Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 28, 2020 | Jun. 30, 2019 | |
Document Information [Abstract] | |||
Entity Registrant Name | First Northwest Bancorp | ||
Entity Central Index Key | 0001556727 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2019 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2019 | ||
Common Stock, Shares Outstanding | 10,628,030 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | true | ||
Entity Ex Transition Period | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 170,540,451 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
ASSETS | ||
Cash and due from banks | $ 13,519 | $ 15,430 |
Interest-bearing deposits in banks | 35,220 | 10,893 |
Investment securities available for sale, at fair value | 315,580 | 262,967 |
Investment securities held to maturity, at amortized cost | 0 | 43,503 |
Loans held for sale | 503 | 0 |
Loans receivable (net of allowance for loan losses of $9,628 and $9,533) | 878,437 | 863,852 |
Federal Home Loan Bank (FHLB) stock, at cost | 6,034 | 6,927 |
Accrued interest receivable | 3,931 | 4,048 |
Premises and equipment, net | 14,342 | 15,255 |
Mortgage servicing rights, net | 871 | 1,044 |
Bank-owned life insurance, net | 30,027 | 29,319 |
Prepaid expenses and other assets | 8,872 | 5,520 |
Total assets | 1,307,336 | 1,258,758 |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||
Deposits | 1,001,645 | 940,260 |
Borrowings | 112,930 | 136,552 |
Accrued interest payable | 373 | 521 |
Accrued expenses and other liabilities | 14,392 | 8,071 |
Advances from borrowers for taxes and insurance | 1,145 | 1,090 |
Total liabilities | 1,130,485 | 1,086,494 |
Commitments and Contingencies (Note 14) | ||
Shareholders' Equity | ||
Preferred stock, $0.01 par value, authorized 5,000,000 shares, no shares issued or outstanding | 0 | 0 |
Common stock, $0.01 par value, authorized 75,000,000 shares; issued and outstanding 10,731,639 at December 31, 2019; issued and outstanding 11,170,018 at December 31, 2018 | 107 | 112 |
Additional paid-in capital | 102,017 | 105,825 |
Retained earnings | 86,156 | 81,607 |
Accumulated other comprehensive (loss) income, net of tax | (1,539) | (4,731) |
Unearned employee stock ownership plan (ESOP) shares | (9,890) | (10,549) |
Total shareholders' equity | 176,851 | 172,264 |
Total liabilities and shareholders' equity | $ 1,307,336 | $ 1,258,758 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Allowance for loan losses | $ 9,628 | $ 9,533 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 75,000,000 | 75,000,000 |
Common stock, shares issued (in shares) | 10,731,639 | 11,170,018 |
Common stock, shares outstanding (in shares) | 10,731,639 | 11,170,018 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
INTEREST INCOME | ||
Interest and fees on loans receivable | $ 40,166 | $ 36,446 |
Interest on mortgage-backed and related securities | 4,606 | 5,031 |
Interest on investment securities | 3,965 | 3,831 |
Interest-bearing deposits and other | 244 | 186 |
FHLB dividends | 332 | 311 |
Total interest income | 49,313 | 45,805 |
INTEREST EXPENSE | ||
Deposits | 8,304 | 5,350 |
Borrowings | 3,144 | 3,663 |
Total interest expense | 11,448 | 9,013 |
Net interest income | 37,865 | 36,792 |
PROVISION FOR LOAN LOSSES | 669 | 1,174 |
Net interest income after provision for loan losses | 37,196 | 35,618 |
NONINTEREST INCOME | ||
Loan and deposit service fees | 3,893 | 4,167 |
Mortgage servicing fees, net | 176 | 188 |
Net gain on sale of loans | 1,077 | 577 |
Net gain on sale of investment securities | 836 | 77 |
Increase in cash surrender value of bank-owned life insurance, net | 708 | 595 |
Income from death benefit on bank-owned life insurance, net | 0 | 0 |
Other income | 322 | 315 |
Total noninterest income | 7,012 | 5,919 |
NONINTEREST EXPENSE | ||
Compensation and benefits | 18,999 | 18,946 |
Data processing | 2,623 | 2,645 |
Occupancy and equipment | 4,642 | 4,473 |
Supplies, postage, and telephone | 883 | 890 |
Regulatory assessments and state taxes | 783 | 625 |
Advertising | 1,081 | 1,002 |
Professional fees | 1,121 | 1,410 |
FDIC insurance premium | 82 | 307 |
FHLB prepayment penalty | 344 | 0 |
Other | 2,559 | 2,559 |
Total noninterest expense | 33,117 | 32,857 |
INCOME BEFORE PROVISION FOR INCOME TAXES | 11,091 | 8,680 |
PROVISION FOR INCOME TAXES | 2,077 | 1,575 |
NET INCOME | $ 9,014 | $ 7,105 |
Basic earnings per share (in dollars per share) | $ 0.92 | $ 0.69 |
Diluted earnings per share (in dollars per share) | $ 0.91 | $ 0.68 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Statement of Comprehensive Income [Abstract] | ||
NET INCOME | $ 9,014 | $ 7,105 |
Unrealized (loss) gain on securities: | ||
Unrealized holding gain (loss), net of tax provision (benefit) of $1,053 and $(824), respectively | 3,852 | (3,119) |
Reclassification adjustment for net gains on sales of securities realized in income, net of taxes of $(176) and $(11), respectively | (660) | (39) |
Other comprehensive income (loss), net of tax | 3,192 | (3,158) |
COMPREHENSIVE INCOME | $ 12,206 | $ 3,947 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Statement of Comprehensive Income [Abstract] | ||
Unrealized holding (loss) gain, tax (benefit) provision | $ 1,053 | $ (824) |
Reclassification adjustments for net gains on sales of securities realized in income, tax | $ (176) | $ (11) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Unearned ESOP Shares | Accumulated Other Comprehensive Loss, Net of Tax |
Beginning balance (in shares) at Dec. 31, 2017 | 11,785,507 | |||||
Beginning balance at Dec. 31, 2017 | $ 177,045 | $ 118 | $ 111,106 | $ 78,602 | $ (11,208) | $ (1,573) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 7,105 | 7,105 | ||||
Common stock repurchased (in shares) | (623,813) | |||||
Common stock repurchased | (10,003) | $ (6) | (6,232) | (3,765) | ||
Restricted stock awards granted net of forfeitures (in shares) | 26,400 | |||||
Restricted stock awards canceled (in shares) | (18,076) | |||||
Restricted stock awards canceled | (294) | (294) | ||||
Other comprehensive income (loss), net of tax | (3,158) | (3,158) | ||||
Share-based compensation | 1,053 | 1,053 | ||||
Allocation of ESOP shares | 851 | 192 | 659 | |||
Cash dividends declared and paid | $ (335) | (335) | ||||
Ending balance (in shares) at Dec. 31, 2018 | 11,170,018 | 11,170,018 | ||||
Ending balance at Dec. 31, 2018 | $ 172,264 | $ 112 | 105,825 | 81,607 | (10,549) | (4,731) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 9,014 | 9,014 | ||||
Common stock repurchased (in shares) | (477,837) | |||||
Common stock repurchased | (7,830) | $ (5) | (4,774) | (3,051) | ||
Restricted stock awards granted net of forfeitures (in shares) | 57,900 | |||||
Restricted stock awards canceled (in shares) | (18,442) | |||||
Restricted stock awards canceled | (305) | (305) | ||||
Other comprehensive income (loss), net of tax | 3,192 | 3,192 | ||||
Share-based compensation | 1,062 | 1,062 | ||||
Allocation of ESOP shares | 868 | 209 | 659 | |||
Cash dividends declared and paid | $ (1,414) | (1,414) | ||||
Ending balance (in shares) at Dec. 31, 2019 | 10,731,639 | 10,731,639 | ||||
Ending balance at Dec. 31, 2019 | $ 176,851 | $ 107 | $ 102,017 | $ 86,156 | $ (9,890) | $ (1,539) |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Statement of Stockholders' Equity [Abstract] | ||
Cash dividend declared, price per share (in dollars per share) | $ 0.13 | $ 0.03 |
Cash dividend paid, price per share (in dollars per share) | $ 0.13 | $ 0.03 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | $ 9,014 | $ 7,105 |
Adjustments to reconcile net income to net cash from operating activities: | ||
Depreciation and amortization | 1,339 | 1,325 |
Amortization and accretion of premiums and discounts on investments, net | 1,791 | 1,825 |
Amortization of deferred loan fees, net | (1,267) | 219 |
Amortization of mortgage servicing rights | 251 | 256 |
Additions to mortgage servicing rights | (75) | (208) |
Net (decrease) increase on the valuation allowance on mortgage servicing rights | (3) | 3 |
Provision for (recapture of) loan losses | 669 | 1,174 |
Deferred federal income taxes, net | 313 | (352) |
Allocation of ESOP shares | 868 | 851 |
Share-based compensation | 1,062 | 1,053 |
Gain on sale of loans, net | (1,077) | (577) |
Gain on sale of securities available for sale, net | (836) | (50) |
Gain on sale of securities held to maturity, net | 0 | (27) |
Increase in cash surrender value of life insurance, net | (708) | (595) |
Origination of loans held for sale | (34,080) | (22,152) |
Proceeds from loans held for sale | 34,654 | 23,517 |
Change in assets and liabilities: | ||
Decrease (increase) in accrued interest receivable | 117 | (303) |
Increase in prepaid expenses and other assets | (4,108) | (65) |
(Decrease) increase in accrued interest payable | (148) | 196 |
Increase in accrued expenses and other liabilities | 6,321 | 142 |
Net cash from operating activities | 14,097 | 13,337 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Purchase of securities available for sale | (58,476) | (63,046) |
Proceeds from maturities, calls, and principal repayments of securities available for sale | 30,157 | 25,447 |
Proceeds from sales of securities available for sale | 16,545 | 56,683 |
Proceeds from maturities, calls, and principal repayments of securities held to maturity | 5,756 | 6,368 |
Proceeds from sales of securities held to maturity | 0 | 2,702 |
Redemption of FHLB stock | 893 | 96 |
Net increase in loans receivable | (14,399) | (86,134) |
Purchase of premises and equipment, net | (426) | (2,841) |
Net cash from investing activities | (19,950) | (60,725) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Net increase in deposits | 61,385 | 55,228 |
Proceeds from FHLB advances | 20,000 | 689,711 |
Repayment of FHLB advances | (43,622) | (697,259) |
Net increase (decrease) in advances from borrowers for taxes and insurance | 55 | (138) |
Net share settlement of stock awards | (305) | (294) |
Repurchase of common stock | (7,830) | (10,003) |
Dividends paid | (1,414) | (335) |
Net cash from financing activities | 28,269 | 36,910 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 22,416 | (10,478) |
CASH AND CASH EQUIVALENTS, beginning of period | 26,323 | 36,801 |
CASH AND CASH EQUIVALENTS, end of period | 48,739 | 26,323 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION | ||
Interest on deposits and borrowings | 11,596 | 8,817 |
Income taxes | 1,700 | 1,020 |
NONCASH INVESTING ACTIVITIES | ||
Unrealized gain (loss) on securities available for sale | 4,069 | (3,993) |
Loans transferred to real estate owned and repossessed assets, net of deferred loan fees and allowance for loan losses | 412 | $ 0 |
Lease liabilities arising from obtaining right-of-use assets | $ 3,919 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Nature of operations - First Northwest Bancorp, a Washington corporation ("First Northwest"), became the holding company of First Federal Savings and Loan Association of Port Angeles ("First Federal" or the "Bank") on January 29, 2015 , upon completion of the Bank's conversion from a mutual to stock form of organization (the "Conversion"). First Northwest and the Bank are collectively referred to as the "Company." In connection with the Conversion, the Company issued an aggregate of 12,167,000 shares of common stock at an offering price of $10.00 per share for gross proceeds of $121.7 million . An additional 933,360 shares of Company common stock and $400,000 in cash were contributed to the First Federal Community Foundation ("Foundation"), a charitable foundation that was established in connection with the Conversion, resulting in the issuance of a total of 13,100,360 shares. The Company received $117.6 million in net proceeds from the stock offering of which $58.4 million were contributed to the Bank upon Conversion. At the time of Conversion, the Bank established a liquidation account in an amount equal to its total net worth, approximately $79.7 million , as of June 30, 2014, the latest statement of financial condition appearing in First Northwest's prospectus. The liquidation account is maintained for the benefit of eligible depositors who continue to maintain their accounts at the Bank after the Conversion. The liquidation account is reduced annually to the extent that eligible depositors have reduced their qualifying deposits. Subsequent increases will not restore an eligible holder’s interest in the liquidation account. In the event of a complete liquidation, each eligible depositor will be entitled to receive a distribution from the liquidation account in an amount proportionate to the current adjusted qualifying balances for accounts then held. The liquidation account balance is not available for payment of dividends, and the Bank may not pay dividends if those dividends would reduce equity capital below the required liquidation account amount. Pursuant to the Conversion, the Bank’s Board of Directors adopted an ESOP which purchased in the open market 8% of the common stock originally issued for a total of 1,048,029 shares. As of December 15, 2015 , 1,048,029 shares, or 100.0% of the total, had been purchased. As of December 31, 2019 , First Northwest had allocated 253,987 shares from the total shares purchased to participants. First Northwest's business activities generally are limited to passive investment activities and oversight of its investment in First Federal. Accordingly, the information set forth in this report, including the consolidated financial statements and related data, relates primarily to the Bank. The Bank is a community-oriented financial institution providing commercial and consumer banking services to individuals and businesses in Western Washington State with offices in Clallam, Jefferson, Kitsap, and Whatcom counties. These services include deposit and lending transactions that are supplemented with borrowing and investing activities. Use of estimates - The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make assumptions. These assumptions result in estimates that affect the reported amounts of assets and liabilities, revenues and expenses, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expense during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to a determination of the allowance for loan losses, fair value of financial instruments, deferred tax assets and liabilities, and the valuation of impaired loans. Principles of consolidation - The accompanying consolidated financial statements include the accounts of First Northwest Bancorp and its wholly owned subsidiary, First Federal. All material intercompany accounts and transactions have been eliminated in consolidation. Subsequent events - The Company has evaluated subsequent events for potential recognition and disclosure and determined there are no such events or transactions requiring recognition or disclosure. Cash and cash equivalents - Cash and cash equivalents consist of currency on hand, due from banks, and interest-bearing deposits with financial institutions with an original maturity of three months or less. The amounts on deposit fluctuate and, at times, exceed the insured limit by the FDIC, which potentially subjects First Federal to credit risk. First Federal has not experienced any losses due to balances exceeding FDIC insurance limits. Restricted assets - Federal Reserve Board regulations require maintenance of certain minimum reserve balances on deposit with the Federal Reserve Bank of San Francisco. The amount required to be on deposit was approximately $10.8 million and $9.1 million at December 31, 2019 , and 2018 , respectively. First Federal was in compliance with its reserve requirements at December 31, 2019 and 2018 . Investment securities - Investment securities are classified into one of three categories: (1) held-to-maturity, (2) available-for-sale, or (3) trading. First Federal had no trading securities at December 31, 2019 and 2018 . Investment securities are categorized as held-to-maturity when First Federal has the positive intent and ability to hold those securities to maturity. Securities that are held-to-maturity are stated at cost and adjusted for amortization of premiums and accretion of discounts, which are recognized as adjustments to interest income. Investment securities categorized as available for sale are generally held for investment purposes (to maturity), although unanticipated future events may result in the sale of some securities. Available-for-sale securities are recorded at fair value, with the unrealized holding gain or loss reported in other comprehensive income (OCI), net of tax, as a separate component of shareholders' equity. Realized gains or losses are determined using the amortized cost basis of securities sold using the specific identification method and are included in earnings. Dividend and interest income on investments are recognized when earned. Premiums and discounts are recognized in interest income using the level yield method over the period to maturity. The Company reviews investment securities for other-than-temporary impairment (OTTI) on a quarterly basis. For debt securities, the Company considers whether management intends to sell a security or if it is likely that the Company will be required to sell the security before recovery of the amortized cost basis of the investment, which may be maturity. For debt securities, if management intends to sell the security or it is likely that the Company will be required to sell the security before recovering its cost basis, the entire impairment loss would be recognized as OTTI and charged against earnings. If management does not intend to sell the security and it is not likely that the Company will be required to sell the security, but management does not expect to recover the entire amortized cost basis of the security, only the portion of the impairment loss representing credit losses would be recognized in earnings. The credit loss on a security is measured as the difference between the amortized cost basis and the present value of the cash flows expected to be collected. Projected cash flows are discounted by the original or current effective interest rate depending on the nature of the security being measured for potential OTTI. The remaining impairment related to all other factors, i.e. the difference between the present value of the cash flows expected to be collected and fair value, is recognized as a charge to OCI. Impairment losses related to all other factors are presented as separate categories within OCI. If there is an indication of additional credit losses, the security is re-evaluated according to the procedures described above. Federal Home Loan Bank stock - First Federal’s investment in Federal Home Loan Bank of Des Moines (FHLB) stock is carried at cost, which approximates fair value. As a member of the FHLB system, First Federal is required to maintain a minimum investment in FHLB stock based on specific percentages of its outstanding mortgages, total assets, or FHLB advances. At December 31, 2019 and 2018 , First Federal’s minimum investment requirement was approximately $6.0 million and $6.9 million , respectively. First Federal was in compliance with the FHLB minimum investment requirement at December 31, 2019 and 2018 . First Federal may request redemption at par value of any stock in excess of the amount First Federal is required to hold. Stock redemptions are granted at the discretion of the FHLB. Management evaluates FHLB stock for impairment based on its assessment of the ultimate recoverability of cost rather than by recognizing temporary declines in value. The determination of whether a decline affects the ultimate recoverability of cost is influenced by criteria such as (1) the significance of any decline in net assets of the FHLB compared with the capital stock amount for the FHLB and the length of time this situation has persisted, (2) commitments by the FHLB to make payments required by law or regulation and the level of such payments in relation to the operating performance of the FHLB, (3) the impact of legislative and regulatory changes on institutions and, accordingly, the customer base of the FHLB, and (4) the liquidity position of the FHLB. Based on its evaluation, First Federal did not recognize an OTTI loss on its FHLB stock at December 31, 2019 and 2018 . Loans held for sale - Mortgage loans originated and intended for sale in the secondary market are carried at the lower of aggregate cost or fair value. Fair value is determined based upon market prices from third-party purchasers and brokers. Net unrealized losses, if any, are recognized through a valuation allowance by charges to earnings. Gains or losses on the sale of loans are recognized at the time of sale and determined by the difference between net sale proceeds and the net book value of the loan less the estimated fair value of any retained mortgage servicing rights. Loans receivable - Loans are stated at the amount of unpaid principal, net of charge-offs, unearned income, allowance for loan loss (ALLL) and any deferred fees or costs. Interest on loans is calculated using the simple interest method based on the month end balance of the principal amount outstanding and is credited to income as earned. The estimated life is adjusted for prepayments. Each loan segment and class inherently contains differing credit risk profiles depending on the unique aspects of that segment or class of loans. For example, borrowers tend to consider their primary residence and access to transportation for employment-related purposes as basic requirements; accordingly, many consumers prioritize making payments on real estate first-mortgage loans and vehicle loans. Conversely, second-mortgage real estate loans or unsecured loans may not be supported by sufficient collateral; thus, in the event of financial hardship, borrowers may tend to place less importance on maintaining these loans as current and the Bank may not have adequate collateral to provide a secondary source of repayment in the event of default. Notwithstanding the various risk profiles unique to each class of loan, management believes that the credit risk for all loans is similarly dependent on essentially the same factors, including the financial strength of the borrower, the cash flow available to service maturing debt obligations, the condition and value of underlying collateral, the financial strength of any guarantors, and other factors. Loans are classified as impaired when, based on current information and events, it is probable that First Federal will be unable to collect the scheduled payments of principal and interest when due, in accordance with the terms of the original loan agreement. The carrying value of impaired loans is based on the present value of expected future cash flows discounted at each loan’s effective interest rate or, for collateral dependent loans, at fair value of the collateral, less selling costs. If the measurement of each impaired loan’s value is less than the recorded investment in the loan, First Federal recognizes this impairment and adjusts the carrying value of the loan to fair value through the allowance for loan losses. This can be accomplished by charging off the impaired portion of the loan or establishing a specific component to be provided for in the allowance for loan losses. The accrual of interest on loans is discontinued at the time the loan is 90 days delinquent, unless the credit is well secured and in process of collection. In all cases, loans are placed on nonaccrual or charged off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued but not collected for loans that are placed on nonaccrual or charged off is reversed against interest income. The interest on these loans is accounted for on the cash basis or cost recovery method until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. For those loans placed on non-accrual status due to payment delinquency, return to accrual status will generally not occur until the borrower demonstrates repayment ability over a period of not less than six months. Loan fees - Loan origination fees and certain direct origination costs are deferred and amortized as an adjustment to the yield of the loan over the contractual life using the effective interest method. In the event a loan is sold, the remaining deferred loan origination fees and/or costs are recognized as a component of gains or losses on the sale of loans. Allowance for loan losses - First Federal maintains a general allowance for loan losses based on evaluating known and inherent risks in the loan portfolio, including management’s continuing analysis of the factors underlying the quality of the loan portfolio. These factors include changes in the size and composition of the loan portfolio, actual loan loss experience, and current and anticipated economic conditions. The reserve is an estimate based upon factors and trends identified by management at the time the financial statements are prepared. The ultimate recovery of loans is susceptible to future market factors beyond First Federal’s control, which may result in losses or recoveries differing significantly from those provided in the consolidated financial statements. In addition, various regulatory agencies, as an integral part of their examination processes, periodically review First Federal’s allowance for loan losses. Such agencies may require First Federal to recognize additional provisions for loan losses based on their judgment using information available to them at the time of their examination. Allowances for losses on specific problem loans are charged to income when it is determined that the value of these loans and properties, in the judgment of management, is impaired. First Federal accounts for impaired loans in accordance with Accounting Standards Codification (ASC) 310-10-35, Receivables—Overall—Subsequent Measurement . A loan is considered impaired when, based on current information and events, it is probable that First Federal will be unable to collect all amounts due according to the contractual terms of the loan agreement. When a loan has been identified as being impaired, the amount of the impairment is measured by using discounted cash flows, except when it is determined that the sole source of repayment for the loan is the operation or liquidation of the underlying collateral. In such cases, impairment is measured at current fair value generally based on a current appraisal of the collateral, reduced by estimated selling costs. When the measurement of the impaired loan is less than the recorded investment in the loan (including collected interest that has been applied to principal, net deferred loan fees or costs, and unamortized premiums or discounts), loan impairment is recognized by establishing or adjusting an allocation of the allowance for loan losses. Uncollected accrued interest is reversed against interest income. If ultimate collection of principal is in doubt, all cash receipts on impaired loans are applied to reduce the principal balance. The impairment amount for small balance homogeneous loans is calculated using the adjusted historical loss rate for the class and risk category related to each loan, unless the loan is subject to a troubled debt restructuring ("TDR"). A TDR is a loan for which First Federal, for reasons related to the borrower’s financial difficulties, grants a concession to the borrower that First Federal would not otherwise consider. The loan terms that have been modified or restructured due to the borrower’s financial difficulty include, but are not limited to, a reduction in the stated interest rate; an extension of the maturity; an interest rate below market; a reduction in the face amount of the debt; a reduction in the accrued interest; or extension, deferral, renewal, or rewrite of the original loan terms. The restructured loans may be classified “special mention” or “substandard” depending on the severity of the modification. Loans that were paid current at the time of modification may be upgraded in their classification after a sustained period of repayment performance, usually six months or longer, and there is reasonable assurance that repayment will continue. Loans that are past due at the time of modification are classified “substandard” and placed on nonaccrual status. TDR loans may be upgraded in their classification and placed on accrual status once there is a sustained period of repayment performance, usually six months or longer, and there is a reasonable assurance that repayment will continue. First Federal allows reclassification of a troubled debt restructuring back into the general loan pool (as a non-troubled debt restructuring) if the borrower is able to refinance the loan at then-current market rates and meet all of the underwriting criteria of First Federal required of other borrowers. The refinance must be based on the borrower’s ability to repay the debt and no special concessions of rate and/or term are granted to the borrower. Reserve for unfunded commitments - Management maintains a reserve for unfunded commitments to absorb probable losses associated with off-balance sheet commitments to lend funds such as unused lines of credit and the undisbursed portion of construction loans. Management determines the adequacy of the reserve based on reviews of individual exposures, current economic conditions, and other relevant factors. The reserve is based on estimates and ultimate losses may vary from the current estimates. The reserve is evaluated on a regular basis and necessary adjustments are reported in earnings during the period in which they become known. The reserve for unfunded commitments is included in "Accrued expenses and other liabilities" on the consolidated balance sheets. Real estate owned and repossessed assets - Real estate owned and repossessed assets include real estate and personal property acquired through foreclosure or repossession and may include in-substance foreclosed properties. In-substance foreclosed properties are those properties for which the Bank has taken physical possession, regardless of whether formal foreclosure proceedings have taken place. Mortgage servicing rights - Originated servicing rights are recorded when mortgage loans are originated and subsequently sold with the servicing rights retained. Servicing assets are initially recognized at fair value with the income statement effect recorded in gains on sales of loans and amortized into non-interest income in proportion to, and over the period of, the estimated future net servicing income of the underlying financial asset. To determine the fair value of servicing rights, management uses a valuation model that calculates the present value of future cash flows. Assumptions used in the valuation model include market discount rates and anticipated prepayment speeds. In addition, estimates of the cost of servicing per loan, an inflation rate, ancillary income per loan, and default rates are used. The initial fair value relating to the servicing rights is capitalized and amortized into noninterest income in proportion to, and over the period of, estimated future net servicing income. Management assesses impairment of the mortgage servicing rights based on recalculations of the present value of remaining future cash flows using updated market discount rates and prepayment speeds. Subsequent loan prepayments and changes in prepayment assumptions in excess of those forecasted can adversely impact the carrying value of the servicing rights. Impairment is assessed on a stratified basis with any impairment recognized through a valuation allowance for each impaired stratum. The servicing rights are stratified based on the predominant risk characteristics of the underlying loans: fixed-rate loans and adjustable-rate loans. The effect of changes in market interest rates on estimated rates of loan prepayments is the predominant risk characteristic for mortgage servicing rights. The valuation model incorporates assumptions that market participants would use in estimating future net servicing income, such as the cost to service, the discount rate, the custodial earnings rate, an inflation rate, ancillary income, prepayment speeds, and default rates and losses. Mortgage servicing income represents fees earned for servicing loans. Fees for servicing mortgage loans are generally based upon a percentage of the principal balance of the loans serviced, as well as related ancillary income such as late charges. Servicing income is recognized as earned, unless collection is doubtful. The caption in the consolidated statement of income “ Mortgage servicing fees, net ” includes mortgage servicing income, amortization of mortgage servicing rights, the effects of mortgage servicing run-off, and impairment, if applicable. Income taxes - First Federal accounts for income taxes in accordance with the provisions of ASC 740-10, Income Taxes , which requires the use of the asset and liability method of accounting for income taxes. Deferred tax assets and liabilities are recognized for their future tax consequences, attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using the enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Premises and equipment - Premises and equipment are stated at cost less accumulated depreciation. Depreciation is recognized and computed on the straight-line method over the estimated useful lives as follows: Buildings 37.5 - 50 years Furniture, fixtures, and equipment 3 - 10 years Software 3 years Automobiles 5 years Leases - Operating lease right-of-use ("ROU") assets represent the Company's right to use the underlying asset during the lease term and operating lease liabilities represent the Company's obligation to make lease payments arising from the lease. ROU assets and operating lease liabilities are recognized at lease commencement based on the present value of the future lease payments using the Company's incremental borrowing rate. The Company does not capitalize short-term leases, which are leases with terms of twelve months or less. ROU assets and related operating lease liabilities are remeasured when lease terms are amended, extended, or when management intends to exercise available extension options. Transfers of financial assets - Transfers of an entire financial asset, a group of financial assets, or a participating interest in an entire financial asset are accounted for as sales when control over the assets has been relinquished. Control over transferred assets is deemed to be surrendered when: (1) the assets have been isolated from First Federal, (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) First Federal does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. The mortgage loans that are sold with recourse provisions are accounted for as sales until such time as the loan defaults. Periodically, First Federal sells mortgage loans with “life of the loan” recourse provisions, requiring First Federal to repurchase the loan at any time if it defaults. The remaining balance of such loans at December 31, 2019 and 2018 , was approximately $5.0 million and $5.6 million , respectively. Of these loans, no loans were repurchased during the years ended December 31, 2019 or 2018 . There is an associated allowance of $19,000 and $19,000 at December 31, 2019 and 2018 , respectively, included in “accrued expenses and other liabilities” on the consolidated balance sheets related to these loans. Bank-owned life insurance - The carrying amount of life insurance approximates fair value. Fair value of life insurance is estimated using the cash surrender value, less applicable surrender charges. The change in cash surrender value is included in noninterest income. Off-balance-sheet credit-related financial instruments - In the ordinary course of business, First Federal has entered into commitments to extend credit, including commitments under lines of credit, commercial letters of credit, and standby letters of credit. Such financial instruments are recorded when they are funded. Advertising costs - First Federal expenses advertising costs as they are incurred. Comprehensive income (loss) - Accounting principles generally require that recognized revenue, expenses, and gains and losses be included in net income (loss) . 