239,000 |
Net deferred tax assets (liabilities) | $ 2,681,000 | $ 1,056,000 |
Income Taxes (Unrecognized Tax
Income Taxes (Unrecognized Tax Benefits) (Details) | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Income Taxes [Abstract] | |
Balance at January 1 | $ 20,000 |
Reductions due to the statute of limitation | (20,000) |
Balance at December 31 | $ 0 |
Employee and Director Benefits
Employee and Director Benefits (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |||
Defined Contribution Plan, Cost Recognized | $ 776,000 | $ 632,000 | $ 617,000 |
Shares Held in Employee Stock Option Plan, Allocated (in Shares) | 359,761 | ||
Pension and Other Postretirement Defined Benefit Plans, Liabilities, Noncurrent | $ 1,452,000 | 1,506,000 | |
Cash Surrender Value of Life Insurance | $ 17,828,000 | $ 17,351,000 | |
Stock Issued During Period, Shares, Employee Stock Purchase Plans (in Shares) | 1,126 | 843 | 715 |
Split-Dollar Life Insurance Policies [Member] | |||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |||
Cash Surrender Value of Life Insurance | $ 17,830,000 | $ 17,351,000 |
Financial Instruments with Of85
Financial Instruments with Off-Balance Sheet Risk (Financial Instruments With Credit Risk) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financial Instruments With Off-Balance Sheet Risk [Abstract] | ||
Commitments to extend credit | $ 126,885 | $ 90,713 |
Letters of credit | $ 623 | $ 310 |
Regulatory Matters (Narrative)
Regulatory Matters (Narrative) (Details) | Dec. 31, 2017 |
Required by Board of Directors Resolution [Member] | |
Capital Required for Capital Adequacy to Risk Weighted Assets | 8.00% |
Regulatory Matters (Compliance
Regulatory Matters (Compliance with Minimum Capital Requirements (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Consolidated Entities [Member] | ||
Tangible Capital [Abstract] | ||
Common Equity Tier 1 Capital | $ 60,438 | $ 75,273 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets) | 10.20% | 16.20% |
Common Equity Tier 1 Capital, minimum capital requirement | $ 26,765 | $ 20,912 |
Common Equity Tier 1 Capital, minimum capital requirement (to Risk-Weighted Assets) | 4.50% | 4.50% |
Total Capital (to Risk- Weighted Assets) | ||
Total capital | $ 63,273 | $ 78,618 |
Total capital (to Risk-Weighted Assets) | 10.60% | 16.90% |
Total capital - minimum capital requirement | $ 47,581 | $ 37,177 |
Total capital - minimum required to be well capitalized under prompt corrective action provisions | 8.00% | 8.00% |
Tier I Capital (to Risk- Weighted Assets) | ||
Tier I capital | $ 60,438 | $ 75,273 |
Tear 1 capital (to risk-weighted assets) | 10.20% | 16.20% |
Tier 1 capital - minimum capital requirement | $ 35,686 | $ 27,882 |
Tier 1 capital - minimum required to be well capitalized under prompt corrective action provisions | 6.00% | 6.00% |
Tier I Capital (to Average Assets) | ||
Tier I Capital | $ 60,438 | $ 75,273 |
Tier I Capital (to Average Assets) | 9.20% | 12.50% |
Tier I Capital - minimum capital requirement | $ 26,198 | $ 24,147 |
Tier I Capital - minimum required to be well capitalized under prompt corrective action provisions | 4.00% | 4.00% |
Bank [Member] | ||
Tangible Capital [Abstract] | ||
Common Equity Tier 1 Capital | $ 63,649 | $ 73,559 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets) | 10.70% | 15.90% |
Common Equity Tier 1 Capital, minimum capital requirement | $ 26,704 | $ 20,878 |
Common Equity Tier 1 Capital, minimum capital requirement (to Risk-Weighted Assets) | 4.50% | 4.50% |
Common Equity Tier 1 Capital, minimum required to be well capitalized under prompt corrective action provisions | $ 38,573 | $ 30,157 |
Common Equity Tier 1 Capital, minimum required to be well capitalized under prompt corrective action provisions (to Risk-Weighted Assets) | 6.50% | 6.50% |
Total Capital (to Risk- Weighted Assets) | ||
Total capital | $ 66,559 | $ 76,959 |
