Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Apr. 02, 2019 | Jun. 30, 2018 | |
Document and Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2018 | ||
Entity Registrant Name | JUNIATA VALLEY FINANCIAL CORP | ||
Entity Central Index Key | 0000714712 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 111,380,229 | ||
Entity Common Stock, Shares Outstanding | 5,098,748 |
Consolidated Statements of Fina
Consolidated Statements of Financial Condition - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Assets: | ||
Cash and due from banks | $ 15,617 | $ 9,839 |
Interest bearing deposits with banks | 110 | 58 |
Federal funds sold | 729 | |
Cash and cash equivalents | 16,456 | 9,897 |
Interest bearing time deposits with banks | 3,290 | 350 |
Equity securities | 1,118 | |
Securities available for sale | 141,953 | 153,824 |
Restricted investment in bank stock | 2,441 | 3,104 |
Investment in unconsolidated subsidiary | 4,812 | |
Total loans | 417,631 | 383,904 |
Less: Allowance for loan losses | (3,034) | (2,939) |
Total loans, net of allowance for loan losses | 414,597 | 380,965 |
Premises and equipment, net | 8,744 | 8,887 |
Other real estate owned | 744 | 355 |
Bank owned life insurance and annuities | 15,938 | 14,972 |
Investment in low income housing partnership | 4,545 | 5,245 |
Core deposit and other intangible | 405 | 195 |
Goodwill | 9,139 | 5,448 |
Mortgage servicing rights | 200 | 225 |
Accrued interest receivable and other assets | 5,666 | 3,666 |
Total assets | 625,236 | 591,945 |
Liabilities: | ||
Non-interest bearing deposits | 126,057 | 115,911 |
Interest bearing deposits | 395,665 | 361,757 |
Total deposits | 521,722 | 477,668 |
Securities sold under agreements to repurchase | 2,911 | 9,769 |
Short-term borrowings | 11,600 | 12,000 |
Long-term debt | 15,000 | 25,000 |
Other interest bearing liabilities | 1,596 | 1,593 |
Accrued interest payable and other liabilities | 5,029 | 6,528 |
Total liabilities | 557,858 | 532,558 |
Stockholders' Equity: | ||
Preferred stock, no par value: Authorized - 500,000 shares, none issued | ||
Common stock, par value $1.00 per share: Authorized 20,000,000 shares Issued - 5,134,249 shares at December 31, 2018; 4,811,611 shares at December 31, 2017; Outstanding - 5,092,048 shares at December 31, 2018; 4,767,656 shares at December 31, 2017; | 5,134 | 4,811 |
Surplus | 24,821 | 18,565 |
Retained earnings | 42,525 | 40,876 |
Accumulated other comprehensive loss | (4,299) | (4,034) |
Cost of common stock in Treasury: 42,201 shares at December 31, 2018; 43,955 shares at December 31, 2017 | (803) | (831) |
Total stockholders' equity | 67,378 | 59,387 |
Total liabilities and stockholders' equity | $ 625,236 | $ 591,945 |
Consolidated Statements of Fi_2
Consolidated Statements of Financial Condition (Parenthetical) - $ / shares | Dec. 31, 2018 | Dec. 31, 2017 |
Consolidated Statements of Financial Condition [Abstract] | ||
Preferred Stock, Par or Stated Value Per Share | $ 0 | $ 0 |
Preferred Stock, Authorized | 500,000 | 500,000 |
Preferred Stock, Shares Issued | 0 | 0 |
Common Stock, Par or Stated Value Per Share | $ 1 | $ 1 |
Common Stock, Shares Authorized | 20,000,000 | 20,000,000 |
Common Stock, Shares Issued | 5,134,249 | 4,811,611 |
Common Stock, Shares, Outstanding | 5,092,048 | 4,767,656 |
Treasury Stock, Shares | 42,201 | 43,955 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Interest income: | |||
Loans, including fees | $ 20,060 | $ 18,005 | $ 17,559 |
Taxable securities | 3,040 | 2,888 | 2,475 |
Tax-exempt securities | 393 | 451 | 418 |
Other interest income | 158 | 30 | 17 |
Total interest income | 23,651 | 21,374 | 20,469 |
Interest expense: | |||
Deposits | 3,068 | 2,129 | 1,811 |
Securities sold under agreements to repurchase | 62 | 31 | 5 |
Short-term borrowings | 190 | 295 | 94 |
Long-term debt | 276 | 369 | 328 |
Other interest bearing liabilities | 39 | 31 | 30 |
Total interest expense | 3,635 | 2,855 | 2,268 |
Net interest income | 20,016 | 18,519 | 18,201 |
Provision for loan losses | 337 | 439 | 466 |
Net interest income after provision for loan losses | 19,679 | 18,080 | 17,735 |
Non-interest income: | |||
Earnings on bank-owned life insurance and annuities | 352 | 352 | 371 |
Income/gain from unconsolidated subsidiary | 296 | 167 | 222 |
(Loss) gain on sales and calls of securities | (188) | 512 | 218 |
Change in value of equity securities | (1) | ||
Gain on sales of loans | 113 | ||
Gain from life insurance proceeds | 364 | ||
Other non-interest income | 334 | 294 | 283 |
Total non-interest income | 5,027 | 5,292 | 5,418 |
Non-interest expense: | |||
Employee compensation expense | 7,822 | 7,159 | 6,883 |
Employee benefits | 2,458 | 2,837 | 2,301 |
Occupancy | 1,217 | 1,173 | 1,137 |
Equipment | 818 | 711 | 661 |
Data processing expense | 1,924 | 1,751 | 1,807 |
Director compensation | 215 | 241 | 238 |
Professional fees | 640 | 571 | 539 |
Taxes, other than income | 498 | 463 | 437 |
FDIC Insurance premiums | 274 | 334 | 375 |
(Gain) loss on sales of other real estate owned | (60) | (8) | 150 |
Amortization of intangibles | 79 | 67 | 105 |
Amortization of investment in low-income housing partnership | 800 | 612 | 479 |
Merger and acquisition expense | 884 | 13 | 347 |
Other non-interest expense | 1,892 | 1,851 | 1,719 |
Total non-interest expense | 19,461 | 17,775 | 17,178 |
Income before income taxes | 5,245 | 5,597 | 5,975 |
Income tax (benefit) provision | (659) | 1,060 | 819 |
Net income | $ 5,904 | $ 4,537 | $ 5,156 |
Earnings per share | |||
Basic | $ 1.18 | $ 0.95 | $ 1.07 |
Diluted | 1.18 | 0.95 | 1.07 |
Cash dividends declared per share | $ 0.88 | $ 0.88 | $ 0.88 |
Weighted average basic shares outstanding | 4,987,186 | 4,765,165 | 4,801,245 |
Weighted average diluted shares outstanding | 5,009,484 | 4,775,505 | 4,802,175 |
Customer Service Fees [Member] | |||
Non-interest income: | |||
Non-interest income | $ 1,779 | $ 1,747 | $ 1,736 |
Debit Card fee Income [Member] | |||
Non-interest income: | |||
Non-interest income | 1,280 | 1,120 | 1,044 |
Trust Fees [Member] | |||
Non-interest income: | |||
Non-interest income | 430 | 446 | 454 |
Commissions from Sales of Non-Deposit Products [Member] | |||
Non-interest income: | |||
Non-interest income | 259 | 173 | 223 |
Fees Derived From Loan Activity [Member] | |||
Non-interest income: | |||
Non-interest income | 416 | 267 | 232 |
Mortgage Banking Income [Member] | |||
Non-interest income: | |||
Non-interest income | $ 70 | $ 214 | $ 158 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Statement of Comprehensive Income [Abstract] | ||||
Net income: Pre-Tax Amount | $ 5,245 | $ 5,597 | $ 5,975 | |
Net Income: Tax Effect | 659 | (1,060) | (819) | |
Net income: Net-of-Tax Amount | 5,904 | 4,537 | 5,156 | |
Other comprehensive income (loss): | ||||
Unrealized holding losses arising during the period: Pre-Tax Amount | (1,216) | (318) | (1,215) | |
Unrealized holding losses arising during the period: Tax Effect | 255 | 108 | 413 | |
Unrealized holding losses arising during the period: Net-of-Tax Amount | (961) | (210) | (802) | |
Unrealized holding gain (loss) from unconsolidated subsidiary: Pre-Tax Amount | 5 | 3 | (17) | |
Unrealized holding gain (loss) from unconsolidated subsidiary: Net-of-Tax Amount | 5 | 3 | (17) | |
Less reclassification adjustment for gains included in net income: Pre-Tax Amount | [1],[2] | 188 | (512) | (218) |
Less reclassification adjustment for: gains included in net income: Tax Effect | [1],[2] | (39) | 174 | 74 |
Less reclassification adjustment for: gains included in net income: Net-of-Tax Amount | [1],[2] | 149 | (338) | (144) |
Unrecognized pension net gain (loss): Pre-Tax Amount | [2],[3] | (55) | 1,024 | (9) |
Unrecognized pension net gain (loss): Tax Effect | [2],[3] | 11 | (348) | 3 |