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 sheets, such items, along with net income (loss) , are components of comprehensive income (loss) . Dividend restriction - Banking regulations require maintaining certain capital levels and may limit the dividends paid by the Bank to the Company or by the Company to shareholders. Fair value measurements - Fair values of financial instruments are estimated using relevant market information and other assumptions ( Note 15 ). 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 these estimates. Segment information - First Federal is engaged in the business of attracting deposits and providing lending services. Substantially all income is derived from a diverse base of commercial, mortgage, and consumer lending activities and investments. The Company’s activities are considered to be a single industry segment for financial reporting purposes. Employee Stock Ownership Plan - The cost of shares issued to the ESOP but not yet allocated to participants is shown as a reduction of shareholders' equity. Compensation expense is based on the market price of shares as they are committed to be released to participants' accounts. Dividends on allocated ESOP shares reduce retained earnings while dividends on unearned ESOP shares reduce debt and accrued interest. Earnings (loss) per Share - Basic earnings (loss) per share ("EPS") is computed by dividing net income or (loss), reduced by earnings allocated to participating shares of restricted stock, by the weighted-average number of common shares outstanding during the period. As ESOP shares are committed to be released, they become outstanding for EPS calculation purposes. ESOP shares not committed to be released are not considered outstanding for basic or diluted EPS calculations. The basic EPS calculation excludes the dilutive effect of all common stock equivalents. Diluted earnings per share reflects the weighted-average potential dilution that could occur if all potentially dilutive securities or other commitments to issue common stock were exercised or converted into common stock using the treasury stock method. According to the provisions of ASC 260, Earnings per Share , nonvested share-based payment awards that contain nonforfeitable rights to dividends or dividend equivalents are participating securities and are included in the computation of EPS pursuant to the two-class method. The two-class method is an earnings allocation formula that determines earnings per share for each class of common stock and participating security according to dividends declared or accumulated and participation rights in undistributed earnings. At this time the Company has no share-based payment awards nor paid a dividend. Recently adopted accounting pronouncements In February 2016, the FASB issued ASU No. 2016-02, Leases . ASU 2016-02 is intended to increase transparency and comparability among organizations by requiring the recognition of lease assets and lease liabilities on the balance sheet and disclosure of key information about leasing arrangements. 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 be recognized on the balance sheet. For public companies, this update is effective for interim and annual periods beginning after December 15, 2018. The adoption of ASU No. 2016-02 effective January 1, 2019, resulted in a right-of-use asset and corresponding lease obligation liability of $3.9 million . The Corporation chose the effective date as the date of initial application. Consequently, prior period financial information has not been updated or restated. The right-of-use asset is included in other assets and the lease obligation liability is included in other liabilities on the December 31, 2019 , consolidated balance sheet. In August 2017, FASB issued ASU No. 2017-12, Derivatives and Hedging (Topic 815). This ASU was issued to provide investors better insight to an entity’s risk management hedging strategies by permitting companies to recognize the economic results of hedging strategies in the financial statements. The amendments in this ASU permit hedge accounting for hedging relationships involving non-financial risk and interest rate risk by removing certain limitations in cash flow and fair value hedging relationships. In addition, the ASU requires an entity to present the earnings effect of the hedging instrument in the same income statement line item in which the earnings effect of the hedged item is reported. This ASU is effective for fiscal years beginning after December 15, 2018, and early adoption is permitted. Adoption of ASU 2017-12 did not have a material impact on the Company’s consolidated financial statements. In June 2018, FASB issued ASU No. 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting . These amendments provide specific guidance for transactions for acquiring goods and services from nonemployees and specify that Topic 718 applies to all share-based payment transactions in which a grantor acquires goods or services to be used or consumed in a grantor’s own operations by issuing share-based payment awards. The amendments also clarify that Topic 718 does not apply to share-based payments used to effectively provide (i) financing to the issuer or (ii) awards granted in conjunction with selling goods |
Securities
Securities | 12 Months Ended |
Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities | Securities The amortized cost, gross unrealized gains and losses, and estimated fair value of securities classified as available-for-sale and held-to-maturity at December 31, 2019 , are summarized as follows: December 31, 2019 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value (In thousands) Available for Sale Investment Securities Municipal bonds $ 39,524 $ 125 $ (367 ) $ 39,282 U.S. government agency issued asset-backed securities 29,796 — (938 ) 28,858 Corporate issued asset-backed securities (ABS corporate) 41,728 — (873 ) 40,855 Corporate issued debt securities (Corporate debt) 9,986 — (343 ) 9,643 U.S. Small Business Administration securities (SBA) 28,423 72 (36 ) 28,459 Total $ 149,457 $ 197 $ (2,557 ) $ 147,097 Mortgage-Backed Securities U.S. government agency issued mortgage-backed securities $ 159,697 $ 811 $ (341 ) $ 160,167 Corporate issued mortgage-backed securities 8,374 — (58 ) 8,316 Total $ 168,071 $ 811 $ (399 ) $ 168,483 Total securities available for sale $ 317,528 $ 1,008 $ (2,956 ) $ 315,580 The amortized cost, gross unrealized gains and losses, and estimated fair value of securities classified as available-for-sale and held-to-maturity at December 31, 2018 , are summarized as follows: December 31, 2018 Cost Gross Gains Gross Losses Estimated Value (In thousands) Available for Sale Investment Securities Municipal bonds $ 882 $ — $ (13 ) $ 869 ABS agency 26,125 — (373 ) 25,752 ABS corporate 37,897 — (1,174 ) 36,723 Corporate debt 9,986 98 (196 ) 9,888 SBA 35,936 23 (289 ) 35,670 Total $ 110,826 $ 121 $ (2,045 ) $ 108,902 Mortgage-Backed Securities MBS agency $ 147,205 $ 12 $ (3,762 ) $ 143,455 MBS corporate 10,953 — (343 ) 10,610 Total $ 158,158 $ 12 $ (4,105 ) $ 154,065 Total securities available for sale $ 268,984 $ 133 $ (6,150 ) $ 262,967 Held to Maturity Investment Securities Municipal bonds $ 11,919 $ 43 $ — $ 11,962 SBA 302 — (1 ) 301 Total $ 12,221 $ 43 $ (1 ) $ 12,263 Mortgage-Backed Securities MBS agency $ 31,282 $ 40 $ (595 ) $ 30,727 Total securities held to maturity $ 43,503 $ 83 $ (596 ) $ 42,990 The following table shows the unrealized gross losses and fair value of the investment portfolio by length of time that individual securities in each category have been in a continuous loss position as of December 31, 2019 : Less Than Twelve Months Twelve Months or Longer Total Gross Fair Value Gross Fair Value Gross Fair Value (In thousands) Available for Sale Investment Securities Municipal bonds $ (367 ) $ 29,928 $ — $ — $ (367 ) $ 29,928 ABS Agency (59 ) 3,855 (879 ) 25,002 (938 ) 28,857 ABS corporate (31 ) 3,848 (842 ) 37,007 (873 ) 40,855 Corporate debt (17 ) 4,983 (326 ) 4,660 (343 ) 9,643 SBA — — (36 ) 15,034 (36 ) 15,034 Total $ (474 ) $ 42,614 $ (2,083 ) $ 81,703 $ (2,557 ) $ 124,317 Mortgage-Backed Securities MBS agency $ (166 ) $ 18,744 $ (175 ) $ 47,463 $ (341 ) $ 66,207 MBS corporate — — (58 ) 8,316 (58 ) 8,316 Total $ (166 ) $ 18,744 $ (233 ) $ 55,779 $ (399 ) $ 74,523 The following table shows the unrealized gross losses and fair value of the investment portfolio by length of time that individual securities in each category have been in a continuous loss position as of December 31, 2018 : Less Than Twelve Months Twelve Months or Longer Total Gross Fair Gross Fair Gross Fair (In thousands) Available for Sale Investment Securities Municipal bonds $ (8 ) $ 757 $ (5 ) $ 110 $ (13 ) $ 867 ABS Agency (302 ) 23,286 (71 ) 2,466 (373 ) 25,752 ABS Corporate (571 ) 14,527 (603 ) 22,196 (1,174 ) 36,723 Corporate debt — — (196 ) 4,791 (196 ) 4,791 SBA (44 ) 13,400 (245 ) 13,089 (289 ) 26,489 Total $ (925 ) $ 51,970 $ (1,120 ) $ 42,652 $ (2,045 ) $ 94,622 Mortgage-Backed Securities MBS agency $ (28 ) $ 17,996 $ (3,734 ) $ 120,617 $ (3,762 ) $ 138,613 MBS corporate — — (343 ) 10,610 (343 ) 10,610 Total $ (28 ) $ 17,996 $ (4,077 ) $ 131,227 $ (4,105 ) $ 149,223 Held to Maturity Investment Securities SBA $ (1 ) $ — $ — $ 301 $ (1 ) $ 301 Mortgage-Backed Securities MBS agency $ (70 ) $ 6,241 $ (525 ) $ 18,073 $ (595 ) $ 24,314 The Company may hold certain investment securities in an unrealized loss position that are not considered OTTI. At December 31, 2019 , there were 62 investment securities with $3.0 million of unrealized losses and a fair value of approximately $198.8 million . At December 31, 2018 , there were 69 investment securities with $6.7 million of unrealized losses and a fair value of approximately $268.5 million . Management believes that the unrealized losses on investment securities relate principally to the general change in interest rates and illiquidity, and not credit quality, that has occurred since the initial purchase, and such unrecognized losses or gains will continue to vary with general interest rate level fluctuations in the future. Certain investments in a loss position are guaranteed by government entities or government sponsored entities. The Company does not intend to sell the securities in an unrealized loss position and believes it is not likely it will be required to sell these investments prior to a market price recovery or maturity. There were no OTTI losses during the years ended December 31, 2019 and 2018 . The amortized cost and estimated fair value of investment securities by contractual maturity are shown in the following tables at the dates indicated. Expected maturities of mortgage-backed securities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties; therefore, these securities are shown separately. December 31, 2019 Amortized Cost Estimated Fair Value Available for Sale (In thousands) Mortgage-backed securities: Due within one year $ — $ — Due after one through five years 13,360 13,391 Due after five through ten years 6,261 6,257 Due after ten years 148,450 148,835 Total mortgage-backed securities 168,071 168,483 All other investment securities: Due within one year — — Due after one through five years 2,043 2,084 Due after five through ten years 58,460 57,680 Due after ten years 88,954 87,333 Total all other investment securities 149,457 147,097 Total investment securities $ 317,528 $ 315,580 December 31, 2018 Available for Sale Held to Maturity Amortized Cost Estimated Fair Value Amortized Cost Estimated Fair Value (In thousands) Mortgage-backed securities: Due within one year $ — $ — $ — $ — Due after one through five years 7,204 7,089 578 569 Due after five through ten years 11,862 11,637 2,035 1,978 Due after ten years 139,092 135,339 28,669 28,180 Total mortgage-backed securities 158,158 154,065 31,282 30,727 All other investment securities: Due within one year — — — — Due after one through five years — — 734 741 Due after five through ten years 19,564 19,362 6,728 6,743 Due after ten years 91,262 89,540 4,759 4,779 Total all other investment securities 110,826 108,902 12,221 12,263 Total investment securities $ 268,984 $ 262,967 $ 43,503 $ 42,990 Sales of available-for-sale securities were as follows: For the Year Ended December 31, 2019 2018 (In thousands) Proceeds $ 16,545 $ 56,683 Gross gains 836 233 Gross losses — (183 ) During the year ended December 31, 2019, the Bank changed the holding classification of the entire held to maturity portfolio to available for sale. The amortized cost of these securities was $37.6 million at the time of transfer. During the year ended December 31, 2018, the Bank sold certain held to maturity investments that had substantially reached maturity, allowing us to sell the securities without tainting the remaining held to maturity securities portfolio. The held-to-maturity designation of the remaining securities is unchanged. Gross proceeds on the sale of these securities totaled $2.7 million with gross realized gains and losses of $32,000 and $5,000 , respectively. |
Loans Receivable
Loans Receivable | 12 Months Ended |
Dec. 31, 2019 | |
Loans and Leases Receivable Disclosure [Abstract] | |
Loans Receivable | Loans Receivable Loans receivable consist of the following at the dates indicated: December 31, 2019 December 31, 2018 (In thousands) Real Estate: One- to four-family $ 306,014 $ 336,178 Multi-family 96,098 82,331 Commercial real estate 255,722 253,235 Construction and land 37,187 54,102 Total real estate loans 695,021 725,846 Consumer: Home equity 35,046 37,629 Auto and other consumer 112,119 87,357 Total consumer loans 147,165 124,986 Commercial business loans 41,571 18,898 Total loans 883,757 869,730 Less: Net deferred loan fees 206 292 Premium on purchased loans, net (4,514 ) (3,947 ) Allowance for loan losses 9,628 9,533 Total loans receivable, net $ 878,437 $ 863,852 Loans, by the earlier of next repricing date or maturity, at the dates indicated: December 31, 2019 December 31, 2018 (In thousands) Adjustable-rate loans Due within one year $ 99,494 $ 84,284 After one but within five years 238,244 263,118 After five but within ten years 53,142 59,922 After ten years 5,054 5,202 395,934 412,526 Fixed-rate loans Due within one year 37,110 1,698 After one but within five years 67,786 83,407 After five but within ten years 124,683 120,094 After ten years 258,244 252,005 487,823 457,204 $ 883,757 $ 869,730 The adjustable-rate loans have interest rate adjustment limitations and are generally indexed to multiple indices. Future market factors may affect the correlation of adjustable loan interest rates with the rates First Federal pays on the short-term deposits that have been primarily used to fund such loans. The following tables summarize changes in the ALLL and the loan portfolio by segment and impairment method at or for the periods shown: At or For the Year Ended December 31, 2019 One-to- Multi- Commercial Construction Home Auto and Commercial Unallocated Total (In thousands) ALLL: Beginning balance $ 3,297 $ 762 $ 2,289 $ 585 $ 480 $ 1,611 $ 334 $ 175 $ 9,533 Provision for (recapture of) loan losses (278 ) 126 (46 ) (188 ) (71 ) 1,275 (125 ) (24 ) 669 Charge-offs — — — — — (884 ) (3 ) — (887 ) Recoveries 5 — — 2 45 259 2 — 313 Ending balance $ 3,024 $ 888 $ 2,243 $ 399 $ 454 $ 2,261 $ 208 $ 151 $ 9,628 At December 31, 2019 One-to- Multi- Commercial Construction Home Auto and Commercial Unallocated Total (In thousands) Total ALLL $ 3,024 $ 888 $ 2,243 $ 399 $ 454 $ 2,261 $ 208 $ 151 $ 9,628 General reserve 2,993 887 2,235 399 439 2,119 203 151 9,426 Specific reserve 31 1 8 — 15 142 5 — 202 Total loans $ 306,014 $ 96,098 $ 255,722 $ 37,187 $ 35,046 $ 112,119 $ 41,571 $ — $ 883,757 General reserves (1) 303,026 95,991 253,839 37,158 34,775 111,271 41,308 — 877,368 Specific reserves (2) 2,988 107 1,883 29 271 848 263 — 6,389 (1) Loans collectively evaluated for general reserves. (2) Loans individually evaluated for specific reserves. At or For the Year Ended December 31, 2018 One-to- Multi- Commercial Construction Home Auto and Commercial Unallocated Total (In thousands) ALLL: Beginning balance $ 3,061 $ 648 $ 1,847 $ 648 $ 787 $ 712 $ 265 $ 792 $ 8,760 Provision for (recapture of) loan losses 249 114 442 (65 ) (332 ) 1,315 68 (617 ) 1,174 Charge-offs (18 ) — — — — (638 ) — — (656 ) Recoveries 5 — — 2 25 222 1 — 255 Ending balance $ 3,297 $ 762 $ 2,289 $ 585 $ 480 $ 1,611 $ 334 $ 175 $ 9,533 At December 31, 2018 One-to- Multi- Commercial Construction Home Auto and Commercial Unallocated Total (In thousands) Total ALLL $ 3,297 $ 762 $ 2,289 $ 585 $ 480 $ 1,611 $ 334 $ 175 $ 9,533 General reserve 3,262 761 2,281 584 474 1,552 168 175 9,257 Specific reserve 35 1 8 1 6 59 166 — 276 Total loans $ 336,178 $ 82,331 $ 253,235 $ 54,102 $ 37,629 $ 87,357 $ 18,898 $ — $ 869,730 General reserves (1) 333,062 82,221 251,263 54,058 37,002 87,113 18,453 — 863,172 Specific reserves (2) 3,116 110 1,972 44 627 244 445 — 6,558 (1) Loans collectively evaluated for general reserves. (2) Loans individually evaluated for specific reserves. The following table presents a summary of loans individually evaluated for impairment by portfolio segment including the average recorded investment in and interest income recognized on impaired loans at or for the periods shown: Year Ended December 31, 2019 December 31, 2019 Recorded Unpaid Balance Related Allowance Average Recorded Investment Interest (In thousands) With no allowance recorded: One- to four-family $ 297 $ 332 $ — $ 237 $ 11 Multi-family — — — — — Commercial real estate 1,240 1,320 — 1,271 54 Construction and land — 33 — — — Home equity 45 110 — 120 2 Auto and other consumer 251 548 — 20 18 Commercial business — — — — 4 Total 1,833 2,343 — 1,648 89 With an allowance recorded: One- to four-family 2,691 2,911 31 2,801 178 Multi-family 107 107 1 109 5 Commercial real estate 643 643 8 654 34 Construction and land 29 29 — 50 3 Home equity 226 286 15 281 19 Auto and other consumer 597 690 142 372 19 Commercial business 263 263 5 290 13 Total 4,556 4,929 202 4,557 271 Total impaired loans: One- to four-family 2,988 3,243 31 3,038 189 Multi-family 107 107 1 109 5 Commercial real estate 1,883 1,963 8 1,925 88 Construction and land 29 62 — 50 3 Home equity 271 396 15 401 21 Auto and other consumer 848 1,238 142 392 37 Commercial business 263 263 5 290 17 Total $ 6,389 $ 7,272 $ 202 $ 6,205 $ 360 The following table presents a summary of loans individually evaluated for impairment by portfolio segment including the average recorded investment in and interest income recognized on impaired loans at or for the periods shown: Year Ended December 31, 2018 December 31, 2018 Recorded Unpaid Balance Related Allowance Average Recorded Investment Interest (In thousands) With no allowance recorded: One- to four-family $ 306 $ 339 $ — $ 381 $ 15 Multi-family — — — — — Commercial real estate 1,308 1,374 — 1,942 47 Construction and land — 1 — 1,243 — Home equity 330 478 — 349 12 Auto and other consumer — 276 — — 14 Commercial business — 3 — — — Total 1,944 2,471 — 3,915 88 With an allowance recorded: One- to four-family 2,810 3,085 35 3,016 181 Multi-family 110 110 1 113 6 Commercial real estate 664 663 8 738 35 Construction and land 44 71 1 66 5 Home equity 297 364 6 275 22 Auto and other consumer 244 244 59 126 8 Commercial business 445 445 166 777 64 Total 4,614 4,982 276 5,111 321 Total impaired loans: One- to four-family 3,116 3,424 35 3,397 196 Multi-family 110 110 1 113 6 Commercial real estate 1,972 2,037 8 2,680 82 Construction and land 44 72 1 1,309 5 Home equity 627 842 6 624 34 Auto and other consumer 244 520 59 126 22 Commercial business 445 448 166 777 64 Total $ 6,558 $ 7,453 $ 276 $ 9,026 $ 409 Interest income recognized on a cash basis on impaired loans for the years ended December 31, 2019 and 2018 , was $318,000 and $371,000 , respectively. The following table presents the recorded investment in nonaccrual loans by class of loan at the dates indicated: December 31, 2019 December 31, 2018 (In thousands) One- to four-family $ 698 $ 759 Commercial real estate 109 133 Construction and land 29 44 Home equity 112 369 Auto and other consumer 848 245 Commercial business loans — 173 Total nonaccrual loans $ 1,796 $ 1,723 Past due loans - There were no loans past due 90 days or more and still accruing interest at December 31, 2019 and 2018 . The following table presents the recorded investment of past due loans, by class, as of December 31, 2019 : 30-59 Past Due 60-89 Past Due 90 Days Past Due Total Past Due Current Total Loans (In thousands) Real Estate: One- to four-family $ 928 $ 92 $ 116 $ 1,136 $ 304,878 $ 306,014 Multi-family — — — — 96,098 96,098 Commercial real estate — — — — 255,722 255,722 Construction and land 38 — — 38 37,149 37,187 Total real estate loans 966 92 116 1,174 693,847 695,021 Consumer: Home equity 299 24 — 323 34,723 35,046 Auto and other consumer 1,423 370 614 2,407 109,712 112,119 Total consumer loans 1,722 394 614 2,730 144,435 147,165 Commercial business loans — 115 — 115 41,456 41,571 Total loans $ 2,688 $ 601 $ 730 $ 4,019 $ 879,738 $ 883,757 The following table presents the recorded investment of past due loans, by class, as of December 31, 2018 : 30-59 Past Due 60-89 Past Due 90 Days Past Due Total Past Due Current Total Loans (In thousands) Real Estate: One- to four-family $ 289 $ 176 $ 164 $ 629 $ 335,549 $ 336,178 Multi-family — — — — 82,331 82,331 Commercial real estate — — — — 253,235 253,235 Construction and land 35 14 31 80 54,022 54,102 Total real estate loans 324 190 195 709 725,137 725,846 Consumer: Home equity 97 30 9 136 37,493 37,629 Auto and other consumer 471 92 — 563 86,794 87,357 Total consumer loans 568 122 9 699 124,287 124,986 Commercial business loans 923 — — 923 17,975 18,898 Total loans $ 1,815 $ 312 $ 204 $ 2,331 $ 867,399 $ 869,730 Credit quality indicator - Federal regulations provide for the classification of lower quality loans and other assets, such as debt and equity securities, as substandard, doubtful, or loss; risk ratings 6, 7, and 8 in our 8-point risk rating system, respectively. An asset is considered substandard if it is inadequately protected by the current net worth and pay capacity of the borrower or of any collateral pledged. Substandard assets include those characterized by the distinct possibility that First Federal will sustain some loss if the deficiencies are not corrected. Assets classified as doubtful have all the weaknesses inherent in those classified substandard with the added characteristic that the weaknesses present make collection or liquidation in full highly questionable and improbable, on the basis of currently existing facts, conditions, and values. Assets classified as loss are those considered uncollectible and of such little value that their continuance as assets without the establishment of a specific loss reserve is not warranted. When First Federal classifies problem assets as either substandard or doubtful, it may establish a specific allowance to address the risk specifically or First Federal may allow the loss to be addressed in the general allowance. General allowances represent loss allowances that have been established to recognize the inherent risk associated with lending activities but that, unlike specific allowances, have not been specifically allocated to particular problem assets. When an insured institution classifies problem assets as a loss, it is required to charge off such assets in the period in which they are deemed uncollectible. Assets that do not currently expose First Federal to sufficient risk to warrant classification as substandard or doubtful but possess identified weaknesses are designated as either watch or special mention assets; risk ratings 4 and 5 in our risk rating system, respectively. Loans not otherwise classified are considered pass graded loans and are rated 1-3 in our risk rating system. Additionally, First Federal categorizes loans as performing or nonperforming based on payment activity. Loans that are more than 90 days past due and nonaccrual loans are considered nonperforming. The following table represents the internally assigned grade as of December 31, 2019 , by class of loans: Pass Watch Special Mention Sub- Standard Total (In thousands) Real Estate: One- to four-family $ 301,312 $ 2,685 $ 1,148 $ 869 $ 306,014 Multi-family 95,694 — 107 297 96,098 Commercial real estate 251,531 97 2,800 1,294 255,722 Construction and land 35,897 1,184 77 29 37,187 Total real estate loans 684,434 3,966 4,132 2,489 695,021 Consumer: Home equity 34,260 470 89 227 35,046 Auto and other consumer 107,327 3,243 594 955 112,119 Total consumer loans 141,587 3,713 683 1,182 147,165 Commercial business loans 39,653 376 263 1,279 41,571 Total loans $ 865,674 $ 8,055 $ 5,078 $ 4,950 $ 883,757 The following table represents the internally assigned grade as of December 31, 2018 , by class of loans: Pass Watch Special Mention Sub- Standard Total (In thousands) Real Estate: One- to four-family $ 330,476 $ 3,767 $ 957 $ 978 $ 336,178 Multi-family 82,221 — 110 — 82,331 Commercial real estate 244,919 6,281 663 1,372 253,235 Construction and land 51,480 2,578 — 44 54,102 Total real estate loans 709,096 12,626 1,730 2,394 725,846 Consumer: Home equity 36,559 465 123 482 37,629 Auto and other consumer 85,579 1,310 151 317 87,357 Total consumer loans 122,138 1,775 274 799 124,986 Commercial business loans 16,520 1,733 472 173 18,898 Total loans $ 847,754 $ 16,134 $ 2,476 $ 3,366 $ 869,730 The following table represents the credit risk profile based on payment activity as of December 31, 2019 , by class of loans: Nonperforming Performing Total (In thousands) Real Estate: One- to four-family $ 698 $ 305,316 $ 306,014 Multi-family — 96,098 96,098 Commercial real estate 109 255,613 255,722 Construction and land 29 37,158 37,187 Consumer: Home equity 112 34,934 35,046 Auto and other consumer 848 111,271 112,119 Commercial business loans — 41,571 41,571 Total loans $ 1,796 $ 881,961 $ 883,757 The following table represents the credit risk profile based on payment activity as of December 31, 2018 , by class of loans: Nonperforming Performing Total (In thousands) Real Estate: One- to four-family $ 759 $ 335,419 $ 336,178 Multi-family — 82,331 82,331 Commercial real estate 133 253,102 253,235 Construction and land 44 54,058 54,102 Consumer: Home equity 369 37,260 37,629 Auto and other consumer 245 87,112 87,357 Commercial business loans 173 18,725 18,898 Total loans $ 1,723 $ 868,007 $ 869,730 The following is a summary of information pertaining to TDR loans included in impaired loans at the dates indicated: December 31, 2019 December 31, 2018 (In thousands) Total TDR loans $ 3,544 $ 3,745 Allowance for loan losses related to TDR loans 41 43 Total nonaccrual TDR loans 81 84 The following table presents newly restructured and renewals or modifications of existing TDR loans by class that occurred during the year ended December 31, 2019 , by type of concession granted: Number of Contracts Rate Modification Term Modification Combination Total Modifications (Dollars in thousands) Pre-modification outstanding recorded investment One- to four-family 1 $ — $ — $ 50 $ 50 1 $ — $ — $ 50 $ 50 Post-modification outstanding recorded investment One- to four-family 1 $ — $ — $ 51 $ 51 1 $ — $ — $ 51 $ 51 The following is a summary of TDR loans which incurred a payment default within 12 months of the restructure date during the year ended December 31, 2019 . Number of Contracts Rate Modification Term Modification Combination Total Modifications (Dollars in thousands) TDR loans that subsequently defaulted One- to four-family 2 $ — $ — $ 99 $ 99 The following table presents newly restructured and renewals or modifications of existing TDR loans by class that occurred during the year ended December 31, 2018 , by type of concession granted: Number of Contracts Rate Modification Term Modification Combination Total Modifications (Dollars in thousands) Pre-modification outstanding recorded investment One- to four-family 3 $ — $ — $ 229 $ 229 3 $ — $ — $ 229 $ 229 Post-modification outstanding recorded investment One- to four-family 3 $ — $ — $ 228 $ 228 3 $ — $ — $ 228 $ 228 The following is a summary of TDR loans which incurred a payment default within 12 months of the restructure date during the year ended December 31, 2018 . Number of Contracts Rate Modification Term Modification Combination Total Modifications (Dollars in thousands) TDR loans that subsequently defaulted One- to four-family 2 $ — $ — $ 140 $ 140 No additional funds are committed to be advanced in connection with TDR loans at December 31, 2019 . The following table presents TDR loans by class at the dates indicated by accrual and nonaccrual status. December 31, 2019 December 31, 2018 Accrual Nonaccrual Total Accrual Nonaccrual Total (In thousands) One- to four-family $ 2,290 $ 81 $ 2,371 $ 2,358 $ 84 $ 2,442 Multi-family 107 — 107 110 — 110 Commercial real estate 643 — 643 663 — 663 Home equity 160 — 160 258 — 258 Commercial business loans 263 — 263 272 — 272 Total TDR loans $ 3,463 $ 81 $ 3,544 $ 3,661 $ 84 $ 3,745 |
Real Estate Owned and Repossess
Real Estate Owned and Repossessed Assets | 12 Months Ended |
Dec. 31, 2019 | |
Real Estate Owned and Repossessed Assets Disclosure [Abstract] | |
Real Estate Owned and Repossessed Assets | Real Estate Owned and Repossessed Assets Real estate owned and repossessed assets are included in other assets on the balance sheet. The following table presents the activity in real estate owned and repossessed assets for the periods shown: For the Year Ended December 31, 2019 2018 (In thousands) Beginning balance $ 124 $ 23 Loans transferred to foreclosed assets 412 276 Sales (376 ) (146 ) Market value adjustments (10 ) (3 ) Net gain (loss) on sales 4 (26 ) Ending balance $ 154 $ 124 The following table presents the breakout of real estate owned and repossessed assets by type as of: December 31, 2019 December 31, 2018 (In thousands) Land $ 62 $ 72 Personal property 92 52 $ 154 $ 124 |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | Premises and Equipment Premises and equipment consist of the following as of: December 31, 2019 December 31, 2018 (In thousands) Land $ 2,564 $ 2,560 Buildings 6,075 6,075 Building improvements 12,015 11,985 Furniture, fixtures, and equipment 7,011 7,446 Software 1,221 1,507 Automobiles 66 81 Construction in progress 136 9 29,088 29,663 Less accumulated depreciation and amortization (14,746 ) (14,408 ) $ 14,342 $ 15,255 Depreciation expense was $1.3 million and $1.3 million for the years ended December 31, 2019 and 2018 , respectively. |
Operating Leases
Operating Leases | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Operating Leases | Operating Leases On January 1, 2019, the Company adopted ASU 2016-02, Leases (Topic 842) , and all subsequent ASUs that are related to Topic 842. The Company, as lessee, leases certain assets for use in its operations. Leased assets primarily include retail branches and operation centers. For each lease with an original term greater than 12 months, the Company records a lease liability and a corresponding right of use ("ROU") asset. At December 31, 2019 , the Company's ROU assets included in other assets and lease liabilities included in other liabilities were $4.6 million and $3.7 million , respectively. Total costs incurred by the Company, as a lessee, were $505,000 for the year ended December 31, 2019 , and principally related to contractual lease payments on operating leases. The Company's leases do not impose significant covenants or other restrictions on the Company. The Bank has lease agreements with unaffiliated parties for six locations. The lease terms for four full-service branches, one loan production office, and one support center are not individually material. Lease expirations range from one to twenty years , with additional renewal options on certain leases ranging from two to ten years . The following table presents amounts relevant to the Company's assets leased for use in its operations for the year ended December 31, 2019 : (In Thousands) Operating cash flows from operating leases 505 Right of use assets obtained in exchange for new operating lease liabilities — The following table presents the weighted-average remaining lease terms and discount rates of the Company's assets leased for use in its operations at December 31, 2019 : Weighted-average remaining lease term of operating leases (in years) 13.8 Weighted-average discount rate of operating leases 3.5% All lease agreements require the Bank to pay its pro-rata share of building operating expenses. The minimum annual lease payments under non-cancelable operating leases with initial or remaining terms of one year or more through the initial lease term are as follows: December 31, Twelve-month period ending: (In thousands) 2020 $ 385 2021 376 2022 304 2023 309 2024 324 Thereafter 2,947 Total minimum payments required $ 4,645 Less imputed interest 989 Present value of lease liabilities $ 3,656 |
Mortgage Servicing Rights
Mortgage Servicing Rights | 12 Months Ended |
Dec. 31, 2019 | |
Transfers and Servicing [Abstract] | |