Total capital (to Risk-Weighted Assets) | 11.20% | 16.60% |
Total capital - minimum capital requirement | $ 47,474 | $ 37,116 |
Total capital - minimum required to be well capitalized under prompt corrective action provisions | 8.00% | 8.00% |
Total capital (to Risk-Weighted Assets) - minimum required to be well capitalized under prompt corrective action provisions | $ 59,343 | $ 46,395 |
Total capital (to Risk-Weighted Assets) - minimum required to be well capitalized under prompt corrective action provisions Ratio | 10.00% | 10.00% |
Tier I Capital (to Risk- Weighted Assets) | ||
Tier I capital | $ 63,649 | $ 73,559 |
Tear 1 capital (to risk-weighted assets) | 10.70% | 15.90% |
Tier 1 capital - minimum capital requirement | $ 35,606 | $ 27,837 |
Tier 1 capital - minimum required to be well capitalized under prompt corrective action provisions | 6.00% | 6.00% |
Tier 1 capital (to risk-weighted assets) minimum required to be well capitalized under prompt corrective action provisions | $ 47,474 | $ 37,116 |
Total capital (to Risk-Weighted Assets) - minimum required to be well capitalized under prompt corrective action provisions Ratio | 8.00% | 8.00% |
Tier I Capital (to Average Assets) | ||
Tier I Capital | $ 63,649 | $ 73,559 |
Tier I Capital (to Average Assets) | 8.50% | 12.00% |
Tier I Capital - minimum capital requirement | $ 29,838 | $ 24,461 |
Tier I Capital - minimum required to be well capitalized under prompt corrective action provisions | 4.00% | 4.00% |
Tier I Capital (to Average Assets) - minimum required to be well capitalized under prompt corrective action provisions | $ 37,298 | $ 30,576 |
Total capital (to Risk-Weighted Assets) - minimum required to be well capitalized under prompt corrective action provisions Ratio | 5.00% | 5.00% |
Condensed Parent Company Fina88
Condensed Parent Company Financial Information (Narrative) (Details) - shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Condensed Parent Company Financial Information [Abstract] | |||
Repurchase of shares | 0 | 43,665 | 59,111 |
Condensed Parent Company Fina89
Condensed Parent Company Financial Information (Condensed Balance Sheets) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Assets: | ||||
Cash | $ 27,274 | $ 14,186 | ||
Premises and equipment, net of accumulated depreciation | 19,336 | 13,395 | ||
Other assets | 8,833 | 5,991 | ||
Total Assets | 780,450 | 633,119 | ||
Liabilities: | ||||
Other borrowings | 57,148 | 18,774 | ||
Other liabilities | 4,210 | 4,301 | ||
Total liabilities | 704,746 | 560,561 | ||
Shareholders' equity: | ||||
Common stock | 3,761 | 3,761 | ||
Surplus | 14,783 | 14,674 | ||
Retained earnings | 64,994 | 62,717 | ||
Accumulated other comprehensive income (loss) | (124) | (866) | ||
Treasury stock, at cost | (7,710) | (7,728) | ||
Total shareholders' equity | 75,704 | 72,558 | $ 71,561 | $ 67,772 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 780,450 | 633,119 | ||
Parent Company [Member] | ||||
Assets: | ||||
Cash | 4,268 | 294 | ||
Investment in bank subsidiary | 92,247 | 83,950 | ||
Other assets | 2,167 | 1,222 | ||
Total Assets | 98,682 | 85,466 | ||
Liabilities: | ||||
Junior subordinated deferrable interest debentures | 12,840 | 12,806 | ||
Other borrowings | 10,000 | |||
Other liabilities | 138 | 102 | ||
Total liabilities | 22,978 | 12,908 | ||
Shareholders' equity: | ||||
Total shareholders' equity | 75,704 | 72,558 | ||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 98,682 | $ 85,466 |
Condensed Parent Company Fina90
Condensed Parent Company Financial Information (Condensed Statements Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Condensed Income Statements, Captions [Line Items] | |||||||||||
Income before equity in undistributed net income of bank subsidiary | $ 6,725 | $ 7,265 | $ 7,322 | ||||||||
NET INCOME | $ 865 | $ 402 | $ 1,185 | $ 1,394 | $ 1,500 | $ 1,378 | $ 1,336 | $ 1,307 | 3,846 | 5,521 | 5,917 |