Unrecognized pension net gain (loss): Net-of-Tax Amount | [2],[3] | (44) | 676 | (6) |
Unrecognized pension cost due to change in assumptions: Pre-Tax Amount | [2],[3] | 601 | (1,141) | (305) |
Unrecognized pension cost due to change in assumptions: Tax Effect | [2],[3] | (126) | 388 | 104 |
Unrecognized pension cost due to change in assumptions: Net-of-Tax Amount | [2],[3] | 475 | (753) | (201) |
Amortization of pension net actuarial cost: Pre-Tax Amount | [2],[3] | 338 | 584 | 248 |
Amortization of net pension actuarial loss: Tax Expense | [2],[3] | (71) | (199) | (84) |
Amortization of net pension actuarial cost: Net-of-Tax Amount | [2],[3] | 267 | 385 | 164 |
Other comprehensive loss: Pre-Tax Amount | (139) | (360) | (1,516) | |
Other comprehensive loss: Tax Effect | 30 | 123 | 510 | |
Other comprehensive loss: Net-of-Tax Amount | (109) | (237) | (1,006) | |
Total comprehensive income: Pre-Tax Amount | 5,106 | 5,237 | 4,459 | |
Total comprehensive income: Tax Expense | 689 | (937) | (309) | |
Total comprehensive income: Net-of-Tax Amount | $ 5,795 | $ 4,300 | $ 4,150 | |
[1] | Amounts are included in (loss) gain on calls of securities on the Consolidated Statements of Income as a separate element within total non-interest income. | |||
[2] | Income tax amounts are included in the provision for income taxes on the Consolidated Statements of Income. | |||
[3] | Amounts are included in the computation of net periodic benefit cost and are included in employee benefits expense on the Consolidated Statements of Income as a separate element within total non-interest expense. |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Surplus [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Loss [Member] | Treasury Stock [Member] | Total |
Beginning balance at Dec. 31, 2015 | $ 4,798 | $ 18,352 | $ 39,015 | $ (2,203) | $ 59,962 | |
Beginning balance, shares at Dec. 31, 2015 | 4,798,086 | |||||
Net income | 5,156 | 5,156 | ||||
Other comprehensive income (loss) | (1,006) | (1,006) | ||||
Cash dividends | (4,226) | (4,226) | ||||
Stock-based compensation activity | 67 | 67 | ||||
Purchase of treasury stock, at cost | $ (927) | $ (927) | ||||
Purchase of treasury stock, shares | (49,370) | |||||
Stock issued for stock option and stock plans, shares | 3,764 | |||||
Common stock issued to LCB stockholders | $ 7 | 57 | $ 64 | |||
Common stock issued to LCB stockholders, shares | 6,914 | |||||
Ending balance at Dec. 31, 2016 | $ 4,805 | 18,476 | 39,945 | (3,209) | $ (927) | 59,090 |
Ending balance, shares at Dec. 31, 2016 | 4,755,630 | |||||
Net income | 4,537 | 4,537 | ||||
Other comprehensive income (loss) | (237) | (237) | ||||
Reclassification due to tax reform | 588 | (588) | ||||
Cash dividends | (4,194) | (4,194) | ||||
Stock-based compensation activity | 71 | 71 | ||||
Purchase of treasury stock, at cost | $ (86) | (86) | ||||
Purchase of treasury stock, shares | (4,289) | |||||
Treasury stock issued for stock plans | (10) | $ 182 | 172 | |||
Treasury stock issued for stock plans, shares | 9,704 | |||||
Stock issued for stock option and stock plans | $ 6 | 28 | $ 34 | |||
Stock issued for stock option and stock plans, shares | 6,611 | 1,961 | ||||
Ending balance at Dec. 31, 2017 | $ 4,811 | 18,565 | 40,876 | (4,034) | (831) | $ 59,387 |
Ending balance, shares at Dec. 31, 2017 | 4,767,656 | 4,767,656 | ||||
Net income | 5,904 | $ 5,904 | ||||
Other comprehensive income (loss) | (109) | (109) | ||||
Reclassification for ASU 2016-01 | 156 | (156) | ||||
Cash dividends | (4,411) | (4,411) | ||||
Stock-based compensation activity | 82 | 82 | ||||
Purchase of treasury stock, at cost | $ (70) | (70) | ||||
Purchase of treasury stock, shares | (3,416) | |||||
Treasury stock issued for stock plans | (8) | $ 98 | 90 | |||
Treasury stock issued for stock plans, shares | 5,170 | |||||
Stock issued for stock option and stock plans | $ 8 | 34 | $ 42 | |||
Stock issued for stock option and stock plans, shares | 7,354 | 2,134 | ||||
Common stock issued to LCB stockholders | $ 315 | 6,148 | $ 6,463 | |||
Common stock issued to LCB stockholders, shares | 315,284 | |||||
Ending balance at Dec. 31, 2018 | $ 5,134 | $ 24,821 | $ 42,525 | $ (4,299) | $ (803) | $ 67,378 |
Ending balance, shares at Dec. 31, 2018 | 5,092,048 | 5,092,048 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Stockholders' Equity(Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Consolidated Statements of in Stockholders' Equity [Abstract] | |||
Cash Dividends at per share | $ 0.88 | $ 0.88 | $ 0.88 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Operating activities: | |||
Net income | $ 5,904 | $ 4,537 | $ 5,156 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Provision for loan losses | 337 | 439 | 466 |
Depreciation | 815 | 672 | 595 |
Net amortization of securities premiums | 540 | 650 | 740 |
Net amortization of loan origination costs | 43 | 75 | 63 |
Deferred net loan origination costs | (348) | (410) | (124) |
Amortization of core deposit intangible | 79 | 67 | 105 |
Amortization of investment in low income housing partnership | 800 | 612 | 479 |
Net (amortization) accretion of purchase fair value adjustments | (102) | 17 | (9) |
Net realized loss (gain) on sales and calls of securities | 188 | (512) | (218) |
Change in fair value of equity securities | 1 | ||
Net (gain) loss on sales of other real estate owned | (60) | (8) | 148 |
Earnings on bank owned life insurance and annuities | (352) | (352) | (371) |
Deferred income tax (benefit) expense | (96) | 681 | 320 |
Equity loss (gain) in unconsolidated subsidiary, net of dividends of $75, $61 and $55 | 194 | (106) | (167) |
Equity gain from acquisition of unconsolidated subsidiary | (415) | ||
Stock-based compensation expense | 82 | 71 | 67 |
Mortgage loans originated for sale | (4,170) | (1,582) | |
Proceeds from loans sold to others | 95 | 4,257 | 1,822 |
Mortgage banking income | (70) | (107) | (228) |
Gain from life insurance proceeds | (364) | ||
(Increase) decrease in accrued interest receivable and other assets | (1,493) | (6) | 461 |
(Decrease) increase in accrued interest payable and other liabilities | (821) | 393 | (1,056) |
Net cash provided by operating activities | 5,321 | 6,800 | 6,303 |
Investing activities: | |||
Purchases of: Securities available for sale | (20,610) | (42,510) | (48,195) |
Purchases of: FHLB stock | (111) | ||
Purchases of: Premises and equipment | (548) | (2,703) | (542) |
Purchases of: Bank owned life insurance and annuities | (39) | (40) | (53) |
Proceeds from: Sales of securities available for sale | 10,461 | 21,799 | 4,304 |
Proceeds from: Maturities of and principal repayments on securities available for sale | 19,145 | 16,322 | 43,835 |
Redemption of FHLB stock | 787 | 586 | |
Proceeds from: Sale of student loans | 1,796 | ||
Proceeds from: Proceeds from life insurance claims | 1,016 | ||
Proceeds from: Sale of other real estate owned | 352 | 1,007 | 144 |
Proceeds from: Sale of other assets | 22 | 25 | 20 |
Net cash received from acquisition | 7,561 | ||
Investment in low income housing partnerships | (100) | (2,045) | (923) |
Net decrease in interest bearing time deposits with banks | 735 | ||
Net increase in loans | (2,931) | (6,239) | (1,750) |
Net cash provided by (used in) investing activities | 14,835 | (13,798) | (459) |
Financing activities: | |||
Net increase (decrease) in deposits | 8,010 | 21,837 | (1,293) |
Net decrease in short-term borrowings and securities sold under agreements to repurchase | (7,258) | (10,427) | (2,861) |
Issuance of long-term debt | 10,000 | ||
Repayment of long-term debt | (10,000) | (7,500) | |
Cash dividends | (4,411) | (4,194) | (4,226) |
Purchase of treasury stock | (70) | (86) | (927) |
Common stock issued for stock plans | 90 | ||
Treasury stock issued for employee stock plans | 42 | 206 | 64 |