Mortgage Servicing Rights | Mortgage Servicing Rights Loans serviced for FHLB, Fannie Mae, and Freddie Mac are not included in the accompanying consolidated balance sheets. The unpaid principal balances of serviced loans, primarily mortgage loans, were $159.7 million and $175.5 million at December 31, 2019 and 2018 , respectively. Mortgage servicing rights for the periods shown are as follows: For the Year Ended December 31, 2019 2018 (In thousands) Balance at beginning of period $ 1,044 $ 1,095 Additions 75 208 Amortization (251 ) (256 ) Valuation allowance 3 (3 ) Balance at end of period $ 871 $ 1,044 There was no valuation allowance for mortgage servicing rights for year ended December 31, 2019 and an allowance of $3,000 for the year ended December 31, 2018 . The key economic assumptions used in determining the fair value of mortgage servicing rights for the periods shown are as follows: For the Year Ended December 31, 2019 2018 Constant prepayment rate 11.2 % 15.4 % Weighted-average life (years) 6.3 5.5 Yield to maturity discount 9.4 % 10.5 % The fair values of mortgage servicing rights are approximately $1.5 million and $1.5 million at December 31, 2019 and 2018 , respectively. The following represents servicing and late fees earned in connection with mortgage servicing rights and is included in the accompanying consolidated financial statements as a component of noninterest income for the periods shown: For the Year Ended December 31, 2019 2018 (In thousands) Servicing fees $ 424 $ 454 Late fees 15 15 |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Deposits | Deposits The aggregate amount of time deposits that meet or exceed the FDIC insured limit, currently $250,000, at December 31, 2019 and 2018 , was $93.5 million and $107.0 million , respectively. Deposits and weighted-average interest rates at the dates indicated are as follows: December 31, 2019 December 31, 2018 Amount Weighted- Amount Weighted- (Dollars in thousands) Savings $ 168,983 0.86% $ 143,412 0.74% Transaction accounts 276,496 0.03% 262,152 0.05% Money market accounts 248,086 0.46% 273,344 0.43% Certificates of deposit and jumbo certificates 308,080 1.85% 261,352 1.86% $ 1,001,645 0.84% $ 940,260 0.77% Maturities of certificates at the dates indicated are as follows: December 31, 2019 (In thousands) Within one year or less $ 241,127 After one year through two years 42,274 After two years through three years 11,167 After three years through four years 6,593 After four years through five years 6,919 After five years — $ 308,080 Deposits at December 31, 2019 and 2018 , include $57.4 million and $80.0 million , respectively, in public fund deposits. Investment securities with a carrying value of $35.5 million and $47.6 million were pledged as collateral for these deposits at December 31, 2019 and 2018 , respectively. This exceeds the minimum collateral requirements established by the Washington Public Deposit Protection Commission. Interest on deposits by type for the periods shown was as follows: For the Year Ended December 31, 2019 2018 (In thousands) Savings $ 1,478 $ 369 Transaction accounts 118 74 Money market accounts 1,285 1,142 Certificates of deposit and jumbo certificates 5,423 3,765 $ 8,304 $ 5,350 |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Borrowings | Borrowings First Federal is a member of the FHLB. As a member, First Federal has a committed line of credit of up to 40% of total assets, subject to the amount of FHLB stock ownership and certain collateral requirements. First Federal has entered into borrowing arrangements with the FHLB to borrow funds primarily under long-term, fixed-rate advance agreements. First Federal also has overnight borrowings through FHLB which renew daily until paid. First Federal periodically uses fixed-rate advances maturing in less than one year as an alternative source of funds. All borrowings are secured by collateral consisting of single-family, home equity, and multi-family loans receivable in the amounts of $520.5 million and $339.2 million , and investment securities with a carrying value of $641,000 and $1.2 million , at December 31, 2019 and 2018 , respectively, pledged as collateral. FHLB advances outstanding by type of advance were as follows: December 31, 2019 December 31, 2018 (In thousands) Long-term advances $ 50,000 $ 60,000 Short-term fixed-rate advances 45,000 25,000 Overnight variable-rate advances 17,930 51,552 The maximum and average outstanding balances and average interest rates on overnight variable-rate advances were as follows: For the Year Ended December 31, 2019 2018 (Dollars in thousands) Maximum outstanding at any month-end $ 90,889 $ 110,723 Monthly average outstanding 53,156 47,049 Weighted-average daily interest rates Annual 2.33 % 2.10 % Period End 1.80 % 2.58 % Interest expense during the period 1,224 933 The maximum and average outstanding balances and average interest rates on short-term, fixed-rate advances were as follows: For the Year Ended December 31, 2019 2018 (Dollars in thousands) Maximum outstanding at any month-end $ 45,000 $ 72,600 Monthly average outstanding 3,750 27,658 Weighted-average daily interest rates Annual 2.33 % 1.76 % Period End 1.79 % 2.48 % Interest expense during the period 12 626 The amounts by year of maturity and weighted-average interest rate of FHLB long-term, fixed-rate advances are as follows: December 31, 2019 December 31, 2018 Weighted-Average Interest Rate Amount Weighted-Average Interest Rate Amount (Dollars in thousands) Within one year or less 3.78% $ 30,000 2.71% $ 15,000 After one year through two years — — 3.78 25,000 After two years through three years 1.79 10,000 3.81 20,000 After three years through four years 1.80 5,000 — — After four years through five years 1.80 5,000 — — After five years — — — — $ 50,000 $ 60,000 The maximum and average outstanding balances and average interest rates on FHLB long-term, fixed-rate advances were as follows: For the Year Ended December 31, 2019 2018 (Dollars in thousands) Maximum outstanding at any month-end $ 65,000 $ 60,000 Monthly average outstanding 56,250 60,000 Weighted-average interest rates Annual 3.34 % 3.52 % Period End 2.98 % 3.52 % Interest expense during the period 1,908 2,104 |
Federal Taxes on Income
Federal Taxes on Income | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Federal Taxes on Income | Federal Taxes on Income The provision (benefit) for income taxes for the periods shown is summarized as follows: For the Year Ended December 31, 2019 2018 (In thousands) Current $ 1,764 $ 1,927 Deferred 313 (352 ) $ 2,077 $ 1,575 A reconciliation of the tax provision (benefit) based on statutory corporate tax rates, estimated to be 21% for the year ended December 31, 2019 , on pre-tax income and the provision (benefit) shown in the accompanying consolidated statements of income for the periods shown is summarized as follows: For the Year Ended December 31, 2019 2018 (In thousands) Income taxes computed at statutory rates $ 2,329 $ 1,823 Tax-exempt income (83 ) (84 ) Bank-owned life insurance income (149 ) (125 ) Deferred tax asset valuation allowance (1,224 ) (1 ) Expiration of contribution carryforward 1,224 — Other, net (20 ) (38 ) $ 2,077 $ 1,575 As a result of the bad debt deductions taken in years prior to 1988, retained earnings include accumulated earnings of approximately $6.4 million , on which federal income taxes have not been provided. If, in the future, this portion of retained earnings is used for any purpose other than to absorb losses on loans or on property acquired through foreclosure, federal income taxes may be imposed at the then-prevailing corporate tax rates. The Company does not contemplate that such amounts will be used for any purpose that would create a federal income tax liability; therefore, no provision has been made. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. These calculations are based on many complex factors including estimates of the timing of reversals of temporary differences, the interpretation of federal income tax laws, and a determination of the differences between the tax and the financial reporting basis of assets and liabilities. Actual results could differ significantly from the estimates and interpretations used in determining the current and deferred income tax assets and liabilities. During the year ended June 30, 2015, the Company contributed $400,000 in cash and $9.3 million in common stock to the Foundation. Under current Federal income tax regulations, charitable contribution deductions are limited to 10% of taxable income. Accordingly, the $9.7 million contribution created a carryforward for income tax purposes with a deferred tax asset of $3.3 million and related valuation allowance of $1.9 million for financial statement reporting purposes. At December 31, 2019 , the balance of the contribution carryforward totaled $5.9 million . The contribution carryforward expired in 2019. As a result, the carryforward and related valuation allowance were reversed during the period. A valuation allowance is provided when it is more likely than not that some portion or all of the deferred tax assets will not be realized. The Company evaluates whether its deferred tax assets will be realized and adjusts the amount of its valuation allowance, if necessary. There was a valuation allowance of $0 and $1.2 million , at December 31, 2019 and 2018 , respectively. The Company applies the provisions of FASB ASC 740 that require the application of a more-likely-than-not recognition criterion for the reporting of uncertain tax positions on its financial statements. The Company had no unrecognized tax assets at December 31, 2019 and 2018 . During the years ended December 31, 2019 and 2018 , the Company recognized no interest and penalties. The Company recognizes interest and penalties in income tax expense. The Company files income tax returns in the U.S. federal jurisdiction and is no longer subject to U.S. federal income tax examinations by tax authorities for years ending before June 30, 2016 . The components of net deferred tax assets and liabilities at the periods shown are summarized as follows: December 31, 2019 December 31, 2018 (In thousands) Deferred tax assets Allowance for loan losses $ 2,064 $ 2,049 Unrealized loss on securities available for sale 409 1,264 Accrued compensation 487 397 Nonaccrual loans 6 4 ESOP timing differences 143 195 Restricted stock awards 107 134 Contribution carryforward — 1,515 Deferred lease liability 768 — Total deferred tax assets 3,984 5,558 Deferred tax liabilities Deferred loan fees 443 436 FHLB stock dividends 425 488 Accumulated depreciation 691 734 Deferred investment gain 34 14 Right of use asset 745 — Other, net 175 23 Total deferred tax liabilities 2,513 1,695 Deferred tax asset, net 1,471 3,863 Deferred tax asset valuation allowance — (1,224 ) Deferred tax asset, net of valuation allowance $ 1,471 $ 2,639 |
Benefit Plans
Benefit Plans | 12 Months Ended |
Dec. 31, 2019 | |
Compensation Related Costs [Abstract] | |
Benefit Plans | Benefit Plans Multi-employer Pension Plan The Bank participates in the Pentegra Defined Benefit Plan for Financial Institutions (the Pentegra DB Plan), a tax-qualified defined-benefit pension plan that covered substantially all employees after one year of continuous employment. Pension benefits vested over a period of five years of credited service. The Pentegra DB Plan’s Employer Identification Number is 13-5645888 and the Plan Number is 12004. The Pentegra DB Plan operates as a multi-employer plan for accounting purposes and as a multiple-employer plan under the Employee Retirement Income Security Act of 1974 and the Internal Revenue Code. There are no collective bargaining agreements in place that require contributions to the Pentegra DB Plan. The Pentegra Defined Benefit Plan was frozen and no new benefits were allowed as of February 1, 2010. The Pentegra DB Plan is a single plan under Internal Revenue Code Section 413(c) and, as a result, all of the assets stand behind all of the liabilities. Accordingly, under the Pentegra DB Plan, contributions made by a participating employer may be used to provide benefits to participants of other participating employers. The table below presents the funded status (market value of plan assets divided by funding target) of the plan as of July 1: 2019 2018 Source Valuation Report Valuation Report Our plan 111.9% 112.5% There was no change to the funded status of the plan as of December 31, 2019 . First Federal’s contributions to the Pentegra DB Plan are not more than 5% of the total contributions to the Pentegra DB Plan. First Federal’s policy is to fund pension costs as accrued. Total contributions during the periods shown were: Year Ended Year Ended December 31, 2019 December 31, 2018 Date Paid Amount Date Paid Amount (In thousands) 12/20/2019 $ 302 12/31/2018 $ 386 Nonqualified Deferred Compensation Plan First Federal also sponsors a nonqualified Deferred Compensation Plan for members of the board of directors and eligible officer-level employees. This plan, approved by the Board on February 1, 2012, allows eligible participants to defer and invest a portion of their earnings in a selection of investment options identified in the plan at no expense to First Federal. All deferrals are remitted to Pentegra, the Plan Administrator, and held in a trust. The aggregate balance held in trust at December 31, 2019 , was $1,109,000 . The Company also has agreements with certain key officers that provide for potential payments upon retirement, disability, termination, change in control and death. 401(k) Plan First Federal maintains a single-employer 401(k) plan. Employees may contribute up to 100% of their pre-tax compensation to the 401(k) plan, subject to regulatory limits. First Federal provides matching funds of 50% limited to the first 6% of salary contributed. First Federal's contributions were $270,000 and $245,000 during the years ended December 31, 2019 and December 31, 2018 , respectively. Employee Stock Ownership Plan In connection with the mutual to stock conversion, the Company established an ESOP for eligible employees of the Company and the Bank. Employees of the Company who have been credited with at least 1,000 hours of service during a 12 -month period are eligible to participate in the ESOP. Pursuant to the Plan, the ESOP purchased in the open market 8% of the common stock originally issued in the mutual to stock conversion. As of December 31, 2019 , 1,048,029 shares, or 100% of the total, have been purchased in the open market at an average price of $ 12.45 per share with funds borrowed from First Northwest. The Bank will make contributions to the ESOP in amounts necessary to amortize the ESOP loan payable to First Northwest over a period of 20 years, bearing estimated interest at 2.46% . Shares purchased by the ESOP with the loan proceeds are held in a suspense account and allocated to ESOP participants on a pro rata basis as principal and interest payments are made by the ESOP to the Company. The loan is secured by shares purchased with the loan proceeds and will be repaid by the ESOP with funds from the Bank's discretionary contributions to the ESOP and earnings on the ESOP assets. Annual principal and interest payments of $835,000 were made by the ESOP during the years ended December 31, 2019 and 2018 . As shares are committed to be released from collateral, the Company reports compensation expense equal to the average daily market prices of the shares and the shares become outstanding for EPS computations. The compensation expense is accrued monthly throughout the year. Dividends on allocated ESOP shares will be recorded as a reduction of retained earnings; dividends on unallocated ESOP shares will be recorded as a reduction of debt and accrued interest. Compensation expense related to the ESOP for the year ended December 31, 2019 and 2018 , was $702,000 and $851,000 , respectively. Shares issued to the ESOP as of the dates indicated are as follows: December 31, 2019 December 31, 2018 (Dollars in thousands) Allocated shares 253,987 201,026 Unallocated shares 794,042 847,003 Total ESOP shares issued 1,048,029 1,048,029 Fair value of unallocated shares $ 14,396 $ 12,561 Stock-based Compensation On November 16, 2015 , the Company's shareholders approved the First Northwest Bancorp 2015 Equity Incentive Plan (the "EIP"), which provides for the grant of incentive stock options, non-qualified stock options, restricted stock and restricted stock units to eligible participants. The cost of awards under the EIP generally is based on the fair value of the awards on their grant date. The maximum number of shares that may be utilized for awards under the EIP is 1,834,050 . Under the EIP stock options may be granted that, upon exercise, result in the issuance of up to 1,310,036 shares of common stock and up to 524,014 shares of restricted stock may be awarded. Shares of common stock issued under the EIP may be authorized but unissued shares or repurchased shares. During the year ended June 30, 2017, the Company purchased and retired 523,014 shares of common stock to be used for future stock awards. During the year ended December 31, 2019 , 64,900 shares of restricted stock were awarded and no stock options were granted. There were 65,000 shares of restricted stock awarded during the year ended December 31, 2018 , and no stock options were granted. Awarded shares of restricted stock vest over five years from the date of grant as long as the eligible participant remains in service to the Company. The Company recognizes compensation expense for the restricted stock awards based on the fair value of the shares at the award date. For the year ended December 31, 2019 and 2018 , total compensation expense for the EIP was $1.1 million and $1.1 million , respectively. Included in the above compensation expense for the year ended December 31, 2019 and 2018 , was directors' compensation of $342,000 and $343,000 , respectively. The following tables provide a summary of changes in non-vested restricted stock awards for the periods shown: For the Year Ended December 31, 2019 Weighted-Average Grant Date Shares Fair Value Non-vested at January 1, 2019 290,600 $ 13.72 Granted 64,900 17.19 Vested (65,758 ) 13.43 Canceled (1) (18,442 ) 13.43 Forfeited (7,000 ) 16.07 Non-vested at December 31, 2019 264,300 14.60 (1) A surrender of vested stock awards by a participant surrendering the number of shares valued at the current stock price at the vesting date to cover the participant's tax obligation of the vested shares. The surrendered shares are canceled and are unavailable for reissue. As of December 31, 2019 , there was $3.4 million of total unrecognized compensation cost related to non-vested shares granted as restricted stock awards. The cost is expected to be recognized over the remaining weighted-average vesting period of approximately 3.18 years . |
Regulatory Capital Requirements
Regulatory Capital Requirements | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Regulatory Capital Requirements | Regulatory Capital Requirements Under Federal regulations, pre-conversion retained earnings are restricted for the protection of pre-conversion depositors. The Company is a bank holding company under the supervision of the Federal Reserve Bank of San Francisco. Bank holding companies are subject to capital adequacy requirements of the Federal Reserve Board under the Bank Holding Company Act of 1956, as amended, and the regulations of the Federal Reserve Board. The Bank is a federally insured institution and thereby is subject to the capital requirements established by the FDIC. The Federal Reserve Board capital requirements generally parallel the FDIC requirements. 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 Company's financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities, and certain off-balance-sheet items as calculated under regulatory accounting practices. The Bank’s 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 Bank to maintain minimum amounts and ratios (set forth in the table that follows) of total and Tier I capital to risk-weighted assets (as defined in the regulations) and of Tier 1 capital to average assets. Effective January 1, 2015 (with some changes transitioned into full effectiveness over two to four years), First Northwest Bancorp and First Federal became subject to capital requirements which created a required ratio for common equity Tier 1 (“CET1”) capital, increased the leverage and Tier 1 capital ratios, changed the risk-weightings of certain assets for purposes of the risk-based capital ratios, created an additional capital conservation buffer over the required capital ratios and changed what qualifies as capital for purposes of meeting these various capital requirements. First Northwest Bancorp and First Federal are required to maintain additional levels of Tier 1 common equity over the minimum risk-based capital levels to avoid limitations on dividends, repurchase shares and paying discretionary bonuses. The minimum requirements are a ratio of common equity Tier 1 capital ("CET1 capital") to total risk-weighted assets the (“CET1 risk-based ratio”) of 4.5% , a Tier 1 capital ratio of 6.0% , a total capital ratio of 8.0% , and a leverage ratio of 4.0% . Because of the Bank’s asset size, the Bank is not considered an advanced approaches banking organization and has elected to permanently opt-out of the inclusion of unrealized gains and losses on available for sale debt and equity securities in its capital calculations. The requirements also include changes in the risk-weighting of assets to better reflect credit risk and other risk exposure. These include a 150% risk weight (up from 100% ) for certain high volatility commercial real estate acquisition, development and construction loans and for non-residential mortgage loans that are 90 days past due or otherwise in nonaccrual status; a 20% (up from 0% ) credit conversion factor for the unused portion of a commitment with an original maturity of one year or less that is not unconditionally cancellable; and a 250% risk weight (up from 100% ) for mortgage servicing and deferred tax assets that are not deducted from capital. In order to avoid limitations on paying dividends, engaging in share repurchases, and paying discretionary bonuses based on percentages of eligible retained income that could be utilized for such actions, First Northwest Bancorp and First Federal must maintain CET1 capital at an amount greater than the required minimum levels plus a capital conservation buffer. This new capital conservation buffer requirement was phased in starting in January 2016 requiring a buffer of 0.625% of risk-weighted assets and will increase each year until fully implemented to an amount of 2.5% of risk-weighted assets in January 2019. As of December 31, 2019 , the conservation buffer was 2.5% . Under the new standards, in order to be considered well-capitalized, the Bank must maintain a CET1 risk-based ratio of 6.5% (new), a Tier 1 risk-based ratio of 8% (increased from 6% ), a total risk-based capital ratio of 10% (unchanged) and a leverage ratio of 5% (unchanged). As of December 31, 2019 , the most recent regulatory notifications categorized First Federal as “well capitalized” under the regulatory framework for prompt corrective action. To be categorized as “well capitalized,” the Bank must maintain minimum total risk-based, CET1 risk-based, Tier 1 risk-based, and Tier 1 leverage ratios as set forth in the following table. There are no conditions or events since that notification that management believes have changed First Federal’s category. At periodic intervals, banking regulators routinely examine First Northwest and First Federal as part of their legally prescribed oversight of the banking industry. A future examination could include a review of certain transactions or other amounts reported in the Company's consolidated financial statements. Based on these examinations, the regulators can direct that the Company's consolidated financial statements be adjusted in accordance with their findings. In view of the uncertain regulatory environment in which First Northwest and First Federal operate, the extent, if any, to which a forthcoming regulatory examination may ultimately result in adjustments to the accompanying consolidated financial statements cannot presently be determined. At December 31, 2019 , First Federal exceeded all regulatory capital requirements. Actual and required capital amounts and ratios are presented for First Federal in the following table: Actual For Capital Adequacy Purposes To Be Categorized Action Provision Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of December 31, 2019 Common equity tier 1 capital $ 149,223 17.54 % $ 38,275 4.50 % $ 55,286 6.50 % Tier 1 risk-based capital 149,223 17.54 51,034 6.00 68,045 8.00 Total risk-based capital 159,058 18.70 68,045 8.00 85,056 10.00 Tier 1 leverage capital 149,223 12.16 49,103 4.00 61,379 5.00 As of December 31, 2018 Common equity tier 1 capital $ 142,018 17.04 % $ 37,501 4.50 % $ 54,169 6.50 % Tier 1 risk-based capital 142,018 17.04 50,002 6.00 66,669 8.00 Total risk-based capital 151,781 18.21 66,669 8.00 83,336 10.00 Tier 1 leverage capital 142,018 11.47 49,509 4.00 61,887 5.00 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions Certain directors and executive officers are also customers who transact business with First Federal. All loans and commitments included in such transactions were made in compliance with applicable laws on substantially the same terms (including interest rates and collateral) as those prevailing at the time for comparable transactions with other persons and do not involve more than the normal risk of collectability or present any other unfavorable features. The following table presents the activity in loans to directors and executive officers for the periods shown: For the Year Ended December 31, 2019 2018 (In thousands) Beginning balance $ 923 $ 1,042 Loan advances 1 3 Loan repayments (235 ) (122 ) Reclassifications 1 — — Ending balance $ 689 $ 923 1 Represents loans that were once considered related party but are no longer considered related party or loans that were not related party that subsequently became related party loans. Deposits and certificates from related parties totaled $3.1 million and $2.9 million at December 31, 2019 and 2018 , respectively. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies First Federal is a 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 generally represent a commitment to extend credit in the form of loans. The instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the consolidated balance sheets. First Federal’s exposure to credit loss, in the event of nonperformance by the other party to the financial instrument for commitments to extend credit, is represented by the contractual notional amount of those instruments. First Federal uses the same credit policies in making commitments as it does for on-balance-sheet instruments. Management does not anticipate any material loss as a result of these transactions. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established by the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of these commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. First Federal evaluates each customer’s creditworthiness on a case-by-case basis. First Federal did not incur any significant losses on its commitments for the years ended December 31, 2019 , and 2018 . The following financial instruments were outstanding whose contract amounts represent credit risk at: December 31, 2019 December 31, 2018 (In thousands) Commitments to grant loans $ 101 $ 625 Standby letters of credit 182 223 Unfunded commitments under lines of credit or existing loans 88,225 98,847 Legal contingencies - Various legal claims may arise from time to time in the normal course of business, which, in the opinion of management, have no current material effect on First Federal’s consolidated financial statements. Significant group concentrations of credit risk - Concentration of credit risk is the risk associated with a lack of diversification, such as having substantial loan concentrations in a specific type of loan within First Federal’s loan portfolio, thereby exposing First Federal to greater risks resulting from adverse economic, political, regulatory, geographic, industrial, or credit developments. Loans to one borrower are subject to the state banking regulations general limitation of 20 percent of First Federal’s equity, excluding accumulated other comprehensive income. At December 31, 2019 and 2018 First Federal’s most significant concentration of credit risk was in loans secured by real estate. These loans totaled approximately $730.2 million and $767.6 million , or 82.6% and 88.3% , of First Federal’s total loan portfolio at December 31, 2019 and 2018 , respectively. Real estate construction, including land acquisition and land development, commercial real estate, multi-family, home equity, and one- to four-family residential loans are included in the total loans secured by real estate for purposes of this calculation. After a period of decline the real estate market has begun to recover, which has helped stabilize nonperforming loans and the allowance for loan losses. At December 31, 2019 and 2018 , First Federal’s most significant investment concentration of credit risk was with the U.S. Government, its agencies, and Government-Sponsored Enterprises (GSEs). First Federal’s exposure, which results from positions in securities issued by the U.S. Government, its agencies, and securities guaranteed by GSEs, was $223.5 million and $243.4 million , or 69.5% and 77.7% , of First Federal’s total investment portfolio (including FHLB stock) at December 31, 2019 and 2018 , respectively. |
Fair Value Accounting and Measu
Fair Value Accounting and Measurement | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Accounting and Measurement | Fair Value Accounting and Measurement Fair value is the price to sell an asset or transfer a liability in an orderly transaction between market participants in the Company’s principal market. The Company has established and documented its process for determining the fair values of its assets and liabilities, where applicable. Fair value is based on quoted market prices, when available, for identical or similar assets or liabilities. In the absence of quoted market prices, management determines the fair value of the Company’s assets and liabilities using valuation models or third-party pricing services, both of which rely on market-based parameters when available, such as interest rate yield curves, option volatilities and credit spreads, or unobservable inputs. Unobservable inputs may be based on management’s judgment, assumptions, and estimates related to credit quality, liquidity, interest rates, and other relevant inputs. Any changes to valuation methodologies are reviewed by management to ensure they are relevant and justified. Valuation methodologies are refined as more market-based data becomes available. A three-level valuation hierarchy is used in determining fair value that is based on the transparency of the inputs used in the valuation process. The inputs used in determining fair value in each of the three levels of the hierarchy are as follows: Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 - Either: (i) quoted prices for similar assets or liabilities; (ii) observable inputs, such as interest rates or yield curves; or (iii) inputs derived principally from or corroborated by observable market data. Level 3 - Unobservable inputs. The hierarchy gives the highest ranking to Level 1 inputs and the lowest ranking to Level 3 inputs. The level in the fair value hierarchy within which the fair value measurement in its entirety falls is determined based on the lowest level input that is significant to the overall fair value measurement. Qualitative disclosures of valuation techniques - Securities available for sale: where quoted prices are available in an active market, securities are classified as Level 1. Level 1 instruments include highly liquid government bonds, securities issued by the U.S. Treasury, and exchange-traded equity securities. If quoted prices are not available, management determines fair value using pricing models, quoted prices of similar securities, which are considered Level 2, or discounted cash flows. In certain cases, where there is limited activity in the market for a particular instrument, assumptions must be made to determine their fair value. Such instruments are classified as Level 3. Assets and liabilities measured at fair value on a recurring basis - Assets and liabilities are considered to be fair valued on a recurring basis if fair value is measured regularly (i.e., daily, weekly, monthly, or quarterly). The following tables show the Company’s assets and liabilities measured at fair value on a recurring basis at the dates indicated: December 31, 2019 Quoted Prices in or Liabilities Significant Inputs Significant Inputs (Level 1) (Level 2) (Level 3) Total (In thousands) Securities available for sale Municipal bonds $ — $ 39,282 $ — $ 39,282 ABS agency — 28,858 — 28,858 ABS corporate — 40,855 — 40,855 SBA — 9,643 — 9,643 Corporate debt — 28,459 — 28,459 MBS agency — 160,167 — 160,167 MBS corporate — 8,316 — 8,316 $ — $ 315,580 $ — $ 315,580 December 31, 2018 Quoted Prices in Significant Significant (Level 1) (Level 2) (Level 3) Total (In thousands) Securities available for sale Municipal bonds $ — $ 869 $ — $ 869 ABS agency — 25,752 — 25,752 ABS corporate — 36,723 — 36,723 SBA — 9,888 — 9,888 Corporate debt — 35,670 — 35,670 MBS agency — 143,455 — 143,455 MBS corporate — 10,610 — 10,610 $ — $ 262,967 $ — $ 262,967 Assets measured at fair value on a nonrecurring basis - Assets are considered to be fair valued on a nonrecurring basis if the fair value measurement of the instrument does not necessarily result in a change in the amount recorded on the consolidated balance sheets. Generally, nonrecurring valuation is the result of the application of other accounting pronouncements that require assets or liabilities to be assessed for impairment or recorded at the lower of cost or fair value. The following tables present the Company’s assets measured at fair value on a nonrecurring basis at the dates indicated: December 31, 2019 Level 1 Level 2 Level 3 Total (In thousands) Impaired loans $ — $ — $ 6,389 $ 6,389 Real estate owned and repossessed assets — — 154 154 $ — $ — $ 6,543 $ 6,543 December 31, 2018 Level 1 Level 2 Level 3 Total (In thousands) Impaired loans $ — $ — $ 6,558 $ 6,558 Real estate owned and repossessed assets — — 124 124 $ — $ — $ 6,682 $ 6,682 During the years ended December 31, 2019 and 2018 , there were no impaired loans with discounts to appraisal disposition value. The following tables present the techniques used to value assets measured at fair value on a nonrecurring basis at the dates indicated: December 31, 2019 Fair Value Valuation Technique Unobservable Input Range (Weighted-Average) 1 (In thousands) Real estate owned and repossessed assets $ 154 Market comparable Discount to appraisal 0% - 10% (5%) 1 Discount to appraisal disposition value. December 31, 2018 Fair Value Valuation Technique Unobservable Input Range 1 (In thousands) Real estate owned and repossessed assets 124 Market comparable Discount to appraisal 0% - 10% (5%) 1 Discount to appraisal disposition value. The following tables present the carrying value and estimated fair value of financial instruments at the dates indicated: December 31, 2019 Carrying Amount Estimated Fair Value Fair Value Measurements Using: Level 1 Level 2 Level 3 (In thousands) Financial assets Cash and cash equivalents $ 48,739 $ 48,739 $ 48,739 $ — $ — Investment securities available for sale 315,580 315,580 — 315,580 — Loans held for sale 503 503 — 503 — Loans receivable, net 878,437 858,101 — — 858,101 FHLB stock 6,034 6,034 — 6,034 — Accrued interest receivable 3,931 3,931 — 3,931 — Mortgage servicing rights, net 871 1,486 — — 1,486 Financial liabilities Demand deposits $ 693,565 $ 693,565 $ 693,565 $ — $ — Time deposits 308,080 308,819 — 308,819 — Borrowings 112,930 113,076 — 113,076 — Accrued interest payable 373 373 — 373 — December 31, 2018 Carrying Amount Estimated Fair Value Fair Value Measurements Using: Level 1 Level 2 Level 3 (In thousands) Financial assets Cash and cash equivalents $ 26,323 $ 26,323 $ 26,323 $ — $ — Investment securities available for sale 262,967 262,967 — 262,967 — Investment securities held to maturity 43,503 42,990 — 42,990 — Loans receivable, net 863,852 840,861 — — 840,861 FHLB stock 6,927 6,927 — 6,927 — Accrued interest receivable 4,048 4,048 — 4,048 — Mortgage servicing rights, net 1,044 1,479 — — 1,479 Financial liabilities Demand deposits $ 678,908 $ 678,908 $ 678,908 $ — $ — Time deposits 261,352 259,549 — 259,549 — Borrowings 136,552 137,153 — 137,153 — Accrued interest payable 521 521 — 521 — |
Earnings per Share