Parent Company [Member] | |||||||||||
Condensed Income Statements, Captions [Line Items] | |||||||||||
Income - including dividends from bank subsidiary | 28,000 | 2,575 | 3,000 | ||||||||
Expenses - interest expense, professional fees and other expenses, net of federal income tax benefit | (835) | (703) | (577) | ||||||||
Income before equity in undistributed net income of bank subsidiary | 27,165 | 1,872 | 2,423 | ||||||||
Equity in undistributed net income of bank subsidiaries | (23,319) | 3,649 | 3,494 | ||||||||
NET INCOME | $ 3,846 | $ 5,521 | $ 5,917 |
Condensed Parent Company Fina91
Condensed Parent Company Financial Information (Condensed Statements of Cash Flows) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flows from operating activities: | |||||||||||
Net income | $ 865 | $ 402 | $ 1,185 | $ 1,394 | $ 1,500 | $ 1,378 | $ 1,336 | $ 1,307 | $ 3,846 | $ 5,521 | $ 5,917 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Depreciation and amortization | 938 | 909 | 659 | ||||||||
Loss on disposal of premises | 176 | 49 | |||||||||
(Increase) decrease in other assets | (519) | (354) | 1,613 | ||||||||
Net cash provided by operating activities | 5,860 | 6,613 | 6,887 | ||||||||
Payment for acquisition | (24,660) | ||||||||||
Proceeeds from sale of premises | 315 | ||||||||||
Net cash provided by (used in) investing activities | (39,865) | (35,873) | 30,744 | ||||||||
Cash flows from financing activities: | |||||||||||
Proceeds from other borrowings | 57,148 | 18,774 | 2,118 | ||||||||
Purchase of treasury stock | (833) | (927) | |||||||||
Proceeds from sale of treasury shares | 27 | 18 | 14 | ||||||||
Cash dividends paid | (1,569) | (1,446) | (1,200) | ||||||||
Net cash provided by (used in) financing activities | 47,093 | 20,524 | (47,063) | ||||||||
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 13,088 | (8,736) | (9,432) | ||||||||
At beginning of year | 14,186 | 22,922 | 14,186 | 22,922 | 32,355 | ||||||
At end of year | 27,274 | 14,186 | 27,274 | 14,186 | 22,922 | ||||||
Parent Company [Member] | |||||||||||
Cash flows from operating activities: | |||||||||||
Net income | 3,846 | 5,521 | 5,917 | ||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Equity in undistributed net income of bank subsidiary | 23,319 | (3,649) | (3,494) | ||||||||
Depreciation and amortization | 34 | 39 | 59 | ||||||||
Loss on disposal of premises | 91 | ||||||||||
(Increase) decrease in other assets | (945) | 17 | (53) | ||||||||
Increase (decrease) in other liabilities | 14 | 32 | (101) | ||||||||
Net cash provided by operating activities | 26,268 | 2,051 | 2,328 | ||||||||
Payment for acquisition | (30,752) | ||||||||||
Proceeeds from sale of premises | 170 | ||||||||||
Net cash provided by (used in) investing activities | (30,752) | 170 | |||||||||
Cash flows from financing activities: | |||||||||||
Proceeds from other borrowings | 10,000 | ||||||||||
Purchase of treasury stock | (833) | (927) | |||||||||
Proceeds from sale of treasury shares | 27 | 18 | 14 | ||||||||
Cash dividends paid | (1,569) | (1,446) | (1,200) | ||||||||
Net cash provided by (used in) financing activities | 8,458 | (2,261) | (2,113) | ||||||||
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 3,974 | (40) | 215 | ||||||||
At beginning of year | $ 294 | $ 334 | 294 | 334 | 119 | ||||||
At end of year | $ 4,268 | $ 294 | $ 4,268 | $ 294 | $ 334 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Financial Liabilities Measured at Fair Value | $ 0 | $ 0 |
Minimum [Member] | Mortgage Servicing Rights [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Fair Value Inputs, Discount Rate | 9.00% | |
Minimum [Member] | Additional Appraisal Adjustments [Member] | Impaired Loans [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Fair Value Inputs, Discount Rate | 10.00% | |