Net cash (used in) provided by financing activities | (13,597) | 7,336 | (6,743) |
Net increase (decrease) in cash and cash equivalents | 6,559 | 338 | (899) |
Cash and cash equivalents at beginning of year | 9,897 | 9,559 | 10,458 |
Cash and cash equivalents at end of year | 16,456 | 9,897 | 9,559 |
Supplemental information: | |||
Interest paid | 3,646 | 2,823 | 2,237 |
Income tax (refund) paid | (663) | 735 | 200 |
Supplemental schedule of noncash investing and financing activities: | |||
Transfer of loans to other real estate owned | 681 | 716 | 313 |
Transfer of loans to other assets | 12 | $ 21 | 20 |
Securities sold settling after year-end | $ 104 | ||
Assets acquired: | |||
Investment in time deposits with banks | 3,675 | ||
Loans | 31,331 | ||
Premises and equipment | 125 | ||
Accrued interest receivable | 123 | ||
Core deposit and other intangible assets | 289 | ||
Bank owned life insurance | 632 | ||
FHLB stock | 124 | ||
Other assets | 267 | ||
Assets acquired, total | 36,566 | ||
Liabilities assumed: | |||
Deposits | 36,052 | ||
Pension liability | 266 | ||
Liabilities assumed, total | $ 36,318 |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Consolidated Statements of Cash Flows(Parenthetical) [Abstract] | |||
Equity method investment, dividends | $ 75 | $ 61 | $ 55 |
Nature of Operations
Nature of Operations | 12 Months Ended |
Dec. 31, 2018 | |
Nature of Operations [Abstract] | |
Nature of Operations | 1. Nature Of Operations Juniata Valley Financial Corp. (“Juniata” or the “Company”) is a bank holding company operating in central Pennsylvania for the purpose of delivering financial services within its local market. Through its wholly-owned banking subsidiary, The Juniata Valley Bank (the “Bank”), Juniata provides retail and commercial banking and other financial services through 16 branch locations located in Juniata, Mifflin, Perry, McKean, Potter and Huntingdon Counties. Additionally, in Mifflin, Juniata and Centre Counties, the Company maintains three offices for loan production, trust services and wealth management sales. Each of the Company’s lines of business are part of the same reporting segment, whose operating results are regularly reviewed and managed by a centralized executive management group. As a result, the Company has only one reportable segment for financial reporting purposes. The Bank provides a full range of banking services, including online and mobile banking, an automatic teller machine network, checking accounts, identity protection products for consumers, savings accounts, money market accounts, fixed rate certificates of deposit, club accounts, secured and unsecured commercial and consumer loans, construction and mortgage loans, safe deposit facilities and credit loans with overdraft checking protection. The Bank also provides a variety of trust services. The Company has a contractual arrangement with a broker-dealer to allow the offering of annuities, mutual funds, stock and bond brokerage services and long-term care insurance to its local market. Most of the Company’s commercial customers are small and mid-sized businesses operating in the Bank’s local service area. The Bank operates under a state bank charter and is subject to regulation by the Pennsylvania Department of Banking and the Federal Deposit Insurance Corporation. Juniata is subject to regulation by the Board of Governors of the Federal Reserve Bank and the Pennsylvania Department of Banking and Securities. |
Recent Accounting Standards Upd
Recent Accounting Standards Update (ASU) | 12 Months Ended |
Dec. 31, 2018 | |
Recent Accounting Standards Update (ASU) [Abstract] | |
Recent Accounting Standards Update (ASU) | 3. RECENT ACCOUNTING STANDARDS UPDATE (“asu”) New Accounting Standards Adopted in 2018 ASU 2014-09, Revenue from Contracts with Customers (Topic 606) Issued: May 2014 Summary: The amendments in this Update establish a comprehensive revenue recognition standard for virtually all industries under U.S. GAAP, including those that previously followed industry-specific guidance. The revenue standard’s core principle requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. To accomplish this objective, the standard requires five basic steps: (i) identify the contract with the customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) the entity satisfies a performance obligation. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date . ASU 2015-14 deferred the effective date of the new revenue recognition standard by one year. As a result, the standard was effective for public entities in fiscal years beginning after December 15, 2017. The Company adopted the ASU 2014-09 on January 1, 2018 and elected the modified retrospective transition method. Because the amended guidance does not apply to revenue associated with financial instruments accounted for under other U.S. GAAP, the Company assessed the effect the guidance had on the recognition processes of certain recurring revenue streams related to non-interest income. The Company did not identify any significant changes in the timing of revenue recognition when considering the amended accounting guidance. Additional disclosures related to revenue recognition appear in Note 21. ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income . Issued: February 2018 Summary: The Update allows entities to reclassify from accumulated other comprehensive income (“AOCI”) to retained earnings the 'stranded' tax effects of accounting for income tax rate changes on items accounted for in AOCI that were impacted by tax reform enacted in December 2017. Because the impact of tax rate changes is recorded in income, items accounted for in AOCI could be left with a stranded tax effect appearing as though those items do not reflect the appropriate tax rate. The FASB's changes were intended to improve the usefulness of information reported to financial statement users. Effective Date: The changes are effective for years beginning after December 31, 2018, with early adoption permitted. The Company elected to adopt the changes in the first quarter of 2018, as of December 31, 2017. The amount transferred from AOCI to retained earnings totaled $588,000 and represented the impact of the Company’s corporate tax rate change from 34% to 21% at the date of enactment of the tax reform for the unrealized gains and losses on securities and the defined benefit plan accounted for in AOCI. ASU 2016-01, Measurement of Financial Instruments Issued: January 2016 Summary: The amendments in this Update require all equity investments to be measured at fair value with changes in the fair value recognized through net income (other than those changes accounted for under the equity method of accounting or those that result in consolidation of the investee). The amendments in this Update also require an entity to present separately in AOCI the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. In addition, the Update emphasizes the existing requirement to use exit prices to measure fair value for disclosure purposes and clarifies that entities should not make use of a practicability exception in determining the fair value of loans. Accordingly, we refined the calculations used to determine the disclosed fair value of our loans as part of adopting this standard. The redefined calculation did not have a significant impact on our fair value disclosures. Effective Date: For public entities, the amendments in the Update are effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The Company currently holds a small portfolio of equity investments for which the fair value fluctuates with market activity. The Company adopted ASU 2016-01 on January 1, 2018. As of this date, the Company had $197,000 in unrealized gains on equity securities (see Note 6). The