Earnings per Share | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Earnings per Share | Earnings per Share Basic earnings per share are computed by dividing income available to common shareholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the entity. The following table presents a reconciliation of the components used to compute basic and diluted earnings per share for the periods shown. For the Year Ended December 31, 2019 2018 (In thousands, except share data) Numerator: Net income $ 9,014 $ 7,105 Denominator: Basic weighted average common shares outstanding 9,845,021 10,331,902 Dilutive restricted stock grants 78,089 102,535 Diluted weighted average common shares outstanding 9,923,110 10,434,437 Basic earnings $ 0.92 $ 0.69 Diluted earnings $ 0.91 $ 0.68 Potential dilutive shares are excluded from the computation of EPS if their effect is anti-dilutive. For the years ended December 31, 2019 and 2018 , anti-dilutive shares outstanding related to restricted stock awards totaled 66,659 and 48,040 , respectively, because the incremental shares under the treasury stock method of calculation resulted in them being anti-dilutive. As of December 15, 2015, the ESOP had purchased 1,048,029 shares of First Northwest Bancorp in the open market. Unallocated ESOP shares are not included as outstanding shares for basic or diluted earnings per share calculations. |
Noninterest Income
Noninterest Income | 12 Months Ended |
Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Noninterest Income | Noninterest Income On January 1, 2018, the Company adopted the amendments of ASU 2014-09 Revenue from Contracts with Customers (Topic 606) and all subsequent ASUs that modified Topic 606. The Company has included the following table regarding the Company’s noninterest income for the periods presented. Year Ended December 31, 2019 2018 Noninterest income: Loan fees (1) $ 347 $ 807 Deposit fees 1,833 1,671 Debit interchange income 124 137 Credit card interchange income 1,765 1,740 Gain on loan sales, net (1) 1,077 577 Investment securities gain (loss), net (1) 836 77 Increase in cash surrender value of BOLI (1) 708 595 Other income: Investment services revenue 229 226 Gain or loss on subsidiary (1) 68 68 Remaining other income 25 21 Total other income 322 315 Total noninterest income $ 7,012 $ 5,919 (1) Not within scope of Topic 606 The Company recognizes revenue as it is earned and noted no impact to its revenue recognition policies as a result of the adoption of ASU 2014-09. The following is a discussion of key revenues within the scope of the new revenue guidance. Deposit fees - The Company earns fees from its deposit customers for account maintenance, transaction-based activity and overdraft services. Account maintenance fees consist primarily of account fees and analyzed account fees charged on deposit accounts on a monthly basis. The performance obligation is satisfied and the fees are recognized on a monthly basis as the service period is completed. Transaction-based fees on deposit accounts are charged to deposit customers for specific services provided to the customer, such as non-sufficient funds fees, overdraft fees, and wire fees. The performance obligation is completed as the transaction occurs and the fees are recognized at the time each specific service is provided to the customer. Debit interchange income - Debit and Automated Teller Machine ("ATM") interchange income represent fees earned when a debit card issued by the Company is used. The Company earns interchange fees from debit cardholder transactions through card networks. In addition, the Company earns interchange fees for use of its ATM by customers of other banking institutions. Interchange fees are based on purchase volumes and other factors and are recognized as transactions occur. The performance obligation is satisfied and the fees are earned when the cost of the transaction is charged to the cardholder's debit card. Certain expenses directly associated with the credit and debit card are netted against interchange income. Credit card interchange income - Credit card interchange income represents fees earned when a credit card issued by the Bank through a third-party vendor is used. Similar to the debit card interchange, the Bank earns an interchange fee for each transaction made with a Bank-branded credit card. The performance obligation is satisfied and the fees are earned when the cost of the transaction is charged to the cardholder's credit card. Certain expenses directly related to the credit card interchange contract are netted against interchange income. Investment services revenue - Commissions received on the sale of investment related products is determined by a percentage of underlying instruments sold and is recognized when the sale is finalized. Gains/losses on the sale of other real estate owned are included in non-interest expense and are generally recognized when the performance obligation is complete. This is typically at delivery of control over the property to the buyer at time of each real estate closing. |
Parent Company Only Financial S
Parent Company Only Financial Statements | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Financial Information Disclosure [Abstract] | |
Parent Company Only Financial Statements | Parent Company Only Financial Statements Presented below are the condensed balance sheet, statement of operations, and statement of cash flows for First Northwest Bancorp. FIRST NORTHWEST BANCORP Condensed Balance Sheets (In thousands) December 31, 2019 December 31, 2018 ASSETS Cash and due from banks $ 5,989 $ 8,508 Investment securities available for sale, at fair value 11,684 14,189 Investment in bank 147,744 137,657 ESOP loan receivable 10,740 11,300 Accrued interest receivable 190 212 Prepaid expenses and other assets 704 534 Total assets $ 177,051 $ 172,400 LIABILITIES AND SHAREHOLDERS' EQUITY Payable to subsidiary $ 177 $ 96 Other liabilities 23 40 Total liabilities 200 136 Shareholders' equity 176,851 172,264 Total liabilities and shareholders' equity $ 177,051 $ 172,400 FIRST NORTHWEST BANCORP Condensed Statements of Income (In thousands) For the Year Ended December 31, 2019 2018 Operating income: Interest and fees on loans receivable $ 268 $ 282 Interest on mortgage-backed and related securities 134 209 Interest on investment securities 130 163 Gain (loss) on sale of securities — (59 ) Total operating income 532 595 Operating expenses: Other expenses 892 922 Total operating expenses 892 922 Loss before benefit for income taxes and equity in undistributed earnings of subsidiary (360 ) (327 ) Benefit for income taxes (104 ) (89 ) Loss before equity in undistributed earnings of subsidiary (256 ) (238 ) Equity in undistributed earnings of subsidiary 13,270 17,343 Net income $ 13,014 $ 17,105 FIRST NORTHWEST BANCORP Condensed Statement of Cash Flows (In thousands) For the Year Ended December 31, 2019 2018 Cash flows from operating activities: Net income $ 13,014 $ 17,105 Adjustments to reconcile net income to net cash from operating activities: Equity in undistributed earnings of subsidiary (13,270 ) (17,343 ) Dividend received from subsidiary 4,000 10,000 Amortization of premiums and accretion of discounts on investments, net 81 89 Gain (loss) on sale of securities available for sale — 59 Change in payable to subsidiary 81 39 Change in other assets (227 ) (48 ) Change in other liabilities (17 ) 2 Net cash from operating activities 3,662 9,903 Cash flows from investing activities: Proceeds from maturities, calls, and principal repayments of securities available for sale 2,808 3,191 Proceeds from sales of securities available for sale — 1,979 ESOP loan repayment 560 546 Net cash from investing activities 3,368 5,716 Cash flows from financing activities: Repurchase of common stock (8,135 ) (10,317 ) Dividends paid (1,414 ) (335 ) Net cash from financing activities (9,549 ) (10,652 ) Net (decrease) increase in cash (2,519 ) 4,967 Cash and cash equivalents at beginning of period 8,508 3,541 Cash and cash equivalents at end of period $ 5,989 $ 8,508 NONCASH INVESTING ACTIVITIES Unrealized gain (loss) on securities available for sale $ 384 $ (104 ) |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies - (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Use of estimates | Use of estimates - The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make assumptions. These assumptions result in estimates that affect the reported amounts of assets and liabilities, revenues and expenses, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expense during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to a determination of the allowance for loan losses, fair value of financial instruments, deferred tax assets and liabilities, and the valuation of impaired loans. |
Principles of consolidation | Principles of consolidation - The accompanying consolidated financial statements include the accounts of First Northwest Bancorp and its wholly owned subsidiary, First Federal. All material intercompany accounts and transactions have been eliminated in consolidation. |
Subsequent events | Subsequent events - The Company has evaluated subsequent events for potential recognition and disclosure and determined there are no such events or transactions requiring recognition or disclosure. |
Cash and cash equivalents | Cash and cash equivalents - Cash and cash equivalents consist of currency on hand, due from banks, and interest-bearing deposits with financial institutions with an original maturity of three months or less. The amounts on deposit fluctuate and, at times, exceed the insured limit by the FDIC, which potentially subjects First Federal to credit risk. First Federal has not experienced any losses due to balances exceeding FDIC insurance limits. |
Restricted assets | Restricted assets - Federal Reserve Board regulations require maintenance of certain minimum reserve balances on deposit with the Federal Reserve Bank of San Francisco. |
Investment securities | Investment securities - Investment securities are classified into one of three categories: (1) held-to-maturity, (2) available-for-sale, or (3) trading. First Federal had no trading securities at December 31, 2019 and 2018 . Investment securities are categorized as held-to-maturity when First Federal has the positive intent and ability to hold those securities to maturity. Securities that are held-to-maturity are stated at cost and adjusted for amortization of premiums and accretion of discounts, which are recognized as adjustments to interest income. Investment securities categorized as available for sale are generally held for investment purposes (to maturity), although unanticipated future events may result in the sale of some securities. Available-for-sale securities are recorded at fair value, with the unrealized holding gain or loss reported in other comprehensive income (OCI), net of tax, as a separate component of shareholders' equity. Realized gains or losses are determined using the amortized cost basis of securities sold using the specific identification method and are included in earnings. Dividend and interest income on investments are recognized when earned. Premiums and discounts are recognized in interest income using the level yield method over the period to maturity. The Company reviews investment securities for other-than-temporary impairment (OTTI) on a quarterly basis. For debt securities, the Company considers whether management intends to sell a security or if it is likely that the Company will be required to sell the security before recovery of the amortized cost basis of the investment, which may be maturity. For debt securities, if management intends to sell the security or it is likely that the Company will be required to sell the security before recovering its cost basis, the entire impairment loss would be recognized as OTTI and charged against earnings. If management does not intend to sell the security and it is not likely that the Company will be required to sell the security, but management does not expect to recover the entire amortized cost basis of the security, only the portion of the impairment loss representing credit losses would be recognized in earnings. The credit loss on a security is measured as the difference between the amortized cost basis and the present value of the cash flows expected to be collected. Projected cash flows are discounted by the original or current effective interest rate depending on the nature of the security being measured for potential OTTI. The remaining impairment related to all other factors, i.e. the difference between the present value of the cash flows expected to be collected and fair value, is recognized as a charge to OCI. Impairment losses related to all other factors are presented as separate categories within OCI. If there is an indication of additional credit losses, the security is re-evaluated according to the procedures described above. |
Federal Home Loan Bank stock | Federal Home Loan Bank stock - First Federal’s investment in Federal Home Loan Bank of Des Moines (FHLB) stock is carried at cost, which approximates fair value. As a member of the FHLB system, First Federal is required to maintain a minimum investment in FHLB stock based on specific percentages of its outstanding mortgages, total assets, or FHLB advances. At December 31, 2019 and 2018 , First Federal’s minimum investment requirement was approximately $6.0 million and $6.9 million , respectively. First Federal was in compliance with the FHLB minimum investment requirement at December 31, 2019 and 2018 . First Federal may request redemption at par value of any stock in excess of the amount First Federal is required to hold. Stock redemptions are granted at the discretion of the FHLB. Management evaluates FHLB stock for impairment based on its assessment of the ultimate recoverability of cost rather than by recognizing temporary declines in value. The determination of whether a decline affects the ultimate recoverability of cost is influenced by criteria such as (1) the significance of any decline in net assets of the FHLB compared with the capital stock amount for the FHLB and the length of time this situation has persisted, (2) commitments by the FHLB to make payments required by law or regulation and the level of such payments in relation to the operating performance of the FHLB, (3) the impact of legislative and regulatory changes on institutions and, accordingly, the customer base of the FHLB, and (4) the liquidity position of the FHLB. Based on its evaluation, First Federal did not recognize an OTTI loss on its FHLB stock at December 31, 2019 and 2018 . |
Loans held for sale | Loans held for sale - Mortgage loans originated and intended for sale in the secondary market are carried at the lower of aggregate cost or fair value. Fair value is determined based upon market prices from third-party purchasers and brokers. Net unrealized losses, if any, are recognized through a valuation allowance by charges to earnings. Gains or losses on the sale of loans are recognized at the time of sale and determined by the difference between net sale proceeds and the net book value of the loan less the estimated fair value of any retained mortgage servicing rights. |
Loans receivable | Loans receivable - Loans are stated at the amount of unpaid principal, net of charge-offs, unearned income, allowance for loan loss (ALLL) and any deferred fees or costs. Interest on loans is calculated using the simple interest method based on the month end balance of the principal amount outstanding and is credited to income as earned. The estimated life is adjusted for prepayments. Each loan segment and class inherently contains differing credit risk profiles depending on the unique aspects of that segment or class of loans. For example, borrowers tend to consider their primary residence and access to transportation for employment-related purposes as basic requirements; accordingly, many consumers prioritize making payments on real estate first-mortgage loans and vehicle loans. Conversely, second-mortgage real estate loans or unsecured loans may not be supported by sufficient collateral; thus, in the event of financial hardship, borrowers may tend to place less importance on maintaining these loans as current and the Bank may not have adequate collateral to provide a secondary source of repayment in the event of default. Notwithstanding the various risk profiles unique to each class of loan, management believes that the credit risk for all loans is similarly dependent on essentially the same factors, including the financial strength of the borrower, the cash flow available to service maturing debt obligations, the condition and value of underlying collateral, the financial strength of any guarantors, and other factors. Loans are classified as impaired when, based on current information and events, it is probable that First Federal will be unable to collect the scheduled payments of principal and interest when due, in accordance with the terms of the original loan agreement. The carrying value of impaired loans is based on the present value of expected future cash flows discounted at each loan’s effective interest rate or, for collateral dependent loans, at fair value of the collateral, less selling costs. If the measurement of each impaired loan’s value is less than the recorded investment in the loan, First Federal recognizes this impairment and adjusts the carrying value of the loan to fair value through the allowance for loan losses. This can be accomplished by charging off the impaired portion of the loan or establishing a specific component to be provided for in the allowance for loan losses. The accrual of interest on loans is discontinued at the time the loan is 90 days delinquent, unless the credit is well secured and in process of collection. In all cases, loans are placed on nonaccrual or charged off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued but not collected for loans that are placed on nonaccrual or charged off is reversed against interest income. The interest on these loans is accounted for on the cash basis or cost recovery method until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. For those loans placed on non-accrual status due to payment delinquency, return to accrual status will generally not occur until the borrower demonstrates repayment ability over a period of not less than six months. |
Loan fees | Loan fees - Loan origination fees and certain direct origination costs are deferred and amortized as an adjustment to the yield of the loan over the contractual life using the effective interest method. In the event a loan is sold, the remaining deferred loan origination fees and/or costs are recognized as a component of gains or losses on the sale of loans. |
Allowance for loan losses | Allowance for loan losses - First Federal maintains a general allowance for loan losses based on evaluating known and inherent risks in the loan portfolio, including management’s continuing analysis of the factors underlying the quality of the loan portfolio. These factors include changes in the size and composition of the loan portfolio, actual loan loss experience, and current and anticipated economic conditions. The reserve is an estimate based upon factors and trends identified by management at the time the financial statements are prepared. The ultimate recovery of loans is susceptible to future market factors beyond First Federal’s control, which may result in losses or recoveries differing significantly from those provided in the consolidated financial statements. In addition, various regulatory agencies, as an integral part of their examination processes, periodically review First Federal’s allowance for loan losses. Such agencies may require First Federal to recognize additional provisions for loan losses based on their judgment using information available to them at the time of their examination. Allowances for losses on specific problem loans are charged to income when it is determined that the value of these loans and properties, in the judgment of management, is impaired. First Federal accounts for impaired loans in accordance with Accounting Standards Codification (ASC) 310-10-35, Receivables—Overall—Subsequent Measurement . A loan is considered impaired when, based on current information and events, it is probable that First Federal will be unable to collect all amounts due according to the contractual terms of the loan agreement. When a loan has been identified as being impaired, the amount of the impairment is measured by using discounted cash flows, except when it is determined that the sole source of repayment for the loan is the operation or liquidation of the underlying collateral. In such cases, impairment is measured at current fair value generally based on a current appraisal of the collateral, reduced by estimated selling costs. When the measurement of the impaired loan is less than the recorded investment in the loan (including collected interest that has been applied to principal, net deferred loan fees or costs, and unamortized premiums or discounts), loan impairment is recognized by establishing or adjusting an allocation of the allowance for loan losses. Uncollected accrued interest is reversed against interest income. If ultimate collection of principal is in doubt, all cash receipts on impaired loans are applied to reduce the principal balance. The impairment amount for small balance homogeneous loans is calculated using the adjusted historical loss rate for the class and risk category related to each loan, unless the loan is subject to a troubled debt restructuring ("TDR"). A TDR is a loan for which First Federal, for reasons related to the borrower’s financial difficulties, grants a concession to the borrower that First Federal would not otherwise consider. The loan terms that have been modified or restructured due to the borrower’s financial difficulty include, but are not limited to, a reduction in the stated interest rate; an extension of the maturity; an interest rate below market; a reduction in the face amount of the debt; a reduction in the accrued interest; or extension, deferral, renewal, or rewrite of the original loan terms. The restructured loans may be classified “special mention” or “substandard” depending on the severity of the modification. Loans that were paid current at the time of modification may be upgraded in their classification after a sustained period of repayment performance, usually six months or longer, and there is reasonable assurance that repayment will continue. Loans that are past due at the time of modification are classified “substandard” and placed on nonaccrual status. TDR loans may be upgraded in their classification and placed on accrual status once there is a sustained period of repayment performance, usually six months or longer, and there is a reasonable assurance that repayment will continue. First Federal allows reclassification of a troubled debt restructuring back into the general loan pool (as a non-troubled debt restructuring) if the borrower is able to refinance the loan at then-current market rates and meet all of the underwriting criteria of First Federal required of other borrowers. The refinance must be based on the borrower’s ability to repay the debt and no special concessions of rate and/or term are granted to the borrower. |
Reserve for unfunded commitments | Reserve for unfunded commitments - Management maintains a reserve for unfunded commitments to absorb probable losses associated with off-balance sheet commitments to lend funds such as unused lines of credit and the undisbursed portion of construction loans. Management determines the adequacy of the reserve based on reviews of individual exposures, current economic conditions, and other relevant factors. The reserve is based on estimates and ultimate losses may vary from the current estimates. The reserve is evaluated on a regular basis and necessary adjustments are reported in earnings during the period in which they become known. The reserve for unfunded commitments is included in "Accrued expenses and other liabilities" on the consolidated balance sheets. |
Real estate owned and repossessed assets | Real estate owned and repossessed assets - Real estate owned and repossessed assets include real estate and personal property acquired through foreclosure or repossession and may include in-substance foreclosed properties. In-substance foreclosed properties are those properties for which the Bank has taken physical possession, regardless of whether formal foreclosure proceedings have taken place. |
Mortgage servicing rights | Mortgage servicing rights - Originated servicing rights are recorded when mortgage loans are originated and subsequently sold with the servicing rights retained. Servicing assets are initially recognized at fair value with the income statement effect recorded in gains on sales of loans and amortized into non-interest income in proportion to, and over the period of, the estimated future net servicing income of the underlying financial asset. To determine the fair value of servicing rights, management uses a valuation model that calculates the present value of future cash flows. Assumptions used in the valuation model include market discount rates and anticipated prepayment speeds. In addition, estimates of the cost of servicing per loan, an inflation rate, ancillary income per loan, and default rates are used. The initial fair value relating to the servicing rights is capitalized and amortized into noninterest income in proportion to, and over the period of, estimated future net servicing income. Management assesses impairment of the mortgage servicing rights based on recalculations of the present value of remaining future cash flows using updated market discount rates and prepayment speeds. Subsequent loan prepayments and changes in prepayment assumptions in excess of those forecasted can adversely impact the carrying value of the servicing rights. Impairment is assessed on a stratified basis with any impairment recognized through a valuation allowance for each impaired stratum. The servicing rights are stratified based on the predominant risk characteristics of the underlying loans: fixed-rate loans and adjustable-rate loans. The effect of changes in market interest rates on estimated rates of loan prepayments is the predominant risk characteristic for mortgage servicing rights. The valuation model incorporates assumptions that market participants would use in estimating future net servicing income, such as the cost to service, the discount rate, the custodial earnings rate, an inflation rate, ancillary income, prepayment speeds, and default rates and losses. Mortgage servicing income represents fees earned for servicing loans. Fees for servicing mortgage loans are generally based upon a percentage of the principal balance of the loans serviced, as well as related ancillary income such as late charges. Servicing income is recognized as earned, unless collection is doubtful. The caption in the consolidated statement of income “ Mortgage servicing fees, net ” includes mortgage servicing income, amortization of mortgage servicing rights, the effects of mortgage servicing run-off, and impairment, if applicable. |
Income taxes | Income taxes - First Federal accounts for income taxes in accordance with the provisions of ASC 740-10, Income Taxes , which requires the use of the asset and liability method of accounting for income taxes. Deferred tax assets and liabilities are recognized for their future tax consequences, attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using the enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. |
Premises and equipment | Premises and equipment - Premises and equipment are stated at cost less accumulated depreciation. Depreciation is recognized and computed on the straight-line method over the estimated useful lives as follows: Buildings 37.5 - 50 years Furniture, fixtures, and equipment 3 - 10 years Software 3 years Automobiles 5 years |
Transfers of financial assets | Transfers of financial assets - Transfers of an entire financial asset, a group of financial assets, or a participating interest in an entire financial asset are accounted for as sales when control over the assets has been relinquished. Control over transferred assets is deemed to be surrendered when: (1) the assets have been isolated from First Federal, (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) First Federal does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. The mortgage loans that are sold with recourse provisions are accounted for as sales until such time as the loan defaults. Periodically, First Federal sells mortgage loans with “life of the loan” recourse provisions, requiring First Federal to repurchase the loan at any time if it defaults. |
Bank-owned life insurance | Bank-owned life insurance - The carrying amount of life insurance approximates fair value. Fair value of life insurance is estimated using the cash surrender value, less applicable surrender charges. The change in cash surrender value is included in noninterest income. |
Off-balance-sheet credit-related financial instruments | Off-balance-sheet credit-related financial instruments - In the ordinary course of business, First Federal has entered into commitments to extend credit, including commitments under lines of credit, commercial letters of credit, and standby letters of credit. Such financial instruments are recorded when they are funded. |
Advertising costs | Advertising costs - First Federal expenses advertising costs as they are incurred. |
Comprehensive income (loss) | Comprehensive income (loss) - Accounting principles generally require that recognized revenue, expenses, and gains and losses be included in net income (loss) . 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 sheets, such items, along with net income (loss) , are components of comprehensive income (loss) . |
Dividend restriction | Dividend restriction - Banking regulations require maintaining certain capital levels and may limit the dividends paid by the Bank to the Company or by the Company to shareholders. |
Fair value measurements | Fair value measurements - Fair values of financial instruments are estimated using relevant market information and other assumptions ( Note 15 ). 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 these estimates. |
Segment information | Segment information - First Federal is engaged in the business of attracting deposits and providing lending services. Substantially all income is derived from a diverse base of commercial, mortgage, and consumer lending activities and investments. The Company’s activities are considered to be a single industry segment for financial reporting purposes. |
Employee Stock Ownership Plan | Employee Stock Ownership Plan - The cost of shares issued to the ESOP but not yet allocated to participants is shown as a reduction of shareholders' equity. Compensation expense is based on the market price of shares as they are committed to be released to participants' accounts. Dividends on allocated ESOP shares reduce retained earnings while dividends on unearned ESOP shares reduce debt and accrued interest. |
Earnings (loss) per Share | Earnings (loss) per Share - Basic earnings (loss) per share ("EPS") is computed by dividing net income or (loss), reduced by earnings allocated to participating shares of restricted stock, by the weighted-average number of common shares outstanding during the period. As ESOP shares are committed to be released, they become outstanding for EPS calculation purposes. ESOP shares not committed to be released are not considered outstanding for basic or diluted EPS calculations. The basic EPS calculation excludes the dilutive effect of all common stock equivalents. Diluted earnings per share reflects the weighted-average potential dilution that could occur if all potentially dilutive securities or other commitments to issue common stock were exercised or converted into common stock using the treasury stock method. According to the provisions of ASC 260, Earnings per Share , nonvested share-based payment awards that contain nonforfeitable rights to dividends or dividend equivalents are participating securities and are included in the computation of EPS pursuant to the two-class method. The two-class method is an earnings allocation formula that determines earnings per share for each class of common stock and participating security according to dividends declared or accumulated and participation rights in undistributed earnings. At this time the Company has no share-based payment awards nor paid a dividend. |