Minimum [Member] | Additional Appraisal Adjustments [Member] | Other Real Estate Owned [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Fair Value Inputs, Discount Rate | 10.00% | |
Minimum [Member] | Estimated Selling Costs [Member] | Impaired Loans [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Fair Value Inputs, Discount Rate | 10.00% | |
Minimum [Member] | Estimated Selling Costs [Member] | Other Real Estate Owned [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Fair Value Inputs, Discount Rate | 10.00% | |
Maximum [Member] | Mortgage Servicing Rights [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Fair Value Inputs, Discount Rate | 11.00% | |
Maximum [Member] | Additional Appraisal Adjustments [Member] | Impaired Loans [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Fair Value Inputs, Discount Rate | 40.00% | |
Maximum [Member] | Additional Appraisal Adjustments [Member] | Other Real Estate Owned [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Fair Value Inputs, Discount Rate | 70.00% | |
Maximum [Member] | Estimated Selling Costs [Member] | Impaired Loans [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Fair Value Inputs, Discount Rate | 20.00% | |
Maximum [Member] | Estimated Selling Costs [Member] | Other Real Estate Owned [Member] | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Fair Value Inputs, Discount Rate | 20.00% |
Fair Value Measurements (Financ
Fair Value Measurements (Financial Assets Measured at Fair Value on a Recurring Basis) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Securities available-for-sale: | ||||
Fair value, securities | $ 169,428 | $ 190,205 | ||
Mortgage servicing rights | 1,270 | 1,247 | $ 1,181 | $ 1,218 |
Total recurring | 170,698 | 191,452 | ||
Nonrecurring: | ||||
Assets measured on a nonrecurring basis | 159 | 2,477 | ||
Fair Value, Inputs, Level 1 [Member] | ||||
Securities available-for-sale: | ||||
Total recurring | 984 | 984 | ||
Fair Value, Inputs, Level 2 [Member] | ||||
Securities available-for-sale: | ||||
Total recurring | 168,444 | 186,983 | ||
Fair Value, Inputs, Level 3 [Member] | ||||
Securities available-for-sale: | ||||
Mortgage servicing rights | 1,270 | 1,247 | ||
Total recurring | 1,270 | 3,485 | ||
Nonrecurring: | ||||
Assets measured on a nonrecurring basis | 159 | 2,477 | ||
Impaired Loans [Member] | ||||
Nonrecurring: | ||||
Assets measured on a nonrecurring basis | 1,899 | |||
Impaired Loans [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Nonrecurring: | ||||
Assets measured on a nonrecurring basis | 1,899 | |||
Other Real Estate Owned [Member] | ||||
Nonrecurring: | ||||
Assets measured on a nonrecurring basis | 159 | 578 | ||
Other Real Estate Owned [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Nonrecurring: | ||||
Assets measured on a nonrecurring basis | 159 | 578 | ||
U.S. States and Political Subdivisions Debt Securities [Member] | ||||
Securities available-for-sale: | ||||
Fair value, securities | 67,979 | 70,624 | ||
U.S. States and Political Subdivisions Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Securities available-for-sale: | ||||
Fair value, securities | 67,979 | 68,386 | ||
U.S. States and Political Subdivisions Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Securities available-for-sale: | ||||
Fair value, securities | 2,238 | |||
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||||
Securities available-for-sale: | ||||
Fair value, securities | 100,463 | 118,595 | ||
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Securities available-for-sale: | ||||
Fair value, securities | 100,463 | 118,595 | ||
Other Available-for-Sale Securities [Member] | ||||
Securities available-for-sale: | ||||
Fair value, securities | 986 | 986 | ||
Other Available-for-Sale Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Securities available-for-sale: | ||||
Fair value, securities | 984 | 984 | ||
Other Available-for-Sale Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Securities available-for-sale: | ||||