adoption of this Update resulted in a reclassification of $156,000 from other comprehensive loss to retained earnings. The Company recorded a decline of $1,000 during the year ended December 31, 2018 for the change in fair value of equity securities on the consolidated statements of income. ASU 2018-03, Technical Corrections and Improvements to Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities Issued: February 2018 Summary: The FASB issued this Update to clarify certain aspects of the guidance on recognizing and measuring financial assets and liabilities in ASU 2016-01: · Clarification regarding the ability to discontinue application of the measurement alternative for equity securities without a readily determinable fair value; · Clarification of the measurement date for fair value adjustments to the carrying amount of equity securities without a readily determinable fair value for which the measurement alternative is elected; · Clarification of the unit of account for fair value adjustments to forward contracts and purchased options on equity securities without a readily determinable fair value for which the measurement alternative is expected to be elected; · Presentation requirements for certain hybrid financial liabilities for which the fair value option is elected; · Measurement of financial liabilities denominated in a foreign currency for which the fair value option is elected; and · Transition guidance for equity securities without a readily determinable fair value. The amendments in ASU 2018-03 are effective for public business entities for fiscal years beginning after December 15, 2017 and for interim periods within those fiscal years beginning after June 15, 2018. For all other entities, the effective date is the same as the effective date for ASU 2016-01. All entities may early adopt the amendments, including adoption in an interim period, provided they have already adopted ASU 2016-01. The Company adopted this Update in conjunction with the adoption of ASU 2016-01 on January 1, 2018. The adoption had no material impact to the Company’s consolidated financial position or results of operations. ASU 2017-09, Scope of Modification Accounting Issued: May 2017 Summary: ASU 2017-09 clarifies Topic 718 such that an entity must apply modification accounting to changes in the terms or conditions of a share-based payment award unless all of the following criteria are met: 1. The fair value of the modified award is the same as the fair value of the original award immediately before the modification. The standard indicates that if the modification does not affect any of the inputs to the valuation technique used to value the award, the entity is not required to estimate the value immediately before and after the modification. 2. The vesting conditions of the modified award are the same as the vesting conditions of the original award immediately before the modification. 3. The classification of the modified award as an equity instrument or a liability instrument is the same as the classification of the original award immediately before the modification. Effective Date: The amendments were effective for all entities for fiscal years beginning after December 15, 2017, including interim periods within those years. The Company adopted ASU 2017-09 on January 1, 2018 and it had no material impact on the Company’s consolidated financial position or results of operations. ASU 2017-08, Premium Amortization on Purchased Callable Debt Securities Issued: March 2017 Summary: ASU 2017-08 shortens the amortization period for premiums on purchased callable debt securities to the earliest call date, rather than amortizing over the full contractual term. The ASU does not change the accounting for securities held at a discount. Effective Date: The amendments are effective for public business entities for fiscal years beginning after December 15, 2018. Early adoption is permitted. The Company chose to early adopt this standard, and the financial statements as of, and for the year ended, December 31, 2017 reflected the impact of premium amortization on callable debt securities to the earliest call date. The adoption of this ASU did not have a material impact on the Company’s consolidated financial statements. ASU 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost Issued: March 2017 Summary: ASU 2017-07 requires that an employer disaggregate the service cost component from the other components of net benefit cost. The amendments also provide explicit guidance on how to present the service cost component and the other components of net benefit cost in the income statement and allows only the service cost component of net benefit cost to be eligible for capitalization. Effective Date: The amendments were effective for public business entities for fiscal years beginning after December 15, 2017. The Company adopted this Update on January 1, 2018, and it had no impact on the Company’s consolidated financial position and results of operations because the Company’s defined benefit plan is frozen; therefore, there is no service cost component to consider. The cost for other components related to the defined benefit plan are recorded in employee benefits expense on the consolidated statements of income. ASU 2016-15, Classification of Certain Cash Receipts and Cash Payments Issued: August 2016 Summary: ASU 2016-15 clarifies how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The amendments are intended to reduce diversity in practice. Effective Date: The amendments were effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. The Company adopted this Update on January 1, 2018 and it did not have a material impact on the Company’s consolidated financial position or results of operations. Pending Accounting Standards ASU 2016-02, Leases Issued: February 2016 Summary: The new standard establishes a right-of-use (“ROU”) model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. In July 2018, the FASB issued ASU-2018-10, Codification Improvements to Topic 842, Leases . ASU 2018-10 clarifies the intended application of certain narrow aspects of the guidance in ASU 2016-02. The amendments are similar in nature to those in the FASB’s ongoing project to make improvements to clarify the Codification or correct unintended application of the guidance. Key amendments in this ASU include: · Updating the definition of Rate Implicit in the Lease to clarify that the rate cannot be less than zero; · Clarifying application of guidance for lessors when determining impairment of net investment in the lease; · Clarifying whether lessors and lessees should recognize certain transition adjustments to earnings rather than through equity; · Clarifying certain transition guidance for amounts previously recognized in business combinations. In July 2018, the FASB also issued ASU 2018-11, Leases (Topic 842): Targeted Improvements . ASU 2018-11 provides entities with an additional (and optional) transition method to adopt the new leases standard. Under this new transition method, an entity initially applies the new leases standard at the adoption date and recognizes a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. ASU 2018-11 also provides lessors with a practical expedient, by class of underlying asset, to elect not to separate nonlease components from the associated lease component and, instead, to account for those components as a single component if the nonlease components otherwise would be accounted for under the new revenue guidance (Topic 606) and both the timing and pattern of transfer of the nonlease component(s) and associated lease component are the same, and the lease component, if accounted for separately, would be classified as an operating lease. If the nonlease component or components