Recently issued accounting pronouncements | In February 2016, the FASB issued ASU No. 2016-02, Leases . ASU 2016-02 is intended to increase transparency and comparability among organizations by requiring the recognition of lease assets and lease liabilities on the balance sheet and disclosure of key information about leasing arrangements. 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 be recognized on the balance sheet. For public companies, this update is effective for interim and annual periods beginning after December 15, 2018. The adoption of ASU No. 2016-02 effective January 1, 2019, resulted in a right-of-use asset and corresponding lease obligation liability of $3.9 million . The Corporation chose the effective date as the date of initial application. Consequently, prior period financial information has not been updated or restated. The right-of-use asset is included in other assets and the lease obligation liability is included in other liabilities on the December 31, 2019 , consolidated balance sheet. In August 2017, FASB issued ASU No. 2017-12, Derivatives and Hedging (Topic 815). This ASU was issued to provide investors better insight to an entity’s risk management hedging strategies by permitting companies to recognize the economic results of hedging strategies in the financial statements. The amendments in this ASU permit hedge accounting for hedging relationships involving non-financial risk and interest rate risk by removing certain limitations in cash flow and fair value hedging relationships. In addition, the ASU requires an entity to present the earnings effect of the hedging instrument in the same income statement line item in which the earnings effect of the hedged item is reported. This ASU is effective for fiscal years beginning after December 15, 2018, and early adoption is permitted. Adoption of ASU 2017-12 did not have a material impact on the Company’s consolidated financial statements. In June 2018, FASB issued ASU No. 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting . These amendments provide specific guidance for transactions for acquiring goods and services from nonemployees and specify that Topic 718 applies to all share-based payment transactions in which a grantor acquires goods or services to be used or consumed in a grantor’s own operations by issuing share-based payment awards. The amendments also clarify that Topic 718 does not apply to share-based payments used to effectively provide (i) financing to the issuer or (ii) awards granted in conjunction with selling goods or services to customers as part of a contract accounted for under Topic 606, Revenue from Contracts with Customers . This guidance is effective for fiscal years beginning after December 15, 2018, and interim periods beginning after December 15, 2020. Early adoption is permitted but not earlier than the adoption of Topic 606. Adoption of this ASU did not have a material effect on the Company's consolidated financial statements as it has not historically issued share-based payments in exchange for goods or services to be consumed within its operations. In July 2018, FASB issued ASU No. 2018-09, Codification Improvements . These amendments provide clarifications and corrections to certain ASC subtopics including the following: 220-10 (Income Statement - Reporting Comprehensive Income - Overall), 470-50 (Debt - Modifications and Extinguishments), 480-10 (Distinguishing Liabilities from Equity - Overall), 718-740 (Compensation - Stock Compensation - Income Taxes), 805-740 (Business Combinations - Income Taxes), 815-10 (Derivatives and Hedging - Overall), and 820-10 (Fair Value Measurement - Overall). Some of the amendments in ASU 2018-09 do not require transition guidance and will be effective upon issuance; however, many of the amendments do have transition guidance with effective dates for annual periods beginning after December 15, 2018. Adoption of ASU 2018-09 did not have a material impact on the Company's consolidated financial statements. In October 2018, the FASB issued ASU No. 2018-16 Derivatives and Hedging (Topic 815), Inclusion of the Secured Overnight Financing Rate (SOFR) Overnight Index Swap (OIS) Rate as a Benchmark Interest Rate for Hedge Accounting Purposes . The amendments in this ASU permit use of the OIS rate based on SOFR as a U.S. benchmark interest rate for hedge accounting purposes under Topic 815 in addition to the interest rates on direct Treasury obligations of the U.S. government, the London Interbank Offered Rate (LIBOR) swap rate, the Overnight Index Swap (OIS) Rate based on the Fed Funds Effective Rate and the Securities Industry and Financial Markets Association (SIFMA) Municipal Swap Rate. The amendments in this ASU are required to be adopted concurrently with the amendments in ASU 2017-12. For public companies, this would be for fiscal years, and interim periods within those fiscal years beginning after December 15, 2018. Adoption of ASU 2018-16 did not have a material impact on the Company's consolidated financial statements. Recently adopted regulatory rule In August 2018, the Securities and Exchange Commission issued a final rule that amends certain of its disclosure requirements. The rule simplifies various disclosure requirements for public companies including primarily that it (i) eliminates the requirement for public companies to disclose in their filings a schedule of earnings to fixed charges, (ii) requires an analysis of changes in stockholders’ equity for the current and comparative year-to-date interim periods in interim reports, and (iii) reduces the requirements for market price information disclosures in annual reports. These changes are effective for public companies beginning on November 5, 2018. The Company started complying with these new requirements beginning with the Quarterly Report for the period ended March 31, 2019, on Form 10-Q. Recently issued accounting pronouncements not yet adopted Credit Losses In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Loss , which updates the guidance on recognition and measurement of credit losses for financial assets. The new requirements, known as the current expected credit loss model (CECL) will require entities to adopt an impairment model based on expected losses rather than incurred losses. ASU No. 2016-13 is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Upon adoption, the Company will change processes and procedures to calculate the allowance for loan losses, including changes in assumptions and estimates to consider expected credit losses over the life of the loan versus the current accounting practice that utilizes the incurred loss model. In addition, the current accounting policy and procedures for other-than-temporary impairment on investment securities available for sale will be replaced with an allowance approach. Additional updates were issued in ASU No. 2019-04, Codification Improvements to Topic 326, Financial Instruments - Credit Losses, Topic 815, Derivatives and Hedging (Topic 825), Financial Instruments . This ASU clarifies and improves guidance related to the previously issued standards on credit losses, hedging and recognition and measurement of financial instruments. The amendments provide entities with various measurement alternatives and policy elections related to accounting for credit losses and accrued interest receivable balances. Entities are also able to elect a practical expedient to separately disclose the total amount of accrued interest included in the amortized cost basis as a single balance to meet certain disclosure requirements. The amendments clarify that the estimated allowance for credit losses should include all expected recoveries of financial assets and trade receivables that were previously written off and expected to be written off. The amendments also allow entities to use projections of future interest rate environments when using a discounted cash flow method to measure expected credit losses on variable-rate financial instruments. In addition, new updates were issued through ASU No. 2019-05, Financial Instruments - Credit Losses (Topic 326): Targeted Transition Relief . This amendment allows entities to elect the fair value option on certain financial instruments. On adoption, an entity is allowed to irrevocably elect the fair value option on an instrument-by-instrument basis. This alternative is available for all instruments in the scope of Subtopic 326-20 except for existing held-to-maturity debt securities. If an entity elects the fair value option, the difference between the instrument’s fair value and carrying amount is recognized as a cumulative-effect adjustment. In October 2019, the FASB confirmed that it will be moving forward with finalizing its proposal to defer the effective date for this guidance for smaller reporting companies from the interim and annual periods beginning after December 15, 2020 to the interim and annual periods beginning after December 15, 2022. For this effective date deferral to take effect, the FASB must issue the final ASU which we expect to be issued in mid-November. Early adoption is permitted for interim and annual periods beginning after December 15, 2018. Upon issuance of the final ASU, we plan to adopt this guidance on January 1, 2023. The Company is evaluating the provisions of ASU No. 2016-13, ASU No. 2019-04 and ASU No. 2019-05, and will closely monitor developments and additional guidance to determine the potential impact on the Company’s consolidated financial statements. At this time, we cannot reasonably estimate the impact the implementation of these ASUs will have on the Company's consolidated financial statements. The Company's internal project management team continues to review models, work with our third-party vendor, and discuss changes to processes and procedures to ensure the Company is fully compliant with the amendments at the adoption date. Other Pronouncements In August 2018, FASB issued ASU No. 2018-13, Disclosure Framework — Changes to the Disclosure Requirements for Fair Value Measurement , which removes, modifies, and adds certain disclosure requirements related to fair value measurements in ASC 820. This guidance eliminates certain disclosure requirements for fair value measurements: the amount of and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy, an entity’s policy for the timing of transfers between levels of the fair value hierarchy and an entity’s valuation processes for Level 3 fair value measurements. This guidance also adds new disclosure requirements for public entities: changes in unrealized gains and losses for the period included in other comprehensive income for recurring Level 3 fair value measurements of instruments held at the end of the reporting period, and the range and weighted average of significant unobservable inputs used to develop recurring and nonrecurring Level 3 fair value measurements, including how the weighted average is calculated. Furthermore, this guidance modifies certain requirements which will involve disclosing: transfers into and out of Level 3 of the fair value hierarchy, purchases and issuances of Level 3 assets and liabilities, and information about the measurement uncertainty of Level 3 fair value measurements as of the reporting date. This guidance is effective for public companies in fiscal years beginning after December 15, 2019, with early adoption permitted. This ASU is not expected to have a material impact on the Company's consolidated financial statements. In August 2018, FASB issued ASU No. 2018-15, Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract , to provide guidance on implementation costs incurred in a cloud computing arrangement that is a service contract. The ASU aligns the accounting for such costs with the guidance on capitalizing costs associated with developing or obtaining internal-use software. Specifically, the ASU amends ASC 350 to include in its scope implementation costs of such arrangements that are service contracts and clarifies that a customer should apply ASC 350-40 to determine which implementation costs should be capitalized. This ASU, which is effective for fiscal years beginning after December 15, 2019, is not expected to have a material impact on the Company’s financial statements. In December 2019, FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes . ASU 2019-12 simplifies various aspects related to accounting for income taxes by removing certain exceptions to the general principles in Topic 740. The standard also clarifies and amends existing guidance to improve consistent application. This ASU, which is effective for fiscal years beginning after December 15, 2020, is not expected to have a material impact on the Company's financial statements. Early adoption is permitted. |
Reclassifications | Reclassifications - Certain amounts in the unaudited interim consolidated financial statements for prior periods have been reclassified to conform to the current audited financial statement presentation with no effect on net income or shareholders' equity. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of premises and equipment useful lives | Depreciation is recognized and computed on the straight-line method over the estimated useful lives as follows: Buildings 37.5 - 50 years Furniture, fixtures, and equipment 3 - 10 years Software 3 years Automobiles 5 years Premises and equipment consist of the following as of: December 31, 2019 December 31, 2018 (In thousands) Land $ 2,564 $ 2,560 Buildings 6,075 6,075 Building improvements 12,015 11,985 Furniture, fixtures, and equipment 7,011 7,446 Software 1,221 1,507 Automobiles 66 81 Construction in progress 136 9 29,088 29,663 Less accumulated depreciation and amortization (14,746 ) (14,408 ) $ 14,342 $ 15,255 |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of amortized costs and fair values of securities available-for-sale | The amortized cost, gross unrealized gains and losses, and estimated fair value of securities classified as available-for-sale and held-to-maturity at December 31, 2019 , are summarized as follows: December 31, 2019 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value (In thousands) Available for Sale Investment Securities Municipal bonds $ 39,524 $ 125 $ (367 ) $ 39,282 U.S. government agency issued asset-backed securities 29,796 — (938 ) 28,858 Corporate issued asset-backed securities (ABS corporate) 41,728 — (873 ) 40,855 Corporate issued debt securities (Corporate debt) 9,986 — (343 ) 9,643 U.S. Small Business Administration securities (SBA) 28,423 72 (36 ) 28,459 Total $ 149,457 $ 197 $ (2,557 ) $ 147,097 Mortgage-Backed Securities U.S. government agency issued mortgage-backed securities $ 159,697 $ 811 $ (341 ) $ 160,167 Corporate issued mortgage-backed securities 8,374 — (58 ) 8,316 Total $ 168,071 $ 811 $ (399 ) $ 168,483 Total securities available for sale $ 317,528 $ 1,008 $ (2,956 ) $ 315,580 The amortized cost, gross unrealized gains and losses, and estimated fair value of securities classified as available-for-sale and held-to-maturity at December 31, 2018 , are summarized as follows: December 31, 2018 Cost Gross Gains Gross Losses Estimated Value (In thousands) Available for Sale Investment Securities Municipal bonds $ 882 $ — $ (13 ) $ 869 ABS agency 26,125 — (373 ) 25,752 ABS corporate 37,897 — (1,174 ) 36,723 Corporate debt 9,986 98 (196 ) 9,888 SBA 35,936 23 (289 ) 35,670 Total $ 110,826 $ 121 $ (2,045 ) $ 108,902 Mortgage-Backed Securities MBS agency $ 147,205 $ 12 $ (3,762 ) $ 143,455 MBS corporate 10,953 — (343 ) 10,610 Total $ 158,158 $ 12 $ (4,105 ) $ 154,065 Total securities available for sale $ 268,984 $ 133 $ (6,150 ) $ 262,967 Held to Maturity Investment Securities Municipal bonds $ 11,919 $ 43 $ — $ 11,962 SBA 302 — (1 ) 301 Total $ 12,221 $ 43 $ (1 ) $ 12,263 Mortgage-Backed Securities MBS agency $ 31,282 $ 40 $ (595 ) $ 30,727 Total securities held to maturity $ 43,503 $ 83 $ (596 ) $ 42,990 |
Schedule of available-for-sale securities in a continuous unrealized loss position | The following table shows the unrealized gross losses and fair value of the investment portfolio by length of time that individual securities in each category have been in a continuous loss position as of December 31, 2019 : Less Than Twelve Months Twelve Months or Longer Total Gross Fair Value Gross Fair Value Gross Fair Value (In thousands) Available for Sale Investment Securities Municipal bonds $ (367 ) $ 29,928 $ — $ — $ (367 ) $ 29,928 ABS Agency (59 ) 3,855 (879 ) 25,002 (938 ) 28,857 ABS corporate (31 ) 3,848 (842 ) 37,007 (873 ) 40,855 Corporate debt (17 ) 4,983 (326 ) 4,660 (343 ) 9,643 SBA — — (36 ) 15,034 (36 ) 15,034 Total $ (474 ) $ 42,614 $ (2,083 ) $ 81,703 $ (2,557 ) $ 124,317 Mortgage-Backed Securities MBS agency $ (166 ) $ 18,744 $ (175 ) $ 47,463 $ (341 ) $ 66,207 MBS corporate — — (58 ) 8,316 (58 ) 8,316 Total $ (166 ) $ 18,744 $ (233 ) $ 55,779 $ (399 ) $ 74,523 The following table shows the unrealized gross losses and fair value of the investment portfolio by length of time that individual securities in each category have been in a continuous loss position as of December 31, 2018 : Less Than Twelve Months Twelve Months or Longer Total Gross Fair Gross Fair Gross Fair (In thousands) Available for Sale Investment Securities Municipal bonds $ (8 ) $ 757 $ (5 ) $ 110 $ (13 ) $ 867 ABS Agency (302 ) 23,286 (71 ) 2,466 (373 ) 25,752 ABS Corporate (571 ) 14,527 (603 ) 22,196 (1,174 ) 36,723 Corporate debt — — (196 ) 4,791 (196 ) 4,791 SBA (44 ) 13,400 (245 ) 13,089 (289 ) 26,489 Total $ (925 ) $ 51,970 $ (1,120 ) $ 42,652 $ (2,045 ) $ 94,622 Mortgage-Backed Securities MBS agency $ (28 ) $ 17,996 $ (3,734 ) $ 120,617 $ (3,762 ) $ 138,613 MBS corporate — — (343 ) 10,610 (343 ) 10,610 Total $ (28 ) $ 17,996 $ (4,077 ) $ 131,227 $ (4,105 ) $ 149,223 Held to Maturity Investment Securities SBA $ (1 ) $ — $ — $ 301 $ (1 ) $ 301 Mortgage-Backed Securities MBS agency $ (70 ) $ 6,241 $ (525 ) $ 18,073 $ (595 ) $ 24,314 |
Schedule of held-to-maturity securities in a continuous unrealized loss position | The following table shows the unrealized gross losses and fair value of the investment portfolio by length of time that individual securities in each category have been in a continuous loss position as of December 31, 2019 : Less Than Twelve Months Twelve Months or Longer Total Gross Fair Value Gross Fair Value Gross Fair Value (In thousands) Available for Sale Investment Securities Municipal bonds $ (367 ) $ 29,928 $ — $ — $ (367 ) $ 29,928 ABS Agency (59 ) 3,855 (879 ) 25,002 (938 ) 28,857 ABS corporate (31 ) 3,848 (842 ) 37,007 (873 ) 40,855 Corporate debt (17 ) 4,983 (326 ) 4,660 (343 ) 9,643 SBA — — (36 ) 15,034 (36 ) 15,034 Total $ (474 ) $ 42,614 $ (2,083 ) $ 81,703 $ (2,557 ) $ 124,317 Mortgage-Backed Securities MBS agency $ (166 ) $ 18,744 $ (175 ) $ 47,463 $ (341 ) $ 66,207 MBS corporate — — (58 ) 8,316 (58 ) 8,316 Total $ (166 ) $ 18,744 $ (233 ) $ 55,779 $ (399 ) $ 74,523 The following table shows the unrealized gross losses and fair value of the investment portfolio by length of time that individual securities in each category have been in a continuous loss position as of December 31, 2018 : Less Than Twelve Months Twelve Months or Longer Total Gross Fair Gross Fair Gross Fair (In thousands) Available for Sale Investment Securities Municipal bonds $ (8 ) $ 757 $ (5 ) $ 110 $ (13 ) $ 867 ABS Agency (302 ) 23,286 (71 ) 2,466 (373 ) 25,752 ABS Corporate (571 ) 14,527 (603 ) 22,196 (1,174 ) 36,723 Corporate debt — — (196 ) 4,791 (196 ) 4,791 SBA (44 ) 13,400 (245 ) 13,089 (289 ) 26,489 Total $ (925 ) $ 51,970 $ (1,120 ) $ 42,652 $ (2,045 ) $ 94,622 Mortgage-Backed Securities MBS agency $ (28 ) $ 17,996 $ (3,734 ) $ 120,617 $ (3,762 ) $ 138,613 MBS corporate — — (343 ) 10,610 (343 ) 10,610 Total $ (28 ) $ 17,996 $ (4,077 ) $ 131,227 $ (4,105 ) $ 149,223 Held to Maturity Investment Securities SBA $ (1 ) $ — $ — $ 301 $ (1 ) $ 301 Mortgage-Backed Securities MBS agency $ (70 ) $ 6,241 $ (525 ) $ 18,073 $ (595 ) $ 24,314 |
Schedule of amortized cost and estimated fair value of investment securities by contractual maturity | The amortized cost and estimated fair value of investment securities by contractual maturity are shown in the following tables at the dates indicated. Expected maturities of mortgage-backed securities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties; therefore, these securities are shown separately. December 31, 2019 Amortized Cost Estimated Fair Value Available for Sale (In thousands) Mortgage-backed securities: Due within one year $ — $ — Due after one through five years 13,360 13,391 Due after five through ten years 6,261 6,257 Due after ten years 148,450 148,835 Total mortgage-backed securities 168,071 168,483 All other investment securities: Due within one year — — Due after one through five years 2,043 2,084 Due after five through ten years 58,460 57,680 Due after ten years 88,954 87,333 Total all other investment securities 149,457 147,097 Total investment securities $ 317,528 $ 315,580 December 31, 2018 Available for Sale Held to Maturity Amortized Cost Estimated Fair Value Amortized Cost Estimated Fair Value (In thousands) Mortgage-backed securities: Due within one year $ — $ — $ — $ — Due after one through five years 7,204 7,089 578 569 Due after five through ten years 11,862 11,637 2,035 1,978 Due after ten years 139,092 135,339 28,669 28,180 Total mortgage-backed securities 158,158 154,065 31,282 30,727 All other investment securities: Due within one year — — — — Due after one through five years — — 734 741 Due after five through ten years 19,564 19,362 6,728 6,743 Due after ten years 91,262 89,540 4,759 4,779 Total all other investment securities 110,826 108,902 12,221 12,263 Total investment securities $ 268,984 $ 262,967 $ 43,503 $ 42,990 |
Summary of sale of available-for-sale securities | Sales of available-for-sale securities were as follows: For the Year Ended December 31, 2019 2018 (In thousands) Proceeds $ 16,545 $ 56,683 Gross gains 836 233 Gross losses — (183 ) |
Loans Receivable (Tables)
Loans Receivable (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Loans and Leases Receivable Disclosure [Abstract] | |
Schedule of loans receivable balances | Loans receivable consist of the following at the dates indicated: December 31, 2019 December 31, 2018 (In thousands) Real Estate: One- to four-family $ 306,014 $ 336,178 Multi-family 96,098 82,331 Commercial real estate 255,722 253,235 Construction and land 37,187 54,102 Total real estate loans 695,021 725,846 Consumer: Home equity 35,046 37,629 Auto and other consumer 112,119 87,357 Total consumer loans 147,165 124,986 Commercial business loans 41,571 18,898 Total loans 883,757 869,730 Less: Net deferred loan fees 206 292 Premium on purchased loans, net (4,514 ) (3,947 ) Allowance for loan losses 9,628 9,533 Total loans receivable, net $ 878,437 $ 863,852 |
Schedule of loans by the earlier of next repricing date or maturity | Loans, by the earlier of next repricing date or maturity, at the dates indicated: December 31, 2019 December 31, 2018 (In thousands) Adjustable-rate loans Due within one year $ 99,494 $ 84,284 After one but within five years 238,244 263,118 After five but within ten years 53,142 59,922 After ten years 5,054 5,202 395,934 412,526 Fixed-rate loans Due within one year 37,110 1,698 After one but within five years 67,786 83,407 After five but within ten years 124,683 120,094 After ten years 258,244 252,005 487,823 457,204 $ 883,757 $ 869,730 |
Schedule of activity in allowance for loan losses | The following tables summarize changes in the ALLL and the loan portfolio by segment and impairment method at or for the periods shown: At or For the Year Ended December 31, 2019 One-to- Multi- Commercial Construction Home Auto and Commercial Unallocated Total (In thousands) ALLL: Beginning balance $ 3,297 $ 762 $ 2,289 $ 585 $ 480 $ 1,611 $ 334 $ 175 $ 9,533 Provision for (recapture of) loan losses (278 ) 126 (46 ) (188 ) (71 ) 1,275 (125 ) (24 ) 669 Charge-offs — — — — — (884 ) (3 ) — (887 ) Recoveries 5 — — 2 45 259 2 — 313 Ending balance $ 3,024 $ 888 $ 2,243 $ 399 $ 454 $ 2,261 $ 208 $ 151 $ 9,628 At December 31, 2019 One-to- Multi- Commercial Construction Home Auto and Commercial Unallocated Total (In thousands) Total ALLL $ 3,024 $ 888 $ 2,243 $ 399 $ 454 $ 2,261 $ 208 $ 151 $ 9,628 General reserve 2,993 887 2,235 399 439 2,119 203 151 9,426 Specific reserve 31 1 8 — 15 142 5 — 202 Total loans $ 306,014 $ 96,098 $ 255,722 $ 37,187 $ 35,046 $ 112,119 $ 41,571 $ — $ 883,757 General reserves (1) 303,026 95,991 253,839 37,158 34,775 111,271 41,308 — 877,368 Specific reserves (2) 2,988 107 1,883 29 271 848 263 — 6,389 (1) Loans collectively evaluated for general reserves. (2) Loans individually evaluated for specific reserves. At or For the Year Ended December 31, 2018 One-to- Multi- Commercial Construction Home Auto and Commercial Unallocated Total (In thousands) ALLL: Beginning balance $ 3,061 $ 648 $ 1,847 $ 648 $ 787 $ 712 $ 265 $ 792 $ 8,760 Provision for (recapture of) loan losses 249 114 442 (65 ) (332 ) 1,315 68 (617 ) 1,174 Charge-offs (18 ) — — — — (638 ) — — (656 ) Recoveries 5 — — 2 25 222 1 — 255 Ending balance $ 3,297 $ 762 $ 2,289 $ 585 $ 480 $ 1,611 $ 334 $ 175 $ 9,533 At December 31, 2018 One-to- Multi- Commercial Construction Home Auto and Commercial Unallocated Total (In thousands) Total ALLL $ 3,297 $ 762 $ 2,289 $ 585 $ 480 $ 1,611 $ 334 $ 175 $ 9,533 General reserve 3,262 761 2,281 584 474 1,552 168 175 9,257 Specific reserve 35 1 8 1 6 59 166 — 276 Total loans $ 336,178 $ 82,331 $ 253,235 $ 54,102 $ 37,629 $ 87,357 $ 18,898 $ — $ 869,730 General reserves (1) 333,062 82,221 251,263 54,058 37,002 87,113 18,453 — 863,172 Specific reserves (2) 3,116 110 1,972 44 627 244 445 — 6,558 (1) Loans collectively evaluated for general reserves. (2) Loans individually evaluated for specific reserves. |
Schedules of impaired loans | The following table presents a summary of loans individually evaluated for impairment by portfolio segment including the average recorded investment in and interest income recognized on impaired loans at or for the periods shown: Year Ended December 31, 2019 December 31, 2019 Recorded Unpaid Balance Related Allowance Average Recorded Investment Interest (In thousands) With no allowance recorded: One- to four-family $ 297 $ 332 $ — $ 237 $ 11 Multi-family — — — — — Commercial real estate 1,240 1,320 — 1,271 54 Construction and land — 33 — — — Home equity 45 110 — 120 2 Auto and other consumer 251 548 — 20 18 Commercial business — — — — 4 Total 1,833 2,343 — 1,648 89 With an allowance recorded: One- to four-family 2,691 2,911 31 2,801 178 Multi-family 107 107 1 109 5 Commercial real estate 643 643 8 654 34 Construction and land 29 29 — 50 3 Home equity 226 286 15 281 19 Auto and other consumer 597 690 142 372 19 Commercial business 263 263 5 290 13 Total 4,556 4,929 202 4,557 271 Total impaired loans: One- to four-family 2,988 3,243 31 3,038 189 Multi-family 107 107 1 109 5 Commercial real estate 1,883 1,963 8 1,925 88 Construction and land 29 62 — 50 3 Home equity 271 396 15 401 21 Auto and other consumer 848 1,238 142 392 37 Commercial business 263 263 5 290 17 Total $ 6,389 $ 7,272 $ 202 $ 6,205 $ 360 The following table presents a summary of loans individually evaluated for impairment by portfolio segment including the average recorded investment in and interest income recognized on impaired loans at or for the periods shown: Year Ended December 31, 2018 December 31, 2018 Recorded Unpaid Balance Related Allowance Average Recorded Investment Interest (In thousands) With no allowance recorded: One- to four-family $ 306 $ 339 $ — $ 381 $ 15 Multi-family — — — — — Commercial real estate 1,308 1,374 — 1,942 47 Construction and land — 1 — 1,243 — Home equity 330 478 — 349 12 Auto and other consumer — 276 — — 14 Commercial business — 3 — — — Total 1,944 2,471 — 3,915 88 With an allowance recorded: One- to four-family 2,810 3,085 35 3,016 181 Multi-family 110 110 1 113 6 Commercial real estate 664 663 8 738 35 Construction and land 44 71 1 66 5 Home equity 297 364 6 275 22 Auto and other consumer 244 244 59 126 8 Commercial business 445 445 166 777 64 Total 4,614 4,982 276 5,111 321 Total impaired loans: One- to four-family 3,116 3,424 35 3,397 196 Multi-family 110 110 1 113 6 Commercial real estate 1,972 2,037 8 2,680 82 Construction and land 44 72 1 1,309 5 Home equity 627 842 6 624 34 Auto and other consumer 244 520 59 126 22 Commercial business 445 448 166 777 64 Total $ 6,558 $ 7,453 $ 276 $ 9,026 $ 409 |
Schedule of recorded investments in nonaccrual loans | The following table presents the recorded investment in nonaccrual loans by class of loan at the dates indicated: December 31, 2019 December 31, 2018 (In thousands) One- to four-family $ 698 $ 759 Commercial real estate 109 133 Construction and land 29 44 Home equity 112 369 Auto and other consumer 848 245 Commercial business loans — 173 Total nonaccrual loans $ 1,796 $ 1,723 |
Schedule of past due loans by class | The following table presents the recorded investment of past due loans, by class, as of December 31, 2019 : 30-59 Past Due 60-89 Past Due 90 Days Past Due Total Past Due Current Total Loans (In thousands) Real Estate: One- to four-family $ 928 $ 92 $ 116 $ 1,136 $ 304,878 $ 306,014 Multi-family — — — — 96,098 96,098 Commercial real estate — — — — 255,722 255,722 Construction and land 38 — — 38 37,149 37,187 Total real estate loans 966 92 116 1,174 693,847 695,021 Consumer: Home equity 299 24 — 323 34,723 35,046 Auto and other consumer 1,423 370 614 2,407 109,712 112,119 Total consumer loans 1,722 394 614 2,730 144,435 147,165 Commercial business loans — 115 — 115 41,456 41,571 Total loans $ 2,688 $ 601 $ 730 $ 4,019 $ 879,738 $ 883,757 The following table presents the recorded investment of past due loans, by class, as of December 31, 2018 : 30-59 Past Due 60-89 Past Due 90 Days Past Due Total Past Due Current Total Loans (In thousands) Real Estate: One- to four-family $ 289 $ 176 $ 164 $ 629 $ 335,549 $ 336,178 Multi-family — — — — 82,331 82,331 Commercial real estate — — — — 253,235 253,235 Construction and land 35 14 31 80 54,022 54,102 Total real estate loans 324 190 195 709 725,137 725,846 Consumer: Home equity 97 30 9 136 37,493 37,629 Auto and other consumer 471 92 — 563 86,794 87,357 Total consumer loans 568 122 9 699 124,287 124,986 Commercial business loans 923 — — 923 17,975 18,898 Total loans $ 1,815 $ 312 $ 204 $ 2,331 $ 867,399 $ 869,730 |
Schedule of loans by risk category | The following table represents the internally assigned grade as of December 31, 2019 , by class of loans: Pass Watch Special Mention Sub- Standard Total (In thousands) Real Estate: One- to four-family $ 301,312 $ 2,685 $ 1,148 $ 869 $ 306,014 Multi-family 95,694 — 107 297 96,098 Commercial real estate 251,531 97 2,800 1,294 255,722 Construction and land 35,897 1,184 77 29 37,187 Total real estate loans 684,434 3,966 4,132 2,489 695,021 Consumer: Home equity 34,260 470 89 227 35,046 Auto and other consumer 107,327 3,243 594 955 112,119 Total consumer loans 141,587 3,713 683 1,182 147,165 Commercial business loans 39,653 376 263 1,279 41,571 Total loans $ 865,674 $ 8,055 $ 5,078 $ 4,950 $ 883,757 The following table represents the internally assigned grade as of December 31, 2018 , by class of loans: Pass Watch Special Mention Sub- Standard Total (In thousands) Real Estate: One- to four-family $ 330,476 $ 3,767 $ 957 $ 978 $ 336,178 Multi-family 82,221 — 110 — 82,331 Commercial real estate 244,919 6,281 663 1,372 253,235 Construction and land 51,480 2,578 — 44 54,102 Total real estate loans 709,096 12,626 1,730 2,394 725,846 Consumer: Home equity 36,559 465 123 482 37,629 Auto and other consumer 85,579 1,310 151 317 87,357 Total consumer loans 122,138 1,775 274 799 124,986 Commercial business loans 16,520 1,733 472 173 18,898 Total loans $ 847,754 $ 16,134 $ 2,476 $ 3,366 $ 869,730 The following table represents the credit risk profile based on payment activity as of December 31, 2019 , by class of loans: Nonperforming Performing Total (In thousands) Real Estate: One- to four-family $ 698 $ 305,316 $ 306,014 Multi-family — 96,098 96,098 Commercial real estate 109 255,613 255,722 Construction and land 29 37,158 37,187 Consumer: Home equity 112 34,934 35,046 Auto and other consumer 848 111,271 112,119 Commercial business loans — 41,571 41,571 Total loans $ 1,796 $ 881,961 $ 883,757 The following table represents the credit risk profile based on payment activity as of December 31, 2018 , by class of loans: Nonperforming Performing Total (In thousands) Real Estate: One- to four-family $ 759 $ 335,419 $ 336,178 Multi-family — 82,331 82,331 Commercial real estate 133 253,102 253,235 Construction and land 44 54,058 54,102 Consumer: Home equity 369 37,260 37,629 Auto and other consumer 245 87,112 87,357 Commercial business loans 173 18,725 18,898 Total loans $ 1,723 $ 868,007 $ 869,730 |
Schedule of troubled debt restructured loans | The following is a summary of information pertaining to TDR loans included in impaired loans at the dates indicated: December 31, 2019 December 31, 2018 (In thousands) Total TDR loans $ 3,544 $ 3,745 Allowance for loan losses related to TDR loans 41 43 Total nonaccrual TDR loans 81 84 The following table presents newly restructured and renewals or modifications of existing TDR loans by class that occurred during the year ended December 31, 2019 , by type of concession granted: Number of Contracts Rate Modification Term Modification Combination Total Modifications (Dollars in thousands) Pre-modification outstanding recorded investment One- to four-family 1 $ — $ — $ 50 $ 50 1 $ — $ — $ 50 $ 50 Post-modification outstanding recorded investment One- to four-family 1 $ — $ — $ 51 $ 51 1 $ — $ — $ 51 $ 51 The following is a summary of TDR loans which incurred a payment default within 12 months of the restructure date during the year ended December 31, 2019 . Number of Contracts Rate Modification Term Modification Combination Total Modifications (Dollars in thousands) TDR loans that subsequently defaulted One- to four-family 2 $ — $ — $ 99 $ 99 The following table presents newly restructured and renewals or modifications of existing TDR loans by class that occurred during the year ended December 31, 2018 , by type of concession granted: Number of Contracts Rate Modification Term Modification Combination Total Modifications (Dollars in thousands) Pre-modification outstanding recorded investment One- to four-family 3 $ — $ — $ 229 $ 229 3 $ — $ — $ 229 $ 229 Post-modification outstanding recorded investment One- to four-family 3 $ — $ — $ 228 $ 228 3 $ — $ — $ 228 $ 228 The following is a summary of TDR loans which incurred a payment default within 12 months of the restructure date during the year ended December 31, 2018 . Number of Contracts Rate Modification Term Modification Combination Total Modifications (Dollars in thousands) TDR loans that subsequently defaulted One- to four-family 2 $ — $ — $ 140 $ 140 No additional funds are committed to be advanced in connection with TDR loans at December 31, 2019 . The following table presents TDR loans by class at the dates indicated by accrual and nonaccrual status. December 31, 2019 December 31, 2018 Accrual Nonaccrual Total Accrual Nonaccrual Total (In thousands) One- to four-family $ 2,290 $ 81 $ 2,371 $ 2,358 $ 84 $ 2,442 Multi-family 107 — 107 110 — 110 Commercial real estate 643 — 643 663 — 663 Home equity 160 — 160 258 — 258 Commercial business loans 263 — 263 272 — 272 Total TDR loans $ 3,463 $ 81 $ 3,544 $ 3,661 $ 84 $ 3,745 |
Real Estate Owned and Reposse_2
Real Estate Owned and Repossessed Assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Real Estate Owned and Repossessed Assets Disclosure [Abstract] | |
Schedule of real estate owned and repossessed assets activity | The following table presents the activity in real estate owned and repossessed assets for the periods shown: For the Year Ended December 31, 2019 2018 (In thousands) Beginning balance $ 124 $ 23 Loans transferred to foreclosed assets 412 276 Sales (376 ) (146 ) Market value adjustments (10 ) (3 ) Net gain (loss) on sales 4 (26 ) Ending balance $ 154 $ 124 |
Schedule of real estate owned and repossessed assets by type | The following table presents the breakout of real estate owned and repossessed assets by type as of: December 31, 2019 December 31, 2018 (In thousands) Land $ 62 $ 72 Personal property 92 52 $ 154 $ 124 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Premises and equipment | Depreciation is recognized and computed on the straight-line method over the estimated useful lives as follows: Buildings 37.5 - 50 years Furniture, fixtures, and equipment 3 - 10 years Software 3 years Automobiles 5 years Premises and equipment consist of the following as of: December 31, 2019 December 31, 2018 (In thousands) Land $ 2,564 $ 2,560 Buildings 6,075 6,075 Building improvements 12,015 11,985 Furniture, fixtures, and equipment 7,011 7,446 Software 1,221 1,507 Automobiles 66 81 Construction in progress 136 9 29,088 29,663 Less accumulated depreciation and amortization (14,746 ) (14,408 ) $ 14,342 $ 15,255 |
Operating Leases (Tables)
Operating Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Schedule of amounts related to operating lease assets | The following table presents amounts relevant to the Company's assets leased for use in its operations for the year ended December 31, 2019 : (In Thousands) Operating cash flows from operating leases 505 Right of use assets obtained in exchange for new operating lease liabilities — The following table presents the weighted-average remaining lease terms and discount rates of the Company's assets leased for use in its operations at December 31, 2019 : Weighted-average remaining lease term of operating leases (in years) 13.8 Weighted-average discount rate of operating leases 3.5% |
Schedule of minimum annual lease payments under non-cancelable operating leases | The minimum annual lease payments under non-cancelable operating leases with initial or remaining terms of one year or more through the initial lease term are as follows: December 31, Twelve-month period ending: (In thousands) 2020 $ 385 2021 376 2022 304 2023 309 2024 324 Thereafter 2,947 Total minimum payments required $ 4,645 Less imputed interest 989 Present value of lease liabilities $ 3,656 |
Mortgage Servicing Rights (Tabl
Mortgage Servicing Rights (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Transfers and Servicing [Abstract] | |
Schedule of mortgage servicing rights | Mortgage servicing rights for the periods shown are as follows: For the Year Ended December 31, 2019 2018 (In thousands) Balance at beginning of period $ 1,044 $ 1,095 Additions 75 208 Amortization (251 ) (256 ) Valuation allowance 3 (3 ) Balance at end of period $ 871 $ 1,044 |
Schedule of assumptions for fair value of mortgage servicing rights | The key economic assumptions used in determining the fair value of mortgage servicing rights for the periods shown are as follows: For the Year Ended December 31, 2019 2018 Constant prepayment rate 11.2 % 15.4 % Weighted-average life (years) 6.3 5.5 Yield to maturity discount 9.4 % 10.5 % |