Fair value, securities | $ 2 | $ 2 |
Fair Value Measurements (Reconc
Fair Value Measurements (Reconciliation and Income Statement Classification of Gains and Losses) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Balance | $ 1,247 | $ 1,181 | $ 1,218 |
Gains or losses, including realized and unrealized: | |||
Purchases, issuances, and settlements | 183 | 273 | 252 |
Disposal (amortization based on loan payment and payoffs) | (129) | (195) | (552) |
Change in fair value | (31) | (12) | 263 |
Balance | 1,270 | 1,247 | 1,181 |
Fair Value, Inputs, Level 3 [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Balance | 1,247 | ||
Gains or losses, including realized and unrealized: | |||
Balance | 1,270 | 1,247 | |
Fair Value, Inputs, Level 3 [Member] | Debt Securities [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Balance | 2,238 | 2,389 | 2,536 |
Gains or losses, including realized and unrealized: | |||
Principal payments received | $ (2,238) | (151) | (145) |
Change in fair value | (2) | ||
Balance | $ 2,238 | $ 2,389 |
Fair Value of Financial Instr95
Fair Value of Financial Instruments (Narrative) (Details) | Dec. 31, 2017USD ($)security | Dec. 31, 2016USD ($)security |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Other commitment | $ 126,885,000 | $ 90,713,000 |
Number of securities classified as Level 3 | security | 0 | 1 |
Commitments to Extend Credit [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Other commitment | $ 127,508,000 | $ 91,023,000 |
Fair Value of Financial Instr96
Fair Value of Financial Instruments (Carrying Amounts and Estimated Fair Values of Recognized Financial Instruments) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
FINANCIAL ASSETS | ||||
Cash and cash equivalents, Carrying amount | $ 27,274 | $ 14,186 | $ 22,922 | $ 32,355 |
Loans held for sale, Carrying amount | 2,384 | 1,510 | ||
Net loans, Carrying amount | 503,577 | 372,741 | ||
Mortgage servicing rights | 1,270 | 1,247 | $ 1,181 | $ 1,218 |
Total Assets | 780,450 | 633,119 | ||
FINANCIAL LIABILITIES | ||||
Deposits carrying amount, Carrying amount | 630,548 | 524,680 | ||
Other borrowings, Carrying amount | 57,148 | 18,774 | ||
Junior subordinated deferrable interest debentures, Carrying amount | 12,840 | 12,806 | ||
Total liabilities | 704,746 | 560,561 | ||
Fair Value, Inputs, Level 3 [Member] | ||||
FINANCIAL ASSETS | ||||
Mortgage servicing rights | 1,270 | 1,247 | ||
Financial Assets [Member] | ||||
FINANCIAL ASSETS | ||||
Cash and cash equivalents, Carrying amount | 27,274 | 14,186 | ||
Securities, including Federal Home Loan Bank stock, Carrying amount | 174,730 | 195,035 | ||
Certificates of deposit, Carrying amount | 1,494 | |||
Loans held for sale, Carrying amount | 2,384 | 1,510 | ||
Net loans, Carrying amount | 503,577 | 372,741 | ||
Mortgage servicing rights, Carrying amount | 1,270 | 1,247 | ||
Total Assets | 709,235 | 586,213 | ||
Total Assets, Fair value | 706,574 | 584,965 | ||
Financial Assets [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
FINANCIAL ASSETS | ||||
Cash and cash equivalents | 27,274 | 14,186 | ||
Financial Assets [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
FINANCIAL ASSETS | ||||
Securities, including Federal Home Loan Bank stock | 174,730 | 195,035 | ||
Certificates of deposit | 1,494 | |||
Financial Assets [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
FINANCIAL ASSETS | ||||
Loans held for sale | 2,384 | 1,510 | ||
Net loans | 500,916 | 371,493 | ||
Mortgage servicing rights | 1,270 | 1,247 | ||
Maturity Deposits [Member] | ||||
FINANCIAL LIABILITIES | ||||
Deposits carrying amount, Carrying amount | 170,615 | 129,460 | ||
Maturity Deposits [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
FINANCIAL LIABILITIES | ||||
Deposits estimated value | 168,914 | 128,592 | ||
Non-Maturity Deposits [Member] | ||||