associated with the lease component are the predominant component of the combined component, an entity is required to account for the combined component in accordance with Topic 606. Otherwise, the entity must account for the combined component as an operating lease in accordance with Topic 842. Effective Date: ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The effective date and transition requirements of ASU 2018-10 and ASU 2018-11 are the same as the effective date and transition requirements in Topic 842. The Company adopted ASU 2016-02 on January 1, 2019 using the optional transition method. The Company also elected the following practical expedients: the package of practical expedients, combining lease and nonlease components by class of underlying asset, and using hindsight in determining the lease terms. The adoption of this standard resulted in the recording of a ROU asset of $519,000 and a lease liability of $510,000 as of January 1, 2019 for the Company’s four operating lease obligations. The adoption of this standard is not expected to have a material impact on the Company’s operations, cash flows or capital ratios, nor should it cause the Company to no longer be well capitalized. ASU 2018-14, Compensation—Retirement Benefits—Defined Benefit Plans—General (Topic 715-20): Disclosure Framework—Changes to the Disclosure Requirements for Defined Benefit Plans Issued: August 2018 Summary: ASU 2018-14 modifies the disclosure requirements under ASC 715-20 for employers that sponsor defined benefit pension or other postretirement plans. Those modifications include the removal and addition of disclosure requirements as well as clarifying specific disclosure requirements. Effective Date: The amendments are effective for public business entities for fiscal years ending after December 15, 2020. For all other entities, the amendments are effective for annual reporting periods ending after December 15, 2021. Early adoption is permitted. This Update will have no impact on the Company’s consolidated financial position and results of operations because in August 2018, Juniata’s Board of Directors resolved to terminate the Company’s defined benefit retirement plan, The Juniata Valley Bank Retirement Plan , effective November 30, 2018. All participants have been properly notified and settlement of all obligations is expected to occur in mid-2019. See Note 22 for additional information. ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement Issued: August 2018 Summary: ASU 2018-13 modifies the disclosure requirements for fair value measurements required under ASC 820. Those modifications include the removal and addition of disclosure requirements as well as clarifying specific disclosure requirements. Effective Date: The amendments become effective for all entities for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted upon issuance of this ASU. An entity is permitted to early adopt all disclosure requirements in the ASU or early adopt only the removed and modified disclosures and delay adoption of the additional disclosures until their effective date. This Update is not expected to have an impact on the Company’s consolidated financial position or results of operations. ASU 2017-12, Targeted Improvements to Accounting for Hedging Activities Issued: August 2017 Summary: ASU 2017-12 improves Topic 815 by simplifying and expanding the eligible hedging strategies for financial and nonfinancial risks by more closely aligning hedge accounting with a company’s risk management activities, and also simplifies its application through targeted improvements in key practice areas. This includes expanding the list of items eligible to be hedged and amending the methods used to measure the effectiveness of hedging relationships. In addition, the ASU prescribes how hedging results should be presented and requires incremental disclosures. These changes are intended to allow preparers more flexibility and to enhance the transparency of how hedging results are presented and disclosed. Further, the new standard provides partial relief on the timing of certain aspects of hedge documentation and eliminates the requirement to recognize hedge ineffectiveness separately in earnings in the current period. Effective Date: The amendments are effective for public business entities, for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early application is permitted in any interim period after issuance of the amendments for existing hedging relationships on the date of adoption. This Update will have no impact on the Company’s consolidated financial position and results of operations. ASU 2017-04, Simplifying the Test for Goodwill Impairment Issued: January 2017 Summary: ASU 2017-04 eliminates the requirement of Step 2 in the current guidance to calculate the implied fair value of goodwill to measure a goodwill impairment charge. Instead, entities will record an impairment charge based on the excess of a reporting unit’s carrying amount over its fair value in Step 1 of the current guidance. Effective Date: The amendments are effective for public business entities for fiscal years beginning after December 15, 2019. The adoption of this Update is not expected to have an impact on the Company’s consolidated financial position and results of operations. ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments Issued: June 2016 Summary: ASU 2016-13 requires credit losses on most financial assets to be measured at amortized cost and certain other instruments to be measured using an expected credit loss model (referred to as the current expected credit loss (“CECL”) model). Under this model, entities will estimate credit losses over the entire contractual term of the instrument (considering estimated prepayments, but not expected extensions or modifications unless reasonable expectation of a troubled debt restructuring exists) from the date of initial recognition of that instrument. The ASU also replaces the current accounting model for purchased credit impaired loans and debt securities. The allowance for credit losses for purchased financial assets with a more-than insignificant amount of credit deterioration since origination (“PCD assets”), should be determined in a similar manner to other financial assets measured on an amortized cost basis. However, upon initial recognition, the allowance for credit losses is added to the purchase price (“gross up approach”) to determine the initial amortized cost basis. The subsequent accounting for PCD financial assets is the same expected loss model described above. Further, the ASU made certain targeted amendments to the existing impairment model for available for sale (AFS) debt securities. For an AFS debt security for which there is neither the intent nor a more-likely-than-not requirement to sell, an entity will record credit losses as an allowance rather than a write-down of the amortized cost basis. Effective Date: The new standard is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. While the Company’s senior management is currently in the process of evaluating the impact of the amended guidance on its consolidated financial statements and disclosures, it currently expects the ALLL to increase upon adoption given that the allowance will be required to cover the full remaining expected life of the portfolio, rather than the incurred loss under current U.S. GAAP. The extent of this increase is still being evaluated and will depend on economic conditions and the composition of the Company’s loan portfolio at the time of adoption. In preparation, the Company has taken steps to prepare for the implementation when it becomes effective by forming an internal taskforce, gathering pertinent data, participating in training courses, and partnering with a software provider that specializes in ALLL analysis, as well as assessing the sufficiency of data currently available through its core database. |