Schedule of servicing fees and late fees | The following represents servicing and late fees earned in connection with mortgage servicing rights and is included in the accompanying consolidated financial statements as a component of noninterest income for the periods shown: For the Year Ended December 31, 2019 2018 (In thousands) Servicing fees $ 424 $ 454 Late fees 15 15 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Schedule of deposits | eposits and weighted-average interest rates at the dates indicated are as follows: December 31, 2019 December 31, 2018 Amount Weighted- Amount Weighted- (Dollars in thousands) Savings $ 168,983 0.86% $ 143,412 0.74% Transaction accounts 276,496 0.03% 262,152 0.05% Money market accounts 248,086 0.46% 273,344 0.43% Certificates of deposit and jumbo certificates 308,080 1.85% 261,352 1.86% $ 1,001,645 0.84% $ 940,260 0.77% |
Schedule of maturities of time deposits | Maturities of certificates at the dates indicated are as follows: December 31, 2019 (In thousands) Within one year or less $ 241,127 After one year through two years 42,274 After two years through three years 11,167 After three years through four years 6,593 After four years through five years 6,919 After five years — $ 308,080 |
Schedule of interest on deposits | Interest on deposits by type for the periods shown was as follows: For the Year Ended December 31, 2019 2018 (In thousands) Savings $ 1,478 $ 369 Transaction accounts 118 74 Money market accounts 1,285 1,142 Certificates of deposit and jumbo certificates 5,423 3,765 $ 8,304 $ 5,350 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Federal Home Loan Bank maturities | FHLB advances outstanding by type of advance were as follows: December 31, 2019 December 31, 2018 (In thousands) Long-term advances $ 50,000 $ 60,000 Short-term fixed-rate advances 45,000 25,000 Overnight variable-rate advances 17,930 51,552 The maximum and average outstanding balances and average interest rates on overnight variable-rate advances were as follows: For the Year Ended December 31, 2019 2018 (Dollars in thousands) Maximum outstanding at any month-end $ 90,889 $ 110,723 Monthly average outstanding 53,156 47,049 Weighted-average daily interest rates Annual 2.33 % 2.10 % Period End 1.80 % 2.58 % Interest expense during the period 1,224 933 The maximum and average outstanding balances and average interest rates on short-term, fixed-rate advances were as follows: For the Year Ended December 31, 2019 2018 (Dollars in thousands) Maximum outstanding at any month-end $ 45,000 $ 72,600 Monthly average outstanding 3,750 27,658 Weighted-average daily interest rates Annual 2.33 % 1.76 % Period End 1.79 % 2.48 % Interest expense during the period 12 626 The amounts by year of maturity and weighted-average interest rate of FHLB long-term, fixed-rate advances are as follows: December 31, 2019 December 31, 2018 Weighted-Average Interest Rate Amount Weighted-Average Interest Rate Amount (Dollars in thousands) Within one year or less 3.78% $ 30,000 2.71% $ 15,000 After one year through two years — — 3.78 25,000 After two years through three years 1.79 10,000 3.81 20,000 After three years through four years 1.80 5,000 — — After four years through five years 1.80 5,000 — — After five years — — — — $ 50,000 $ 60,000 The maximum and average outstanding balances and average interest rates on FHLB long-term, fixed-rate advances were as follows: For the Year Ended December 31, 2019 2018 (Dollars in thousands) Maximum outstanding at any month-end $ 65,000 $ 60,000 Monthly average outstanding 56,250 60,000 Weighted-average interest rates Annual 3.34 % 3.52 % Period End 2.98 % 3.52 % Interest expense during the period 1,908 2,104 |
Federal Taxes on Income (Tables
Federal Taxes on Income (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income tax provision (benefit) summary | The provision (benefit) for income taxes for the periods shown is summarized as follows: For the Year Ended December 31, 2019 2018 (In thousands) Current $ 1,764 $ 1,927 Deferred 313 (352 ) $ 2,077 $ 1,575 |
Income tax provision (benefit) reconciliation | A reconciliation of the tax provision (benefit) based on statutory corporate tax rates, estimated to be 21% for the year ended December 31, 2019 , on pre-tax income and the provision (benefit) shown in the accompanying consolidated statements of income for the periods shown is summarized as follows: For the Year Ended December 31, 2019 2018 (In thousands) Income taxes computed at statutory rates $ 2,329 $ 1,823 Tax-exempt income (83 ) (84 ) Bank-owned life insurance income (149 ) (125 ) Deferred tax asset valuation allowance (1,224 ) (1 ) Expiration of contribution carryforward 1,224 — Other, net (20 ) (38 ) $ 2,077 $ 1,575 |
Net deferred tax assets and liabilities | The components of net deferred tax assets and liabilities at the periods shown are summarized as follows: December 31, 2019 December 31, 2018 (In thousands) Deferred tax assets Allowance for loan losses $ 2,064 $ 2,049 Unrealized loss on securities available for sale 409 1,264 Accrued compensation 487 397 Nonaccrual loans 6 4 ESOP timing differences 143 195 Restricted stock awards 107 134 Contribution carryforward — 1,515 Deferred lease liability 768 — Total deferred tax assets 3,984 5,558 Deferred tax liabilities Deferred loan fees 443 436 FHLB stock dividends 425 488 Accumulated depreciation 691 734 Deferred investment gain 34 14 Right of use asset 745 — Other, net 175 23 Total deferred tax liabilities 2,513 1,695 Deferred tax asset, net 1,471 3,863 Deferred tax asset valuation allowance — (1,224 ) Deferred tax asset, net of valuation allowance $ 1,471 $ 2,639 |
Benefit Plans (Tables)
Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Compensation Related Costs [Abstract] | |
Summary of Multi-Employer Defined Benefit Plan | The table below presents the funded status (market value of plan assets divided by funding target) of the plan as of July 1: 2019 2018 Source Valuation Report Valuation Report Our plan 111.9% 112.5% There was no change to the funded status of the plan as of December 31, 2019 . First Federal’s contributions to the Pentegra DB Plan are not more than 5% of the total contributions to the Pentegra DB Plan. First Federal’s policy is to fund pension costs as accrued. Total contributions during the periods shown were: Year Ended Year Ended December 31, 2019 December 31, 2018 Date Paid Amount Date Paid Amount (In thousands) 12/20/2019 $ 302 12/31/2018 $ 386 |
Summary of Employee Stock Ownership (ESOP) | Shares issued to the ESOP as of the dates indicated are as follows: December 31, 2019 December 31, 2018 (Dollars in thousands) Allocated shares 253,987 201,026 Unallocated shares 794,042 847,003 Total ESOP shares issued 1,048,029 1,048,029 Fair value of unallocated shares $ 14,396 $ 12,561 |
Schedule of Share-based Compensation, Restricted Stock Units Award Activity | The following tables provide a summary of changes in non-vested restricted stock awards for the periods shown: For the Year Ended December 31, 2019 Weighted-Average Grant Date Shares Fair Value Non-vested at January 1, 2019 290,600 $ 13.72 Granted 64,900 17.19 Vested (65,758 ) 13.43 Canceled (1) (18,442 ) 13.43 Forfeited (7,000 ) 16.07 Non-vested at December 31, 2019 264,300 14.60 (1) A surrender of vested stock awards by a participant surrendering the number of shares valued at the current stock price at the vesting date to cover the participant's tax obligation of the vested shares. The surrendered shares are canceled and are unavailable for reissue. |
Regulatory Capital Requiremen_2
Regulatory Capital Requirements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Schedule of compliance with regulatory capital requirements | Actual and required capital amounts and ratios are presented for First Federal in the following table: Actual For Capital Adequacy Purposes To Be Categorized Action Provision Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of December 31, 2019 Common equity tier 1 capital $ 149,223 17.54 % $ 38,275 4.50 % $ 55,286 6.50 % Tier 1 risk-based capital 149,223 17.54 51,034 6.00 68,045 8.00 Total risk-based capital 159,058 18.70 68,045 8.00 85,056 10.00 Tier 1 leverage capital 149,223 12.16 49,103 4.00 61,379 5.00 As of December 31, 2018 Common equity tier 1 capital $ 142,018 17.04 % $ 37,501 4.50 % $ 54,169 6.50 % Tier 1 risk-based capital 142,018 17.04 50,002 6.00 66,669 8.00 Total risk-based capital 151,781 18.21 66,669 8.00 83,336 10.00 Tier 1 leverage capital 142,018 11.47 49,509 4.00 61,887 5.00 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Schedule of related party activity | The following table presents the activity in loans to directors and executive officers for the periods shown: For the Year Ended December 31, 2019 2018 (In thousands) Beginning balance $ 923 $ 1,042 Loan advances 1 3 Loan repayments (235 ) (122 ) Reclassifications 1 — — Ending balance $ 689 $ 923 1 Represents loans that were once considered related party but are no longer considered related party or loans that were not related party that subsequently became related party loans. |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of financial instruments whose contract amounts represent credit risk | The following financial instruments were outstanding whose contract amounts represent credit risk at: December 31, 2019 December 31, 2018 (In thousands) Commitments to grant loans $ 101 $ 625 Standby letters of credit 182 223 Unfunded commitments under lines of credit or existing loans 88,225 98,847 |
Fair Value Accounting and Mea_2
Fair Value Accounting and Measurement (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Schedule of assets and liabilities measured at fair value on a recurring basis | The following tables show the Company’s assets and liabilities measured at fair value on a recurring basis at the dates indicated: December 31, 2019 Quoted Prices in or Liabilities Significant Inputs Significant Inputs (Level 1) (Level 2) (Level 3) Total (In thousands) Securities available for sale Municipal bonds $ — $ 39,282 $ — $ 39,282 ABS agency — 28,858 — 28,858 ABS corporate — 40,855 — 40,855 SBA — 9,643 — 9,643 Corporate debt — 28,459 — 28,459 MBS agency — 160,167 — 160,167 MBS corporate — 8,316 — 8,316 $ — $ 315,580 $ — $ 315,580 December 31, 2018 Quoted Prices in Significant Significant (Level 1) (Level 2) (Level 3) Total (In thousands) Securities available for sale Municipal bonds $ — $ 869 $ — $ 869 ABS agency — 25,752 — 25,752 ABS corporate — 36,723 — 36,723 SBA — 9,888 — 9,888 Corporate debt — 35,670 — 35,670 MBS agency — 143,455 — 143,455 MBS corporate — 10,610 — 10,610 $ — $ 262,967 $ — $ 262,967 |
Schedule of assets measured at fair value on a nonrecurring basis | The following tables present the Company’s assets measured at fair value on a nonrecurring basis at the dates indicated: December 31, 2019 Level 1 Level 2 Level 3 Total (In thousands) Impaired loans $ — $ — $ 6,389 $ 6,389 Real estate owned and repossessed assets — — 154 154 $ — $ — $ 6,543 $ 6,543 December 31, 2018 Level 1 Level 2 Level 3 Total (In thousands) Impaired loans $ — $ — $ 6,558 $ 6,558 Real estate owned and repossessed assets — — 124 124 $ — $ — $ 6,682 $ 6,682 |
Schedule of valuation techniques to value assets measured at fair value | The following tables present the techniques used to value assets measured at fair value on a nonrecurring basis at the dates indicated: December 31, 2019 Fair Value Valuation Technique Unobservable Input Range (Weighted-Average) 1 (In thousands) Real estate owned and repossessed assets $ 154 Market comparable Discount to appraisal 0% - 10% (5%) 1 Discount to appraisal disposition value. December 31, 2018 Fair Value Valuation Technique Unobservable Input Range 1 (In thousands) Real estate owned and repossessed assets 124 Market comparable Discount to appraisal 0% - 10% (5%) 1 Discount to appraisal disposition value. |
Schedule of the carrying value and estimated fair value of financial instruments | The following tables present the carrying value and estimated fair value of financial instruments at the dates indicated: December 31, 2019 Carrying Amount Estimated Fair Value Fair Value Measurements Using: Level 1 Level 2 Level 3 (In thousands) Financial assets Cash and cash equivalents $ 48,739 $ 48,739 $ 48,739 $ — $ — Investment securities available for sale 315,580 315,580 — 315,580 — Loans held for sale 503 503 — 503 — Loans receivable, net 878,437 858,101 — — 858,101 FHLB stock 6,034 6,034 — 6,034 — Accrued interest receivable 3,931 3,931 — 3,931 — Mortgage servicing rights, net 871 1,486 — — 1,486 Financial liabilities Demand deposits $ 693,565 $ 693,565 $ 693,565 $ — $ — Time deposits 308,080 308,819 — 308,819 — Borrowings 112,930 113,076 — 113,076 — Accrued interest payable 373 373 — 373 — December 31, 2018 Carrying Amount Estimated Fair Value Fair Value Measurements Using: Level 1 Level 2 Level 3 (In thousands) Financial assets Cash and cash equivalents $ 26,323 $ 26,323 $ 26,323 $ — $ — Investment securities available for sale 262,967 262,967 — 262,967 — Investment securities held to maturity 43,503 42,990 — 42,990 — Loans receivable, net 863,852 840,861 — — 840,861 FHLB stock 6,927 6,927 — 6,927 — Accrued interest receivable 4,048 4,048 — 4,048 — Mortgage servicing rights, net 1,044 1,479 — — 1,479 Financial liabilities Demand deposits $ 678,908 $ 678,908 $ 678,908 $ — $ — Time deposits 261,352 259,549 — 259,549 — Borrowings 136,552 137,153 — 137,153 — Accrued interest payable 521 521 — 521 — |
Earnings per Share (Tables)
Earnings per Share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of earnings per share | The following table presents a reconciliation of the components used to compute basic and diluted earnings per share for the periods shown. For the Year Ended December 31, 2019 2018 (In thousands, except share data) Numerator: Net income $ 9,014 $ 7,105 Denominator: Basic weighted average common shares outstanding 9,845,021 10,331,902 Dilutive restricted stock grants 78,089 102,535 Diluted weighted average common shares outstanding 9,923,110 10,434,437 Basic earnings $ 0.92 $ 0.69 Diluted earnings $ 0.91 $ 0.68 |
Noninterest Income (Tables)
Noninterest Income (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Noninterest Income | The Company has included the following table regarding the Company’s noninterest income for the periods presented. Year Ended December 31, 2019 2018 Noninterest income: Loan fees (1) $ 347 $ 807 Deposit fees 1,833 1,671 Debit interchange income 124 137 Credit card interchange income 1,765 1,740 Gain on loan sales, net (1) 1,077 577 Investment securities gain (loss), net (1) 836 77 Increase in cash surrender value of BOLI (1) 708 595 Other income: Investment services revenue 229 226 Gain or loss on subsidiary (1) 68 68 Remaining other income 25 21 Total other income 322 315 Total noninterest income $ 7,012 $ 5,919 (1) Not within scope of Topic 606 |
Parent Company Only Financial_2
Parent Company Only Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Balance Sheet | FIRST NORTHWEST BANCORP Condensed Balance Sheets (In thousands) December 31, 2019 December 31, 2018 ASSETS Cash and due from banks $ 5,989 $ 8,508 Investment securities available for sale, at fair value 11,684 14,189 Investment in bank 147,744 137,657 ESOP loan receivable 10,740 11,300 Accrued interest receivable 190 212 Prepaid expenses and other assets 704 534 Total assets $ 177,051 $ 172,400 LIABILITIES AND SHAREHOLDERS' EQUITY Payable to subsidiary $ 177 $ 96 Other liabilities 23 40 Total liabilities 200 136 Shareholders' equity 176,851 172,264 Total liabilities and shareholders' equity $ 177,051 $ 172,400 |
Condensed Statement of Operations | FIRST NORTHWEST BANCORP Condensed Statements of Income (In thousands) For the Year Ended December 31, 2019 2018 Operating income: Interest and fees on loans receivable $ 268 $ 282 Interest on mortgage-backed and related securities 134 209 Interest on investment securities 130 163 Gain (loss) on sale of securities — (59 ) Total operating income 532 595 Operating expenses: Other expenses 892 922 Total operating expenses 892 922 Loss before benefit for income taxes and equity in undistributed earnings of subsidiary (360 ) (327 ) Benefit for income taxes (104 ) (89 ) Loss before equity in undistributed earnings of subsidiary (256 ) (238 ) Equity in undistributed earnings of subsidiary 13,270 17,343 Net income $ 13,014 $ 17,105 |
Condensed Statement of Cash Flows | FIRST NORTHWEST BANCORP Condensed Statement of Cash Flows (In thousands) For the Year Ended December 31, 2019 2018 Cash flows from operating activities: Net income $ 13,014 $ 17,105 Adjustments to reconcile net income to net cash from operating activities: Equity in undistributed earnings of subsidiary (13,270 ) (17,343 ) Dividend received from subsidiary 4,000 10,000 Amortization of premiums and accretion of discounts on investments, net 81 89 Gain (loss) on sale of securities available for sale — 59 Change in payable to subsidiary 81 39 Change in other assets (227 ) (48 ) Change in other liabilities (17 ) 2 Net cash from operating activities 3,662 9,903 Cash flows from investing activities: Proceeds from maturities, calls, and principal repayments of securities available for sale 2,808 3,191 Proceeds from sales of securities available for sale — 1,979 ESOP loan repayment 560 546 Net cash from investing activities 3,368 5,716 Cash flows from financing activities: Repurchase of common stock (8,135 ) (10,317 ) Dividends paid (1,414 ) (335 ) Net cash from financing activities (9,549 ) (10,652 ) Net (decrease) increase in cash (2,519 ) 4,967 Cash and cash equivalents at beginning of period 8,508 3,541 Cash and cash equivalents at end of period $ 5,989 $ 8,508 NONCASH INVESTING ACTIVITIES Unrealized gain (loss) on securities available for sale $ 384 $ (104 ) |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Narrative (Details) - USD ($) | Jan. 29, 2015 | Jun. 30, 2015 | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Jun. 30, 2017 | Dec. 15, 2015 | Jun. 30, 2014 |
Subsidiary, Sale of Stock [Line Items] | ||||||||
Number of shares issued in transaction | 13,100,360 | |||||||
Proceeds from initial public offering | $ 117,600,000 | |||||||
Capital contribution to subsidiary | $ 58,400,000 | |||||||
Retained earnings | $ 86,156,000 | $ 81,607,000 | $ 79,700,000 | |||||
Employee stock ownership plan (ESOP), percentage of shares to be purchased | 8.00% | 8.00% | ||||||
Employee stock ownership plan (ESOP), number of shares to be purchased | 1,048,029 | |||||||
Employee stock ownership plan (ESOP), total shares (in shares) | 1,048,029 | 1,048,029 | 1,048,029 | |||||
Employee stock ownership plan (ESOP), percentage of shares purchased | 100.00% | |||||||
Employee stock ownership plan (ESOP), number of allocated shares (in shares) | 253,987 | 201,026 | ||||||
Federal Reserve Bank, minimum reserve balance requirement | $ 10,800,000 | $ 9,100,000 | ||||||
Trading securities | 0 | $ 0 | $ 0 | |||||
Operating leases, right-of-use asset | 4,600,000 | |||||||
Operating lease liability | $ 3,656,000 | |||||||
Accounting Standards Update 2016-02 | ||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||
Operating leases, right-of-use asset | $ 3,900,000 | |||||||
Operating lease liability | $ 3,900,000 | |||||||
Contributions to charitable organization | ||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||
Value of charitable consideration, cash portion | $ 400,000 | $ 400,000 | ||||||
Initial public offering | ||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||
Number of shares issued in transaction | 12,167,000 | |||||||
Stock offering price per share (in usd per share) | $ 10 | |||||||
Proceeds from issuance of common stock, net of expenses | $ 121,700,000 | |||||||
Secondary offering | Contributions to charitable organization | ||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||
Number of shares issued in transaction | 933,360 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Federal Home Loan Bank stock (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
OTTI losses, FHLB stock | $ 0 | $ 0 |
Federal Home Loan Bank of Des Moines | Common equity tier 1 capital | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Federal Home Loan Bank stock, minimum investment requirement | 6,000,000 | 6,900,000 |
OTTI losses, FHLB stock | $ 0 | $ 0 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Premises and Equipment (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Buildings | Minimum | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 37 years 6 months |
Buildings | Maximum | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 50 years |
Furniture, fixtures, and equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 3 years |
Furniture, fixtures, and equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 10 years |
Software | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 3 years |
Automobiles | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 5 years |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Mortgage Loans (Details) - Common equity tier 1 capital - Life of the loan recourse provisions $ in Thousands | 12 Months Ended | |
Dec. 31, 2019USD ($)loan | Dec. 31, 2018USD ($)loan | |
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Remaining balance of mortgage loans | $ 5,000 | $ 5,600 |
Number of mortgage loans repurchased during period (loans) | loan | 0 | 0 |
Accrued expenses and other liabilities | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Allowance associated with mortgage loans | $ 19 | $ 19 |
Securities - Amortized Cost, Gr
Securities - Amortized Cost, Gross Unrealized Gains and Losses, and Estimated Fair Value of Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Available for Sale | ||
Amortized Cost | $ 317,528 | $ 268,984 |
Gross Unrealized Gains | 1,008 | 133 |
Gross Unrealized Losses | (2,956) | (6,150) |
Estimated Fair Value | 315,580 | 262,967 |
Held to Maturity | ||
Amortized Cost | 43,503 | |
Gross Unrealized Gains | 83 | |
Gross Unrealized Losses | (596) | |
Estimated Fair Value | 42,990 | |
Investment Securities | ||
Available for Sale | ||
Amortized Cost | 149,457 | 110,826 |
Gross Unrealized Gains | 197 | 121 |
Gross Unrealized Losses | (2,557) | (2,045) |
Estimated Fair Value | 147,097 | 108,902 |
Held to Maturity | ||
Amortized Cost | 12,221 | |
Gross Unrealized Gains | 43 | |
Gross Unrealized Losses | (1) | |
Estimated Fair Value | 12,263 | |
Investment Securities | Municipal bonds | ||
Available for Sale | ||
Amortized Cost | 39,524 | 882 |
Gross Unrealized Gains | 125 | 0 |
Gross Unrealized Losses | (367) | (13) |
Estimated Fair Value | 39,282 | 869 |
Held to Maturity | ||
Amortized Cost | 11,919 | |
Gross Unrealized Gains | 43 | |
Gross Unrealized Losses | 0 | |
Estimated Fair Value | 11,962 | |
Investment Securities | U.S. government agency issued asset-backed securities (ABS agency) | ||
Available for Sale | ||
Amortized Cost | 29,796 | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | (938) | |
Estimated Fair Value | 28,858 | |
Investment Securities | Corporate issued asset-backed securities (ABS corporate) | ||
Available for Sale | ||
Amortized Cost | 41,728 | 37,897 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (873) | (1,174) |
Estimated Fair Value | 40,855 | 36,723 |
Investment Securities | ABS agency | ||
Available for Sale | ||
Amortized Cost | 26,125 | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | (373) | |
Estimated Fair Value | 25,752 | |
Investment Securities | Corporate issued debt securities (Corporate debt) | ||
Available for Sale | ||
Amortized Cost | 9,986 | 9,986 |
Gross Unrealized Gains | 0 | 98 |
Gross Unrealized Losses | (343) | (196) |
Estimated Fair Value | 9,643 | 9,888 |
Investment Securities | U.S. Small Business Administration securities (SBA) | ||
Available for Sale | ||
Amortized Cost | 28,423 | 35,936 |
Gross Unrealized Gains | 72 | 23 |
Gross Unrealized Losses | (36) | (289) |
Estimated Fair Value | 28,459 | 35,670 |
Held to Maturity | ||
Amortized Cost | 302 | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | (1) | |
Estimated Fair Value | 301 | |
Mortgage-Backed Securities | ||
Available for Sale | ||
Amortized Cost | 168,071 | 158,158 |
Gross Unrealized Gains | 811 | 12 |
Gross Unrealized Losses | (399) | (4,105) |
Estimated Fair Value | 168,483 | 154,065 |
Held to Maturity | ||
Estimated Fair Value | 30,727 | |
Mortgage-Backed Securities | U.S. government agency issued mortgage-backed securities (MBS agency) | ||
Available for Sale | ||
Amortized Cost | 159,697 | 147,205 |
Gross Unrealized Gains | 811 | 12 |
Gross Unrealized Losses | (341) | (3,762) |
Estimated Fair Value | 160,167 | 143,455 |
Held to Maturity | ||
Amortized Cost | 31,282 | |
Gross Unrealized Gains | 40 | |
Gross Unrealized Losses | (595) | |
Estimated Fair Value | 30,727 | |
Mortgage-Backed Securities | Corporate issued mortgage-backed securities (MBS corporate) | ||
Available for Sale | ||
Amortized Cost | 8,374 | 10,953 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (58) | (343) |
Estimated Fair Value | $ 8,316 | $ 10,610 |
Securities - Securities in a Co
Securities - Securities in a Continuous Unrealized Gross Loss Position (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Available for Sale, Gross Unrealized Losses | ||
Total, Gross Unrealized Losses | $ (3,000) | $ (6,700) |
Available for Sale, Fair Value | ||
Total, Fair Value | 198,800 | 268,500 |
Investment Securities | ||
Available for Sale, Gross Unrealized Losses | ||
Less Than Twelve Months, Gross Unrealized Losses | (474) | (925) |
Twelve Months or Longer, Gross Unrealized Losses | (2,083) | (1,120) |
Total, Gross Unrealized Losses | (2,557) | (2,045) |
Available for Sale, Fair Value | ||
Less Than Twelve Months, Fair Value | 42,614 | 51,970 |
Twelve Months or Longer, Fair Value | 81,703 | 42,652 |
Total, Fair Value | 124,317 | 94,622 |
Investment Securities | Municipal bonds | ||
Available for Sale, Gross Unrealized Losses | ||
Less Than Twelve Months, Gross Unrealized Losses | (367) | (8) |
Twelve Months or Longer, Gross Unrealized Losses | 0 | (5) |
Total, Gross Unrealized Losses | (367) | (13) |
Available for Sale, Fair Value | ||
Less Than Twelve Months, Fair Value | 29,928 | 757 |
Twelve Months or Longer, Fair Value | 0 | 110 |
Total, Fair Value | 29,928 | 867 |
Investment Securities | ABS agency | ||
Available for Sale, Gross Unrealized Losses | ||
Less Than Twelve Months, Gross Unrealized Losses | (59) | (302) |
Twelve Months or Longer, Gross Unrealized Losses | (879) | (71) |
Total, Gross Unrealized Losses | (938) | (373) |
Available for Sale, Fair Value | ||
Less Than Twelve Months, Fair Value | 3,855 | 23,286 |
Twelve Months or Longer, Fair Value | 25,002 | 2,466 |
Total, Fair Value | 28,857 | 25,752 |
Investment Securities | ABS corporate | ||
Available for Sale, Gross Unrealized Losses | ||
Less Than Twelve Months, Gross Unrealized Losses | (31) | (571) |
Twelve Months or Longer, Gross Unrealized Losses | (842) | (603) |
Total, Gross Unrealized Losses | (873) | (1,174) |
Available for Sale, Fair Value | ||
Less Than Twelve Months, Fair Value | 3,848 | 14,527 |
Twelve Months or Longer, Fair Value | 37,007 | 22,196 |
Total, Fair Value | 40,855 | 36,723 |
Investment Securities | Corporate debt | ||
Available for Sale, Gross Unrealized Losses | ||
Less Than Twelve Months, Gross Unrealized Losses | (17) | 0 |
Twelve Months or Longer, Gross Unrealized Losses | (326) | (196) |
Total, Gross Unrealized Losses | (343) | (196) |
Available for Sale, Fair Value | ||
Less Than Twelve Months, Fair Value | 4,983 | 0 |
Twelve Months or Longer, Fair Value | 4,660 | 4,791 |
Total, Fair Value | 9,643 | 4,791 |
Investment Securities | SBA | ||
Available for Sale, Gross Unrealized Losses | ||
Less Than Twelve Months, Gross Unrealized Losses | 0 | (44) |
Twelve Months or Longer, Gross Unrealized Losses | (36) | (245) |
Total, Gross Unrealized Losses | (36) | (289) |
Available for Sale, Fair Value | ||
Less Than Twelve Months, Fair Value | 0 | 13,400 |
Twelve Months or Longer, Fair Value | 15,034 | 13,089 |
Total, Fair Value | 15,034 | 26,489 |
Held to Maturity, Gross Unrealized Losses | ||
Less Than Twelve Months, Gross Unrealized Losses | (1) | |
Twelve Months or Longer, Gross Unrealized Losses | 0 | |
Total, Gross Unrealized Losses | (1) | |
Held to Maturity, Fair Value | ||
Less Than Twelve Months, Fair Value | 0 | |
Twelve Months or Longer, Fair Value | 301 | |
Total, Fair Value | 301 | |
Mortgage-Backed Securities | ||
Available for Sale, Gross Unrealized Losses | ||
Less Than Twelve Months, Gross Unrealized Losses | (166) | (28) |
Twelve Months or Longer, Gross Unrealized Losses | (233) | (4,077) |
Total, Gross Unrealized Losses | (399) | (4,105) |
Available for Sale, Fair Value | ||
Less Than Twelve Months, Fair Value | 18,744 | 17,996 |
Twelve Months or Longer, Fair Value | 55,779 | 131,227 |
Total, Fair Value | 74,523 | 149,223 |
Mortgage-Backed Securities | MBS agency | ||
Available for Sale, Gross Unrealized Losses | ||
Less Than Twelve Months, Gross Unrealized Losses | (166) | (28) |
Twelve Months or Longer, Gross Unrealized Losses | (175) | (3,734) |
Total, Gross Unrealized Losses | (341) | (3,762) |
Available for Sale, Fair Value | ||
Less Than Twelve Months, Fair Value | 18,744 | 17,996 |
Twelve Months or Longer, Fair Value | 47,463 | 120,617 |
Total, Fair Value | 66,207 | 138,613 |
Held to Maturity, Gross Unrealized Losses | ||
Less Than Twelve Months, Gross Unrealized Losses | (70) | |
Twelve Months or Longer, Gross Unrealized Losses | (525) | |
Total, Gross Unrealized Losses | (595) | |
Held to Maturity, Fair Value | ||
Less Than Twelve Months, Fair Value | 6,241 | |
Twelve Months or Longer, Fair Value | 18,073 | |
Total, Fair Value | 24,314 | |
Mortgage-Backed Securities | MBS corporate | ||
Available for Sale, Gross Unrealized Losses | ||
Less Than Twelve Months, Gross Unrealized Losses | 0 | 0 |
Twelve Months or Longer, Gross Unrealized Losses | (58) | (343) |
Total, Gross Unrealized Losses | (58) | (343) |
Available for Sale, Fair Value | ||
Less Than Twelve Months, Fair Value | 0 | 0 |
Twelve Months or Longer, Fair Value | 8,316 | 10,610 |
Total, Fair Value | $ 8,316 | $ 10,610 |
Securities - Narrative (Details
Securities - Narrative (Details) | 12 Months Ended | |
Dec. 31, 2019USD ($)security | Dec. 31, 2018USD ($)security | |
Investments, Debt and Equity Securities [Abstract] | ||
Number of securities in an unrealized loss position | security | 62 | 69 |
Unrealized losses | $ (3,000,000) | $ (6,700,000) |
Unrealized losses, fair value | 198,800,000 | 268,500,000 |
OTTI losses | 0 | 0 |
Amortized cost of securities transferred from held to maturity to available for sale | 37,600,000 | |
Proceeds from sales of securities held to maturity | $ 0 | 2,702,000 |
Gross realized gains on sales of held-to-maturity securities | 32,000 | |
Gross realized losses on sales of held-to-maturity securities | $ 5,000 |
Securities - Amortized Cost and
Securities - Amortized Cost and Estimated Fair Value by Maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Available for Sale, Amortized Cost | ||
Amortized Cost | $ 317,528 | $ 268,984 |
Available for Sale, Estimated Fair Value | ||
Total | 315,580 | 262,967 |
Held to Maturity, Amortized Cost | ||
Total | 43,503 | |
Held to Maturity, Estimated Fair Value | ||
Total | 42,990 | |
Mortgage-Backed Securities | ||
Available for Sale, Amortized Cost | ||
Due within one year | 0 | 0 |
Due after one through five years | 13,360 | 7,204 |
Due after five through ten years | 6,261 | 11,862 |
Due after ten years | 148,450 | 139,092 |
Amortized Cost | 168,071 | 158,158 |
Available for Sale, Estimated Fair Value | ||
Due within one year | 0 | 0 |
Due after one through five years | 13,391 | 7,089 |
Due after five through ten years | 6,257 | 11,637 |
Due after ten years | 148,835 | 135,339 |
Total | 168,483 | 154,065 |
Held to Maturity, Amortized Cost | ||
Due within one year | 0 | |
Due after one through five years | 578 | |
Due after five through ten years | 2,035 | |
Due after ten years | 28,669 | |
Total | 31,282 | |
Held to Maturity, Estimated Fair Value | ||
Due within one year | 0 | |
Due after one through five years | 569 | |
Due after five through ten years | 1,978 | |
Due after ten years | 28,180 | |
Total | 30,727 | |
Investment Securities | ||
Available for Sale, Amortized Cost | ||
Due within one year | 0 | 0 |
Due after one through five years | 2,043 | 0 |
Due after five through ten years | 58,460 | 19,564 |
Due after ten years | 88,954 | 91,262 |
Amortized Cost | 149,457 | 110,826 |
Available for Sale, Estimated Fair Value | ||
Due within one year | 0 | 0 |
Due after one through five years | 2,084 | 0 |
Due after five through ten years | 57,680 | 19,362 |
Due after ten years | 87,333 | 89,540 |
Total | $ 147,097 | 108,902 |
Held to Maturity, Amortized Cost | ||
Due within one year | 0 | |
Due after one through five years | 734 | |
Due after five through ten years | 6,728 | |
Due after ten years | 4,759 | |
Total | 12,221 | |
Held to Maturity, Estimated Fair Value | ||
Due within one year | 0 | |
Due after one through five years | 741 | |
Due after five through ten years | 6,743 | |
Due after ten years | 4,779 | |
Total | $ 12,263 |
Securities - Sale of Available-
Securities - Sale of Available-for-sale Securities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | ||
Proceeds | $ 16,545 | $ 56,683 |
Gross gains | 836 | 233 |
Gross losses | $ 0 | $ (183) |
Loans Receivable - Balance of L
Loans Receivable - Balance of Loans Receivable (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 883,757 | $ 869,730 | |
Net deferred loan fees | 206 | 292 | |
Premium on purchased loans, net | (4,514) | (3,947) | |
Allowance for loan losses | 9,628 | 9,533 | $ 8,760 |
Total loans receivable, net | 878,437 | 863,852 | |
Residential segment | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 695,021 | 725,846 | |
Consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 147,165 | 124,986 | |
Commercial business | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 41,571 | 18,898 | |
Allowance for loan losses | 208 | 334 | 265 |
Real estate loans | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 730,200 | 767,600 | |
Commercial real estate | Residential segment | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 255,722 | 253,235 | |
Allowance for loan losses | 2,243 | 2,289 | 1,847 |
Construction and land | Residential segment | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 37,187 | 54,102 | |
Allowance for loan losses | 399 | 585 | 648 |
Home equity | Consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 35,046 | 37,629 | |
Allowance for loan losses | 454 | 480 | 787 |
Auto and other consumer | Consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 112,119 | 87,357 | |
Allowance for loan losses | 2,261 | 1,611 | 712 |
One- to four-family | Real estate loans | Residential segment | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 306,014 | 336,178 | |
Allowance for loan losses | 3,024 | 3,297 | 3,061 |
Multi-family | Real estate loans | Residential segment | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 96,098 | 82,331 | |
Allowance for loan losses | $ 888 | $ 762 | $ 648 |
Loans Receivable - Loans by Ear
Loans Receivable - Loans by Earlier of Repricing Date or Maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 883,757 | $ 869,730 |
Adjustable-rate loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Due within one year | 99,494 | 84,284 |