FINANCIAL LIABILITIES | ||||
Deposits carrying amount, Carrying amount | 459,933 | 395,220 | ||
Non-Maturity Deposits [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
FINANCIAL LIABILITIES | ||||
Deposits estimated value | 459,933 | 395,220 | ||
Financial Liabilities [Member] | ||||
FINANCIAL LIABILITIES | ||||
Other borrowings, Carrying amount | 57,148 | 18,774 | ||
Junior subordinated deferrable interest debentures, Carrying amount | 12,840 | 12,806 | ||
Total liabilities | 700,536 | 556,260 | ||
Total liabilities, Fair value | 695,733 | 551,881 | ||
Financial Liabilities [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
FINANCIAL LIABILITIES | ||||
Other borrowings | 57,096 | 18,774 | ||
Junior subordinated deferrable interest debentures | $ 9,790 | $ 9,295 |
Leasing Arrangements (Narrative
Leasing Arrangements (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Leasing Arrangements [Abstract] | |||
Operating lease rent expense | $ 111,000 | $ 107,000 | $ 45,000 |
Leasing Arrangements (Schedule
Leasing Arrangements (Schedule of Future Minimum Rental Payments) (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Leasing Arrangements [Abstract] | |
2,018 | $ 258 |
2,019 | 259 |
2,020 | 261 |
2,021 | 263 |
2,022 | 140 |
Total | $ 1,181 |
Stock-Based Compensation (Narra
Stock-Based Compensation (Narrative) (Details) - USD ($) | 5 Months Ended | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for issuance | 250,000 | 250,000 | |
Options issued | 30,151 | 33,352 | |
Options exercised | |||
Option exercise price | $ 21.70 | $ 19.32 | |
Options exercisable | 11,117 | 11,117 | |
Options weighted average remaining contractual term | 6 years 3 months 11 days | ||
Option vesting period | 3 years | ||
Employee Stock Option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock option expense | $ 100,000 | ||
Share-based Compensation Award, Tranche One [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Compensation expense | $ 209,000 | $ 209,000 | |
Compensation expense period for recognition | 36 months | ||
Share-based Compensation Award, Tranche Two [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Compensation expense | $ 222,000 | $ 222,000 | |
Compensation expense period for recognition | 36 months |
Stock-Based Compensation (Summa
Stock-Based Compensation (Summary of Activity for Stock Options) (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Stock-Based Compensation [Abstract] | ||
Outstanding, beginning of year | 33,352 | |
Granted | 30,151 | 33,352 |
Exercised | ||
Outstanding, end of year | 63,503 | 33,352 |
Weighted average exercise price | $ 20.45 | $ 19.32 |
Stock-Based Compensation (Assum
Stock-Based Compensation (Assumptions Used in Calculating the Fair Value of the Options) (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Stock-Based Compensation [Abstract] | ||
Weighted-average fair value of options granted | $ 7.35 | $ 6.27 |
Average dividend yield | 2.23% | 2.31% |
Expected volatility | 40.00% | 40.00% |
Risk-free interest rate | 2.06% | 1.58% |
Expected term (in years) | 7 years | 7 years |
Quarterly Financial Data (Un102
Quarterly Financial Data (Unaudited) (Selected Quarterly Financial Data) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Quarterly Financial Data [Abstract] | |||||||||||
Interest income | $ 7,900 | $ 6,484 | $ 5,920 | $ 5,468 | $ 5,538 | $ 5,541 | $ 5,303 | $ 5,245 | |||
Net interest income | 6,817 | 5,708 | 5,270 | 4,859 | 4,958 | 4,961 | 4,746 | 4,731 | $ 22,654 | $ 19,396 | $ 20,759 |
Net income | $ 865 | $ 402 | $ 1,185 | $ 1,394 | $ 1,500 | $ 1,378 | $ 1,336 | $ 1,307 | $ 3,846 | $ 5,521 | $ 5,917 |
Income (loss) per common share basic (in Dollars per share) | $ 0.27 | $ 0.12 | $ 0.36 | $ 0.43 | $ 0.46 | $ 0.42 | $ 0.40 | $ 0.40 | |||
Income (loss) per common share diluted (in Dollars per share) | $ 0.27 | $ 0.12 | $ 0.36 | $ 0.43 | $ 0.46 | $ 0.42 | $ 0.40 | $ 0.40 |