Merger
Merger | 12 Months Ended |
Dec. 31, 2018 | |
Merger [Abstract] | |
Merger | 4. MERGER On April 30, 2018 , the Company completed the acquisition of Liverpool Community Bank , a Pennsylvania state-chartered bank with one branch location in Liverpool, Perry County. Liverpool was merged with and into The Juniata Valley Bank. As of the merger date, Liverpool had assets of $45,360,000 , loans of $32,091,000 , and equity of $9,246,000 . Prior to the acquisition, Juniata owned 1,214 , or 39.16% , of the 3,100 outstanding common shares of Liverpool. The merger was accounted for using the acquisition method of accounting, in accordance with the provisions of ASC 805, Business Combinations. Juniata obtained control over Liverpool in a step acquisition by acquiring the previously unowned interest in Liverpool. As such, Juniata was required to remeasure its previously held equity interest in Liverpool at its acquisition date fair value and recognize the resulting gain in earnings. The purchase price for the step acquisition was calculated as the aggregate of the consideration transferred for the newly acquired interest (Step Two 60.84% interest) and the fair value of Juniata’s previously held equity interest (Step One 39.16% interest) in Liverpool. On April 30, 2018, Juniata’s Step One adjusted basis in Liverpool was $ 5,037,000 , which included a $415,000 equity gain from the acquisition, in addition to Juniata’s basis in Liverpool of $4,622,000 prior to the recording of the equity gain. Liverpool shareholders (other than Juniata, whose Liverpool common stock owned of record or beneficially was cancelled) received either: (i) 202.6286 shares of common stock of Juniata or (ii) $4,050.00 in cash in exchange for each share of Liverpool common stock subject to the limitation that cash would be paid for no more than 20% and no less than 15% of Liverpool’s outstanding common stock. As a result, Juniata issued 315,284 shares of common stock with an acquisition date fair value of approximately $6,463,000 , based on Juniata’s closing stock price of $20.50 on April 30, 2018, and cash of $1,362,000 , including cash in lieu of fractional shares for a total Step Two purchase price consideration of $7,825,000 . The total purchase price of the merger, including both the Step One adjusted basis and Step Two purchase price consideration, was $12,862,000 . The assets and liabilities of Liverpool were recorded on the consolidated balance sheet at their estimated fair value as of April 30, 2018, and its results of operations have been included in the consolidated income statement since such date. The purchase price included goodwill and a core deposit intangible of $3,691,000 and $289,000 , respectively. The core deposit intangible will be amortized over a ten-year period using a sum of the year’s digits basis. The goodwill will not be amortized but will be tested annually for impairment, or more frequently if circumstances require. The allocation of the purchase price is as follows: (Dollars in thousands) Step One Purchase Price Consideration April 30, 2018 JUVF basis in LCB (before gain) $ 4,622 Increase in Step One basis from equity gain in acquisition 415 Total Step One adjusted basis 5,037 Step Two Purchase Price Consideration Purchase price assigned to LCB common shares exchanged for 315,284 JUVF common shares $ 6,463 Purchase price assigned to LCB common shares exchanged for cash including cash in lieu of fractional shares 1,362 Total Step Two purchase price consideration 7,825 Total purchase price 12,862 LCB net assets acquired: Tangible common equity 9,246 Adjustments to reflect assets acquired and liabilities assumed at fair value: Total fair value adjustments (95) Associated deferred income taxes 20 Fair value adjustment to net assets acquired, net of tax (75) Total LCB net assets acquired 9,171 Goodwill resulting from the merger $ 3,691 The following table summarizes the estimated fair value of the assets acquired and liabilities assumed. (Dollars in thousands) Total purchase price $ 12,862 Net assets acquired: Cash and cash equivalents 8,923 Investments in time deposits with banks 3,675 Loans 31,331 Premises and equipment 125 Accrued interest receivable 123 Core deposit and other intangibles 289 Bank owned life insurance 632 FHLB stock 124 Other assets 267 Deposits (36,052) Accrued interest payable (17) Other liabilities (249) 9,171 Goodwill $ 3,691 As of April 30, 2018, the merger date, goodwill was recorded at $3,691,000 . ASC 805 allows for adjustments to the estimated fair value of assets and liabilities, and the resulting goodwill for a period of up to one year after the merger date for new information that becomes available that reflects circumstances at the merger date. The fair value of the financial assets acquired included loans receivable with a gross amortized cost basis of $32,091,000 . The table below illustrates the fair value adjustments made to the amortized cost basis in order to present a fair value of the loans acquired. (Dollars in thousands) Gross amortized cost basis at April 30, 2018 $ 32,091 Market rate adjustment 272 Credit fair value adjustment on pools of homogeneous loans (496) Credit fair value adjustment on purchased credit impaired loans (622) Reversal of existing deferred fees and premiums 86 Fair value of purchased loans at April 30, 2018 $ 31,331 The market rate adjustment represents the movement in market interest rates, irrespective of credit adjustments, compared to the stated rates of the acquired loans. The credit adjustment made on pools of homogeneous loans represents the changes in credit quality of the underlying borrowers from the loan inception to the acquisition date. The credit adjustment on impaired loans is derived in accordance with ASC 310-30 and represents the portion of the loan balances that has been deemed uncollectible based on the Company’s expectations of future cash flows for each respective loan. Summarized below is the acquired Liverpool purchased credit impaired loan portfolio as of April 30, 2018. (Dollars in thousands) Contractually required principal and interest at acquisition $ 2,022 Contractual cash flows not expected to be collected (nonaccretable discount) (1,273) Expected cash flows at acquisition 749 Interest component of expected cash flows (accretable discount) (177) Fair value of acquired loans $ 572 The following table presents unaudited pro forma information as if the merger between Juniata and Liverpool had been completed on January 1, 2017. The pro forma information does not necessarily reflect the results of operations that would have occurred had Juniata merged with Liverpool at the beginning of 2017. Due to Juniata’s former 39.16% ownership in Liverpool, the income previously recorded in 2018 and 2017 that was attributable to the partial ownership of Liverpool has been excluded, in addition to merger-related costs incurred in 2018 and the resulting tax impacts. Supplemental pro forma earnings for the year ended December 31, 2018 were adjusted to exclude $296,000 from the income/gain from unconsolidated subsidiary, $884,000 in merger-related expenses, and the resulting tax benefit of $123,000 . The results for the comparable 2017 period were adjusted to include the aforementioned merger-related expenses; however, those results exclude the income from unconsolidated subsidiary and merger-related expenses previously recorded in the year ended December 31, 2017 of $167,000 and $13,000 , respectively. The resulting tax benefit included in the year ended December 31, 2017 was $218,000 . A 21% tax rate was assumed in both the 2018 and 2017 periods. The pro forma financial information does not include the impact of possible business model changes, nor does it consider any potential impacts of current market conditions or revenues, expense efficiencies or other factors. (Dollars in thousands; except share data) Years ended December 31, 2018 2017 Net interest income after loan loss provision $ 20,629 $ 19,943 Noninterest income 4,816 5,347 Noninterest expense 18,818 19,098 Net income available to common shareholders 6,996 5,184 Net income per common share 1.37 1.02 |