After one but within five years | 238,244 | 263,118 |
After five but within ten years | 53,142 | 59,922 |
After ten years | 5,054 | 5,202 |
Total | 395,934 | 412,526 |
Fixed-rate loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Due within one year | 37,110 | 1,698 |
After one but within five years | 67,786 | 83,407 |
After five but within ten years | 124,683 | 120,094 |
After ten years | 258,244 | 252,005 |
Total | $ 487,823 | $ 457,204 |
Loans Receivable - Allowance fo
Loans Receivable - Allowance for Loan Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | $ 9,533 | $ 8,760 | ||
Provision for (recapture of) loan losses | 669 | 1,174 | ||
Charge-offs | (887) | (656) | ||
Recoveries | 313 | 255 | ||
Ending balance | 9,628 | 9,533 | ||
Total ALLL | 9,628 | 9,533 | $ 9,628 | $ 9,533 |
General reserve | 9,426 | 9,257 | ||
Specific reserve | 202 | 276 | ||
Total loans | 883,757 | 869,730 | ||
General reserves | 877,368 | 863,172 | ||
Specific reserves | 6,389 | 6,558 | ||
Residential segment | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Total loans | 695,021 | 725,846 | ||
Consumer | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Total loans | 147,165 | 124,986 | ||
Commercial business | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 334 | 265 | ||
Provision for (recapture of) loan losses | (125) | 68 | ||
Charge-offs | (3) | 0 | ||
Recoveries | 2 | 1 | ||
Ending balance | 208 | 334 | ||
Total ALLL | 208 | 334 | 208 | 334 |
General reserve | 203 | 168 | ||
Specific reserve | 5 | 166 | ||
Total loans | 41,571 | 18,898 | ||
General reserves | 41,308 | 18,453 | ||
Specific reserves | 263 | 445 | ||
Unallocated | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 175 | 792 | ||
Provision for (recapture of) loan losses | (24) | (617) | ||
Charge-offs | 0 | 0 | ||
Recoveries | 0 | 0 | ||
Ending balance | 151 | 175 | ||
Total ALLL | 151 | 175 | 151 | 175 |
General reserve | 151 | 175 | ||
Specific reserve | 0 | 0 | ||
Total loans | 0 | 0 | ||
General reserves | 0 | 0 | ||
Specific reserves | 0 | 0 | ||
Real estate loans | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Total loans | 730,200 | 767,600 | ||
Real estate loans | One- to four-family | Residential segment | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 3,297 | 3,061 | ||
Provision for (recapture of) loan losses | (278) | 249 | ||
Charge-offs | 0 | (18) | ||
Recoveries | 5 | 5 | ||
Ending balance | 3,024 | 3,297 | ||
Total ALLL | 3,024 | 3,297 | 3,024 | 3,297 |
General reserve | 2,993 | 3,262 | ||
Specific reserve | 31 | 35 | ||
Total loans | 306,014 | 336,178 | ||
General reserves | 303,026 | 333,062 | ||
Specific reserves | 2,988 | 3,116 | ||
Real estate loans | Multi-family | Residential segment | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 762 | 648 | ||
Provision for (recapture of) loan losses | 126 | 114 | ||
Charge-offs | 0 | 0 | ||
Recoveries | 0 | 0 | ||
Ending balance | 888 | 762 | ||
Total ALLL | 888 | 762 | 888 | 762 |
General reserve | 887 | 761 | ||
Specific reserve | 1 | 1 | ||
Total loans | 96,098 | 82,331 | ||
General reserves | 95,991 | 82,221 | ||
Specific reserves | 107 | 110 | ||
Commercial real estate | Residential segment | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 2,289 | 1,847 | ||
Provision for (recapture of) loan losses | (46) | 442 | ||
Charge-offs | 0 | 0 | ||
Recoveries | 0 | 0 | ||
Ending balance | 2,243 | 2,289 | ||
Total ALLL | 2,243 | 2,289 | 2,243 | 2,289 |
General reserve | 2,235 | 2,281 | ||
Specific reserve | 8 | 8 | ||
Total loans | 255,722 | 253,235 | ||
General reserves | 253,839 | 251,263 | ||
Specific reserves | 1,883 | 1,972 | ||
Construction and land | Residential segment | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 585 | 648 | ||
Provision for (recapture of) loan losses | (188) | (65) | ||
Charge-offs | 0 | 0 | ||
Recoveries | 2 | 2 | ||
Ending balance | 399 | 585 | ||
Total ALLL | 399 | 585 | 399 | 585 |
General reserve | 399 | 584 | ||
Specific reserve | 0 | 1 | ||
Total loans | 37,187 | 54,102 | ||
General reserves | 37,158 | 54,058 | ||
Specific reserves | 29 | 44 | ||
Home equity | Consumer | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 480 | 787 | ||
Provision for (recapture of) loan losses | (71) | (332) | ||
Charge-offs | 0 | 0 | ||
Recoveries | 45 | 25 | ||
Ending balance | 454 | 480 | ||
Total ALLL | 454 | 480 | 454 | 480 |
General reserve | 439 | 474 | ||
Specific reserve | 15 | 6 | ||
Total loans | 35,046 | 37,629 | ||
General reserves | 34,775 | 37,002 | ||
Specific reserves | 271 | 627 | ||
Auto and other consumer | Consumer | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 1,611 | 712 | ||
Provision for (recapture of) loan losses | 1,275 | 1,315 | ||
Charge-offs | (884) | (638) | ||
Recoveries | 259 | 222 | ||
Ending balance | 2,261 | 1,611 | ||
Total ALLL | $ 2,261 | $ 1,611 | 2,261 | 1,611 |
General reserve | 2,119 | 1,552 | ||
Specific reserve | 142 | 59 | ||
Total loans | 112,119 | 87,357 | ||
General reserves | 111,271 | 87,113 | ||
Specific reserves | $ 848 | $ 244 |
Loans Receivable - Impaired Loa
Loans Receivable - Impaired Loans By Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded Investments, No Allowance Recorded | $ 1,833 | $ 1,944 |
Recorded Investments, Allowance Recorded | 4,556 | 4,614 |
Recorded Investments | 6,389 | 6,558 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid Principal Balance, No Allowance Recorded | 2,343 | 2,471 |
Unpaid Principal Balance, Allowance Recorded | 4,929 | 4,982 |
Unpaid Principal Balance | 7,272 | 7,453 |
Allowance for credit losses, individually evaluated for impairment | 202 | 276 |
Related Allowance | 202 | 276 |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
Average Investment in Impaired Loans, No Allowance Recorded | 1,648 | 3,915 |
Average Investment in Impaired Loans, Allowance Recorded | 4,557 | 5,111 |
Average Investment in Impaired Loans | 6,205 | 9,026 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
Interest Income Recognized, No Allowance Recorded | 89 | 88 |
Interest Income Recognized, Allowance Recorded | 271 | 321 |
Interest Income Recognized | 360 | 409 |
Commercial business | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded Investments, No Allowance Recorded | 0 | 0 |
Recorded Investments, Allowance Recorded | 263 | 445 |
Recorded Investments | 263 | 445 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid Principal Balance, No Allowance Recorded | 0 | 3 |
Unpaid Principal Balance, Allowance Recorded | 263 | 445 |
Unpaid Principal Balance | 263 | 448 |
Allowance for credit losses, individually evaluated for impairment | 5 | 166 |
Related Allowance | 5 | 166 |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
Average Investment in Impaired Loans, No Allowance Recorded | 0 | 0 |
Average Investment in Impaired Loans, Allowance Recorded | 290 | 777 |
Average Investment in Impaired Loans | 290 | 777 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
Interest Income Recognized, No Allowance Recorded | 4 | 0 |
Interest Income Recognized, Allowance Recorded | 13 | 64 |
Interest Income Recognized | 17 | 64 |
Real estate loans | One- to four-family | Residential segment | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded Investments, No Allowance Recorded | 297 | 306 |
Recorded Investments, Allowance Recorded | 2,691 | 2,810 |
Recorded Investments | 2,988 | 3,116 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid Principal Balance, No Allowance Recorded | 332 | 339 |
Unpaid Principal Balance, Allowance Recorded | 2,911 | 3,085 |
Unpaid Principal Balance | 3,243 | 3,424 |
Allowance for credit losses, individually evaluated for impairment | 31 | 35 |
Related Allowance | 31 | 35 |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
Average Investment in Impaired Loans, No Allowance Recorded | 237 | 381 |
Average Investment in Impaired Loans, Allowance Recorded | 2,801 | 3,016 |
Average Investment in Impaired Loans | 3,038 | 3,397 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
Interest Income Recognized, No Allowance Recorded | 11 | 15 |
Interest Income Recognized, Allowance Recorded | 178 | 181 |
Interest Income Recognized | 189 | 196 |
Real estate loans | Multi-family | Residential segment | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded Investments, No Allowance Recorded | 0 | 0 |
Recorded Investments, Allowance Recorded | 107 | 110 |
Recorded Investments | 107 | 110 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid Principal Balance, No Allowance Recorded | 0 | 0 |
Unpaid Principal Balance, Allowance Recorded | 107 | 110 |
Unpaid Principal Balance | 107 | 110 |
Allowance for credit losses, individually evaluated for impairment | 1 | 1 |
Related Allowance | 1 | 1 |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
Average Investment in Impaired Loans, No Allowance Recorded | 0 | 0 |
Average Investment in Impaired Loans, Allowance Recorded | 109 | 113 |
Average Investment in Impaired Loans | 109 | 113 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
Interest Income Recognized, No Allowance Recorded | 0 | 0 |
Interest Income Recognized, Allowance Recorded | 5 | 6 |
Interest Income Recognized | 5 | 6 |
Commercial real estate | Residential segment | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded Investments, No Allowance Recorded | 1,240 | 1,308 |
Recorded Investments, Allowance Recorded | 643 | 664 |
Recorded Investments | 1,883 | 1,972 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid Principal Balance, No Allowance Recorded | 1,320 | 1,374 |
Unpaid Principal Balance, Allowance Recorded | 643 | 663 |
Unpaid Principal Balance | 1,963 | 2,037 |
Allowance for credit losses, individually evaluated for impairment | 8 | 8 |
Related Allowance | 8 | 8 |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
Average Investment in Impaired Loans, No Allowance Recorded | 1,271 | 1,942 |
Average Investment in Impaired Loans, Allowance Recorded | 654 | 738 |
Average Investment in Impaired Loans | 1,925 | 2,680 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
Interest Income Recognized, No Allowance Recorded | 54 | 47 |
Interest Income Recognized, Allowance Recorded | 34 | 35 |
Interest Income Recognized | 88 | 82 |
Construction and land | Residential segment | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded Investments, No Allowance Recorded | 0 | 0 |
Recorded Investments, Allowance Recorded | 29 | 44 |
Recorded Investments | 29 | 44 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid Principal Balance, No Allowance Recorded | 33 | 1 |
Unpaid Principal Balance, Allowance Recorded | 29 | 71 |
Unpaid Principal Balance | 62 | 72 |
Allowance for credit losses, individually evaluated for impairment | 0 | 1 |
Related Allowance | 0 | 1 |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
Average Investment in Impaired Loans, No Allowance Recorded | 0 | 1,243 |
Average Investment in Impaired Loans, Allowance Recorded | 50 | 66 |
Average Investment in Impaired Loans | 50 | 1,309 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
Interest Income Recognized, No Allowance Recorded | 0 | 0 |
Interest Income Recognized, Allowance Recorded | 3 | 5 |
Interest Income Recognized | 3 | 5 |
Home equity | Consumer | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded Investments, No Allowance Recorded | 45 | 330 |
Recorded Investments, Allowance Recorded | 226 | 297 |
Recorded Investments | 271 | 627 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid Principal Balance, No Allowance Recorded | 110 | 478 |
Unpaid Principal Balance, Allowance Recorded | 286 | 364 |
Unpaid Principal Balance | 396 | 842 |
Allowance for credit losses, individually evaluated for impairment | 15 | 6 |
Related Allowance | 15 | 6 |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
Average Investment in Impaired Loans, No Allowance Recorded | 120 | 349 |
Average Investment in Impaired Loans, Allowance Recorded | 281 | 275 |
Average Investment in Impaired Loans | 401 | 624 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
Interest Income Recognized, No Allowance Recorded | 2 | 12 |
Interest Income Recognized, Allowance Recorded | 19 | 22 |
Interest Income Recognized | 21 | 34 |
Auto and other consumer | Consumer | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded Investments, No Allowance Recorded | 251 | 0 |
Recorded Investments, Allowance Recorded | 597 | 244 |
Recorded Investments | 848 | 244 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid Principal Balance, No Allowance Recorded | 548 | 276 |
Unpaid Principal Balance, Allowance Recorded | 690 | 244 |
Unpaid Principal Balance | 1,238 | 520 |
Allowance for credit losses, individually evaluated for impairment | 142 | 59 |
Related Allowance | 142 | 59 |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
Average Investment in Impaired Loans, No Allowance Recorded | 20 | 0 |
Average Investment in Impaired Loans, Allowance Recorded | 372 | 126 |
Average Investment in Impaired Loans | 392 | 126 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
Interest Income Recognized, No Allowance Recorded | 18 | 14 |
Interest Income Recognized, Allowance Recorded | 19 | 8 |
Interest Income Recognized | $ 37 | $ 22 |
Loans Receivable - Narrative (D
Loans Receivable - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Interest income recognized on impaired loans | $ 318 | $ 371 |
Loans | 883,757 | 869,730 |
Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | $ 4,950 | $ 3,366 |
Loans Receivable - Nonaccrual L
Loans Receivable - Nonaccrual Loans by Class (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | $ 1,796 | $ 1,723 |
Nonperforming | Residential segment | Commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | 109 | 133 |
Nonperforming | Residential segment | Construction and land | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | 29 | 44 |
Nonperforming | Consumer | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | 112 | 369 |
Nonperforming | Consumer | Auto and other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | 848 | 245 |
Nonperforming | Consumer | Commercial business loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | 0 | 173 |
Nonperforming | One- to four-family | Residential segment | Real estate loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | $ 698 | $ 759 |
Loans Receivable - Reconciliati
Loans Receivable - Reconciliation of Past Due Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | $ 4,019 | $ 2,331 |
Current | 879,738 | 867,399 |
Total loans | 883,757 | 869,730 |
Real estate loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total loans | 730,200 | 767,600 |
Residential segment | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 1,174 | 709 |
Current | 693,847 | 725,137 |
Total loans | 695,021 | 725,846 |
Residential segment | Commercial real estate | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 0 | 0 |
Current | 255,722 | 253,235 |
Total loans | 255,722 | 253,235 |
Residential segment | Construction and land | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 38 | 80 |
Current | 37,149 | 54,022 |
Total loans | 37,187 | 54,102 |
Consumer | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 2,730 | 699 |
Current | 144,435 | 124,287 |
Total loans | 147,165 | 124,986 |
Consumer | Home equity | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 323 | 136 |
Current | 34,723 | 37,493 |
Total loans | 35,046 | 37,629 |
Consumer | Auto and other consumer | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 2,407 | 563 |
Current | 109,712 | 86,794 |
Total loans | 112,119 | 87,357 |
Commercial business loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 115 | 923 |
Current | 41,456 | 17,975 |
Total loans | 41,571 | 18,898 |
30 to 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 2,688 | 1,815 |
30 to 59 Days Past Due | Residential segment | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 966 | 324 |
30 to 59 Days Past Due | Residential segment | Commercial real estate | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 0 | 0 |
30 to 59 Days Past Due | Residential segment | Construction and land | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 38 | 35 |
30 to 59 Days Past Due | Consumer | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 1,722 | 568 |
30 to 59 Days Past Due | Consumer | Home equity | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 299 | 97 |
30 to 59 Days Past Due | Consumer | Auto and other consumer | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 1,423 | 471 |
30 to 59 Days Past Due | Commercial business loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 0 | 923 |
60 to 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 601 | 312 |
60 to 89 Days Past Due | Residential segment | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 92 | 190 |
60 to 89 Days Past Due | Residential segment | Commercial real estate | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 0 | 0 |
60 to 89 Days Past Due | Residential segment | Construction and land | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 0 | 14 |
60 to 89 Days Past Due | Consumer | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 394 | 122 |
60 to 89 Days Past Due | Consumer | Home equity | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 24 | 30 |
60 to 89 Days Past Due | Consumer | Auto and other consumer | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 370 | 92 |
60 to 89 Days Past Due | Commercial business loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 115 | 0 |
90 Days or More Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 730 | 204 |
90 Days or More Past Due | Residential segment | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 116 | 195 |
90 Days or More Past Due | Residential segment | Commercial real estate | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 0 | 0 |
90 Days or More Past Due | Residential segment | Construction and land | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 0 | 31 |
90 Days or More Past Due | Consumer | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 614 | 9 |
90 Days or More Past Due | Consumer | Home equity | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 0 | 9 |
90 Days or More Past Due | Consumer | Auto and other consumer | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 614 | 0 |
90 Days or More Past Due | Commercial business loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 0 | 0 |
One- to four-family | Residential segment | Real estate loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 1,136 | 629 |
Current | 304,878 | 335,549 |
Total loans | 306,014 | 336,178 |
One- to four-family | 30 to 59 Days Past Due | Residential segment | Real estate loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 928 | 289 |
One- to four-family | 60 to 89 Days Past Due | Residential segment | Real estate loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 92 | 176 |
One- to four-family | 90 Days or More Past Due | Residential segment | Real estate loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 116 | 164 |
Multi-family | Residential segment | Real estate loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 0 | 0 |
Current | 96,098 | 82,331 |
Total loans | 96,098 | 82,331 |
Multi-family | 30 to 59 Days Past Due | Residential segment | Real estate loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 0 | 0 |
Multi-family | 60 to 89 Days Past Due | Residential segment | Real estate loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | 0 | 0 |
Multi-family | 90 Days or More Past Due | Residential segment | Real estate loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Past due loans | $ 0 | $ 0 |
Loans Receivable - Credit Quali
Loans Receivable - Credit Quality Indicators by Class of Loan (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | $ 883,757 | $ 869,730 |
Recorded investment, nonaccrual loans | 1,796 | 1,723 |
Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,796 | 1,723 |
Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 881,961 | 868,007 |
Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 730,200 | 767,600 |
Residential segment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 695,021 | 725,846 |
Residential segment | Commercial real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 255,722 | 253,235 |
Residential segment | Commercial real estate | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 109 | 133 |
Recorded investment, nonaccrual loans | 109 | 133 |
Residential segment | Commercial real estate | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 255,613 | 253,102 |
Residential segment | Construction and land | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 37,187 | 54,102 |
Residential segment | Construction and land | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 29 | 44 |
Recorded investment, nonaccrual loans | 29 | 44 |
Residential segment | Construction and land | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 37,158 | 54,058 |
Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 147,165 | 124,986 |
Consumer | Home equity | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 35,046 | 37,629 |
Consumer | Home equity | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 112 | 369 |
Recorded investment, nonaccrual loans | 112 | 369 |
Consumer | Home equity | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 34,934 | 37,260 |
Consumer | Auto and other consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 112,119 | 87,357 |
Consumer | Auto and other consumer | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 848 | 245 |
Recorded investment, nonaccrual loans | 848 | 245 |
Consumer | Auto and other consumer | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 111,271 | 87,112 |
Consumer | Commercial business loans | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Recorded investment, nonaccrual loans | 0 | 173 |
Commercial business loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 41,571 | 18,898 |
Commercial business loans | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 173 |
Commercial business loans | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 41,571 | 18,725 |
Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 865,674 | 847,754 |
Pass | Residential segment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 684,434 | 709,096 |
Pass | Residential segment | Commercial real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 251,531 | 244,919 |
Pass | Residential segment | Construction and land | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 35,897 | 51,480 |
Pass | Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 141,587 | 122,138 |
Pass | Consumer | Home equity | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 34,260 | 36,559 |
Pass | Consumer | Auto and other consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 107,327 | 85,579 |
Pass | Commercial business loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 39,653 | 16,520 |
Watch | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 8,055 | 16,134 |
Watch | Residential segment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 3,966 | 12,626 |
Watch | Residential segment | Commercial real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 97 | 6,281 |
Watch | Residential segment | Construction and land | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,184 | 2,578 |
Watch | Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 3,713 | 1,775 |
Watch | Consumer | Home equity | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 470 | 465 |
Watch | Consumer | Auto and other consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 3,243 | 1,310 |
Watch | Commercial business loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 376 | 1,733 |
Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 5,078 | 2,476 |
Special Mention | Residential segment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 4,132 | 1,730 |
Special Mention | Residential segment | Commercial real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 2,800 | 663 |
Special Mention | Residential segment | Construction and land | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 77 | 0 |
Special Mention | Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 683 | 274 |
Special Mention | Consumer | Home equity | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 89 | 123 |
Special Mention | Consumer | Auto and other consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 594 | 151 |
Special Mention | Commercial business loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 263 | 472 |
Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 4,950 | 3,366 |
Substandard | Residential segment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 2,489 | 2,394 |
Substandard | Residential segment | Commercial real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,294 | 1,372 |
Substandard | Residential segment | Construction and land | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 29 | 44 |
Substandard | Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,182 | 799 |
Substandard | Consumer | Home equity | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 227 | 482 |
Substandard | Consumer | Auto and other consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 955 | 317 |
Substandard | Commercial business loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,279 | 173 |
One- to four-family | Residential segment | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 306,014 | 336,178 |
One- to four-family | Residential segment | Real estate loans | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 698 | 759 |
Recorded investment, nonaccrual loans | 698 | 759 |
One- to four-family | Residential segment | Real estate loans | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 305,316 | 335,419 |
One- to four-family | Pass | Residential segment | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 301,312 | 330,476 |
One- to four-family | Watch | Residential segment | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 2,685 | 3,767 |
One- to four-family | Special Mention | Residential segment | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,148 | 957 |
One- to four-family | Substandard | Residential segment | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 869 | 978 |
Multi-family | Residential segment | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 96,098 | 82,331 |
Multi-family | Residential segment | Real estate loans | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Multi-family | Residential segment | Real estate loans | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 96,098 | 82,331 |
Multi-family | Pass | Residential segment | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 95,694 | 82,221 |
Multi-family | Watch | Residential segment | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Multi-family | Special Mention | Residential segment | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 107 | 110 |
Multi-family | Substandard | Residential segment | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | $ 297 | $ 0 |
Loans Receivable - Troubled Deb
Loans Receivable - Troubled Debt Restructurings (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019USD ($)contract | Dec. 31, 2018USD ($)contract | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Total TDR loans | $ 3,544 | $ 3,745 |
Allowance for loan losses related to TDR loans | 41 | 43 |
Total nonaccrual TDR loans | $ 81 | $ 84 |
Pre-modification, number of contracts | contract | 1 | 3 |
Pre-modification outstanding recorded investment | $ 50 | $ 229 |
Post-modification outstanding recorded investment, number of contracts | contract | 1 | 3 |
Post-modification outstanding recorded investment | $ 51 | $ 228 |
Residential segment | Commercial real estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Total TDR loans | 643 | 663 |
Total nonaccrual TDR loans | 0 | 0 |
Consumer | Home equity | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Total TDR loans | 160 | 258 |
Total nonaccrual TDR loans | 0 | 0 |
Rate Modification | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Pre-modification outstanding recorded investment | 0 | 0 |
Post-modification outstanding recorded investment | 0 | 0 |
Term Modification | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Pre-modification outstanding recorded investment | 0 | 0 |
Post-modification outstanding recorded investment | 0 | 0 |
Combination Modification | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Pre-modification outstanding recorded investment | 50 | 229 |
Post-modification outstanding recorded investment | 51 | 228 |
One- to four-family | Residential segment | Real estate loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Total TDR loans | 2,371 | 2,442 |
Total nonaccrual TDR loans | $ 81 | $ 84 |
Pre-modification, number of contracts | contract | 1 | 3 |
Pre-modification outstanding recorded investment | $ 50 | $ 229 |
Post-modification outstanding recorded investment, number of contracts | contract | 1 | 3 |
Post-modification outstanding recorded investment | $ 51 | $ 228 |
Modifications that subsequently defaulted, number of contracts | contract | 2 | 2 |
TDR loans that subsequently defaulted | $ 99 | $ 140 |
One- to four-family | Rate Modification | Residential segment | Real estate loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Pre-modification outstanding recorded investment | 0 | 0 |
Post-modification outstanding recorded investment | 0 | 0 |
TDR loans that subsequently defaulted | 0 | 0 |
One- to four-family | Term Modification | Residential segment | Real estate loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Pre-modification outstanding recorded investment | 0 | 0 |
Post-modification outstanding recorded investment | 0 | 0 |
TDR loans that subsequently defaulted | 0 | 0 |
One- to four-family | Combination Modification | Residential segment | Real estate loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Pre-modification outstanding recorded investment | 50 | 229 |
Post-modification outstanding recorded investment | 51 | 228 |
TDR loans that subsequently defaulted | 99 | 140 |
Multi-family | Residential segment | Real estate loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Total TDR loans | 107 | 110 |
Total nonaccrual TDR loans | $ 0 | $ 0 |
Loans Receivable - Troubled D_2
Loans Receivable - Troubled Debt Restructured Loans by Class (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Accrual loans | $ 3,463 | $ 3,661 |
Nonaccrual loans | 81 | 84 |
Total TDR loans | 3,544 | 3,745 |
Commercial business loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Accrual loans | 263 | 272 |
Nonaccrual loans | 0 | 0 |
Total TDR loans | 263 | 272 |
Commercial real estate | Residential segment | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Accrual loans | 643 | 663 |
Nonaccrual loans | 0 | 0 |
Total TDR loans | 643 | 663 |
Home equity | Consumer | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Accrual loans | 160 | 258 |
Nonaccrual loans | 0 | 0 |
Total TDR loans | 160 | 258 |
One- to four-family | Real estate loans | Residential segment | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Accrual loans | 2,290 | 2,358 |
Nonaccrual loans | 81 | 84 |
Total TDR loans | 2,371 | 2,442 |
Multi-family | Real estate loans | Residential segment | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Accrual loans | 107 | 110 |
Nonaccrual loans | 0 | 0 |
Total TDR loans | $ 107 | $ 110 |
Real Estate Owned and Reposse_3
Real Estate Owned and Repossessed Assets - Activity in Real Estate Owned an Repossessed Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Real Estate Owned and Repossessed Assets [Roll Forward] | ||
Beginning balance | $ 124 | $ 23 |
Loans transferred to foreclosed assets | 412 | 276 |
Sales | (376) | (146) |
Market value adjustments | (10) | (3) |
Net gain (loss) on sales | 4 | (26) |
Ending balance | $ 154 | $ 124 |
Real Estate Owned and Reposse_4
Real Estate Owned and Repossessed Assets - Reconciliation of Real Estate Owned and Repossessed Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Schedule of Real Estate Owned and Repossessed Assets [Line Items] | |||
Real estate owned and repossessed assets | $ 154 | $ 124 | $ 23 |
Land | |||
Schedule of Real Estate Owned and Repossessed Assets [Line Items] | |||
Real estate owned and repossessed assets | 62 | 72 | |
Personal property | |||
Schedule of Real Estate Owned and Repossessed Assets [Line Items] | |||
Real estate owned and repossessed assets | $ 92 | $ 52 |
Premises and Equipment - Net Pr
Premises and Equipment - Net Premises and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 29,088 | $ 29,663 |
Less accumulated depreciation and amortization | (14,746) | (14,408) |
Premises and equipment, net | 14,342 | 15,255 |
Depreciation expense | 1,339 | 1,325 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 2,564 | 2,560 |
Buildings | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 6,075 | 6,075 |
Building improvements | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 12,015 | 11,985 |
Furniture, fixtures, and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 7,011 | 7,446 |
Software | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 1,221 | 1,507 |
Automobiles | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 66 | 81 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 136 | $ 9 |
Operating Leases - Narrative (D
Operating Leases - Narrative (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($)building | |
Lessee, Lease, Description [Line Items] | |
Operating leases, right-of-use asset | $ | $ 4,600 |
Operating lease liability | $ | 3,656 |
Lease costs | $ | $ 505 |
Buildings | |
Lessee, Lease, Description [Line Items] | |
Number of locations subject to lease agreements | 6 |
Branch | |
Lessee, Lease, Description [Line Items] | |
Number of locations subject to lease agreements | 4 |
Loan Production Office | |
Lessee, Lease, Description [Line Items] | |
Number of locations subject to lease agreements | 1 |
Support Center | |
Lessee, Lease, Description [Line Items] | |
Number of locations subject to lease agreements | 1 |
Minimum | |
Lessee, Lease, Description [Line Items] | |
Operating lease expiration range | 1 year |
Operating lease renewal option | 2 years |
Maximum | |
Lessee, Lease, Description [Line Items] | |
Operating lease expiration range | 20 years |
Operating lease renewal option | 10 years |
Operating Leases - Schedule of
Operating Leases - Schedule of Amounts Related to Operating Leases (Details) | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Leases [Abstract] | |
Operating cash flows from operating leases | $ 505,000 |
Right of use assets obtained in exchange for new operating lease liabilities | $ 0 |
Weighted-average remaining lease term of operating leases (in years) | 13 years 9 months |
Weighted-average discount rate of operating leases | 3.50% |
Operating Leases - Minimum Annu
Operating Leases - Minimum Annual Lease Payments Under Non-cancelable Operating Leases (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Leases [Abstract] | |
2020 | $ 385 |
2021 | 376 |
2022 | 304 |
2023 | 309 |
2024 | 324 |
Thereafter | 2,947 |
Total minimum payments required | 4,645 |
Less imputed interest | 989 |
Present value of lease liabilities | $ 3,656 |
Mortgage Servicing Rights - Nar
Mortgage Servicing Rights - Narrative (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Transfers and Servicing [Abstract] | ||
Mortgage loans serviced for third parties | $ 159,700,000 | $ 175,500,000 |
Valuation allowance for mortgage servicing rights | 0 | 3,000 |
Fair value of mortgage servicing rights | $ 1,500,000 | $ 1,500,000 |
Mortgage Servicing Rights - Sch