Restrictions on Cash and Due fr
Restrictions on Cash and Due from Banks | 12 Months Ended |
Dec. 31, 2018 | |
Restrictions on Cash and Due from Banks [Abstract] | |
Restrictions on Cash and Due from Banks | 5. Restrictions on Cash and Due From Banks The Bank is required to maintain cash reserve balances with the Federal Reserve Bank if vault cash is insufficient to cover the reserve requirement. As of December 31, 2018 and 2017, respectively, no reserves were required to be held at the Federal Reserve Bank. |
Securities
Securities | 12 Months Ended |
Dec. 31, 2018 | |
Securities [Abstract] | |
Securities | 6. Securities On January 1, 2018, the Company adopted ASU 2016-01, Measurement of Financial Assets Instruments. Upon adoption, equity securities with readily determinable fair values are stated at fair value with realized and unrealized gains and losses reported in net income. For periods prior to January 1, 2018, equity securities were classified as available for sale and stated at fair value with unrealized gains and losses reported as a separate component of AOCI, net of tax. At December 31, 2017, the fair value of equity securities classified as available for sale was $1,119,000 . The adoption of ASU 2016-01 resulted in a reclassification of $156,000 in net unrealized gains from AOCI to retained earnings. As of December 31, 2018, the Company had $1,118,000 in equity investments recorded at fair value. The Company’s investment portfolio includes primarily mortgage-backed securities issued by U.S. Government sponsored agencies and backed by residential mortgages (approximately 71 %), bonds issued by U.S. Government sponsored agencies (approximately 16% ) and municipalities (approximately 1 3 %) as of December 31, 2018. Most of the municipal bonds are general obligation bonds with maturities or pre-refunding dates within 5 years. The amortized cost and fair value of securities available for sale as of December 31, 2018 and 2017, by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because the securities may be called or prepaid with or without prepayment penalties. (Dollars in thousands) December 31, 2018 Gross Gross Securities Available for Sale Amortized Fair Unrealized Unrealized Type and maturity Cost Value Gains Losses Obligations of U.S. Government agencies and corporations After one year but within five years $ 20,998 $ 20,355 $ - $ (643) After five years but within ten years 2,999 2,911 - (88) 23,997 23,266 - (731) Obligations of state and political subdivisions Within one year 826 826 - - After one year but within five years 14,751 14,686 13 (78) After five years but within ten years 2,779 2,669 - (110) 18,356 18,181 13 (188) Mortgage-backed securities 102,957 100,506 172 (2,623) Total $ 145,310 $ 141,953 $ 185 $ (3,542) (Dollars in thousands) December 31, 2017 Gross Gross Securities Available for Sale Amortized Fair Unrealized Unrealized Type and maturity Cost Value Gains Losses Obligations of U.S. Government agencies and corporations Within one year $ 6,000 $ 5,969 $ - $ (31) After one year but within five years 15,000 14,689 - (311) After five years but within ten years 13,998 13,556 - (442) 34,998 34,214 - (784) Obligations of state and political subdivisions Within one year 2,521 2,516 - (5) After one year but within five years 13,959 13,955 50 (54) After five years but within ten years 8,611 8,510 18 (119) 25,091 24,981 68 (178) Mortgage-backed securities 94,945 93,510 38 (1,473) Equity securities 922 1,119 197 - Total $ 155,956 $ 153,824 $ 303 $ (2,435) Certain obligations of the U.S. Government and state and political subdivisions are pledged to secure public deposits, securities sold under agreements to repurchase and for other purposes as required or permitted by law. The carrying value of the pledged assets was $ 50,157,000 and $ 47,825,000 at December 31, 2018 and 2017, respectively. In addition to cash received from the scheduled maturities of securities, some investment securities available for sale are sold at current market values during the course of normal operations. Following is a summary of proceeds received from all investment securities transactions and the resulting realized gains and losses: (Dollars in thousands) Years Ended December 31, 2018 2017 2016 Gross proceeds from sales of securities $ 10,461 $ 21,799 $ 4,304 Securities available for sale: Gross realized gains from sold and called securities $ - $ 539 $ 139 Gross realized losses from sold and called securities (188) (32) (21) Gross gains from business combinations - 5 100 Equity securities owned by the Company consist of common stock of various financial services providers (“Bank Stocks”). As of January 1, 2018, upon the adoption of ASU 2016-01, all of the Company’ equity securities are within the scope of ASC Topic 321, Investments – Equity Securities. ASC 321 requires all equity investments within its scope to be measured at fair value with changes in fair value recognized in net income. The Company recorded a decline of $1,000 during the year ended December 31, 2018 for the change in fair value of equity securities on the consolidated statements of income. The following table shows gross unrealized losses and fair values of securities available for sale, aggregated by category and length of time that individual securities have been in a continuous unrealized loss position, at December 31, 2018: Unrealized Losses at December 31, 2018 Less Than 12 Months 12 Months or More Total Number Number Number (Dollars in thousands) of Fair Unrealized of Fair Unrealized of Fair Unrealized Securities Value Losses Securities Value Losses Securities Value Losses Obligations of U.S. Government agencies and corporations - $ - $ - 14 $ 23,267 $ (731) 14 $ 23,267 $ (731) Obligations of state and political subdivisions 8 5,055 (10) 13 8,242 (178) 21 13,297 (188) Mortgage-backed securities 3 6,726 (32) 43 77,170 (2,591) 46 83,896 (2,623) Total debt securities 11 11,781 (42) 70 108,679 (3,500) 81 120,460 (3,542) Total temporarily impaired securities 11 $ 11,781 $ (42) 70 $ 108,679 $ (3,500) 81 $ 120,460 $ (3,542) At December 31, 2018, 14 U.S. Government and agency securities had unrealized losses that, in the aggregate, did not exceed 1% of amortized cost. All of these securities have been in a continuous loss position for 12 months or more. At December 31, 2018, 21 obligations of state and political subdivision bonds had unrealized losses that, in the aggregate, did not exceed 1% of amortized cost. Thirteen of these securities have been in a continuous loss position for 12 months or more. At December 31, 2018, 4 6 mortgage-backed securities had an unrealized loss that did not exceed 2% of amortized cost. Fort y- three of these securities have been in a continuous loss position for 12 months or more. The mortgage-backed securities in the Company’s portfolio are government sponsored enterprise (“GSE”) pass-through instruments issued by the Federal National Mortgage Association (“FNMA”), which guarantees the timely payment of principal on these investments. The unrealized losses noted above are considered to be temporary impairments. The decline in the values of the debt securities is due only to interest rate fluctuations, rather than erosion of issuer credit quality. As a result, the payment of contractual