Mortgage Servicing Rights - Schedule of Mortgage Servicing Rights (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Servicing Asset at Amortized Cost, Balance [Roll Forward] | ||
Balance at beginning of period | $ 1,044 | $ 1,095 |
Additions | 75 | 208 |
Amortization | (251) | (256) |
Valuation allowance | 3 | (3) |
Balance at end of period | $ 871 | $ 1,044 |
Mortgage Servicing Rights - Ass
Mortgage Servicing Rights - Assumptions (Details) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Transfers and Servicing [Abstract] | ||
Constant prepayment rate | 11.20% | 15.40% |
Weighted-average life (years) | 6 years 3 months | 5 years 6 months |
Yield to maturity discount | 9.40% | 10.50% |
Mortgage Servicing Rights - Ser
Mortgage Servicing Rights - Servicing Fees and Late Fees (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Transfers and Servicing [Abstract] | ||
Servicing fees | $ 424 | $ 454 |
Late fees | $ 15 | $ 15 |
Deposits - Narrative (Details)
Deposits - Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Banking and Thrift [Abstract] | ||
Time deposits, $250,000 or more | $ 93.5 | $ 107 |
Public fund deposits | 57.4 | 80 |
Investment securities pledged as collateral, carrying value | $ 35.5 | $ 47.6 |
Deposits - Summary of Deposits
Deposits - Summary of Deposits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Deposits, by Type [Abstract] | ||
Savings | $ 168,983 | $ 143,412 |
Transaction accounts | 276,496 | 262,152 |
Money market accounts | 248,086 | 273,344 |
Certificates of deposit and jumbo certificates | 308,080 | 261,352 |
Total Deposits | $ 1,001,645 | $ 940,260 |
Weighted Average Rate of Deposits, by Type [Abstract] [Abstract] | ||
Weighted-Average Interest Rate, Savings | 0.86% | 0.74% |
Weighted-Average Interest Rate, Transaction accounts | 0.03% | 0.05% |
Weighted-Average Interest Rate, Insured money market accounts | 0.46% | 0.43% |
Weighted-Average Interest Rate, Certificates of deposit and jumbo certificates | 1.85% | 1.86% |
Weighted- Average Interest Rate | 0.84% | 0.77% |
Time Deposits, Fiscal Year Maturity [Abstract] | ||
Within one year or less | $ 241,127 | |
After one year through two years | 42,274 | |
After two years through three years | 11,167 | |
After three years through four years | 6,593 | |
After four years through five years | 6,919 | |
After five years | 0 | |
Total time deposits | 308,080 | $ 261,352 |
Interest Expense, Deposits [Abstract] | ||
Savings | 1,478 | 369 |
Transaction accounts | 118 | 74 |
Money market accounts | 1,285 | 1,142 |
Certificates of deposit and jumbo certificates | 5,423 | 3,765 |
Interest expense | $ 8,304 | $ 5,350 |
Borrowings - Narrative (Details
Borrowings - Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Short-term Debt [Line Items] | ||
Maximum available credit to bank assets, percentage (up to) | 40.00% | |
Investment Securities | ||
Short-term Debt [Line Items] | ||
Loans receivable pledged as collateral | $ 0.6 | $ 1.2 |
Residential segment | ||
Short-term Debt [Line Items] | ||
Loans receivable pledged as collateral | $ 520.5 | $ 339.2 |
Borrowings - Summary of Outstan
Borrowings - Summary of Outstanding Balances (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Federal Home Loan Bank, Advances [Line Items] | ||
Long-term advances | $ 50,000 | $ 60,000 |
Federal Home Loan Bank, Short-term, Fixed-rate Advance Agreements | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Overnight variable-rate advances | 45,000 | 25,000 |
Federal Home Loan Bank, Short-term, Variable-rate Advances | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Overnight variable-rate advances | $ 17,930 | $ 51,552 |
Borrowings - Maximum and Averag
Borrowings - Maximum and Average Outstanding Balances and Average Interest Rates (Details) - Federal Home Loan Bank Advances - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Federal Home Loan Bank, Short-term, Variable-rate Advances | ||
Federal Home Loan Bank, Advances, Activity for Year [Abstract] | ||
Maximum outstanding at any month-end | $ 90,889 | $ 110,723 |
Monthly average outstanding | $ 53,156 | $ 47,049 |
Weighted-average interest rates, Annual | 2.33% | 2.10% |
Weighted-average interest rates, Period End | 1.80% | 2.58% |
Interest expense during the period | $ 1,224 | $ 933 |
Federal Home Loan Bank, Short-term, Fixed-rate Advance Agreements | ||
Federal Home Loan Bank, Advances, Activity for Year [Abstract] | ||
Maximum outstanding at any month-end | 45,000 | 72,600 |
Monthly average outstanding | $ 3,750 | $ 27,658 |
Weighted-average interest rates, Annual | 2.33% | 1.76% |
Weighted-average interest rates, Period End | 1.79% | 2.48% |
Interest expense during the period | $ 12 | $ 626 |
Federal Home Loan Bank, Long-term, Fixed-rate Advance Agreements | ||
Federal Home Loan Bank, Advances, Activity for Year [Abstract] | ||
Maximum outstanding at any month-end | 65,000 | 60,000 |
Monthly average outstanding | $ 56,250 | $ 60,000 |
Weighted-average interest rates, Annual | 3.34% | 3.52% |
Weighted-average interest rates, Period End | 2.98% | 3.52% |
Interest expense during the period | $ 1,908 | $ 2,104 |
Borrowings - Schedule of Federa
Borrowings - Schedule of Federal Home Loan Bank Advance Maturities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Weighted-Average Interest Rate | ||
Weighted-Average Interest Rate, Within one year or less | 3.78% | 2.71% |
Weighted-Average Interest Rate, After one year through two years | 0.00% | 3.78% |
Weighted-Average Interest Rate, After two years through three years | 1.79% | 3.81% |
Weighted-Average Interest Rate, After three years through four years | 1.80% | 0.00% |
Weighted-Average Interest Rate, After four years through five years | 1.80% | 0.00% |
Weighted-Average Interest Rate, After five years | 0.00% | 0.00% |
Amount | ||
Advances maturities, Within one year or less | $ 30,000 | $ 15,000 |
Advances maturities, After one year through two years | 0 | 25,000 |
Advances maturities, After two years through three years | 10,000 | 20,000 |
Advances maturities, After three years through four years | 5,000 | 0 |
Advances maturities, After four years through five years | 5,000 | 0 |
Advances maturities, After five years | 0 | 0 |
Advances maturities, Total | $ 50,000 | $ 60,000 |
Federal Taxes on Income - Summa
Federal Taxes on Income - Summary of Income Tax Provision (Benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | ||
Current | $ 1,764 | $ 1,927 |
Deferred | 313 | (352) |
Total provision (benefit) for income taxes | $ 2,077 | $ 1,575 |
Federal Taxes on Income - Recon
Federal Taxes on Income - Reconciliation of Tax Provision (Benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | ||
Income taxes computed at statutory rates | $ 2,329 | $ 1,823 |
Tax-exempt income | (83) | (84) |
Bank-owned life insurance income | (149) | (125) |
Deferred tax asset valuation allowance | (1,224) | (1) |
Expiration of contribution carryforward | 1,224 | 0 |
Other, net | (20) | (38) |
Total provision (benefit) for income taxes | $ 2,077 | $ 1,575 |
Federal Taxes on Income - Narra
Federal Taxes on Income - Narrative (Details) - USD ($) | Jan. 29, 2015 | Dec. 31, 2019 | Dec. 31, 2018 | Jun. 30, 2015 |
Operating Loss Carryforwards [Line Items] | ||||
Retained earnings on which federal income taxes have not been provided | $ 6,400,000 | |||
Deferred tax asset carryforward, charitable contribution | 0 | $ (1,515,000) | ||
Deferred tax asset valuation allowance | 0 | 1,224,000 | ||
Unrecognized tax assets | 0 | 0 | ||
Interest and penalties recognized | 0 | $ 0 | ||
Contributions to charitable organization | ||||
Operating Loss Carryforwards [Line Items] | ||||
Value of charitable consideration, cash portion | $ 400,000 | $ 400,000 | ||
Value of charitable consideration, stock potion, value | $ 5,900,000 | 9,300,000 | ||
Value of charitable contribution | 9,700,000 | |||
Deferred tax asset carryforward, charitable contribution | (3,300,000) | |||
Valuation allowance, charitable contribution | $ 1,900,000 |
Federal Taxes on Income - Defer
Federal Taxes on Income - Deferred Tax Assets and Liabilities (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred tax assets | ||
Allowance for loan losses | $ 2,064,000 | $ 2,049,000 |
Unrealized loss on securities available for sale | 409,000 | 1,264,000 |
Accrued compensation | 487,000 | 397,000 |
Nonaccrual loans | 6,000 | 4,000 |
ESOP timing differences | 143,000 | 195,000 |
Restricted stock awards | 107,000 | 134,000 |
Contribution carryforward | 0 | 1,515,000 |
Deferred lease liability | 768,000 | |
Total deferred tax assets | 3,984,000 | 5,558,000 |
Deferred tax liabilities | ||
Deferred loan fees | 443,000 | 436,000 |
FHLB stock dividends | 425,000 | 488,000 |
Accumulated depreciation | 691,000 | 734,000 |
Deferred investment gain | 34,000 | 14,000 |
Right of use asset | 745,000 | |
Other, net | 175,000 | 23,000 |
Total deferred tax liabilities | 2,513,000 | 1,695,000 |
Deferred tax asset, net | 1,471,000 | 3,863,000 |
Deferred tax asset valuation allowance | 0 | (1,224,000) |
Deferred tax asset, net of valuation allowance | $ 1,471,000 | $ 2,639,000 |
Benefit Plans - Pension Plan (D
Benefit Plans - Pension Plan (Details) - Multi-employer plan - pension - Pentegra Defined Benefit Plan - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | Jul. 01, 2019 | Jul. 01, 2018 |
Multiemployer Plans [Line Items] | |||||
Requisite service period | 1 year | ||||
Benefit vesting period | 5 years | ||||
Our plan, funded percentage | 111.90% | 112.50% | |||
Period contributions | $ 302 | $ 386 | |||
Common equity tier 1 capital | |||||
Multiemployer Plans [Line Items] | |||||
Company contributions to total plan contributions, percentage (not more than) | 5.00% |
Benefit Plans - Nonqualified De
Benefit Plans - Nonqualified Deferred Compensation Plan and 401(k) Plan (Details) - Common equity tier 1 capital - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Defined Contribution Plan Disclosure [Line Items] | ||
Maximum employee contribution per employee, percentage | 100.00% | |
Employer matching contribution of employee contribution, percentage | 50.00% | |
Employer matching contribution, percentage of employees' pay | 6.00% | |
Employer contribution amounts | $ 270 | $ 245 |
Board of Directors and Officers | ||
Defined Contribution Plan Disclosure [Line Items] | ||
Aggregate amount held in trust | $ 1,109 |
Benefit Plans - Employee Stock
Benefit Plans - Employee Stock Ownership Plan (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 15, 2015 | Jan. 29, 2015 | |
Compensation Related Costs [Abstract] | ||||
Minimum service period (over 12 month period) | 1000 hours | |||
Requisite service period | 12 months | |||
Percentage of shares to be purchased | 8.00% | 8.00% | ||
Percentage of shares purchased | 100.00% | |||
Average purchase price (in dollars per share) | $ 12.45 | |||
ESOP loan payable, amortization period | 20 years | |||
ESOP loan payable, estimated interest rate | 2.46% | |||
ESOP loan payable, annual principal and interest payment | $ 835 | $ 835 | ||
Allocation of ESOP shares | $ 702 | $ 851 | ||
Employee Stock Ownership Plan (ESOP), Shares in ESOP [Abstract] | ||||
Employee stock ownership plan (ESOP), number of allocated shares (in shares) | 253,987 | 201,026 | ||
Employee stock ownership plan (ESOP), number of suspense shares (in shares) | 794,042 | 847,003 | ||
Employee stock ownership plan (ESOP), total shares (in shares) | 1,048,029 | 1,048,029 | 1,048,029 | |
Fair value of unallocated shares | $ 14,396 | $ 12,561 |
Benefit Plans - Stock Based Com
Benefit Plans - Stock Based Compensation (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Jun. 30, 2017 | Nov. 16, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity instruments other than options, granted (in shares) | 65,000 | |||
Stock options granted in the period (in shares) | 0 | 0 | ||
First Northwest Bancorp 2015 Equity Incentive Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized | 1,834,050 | |||
Share based compensation expense | $ 1,100 | $ 1,100 | ||
Common Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock repurchased and retired (in shares) | 477,837 | 623,813 | ||
Common Stock | First Northwest Bancorp 2015 Equity Incentive Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized | 1,310,036 | |||
Stock repurchased and retired (in shares) | 523,014 | |||
Restricted Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity instruments other than options, granted (in shares) | 64,900 | |||
Award vesting period | 5 years | |||
Compensation cost not yet recognized | $ 3,400 | |||
Compensation cost not yet recognized, recognition period | 3 years 2 months 4 days | |||
Restricted Stock | First Northwest Bancorp 2015 Equity Incentive Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized | 524,014 | |||
Director | First Northwest Bancorp 2015 Equity Incentive Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share based compensation expense | $ 342 | $ 343 |
Benefit Plans - Summary of Chan
Benefit Plans - Summary of Changes in Non-vested Restricted Stock Awards (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||
Granted (in shares) | 65,000 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ||
Canceled (in usd per share) | $ 13.43 | |
Restricted Stock | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||
Non-vested at beginning of period (in shares) | 290,600 | |
Granted (in shares) | 64,900 | |
Vested (in shares) | (65,758) | |
Canceled (in shares) | (18,442) | |
Forfeited (in shares) | (7,000) | |
Non-vested at end of period (in shares) | 264,300 | 290,600 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ||
Nonvested in beginning of period (in usd per share) | $ 13.72 | |
Granted (in usd per share) | 17.19 | |
Vested (in usd per share) | 13.43 | |
Forfeited (in usd per share) | 16.07 | |
Nonvested at end of period (in usd per share) | $ 14.60 | $ 13.72 |
Compensation cost not yet recognized | $ 3.4 | |
Compensation cost not yet recognized, recognition period | 3 years 2 months 4 days |
Regulatory Capital Requiremen_3
Regulatory Capital Requirements - Narrative (Details) - Common equity tier 1 capital | Jan. 01, 2015 | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Jan. 01, 2016 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Common Equity Tier 1 Capital requirement | 4.50% | 4.50% | 4.50% | ||
Tier 1 Capital requirement | 6.00% | 6.00% | 6.00% | ||
Total Capital requirement | 8.00% | 8.00% | 8.00% | ||
Tier 1 Leverage Capital requirement | 4.00% | 4.00% | 4.00% | ||
Risk weight on nonaccrual loans | 100.00% | 150.00% | |||
Credit conversion factor | 0.00% | 20.00% | |||
Risk Weight on mortgage servicing and deferred tax assets | 100.00% | 250.00% | |||
Common Equity Tier 1, additional capital conservation buffer | 2.50% | 2.50% | 0.625% | ||
Common Equity Tier 1 Capital required to be categorized as well capitalized | 6.50% | 6.50% | |||
Tier 1 Capital required to be categorized as well capitalized | 6.00% | 8.00% | 8.00% | ||
Total Capital required to be categorized as well capitalized | 10.00% | 10.00% | |||
Tier 1 Leverage Capital required to be categorized as well capitalized | 5.00% | 5.00% | 5.00% | ||
Minimum | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Regulatory capital requirements, transition period | 2 years | ||||
Maximum | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Regulatory capital requirements, transition period | 4 years |
Regulatory Capital Requiremen_4
Regulatory Capital Requirements - Actual and Required Capital Amounts and Ratios (Details) - Common equity tier 1 capital - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2015 |
Common Equity Tier 1 Capital [Abstract] | |||
Common Equity Tier 1 Capital to risk-weighted assets | $ 149,223 | $ 142,018 | |
Common Equity Tier 1 Capital required for adequacy purposes | 38,275 | 37,501 | |
Common Equity Tier 1 Capital required to be categorized as well capitalized | 55,286 | 54,169 | |
Tier One Risk Based Capital [Abstract] | |||
Tier 1 Capital | 149,223 | 142,018 | |
Tier 1 Capital required for adequacy purposes | 51,034 | 50,002 | |
Tier 1 Capital required to be categorized as well capitalized | $ 68,045 | $ 66,669 | |
Risk Based Ratios [Abstract] | |||
Common Equity Tier 1 Capital to risk-weighted assets, percentage | 17.54% | 17.04% | |
Common Equity Tier 1 Capital required for adequacy purposes, percentage | 4.50% | 4.50% | 4.50% |
Common Equity Tier 1 Capital required to be categorized as well capitalized, percentage | 6.50% | 6.50% | |
Tier 1 Capital to risk-weighted assets, percentage | 17.54% | 17.04% | |
Tier 1 Capital required for adequacy purposes, percentage | 6.00% | 6.00% | 6.00% |
Tier 1 Capital required to be categorized as well capitalized, percentage | 8.00% | 8.00% | 6.00% |
Total Capital to risk-weighted assets, percentage | 18.70% | 18.21% | |
Total Capital required for adequacy purposes, percentage | 8.00% | 8.00% | 8.00% |
Total Capital required to be categorized as well capitalized, percentage | 10.00% | 10.00% | |
Capital [Abstract] | |||
Total Capital | $ 159,058 | $ 151,781 | |
Total Capital required for adequacy purposes | 68,045 | 66,669 | |
Total Capital required to be categorized as well capitalized | 85,056 | 83,336 | |
Tier One Leverage Capital [Abstract] | |||
Tier 1 Leverage Capital | 149,223 | 142,018 | |
Tier 1 Leverage Capital required for adequacy purposes | 49,103 | 49,509 | |
Tier 1 Leverage Capital required to be categorized as well capitalized | $ 61,379 | $ 61,887 | |
Leverage Ratios [Abstract] | |||
Tier 1 Leverage Capital to adjusted average assets, percentage | 12.16% | 11.47% | |
Tier 1 Leverage Capital required for adequacy purposes, percentage | 4.00% | 4.00% | 4.00% |
Tier 1 Leverage Capital required to be categorized as well capitalized, percentage | 5.00% | 5.00% | 5.00% |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Loans and Leases Receivable, Related Parties [Roll Forward] | ||
Deposit and certificates from related parties | $ 3,100 | $ 2,900 |
Certain directors and executive officers | ||
Loans and Leases Receivable, Related Parties [Roll Forward] | ||
Beginning balance | 923 | 1,042 |
Loan advances | 1 | 3 |
Loan repayments | (235) | (122) |
Reclassifications | 0 | 0 |
Ending balance | $ 689 | $ 923 |
Commitments and Contingencies -
Commitments and Contingencies - Financial Instruments Whose Contract Amounts Represent Credit Risk (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Commitments to grant loans | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instruments, contracts representing credit risk | $ 101 | $ 625 |
Standby letters of credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instruments, contracts representing credit risk | 182 | 223 |
Unfunded commitments under lines of credit or existing loans | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instruments, contracts representing credit risk | $ 88,225 | $ 98,847 |
Commitments and Contingencies_2
Commitments and Contingencies - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Jun. 30, 2017 | |
Product Information [Line Items] | |||
Commitments and contingencies, losses incurred | $ 0 | $ 0 | $ 0 |
Loans | 883,757 | 869,730 | |
U.S. Government and Government Sponsored Enterprises | |||
Product Information [Line Items] | |||
Investments | $ 223,500 | $ 243,400 | |
Loans secured by real estate | Credit concentration risk | Loans receivable | |||
Product Information [Line Items] | |||
Concentration risk, percentage | 82.60% | 88.30% | |
U.S. Government, Agencies, and Government Sponsored Enterprises securities | Investment concentration Risk | Investments | |||
Product Information [Line Items] | |||
Concentration risk, percentage | 69.50% | 77.70% | |
Real estate loans | |||
Product Information [Line Items] | |||
Loans | $ 730,200 | $ 767,600 |
Fair Value Accounting and Mea_3
Fair Value Accounting and Measurement - Company Assets Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | $ 315,580 | $ 262,967 |
Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 315,580 | 262,967 |
Recurring | Municipal bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 39,282 | 869 |
Recurring | ABS agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 28,858 | 25,752 |
Recurring | ABS corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 40,855 | 36,723 |
Recurring | SBA | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 9,643 | 9,888 |
Recurring | Corporate debt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 28,459 | 35,670 |
Recurring | MBS agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 160,167 | 143,455 |
Recurring | MBS corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 8,316 | 10,610 |
Recurring | Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) | Municipal bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) | ABS agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) | ABS corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) | SBA | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) | Corporate debt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) | MBS agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) | MBS corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 315,580 | 262,967 |
Recurring | Significant Other Observable Inputs (Level 2) | Municipal bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 39,282 | 869 |
Recurring | Significant Other Observable Inputs (Level 2) | ABS agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 28,858 | 25,752 |
Recurring | Significant Other Observable Inputs (Level 2) | ABS corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 40,855 | 36,723 |
Recurring | Significant Other Observable Inputs (Level 2) | SBA | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 9,643 | 9,888 |
Recurring | Significant Other Observable Inputs (Level 2) | Corporate debt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 28,459 | 35,670 |
Recurring | Significant Other Observable Inputs (Level 2) | MBS agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 160,167 | 143,455 |
Recurring | Significant Other Observable Inputs (Level 2) | MBS corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 8,316 | 10,610 |
Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Municipal bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | ABS agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | ABS corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | SBA | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Corporate debt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | MBS agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | MBS corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | $ 0 | $ 0 |
Fair Value Accounting and Mea_4
Fair Value Accounting and Measurement - Schedule of Assets On A Nonrecurring Basis (Details) $ in Thousands | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | $ 6,389 | $ 6,558 |
Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 6,389 | 6,558 |
Real estate owned and repossessed assets | 154 | 124 |
Total assets measured at fair value | 6,543 | 6,682 |
Nonrecurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Real estate owned and repossessed assets | 0 | 0 |
Total assets measured at fair value | 0 | 0 |
Nonrecurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Real estate owned and repossessed assets | 0 | 0 |
Total assets measured at fair value | 0 | 0 |
Nonrecurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 6,389 | 6,558 |
Real estate owned and repossessed assets | 154 | 124 |
Total assets measured at fair value | $ 6,543 | $ 6,682 |
Discount Rate | Real estate owned and repossessed assets | Minimum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value inputs, discount to appraisal rate | 0 | 0 |
Discount Rate | Real estate owned and repossessed assets | Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value inputs, discount to appraisal rate | 0.10 | 0.10 |
Discount Rate | Real estate owned and repossessed assets | Weighted Average | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value inputs, discount to appraisal rate | 0.05 | 0.05 |
Fair Value Accounting and Mea_5
Fair Value Accounting and Measurement - Carrying Value and Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financial assets | ||
Investment securities available for sale | $ 315,580 | $ 262,967 |
Investment securities held to maturity | 42,990 | |
Accrued interest receivable | 3,931 | 4,048 |
Mortgage servicing rights, net | 1,500 | 1,500 |
Financial liabilities | ||
Accrued interest payable | 373 | 521 |
Carrying Amount | ||
Financial assets | ||
Cash and cash equivalents | 48,739 | 26,323 |
Investment securities available for sale | 315,580 | 262,967 |
Investment securities held to maturity | 43,503 | |
Loans held for sale | 503 | |
Loans receivable, net | 878,437 | 863,852 |
FHLB stock | 6,034 | 6,927 |
Accrued interest receivable | 3,931 | 4,048 |
Mortgage servicing rights, net | 871 | 1,044 |
Financial liabilities | ||
Borrowings | 112,930 | 136,552 |
Accrued interest payable | 373 | 521 |
Carrying Amount | Demand deposits | ||
Financial liabilities | ||
Deposits | 693,565 | 678,908 |
Carrying Amount | Time deposits | ||
Financial liabilities | ||
Deposits | 308,080 | 261,352 |
Estimated Fair Value | ||
Financial assets | ||
Cash and cash equivalents | 48,739 | 26,323 |
Investment securities available for sale | 315,580 | 262,967 |
Investment securities held to maturity | 42,990 | |
Loans held for sale | 503 | |
Loans receivable, net | 858,101 | 840,861 |
FHLB stock | 6,034 | 6,927 |
Accrued interest receivable | 3,931 | 4,048 |
Mortgage servicing rights, net | 1,486 | 1,479 |
Financial liabilities | ||
Borrowings | 113,076 | 137,153 |
Accrued interest payable | 373 | 521 |
Estimated Fair Value | Demand deposits | ||
Financial liabilities | ||
Deposits | 693,565 | 678,908 |
Estimated Fair Value | Time deposits | ||
Financial liabilities | ||
Deposits | 308,819 | 259,549 |
Estimated Fair Value | Level 1 | ||
Financial assets | ||
Cash and cash equivalents | 48,739 | 26,323 |
Investment securities available for sale | 0 | 0 |
Investment securities held to maturity | 0 | |
Loans held for sale | 0 | |
Loans receivable, net | 0 | 0 |
FHLB stock | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Mortgage servicing rights, net | 0 | 0 |
Financial liabilities | ||
Borrowings | 0 | 0 |
Accrued interest payable | 0 | 0 |
Estimated Fair Value | Level 1 | Demand deposits | ||
Financial liabilities | ||
Deposits | 693,565 | 678,908 |
Estimated Fair Value | Level 1 | Time deposits | ||
Financial liabilities | ||
Deposits | 0 | 0 |
Estimated Fair Value | Level 2 | ||
Financial assets | ||
Cash and cash equivalents | 0 | 0 |
Investment securities available for sale | 315,580 | 262,967 |
Investment securities held to maturity | 42,990 | |
Loans held for sale | 503 | |
Loans receivable, net | 0 | 0 |
FHLB stock | 6,034 | 6,927 |
Accrued interest receivable | 3,931 | 4,048 |
Mortgage servicing rights, net | 0 | 0 |
Financial liabilities | ||
Borrowings | 113,076 | 137,153 |
Accrued interest payable | 373 | 521 |
Estimated Fair Value | Level 2 | Demand deposits | ||
Financial liabilities | ||
Deposits | 0 | 0 |
Estimated Fair Value | Level 2 | Time deposits | ||
Financial liabilities | ||
Deposits | 308,819 | 259,549 |
Estimated Fair Value | Level 3 | ||
Financial assets | ||
Cash and cash equivalents | 0 | 0 |
Investment securities available for sale | 0 | 0 |
Investment securities held to maturity | 0 | |
Loans held for sale | 0 | |
Loans receivable, net | 858,101 | 840,861 |
FHLB stock | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Mortgage servicing rights, net | 1,486 | 1,479 |
Financial liabilities | ||
Borrowings | 0 | 0 |
Accrued interest payable | 0 | 0 |
Estimated Fair Value | Level 3 | Demand deposits | ||
Financial liabilities | ||
Deposits | 0 | 0 |
Estimated Fair Value | Level 3 | Time deposits | ||
Financial liabilities | ||
Deposits | $ 0 | $ 0 |
Earnings per Share - Reconcilia
Earnings per Share - Reconciliation of Components Used to Compute Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Numerator: | ||
Net income | $ 9,014 | $ 7,105 |
Denominator: | ||
Basic weighted average common shares outstanding (in shares) | 9,845,021 | 10,331,902 |
Dilutive restricted stock grants (in shares) | 78,089 | 102,535 |
Diluted weighted average common shares outstanding (in shares) | 9,923,110 | 10,434,437 |
Basic earnings (in dollars per share) | $ 0.92 | $ 0.69 |
Diluted earnings (in dollars per share) | $ 0.91 | $ 0.68 |
Earnings per Share - Narrative
Earnings per Share - Narrative (Details) - shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 15, 2015 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Employee stock ownership plan (ESOP), shares purchased in open market (in shares) | 1,048,029 | 1,048,029 | 1,048,029 |
Restricted Stock | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive shares excluded from computation of earnings per share (in shares) | 66,659 | 48,040 |
Noninterest Income (Details)
Noninterest Income (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disaggregation of Revenue [Line Items] | ||
Other income | $ 322 | $ 315 |
Total noninterest income | 7,012 | 5,919 |
Loan fees | ||
Disaggregation of Revenue [Line Items] | ||
Noninterest income within scope of ASC 606 | 347 | 807 |
Deposit fees | ||
Disaggregation of Revenue [Line Items] | ||
Noninterest income within scope of ASC 606 | 1,833 | 1,671 |
Debit interchange income | ||
Disaggregation of Revenue [Line Items] | ||
Noninterest income within scope of ASC 606 | 124 | 137 |
Credit card interchange income | ||
Disaggregation of Revenue [Line Items] | ||
Noninterest income within scope of ASC 606 | 1,765 | 1,740 |
Gain on loan sales, net | ||
Disaggregation of Revenue [Line Items] | ||
Noninterest income within scope of ASC 606 | 1,077 | 577 |
Investment securities gain (loss), net | ||
Disaggregation of Revenue [Line Items] | ||
Noninterest income within scope of ASC 606 | 836 | 77 |
Increase in cash surrender value of bank-owned life insurance | ||
Disaggregation of Revenue [Line Items] | ||
Noninterest income within scope of ASC 606 | 708 | 595 |
Investment services revenue | ||
Disaggregation of Revenue [Line Items] | ||
Other income | 229 | 226 |
Gain or loss on subsidiary | ||
Disaggregation of Revenue [Line Items] | ||
Other income | 68 | 68 |
Remaining other income | ||
Disaggregation of Revenue [Line Items] | ||
Other income | $ 25 | $ 21 |
Parent Company Only Financial_3
Parent Company Only Financial Statements - Condensed Balance Sheet (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
ASSETS | |||
Cash and due from banks | $ 13,519 | $ 15,430 | |
Investment securities available for sale, at fair value | 315,580 | 262,967 | |
Accrued interest receivable | 3,931 | 4,048 | |
Prepaid expenses and other assets | 8,872 | 5,520 | |
Total assets | 1,307,336 | 1,258,758 | |
LIABILITIES AND SHAREHOLDERS' EQUITY | |||
Total liabilities | 1,130,485 | 1,086,494 | |
Shareholders' equity | 176,851 | 172,264 | $ 177,045 |
Total liabilities and shareholders' equity | 1,307,336 | 1,258,758 | |
Consolidated company | |||
ASSETS | |||
Cash and due from banks | 5,989 | 8,508 | |
Investment securities available for sale, at fair value | 11,684 | 14,189 | |
Investment in bank | 147,744 | 137,657 | |
ESOP loan receivable | 10,740 | 11,300 | |
Accrued interest receivable | 190 | 212 | |
Prepaid expenses and other assets | 704 | 534 | |
Total assets | 177,051 | 172,400 | |
LIABILITIES AND SHAREHOLDERS' EQUITY | |||
Payable to subsidiary | 177 | 96 | |
Other liabilities | 23 | 40 | |
Total liabilities | 200 | 136 | |
Shareholders' equity | 176,851 | 172,264 | |
Total liabilities and shareholders' equity | $ 177,051 | $ 172,400 |
Parent Company Only Financial_4
Parent Company Only Financial Statements - Condensed Statements of Income (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Operating income: | ||
Interest and fees on loans receivable | $ 40,166 | $ 36,446 |
Interest on mortgage-backed and related securities | 4,606 | 5,031 |
Interest on investment securities | 3,965 | 3,831 |
Gain (loss) on sale of securities | 836 | 77 |
Total interest income | 49,313 | 45,805 |
Operating expenses: | ||
Other expenses | 2,559 | 2,559 |
Total noninterest expense | 33,117 | 32,857 |
NET INCOME | 9,014 | 7,105 |
Consolidated company | ||
Operating income: | ||
Interest and fees on loans receivable | 268 | 282 |
Interest on mortgage-backed and related securities | 134 | 209 |
Interest on investment securities | 130 | 163 |
Gain (loss) on sale of securities | 0 | (59) |
Total interest income | 532 | 595 |
Operating expenses: | ||
Other expenses | 892 | 922 |
Total noninterest expense | 892 | 922 |
Loss before benefit for income taxes and equity in undistributed earnings of subsidiary | (360) | (327) |
Benefit for income taxes | (104) | (89) |
Loss before equity in undistributed earnings of subsidiary | (256) | (238) |
Equity in undistributed earnings of subsidiary | 13,270 | 17,343 |
NET INCOME | $ 13,014 | $ 17,105 |
Parent Company Only Financial_5
Parent Company Only Financial Statements - Condensed Statement of Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities: | ||
Net income | $ 9,014 | $ 7,105 |
Adjustments to reconcile net income to net cash from operating activities: | ||
Amortization and accretion of premiums and discounts on investments, net | 1,791 | 1,825 |
Gain (loss) on sale of securities available for sale | (836) | (50) |
Net cash from operating activities | 14,097 | 13,337 |
Cash flows from investing activities: | ||
Proceeds from maturities, calls, and principal repayments of securities available for sale | 30,157 | 25,447 |
Proceeds from sales of securities available for sale | 16,545 | 56,683 |
Net cash from investing activities | (19,950) | (60,725) |
Cash flows from financing activities: | ||
Repurchase of common stock | (7,830) | (10,003) |
Dividends paid | (1,414) | (335) |
Net cash from financing activities | 28,269 | 36,910 |
Net (decrease) increase in cash | 22,416 | (10,478) |
CASH AND CASH EQUIVALENTS, beginning of period | 26,323 | 36,801 |
CASH AND CASH EQUIVALENTS, end of period | 48,739 | 26,323 |
NONCASH INVESTING ACTIVITIES | ||
Unrealized gain (loss) on securities available for sale | 4,069 | (3,993) |
Consolidated company | ||
Cash flows from operating activities: | ||
Net income | 13,014 | 17,105 |
Adjustments to reconcile net income to net cash from operating activities: | ||
Equity in undistributed earnings of subsidiary | (13,270) | (17,343) |
Dividend received from subsidiary | 4,000 | 10,000 |
Amortization and accretion of premiums and discounts on investments, net | 81 | 89 |
Gain (loss) on sale of securities available for sale | 0 | 59 |
Change in payable to subsidiary | 81 | 39 |
Change in other assets | (227) | (48) |
Change in other liabilities | (17) | 2 |
Net cash from operating activities | 3,662 | 9,903 |
Cash flows from investing activities: | ||
Proceeds from maturities, calls, and principal repayments of securities available for sale | 2,808 | 3,191 |
Proceeds from sales of securities available for sale | 0 | 1,979 |
ESOP loan repayment | 560 | 546 |
Net cash from investing activities | 3,368 | 5,716 |
Cash flows from financing activities: | ||
Repurchase of common stock | (8,135) | (10,317) |
Dividends paid | (1,414) | (335) |
Net cash from financing activities | (9,549) | (10,652) |
Net (decrease) increase in cash | (2,519) | 4,967 |
CASH AND CASH EQUIVALENTS, beginning of period | 8,508 | 3,541 |
CASH AND CASH EQUIVALENTS, end of period | 5,989 | 8,508 |
NONCASH INVESTING ACTIVITIES | ||
Unrealized gain (loss) on securities available for sale | $ 384 | $ (104) |