cash flows, including principal repayment, is not at risk. As the Company does not intend to sell the securities, does not believe the Company will be required to sell the securities before recovery and expects to recover the entire amortized cost basis, none of the debt securities are deemed to be other-than-temporarily impaired. There were two available for sale equity securities in an unrealized loss position on December 31, 2017, with one in an unrealized loss position for 12 months or more. The total unrealized loss on available for sale equity securities at December 31, 2017 was less than $1,000 . Management identified no other-than-temporary impairment as of, or for the years ended, December 31, 2017 and 2016. The following table shows gross unrealized losses and fair values of securities available for sale, aggregated by category and length of time that individual securities had been in a continuous unrealized loss position, at December 31, 2017: Unrealized Losses at December 31, 2017 Less Than 12 Months 12 Months or More Total Number Number Number (Dollars in thousands) of Fair Unrealized of Fair Unrealized of Fair Unrealized Securities Value Losses Securities Value Losses Securities Value Losses Obligations of U.S. Government agencies and corporations 5 $ 10,845 $ (157) 15 $ 23,369 $ (627) 20 $ 34,214 $ (784) Obligations of state and political subdivisions 23 10,491 (70) 6 3,862 (108) 29 14,353 (178) Mortgage-backed securities 23 51,050 (518) 20 38,740 (955) 43 89,790 (1,473) Total debt securities 51 72,386 (745) 41 65,971 (1,690) 92 138,357 (2,435) Equity securities 1 9 - 1 4 - 2 13 - Total temporarily impaired securities 52 $ 72,395 $ (745) 42 $ 65,975 $ (1,690) 94 $ 138,370 $ (2,435) |
Loans and Related Allowance for
Loans and Related Allowance for Loan Losses | 12 Months Ended |
Dec. 31, 2018 | |
Loans and Related Allowance for Loan Losses [Abstract] | |
Loans and Related Allowance for Loan Losses | 7. Loans and Related Allowance for Loan Losses The following table presents the classes of the loan portfolio summarized by the aggregate pass rating and the classified ratings of special mention, substandard and doubtful within the Company’s internal risk rating system as of December 31, 2018 and December 31, 2017. Due to the expansion of the Company’s internal credit quality risk ratings in the second quarter of 2018, the amount reclassified from the special mention rating to the pass/watch rating, which is included within the pass rating classification below, was $32,603 ,000 at June 30, 2018. Previously, both special mention and watch rated loans were reported under the special mention rating classification. (Dollars in thousands) Special As of December 31, 2018 Pass Mention Substandard Doubtful Total Commercial, financial and agricultural $ 42,757 $ 2,992 $ 814 $ - $ 46,563 Real estate - commercial 125,352 8,590 6,459 894 141,295 Real estate - construction 34,131 - 2,528 29 36,688 Real estate - mortgage 160,774 24 2,569 181 163,548 Obligations of states and political subdivisions 19,129 - - - 19,129 Personal 10,389 - 19 - 10,408 Total $ 392,532 $ 11,606 $ 12,389 $ 1,104 $ 417,631 (Dollars in thousands) Special As of December 31, 2017 Pass Mention Substandard Doubtful Total Commercial, financial and agricultural $ 34,826 $ 8,692 $ 2,280 $ 4 $ 45,802 Real estate - commercial 114,299 17,928 7,189 953 140,369 Real estate - construction 22,470 3,297 2,636 - 28,403 Real estate - mortgage 139,861 3,551 2,859 617 146,888 Obligations of states and political subdivisions 12,088 956 - - 13,044 Personal 9,360 32 6 - 9,398 Total $ 332,904 $ 34,456 $ 14,970 $ 1,574 $ 383,904 The Company has certain loans in its portfolio that are considered to be impaired. It is the policy of the Company to recognize income on impaired loans that have been transferred to nonaccrual status on a cash basis, only to the extent that it exceeds principal balance recovery. A collateral analysis is performed on each impaired loan at least quarterly, and results are used to determine if a specific reserve is necessary to adjust the carrying value of each individual loan down to the estimated fair value of the collateral, less costs to sell. Generally, specific reserves are carried against impaired loans based upon estimated collateral value until a confirming loss event occurs or until termination of the credit is scheduled through liquidation of the collateral or foreclosure. Consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings were in process at December 31, 2018 and December 31, 2017 totaled $94,000 and $1,285,000 , respectively. Charge-offs will occur when a confirmed loss is identified. Professional appraisals of collateral, discounted for expected selling costs, are used to determine the charge-off amount. The following tables summarize information regarding impaired loans by portfolio class as of December 31, 2018 and December 31, 2017: (Dollars in thousands) As of December 31, 2018 As of December 31, 2017 Impaired Loans Recorded Investment Unpaid Principal Balance Related Allowance Recorded Investment Unpaid Principal Balance Related Allowance With no related allowance recorded: Commercial, financial and agricultural $ - $ - $ - $ 468 $ 477 $ - Real estate - commercial 909 1,303 - 5,031 5,957 - Acquired with credit deterioration 544 592 - 191 247 - Real estate - construction 27 1,123 - - - - Real estate - mortgage 1,180 1,912 - 2,232 3,738 - Acquired with credit deterioration 971 1,061 - 337 384 - Personal 17 17 - - - - Total: Commercial, financial and agricultural $ - $ - $ - $ 468 $ 477 $ - Real estate - commercial 909 1,303 - 5,031 5,957 - Acquired with credit deterioration 544 592 - 191 247 - Real estate - construction 27 1,123 - - - - Real estate - mortgage 1,180 1,912 - 2,232 3,738 - Acquired with credit deterioration 971 1,061 - 337 384 - Personal 17 17 - - - - $ 3,648 $ 6,008 $ - $ 8,259 $ 10,803 $ - (Dollars in thousands) Year Ended December 31, 2018 Year Ended December 31, 2017 Year Ended December 31, 2016 Impaired Loans Average Recorded Investment Interest Income Recognized Cash Basis Interest Income Average Recorded Investment Interest Income Recognized Cash Basis Interest Income Average Recorded Investment Interest Income Recognized Cash Basis Interest Income With no related allowance recorded: Commercial, financial and agricultural $ 234 $ - $ - $ 452 $ 25 $ - $ 456 $ 29 $ - Real estate - commercial 2,970 - - 5,265 313 - 3,675 331 - Acquired with credit deterioration 368 - - 416 - - 738 - - Real estate - construction 14 - - 1,228 34 - 1,228 136 - Real estate - mortgage 1,706 19 33 2,789 21 20 2,991 28 37 Acquired with credit deterioration 654 - - 376 - - 523 - - Personal 9 - - - - With an allowance recorded: Real estate - mortgage $ - $ - $ - $ 356 $ - $ - $ 356 $ - $ - Total: Commercial, financial and agricultural 234 - - 452 25 - 456 29 - Real estate - commercial 2,970 - - 5,265 313 - 3,675 331 - Acquired with credit deterioration 368 - - 416 - - 738 - - Real estate - construction 14 - - 1,228 34 - 1,228 136 - Real estate - mortgage 1,706 19 33 3,145 21 20 3,347 28 37 Acquired with credit deterioration 654 - - 376 - - 523 - - Personal 9 - - - - - - - - $ 5,955 $ 19 $ 33 $ 10,882 $ 393 $ 20 $ 9,967 $ 524 $ 37 The following table presents nonaccrual loans by classes of the loan portfolio as of December 31, 2018 and December 31, 2017: (Dollars in thousands) Nonaccrual loans: December 31, 2018 December 31, 2017 Commercial, financial and agricultural $ - $ 4 Real estate - commercial 908 953 Real estate - construction 29 - Real estate - mortgage 753 1,917 Personal 17 - Total $ 1,707 $ 2,874 Interest income not recorded based on the original contractual terms of the loans for nonaccrual loans was $ 311, 000 , $ 300,000 and $ 281,000 in 2018, 2017 and 2016, respectively. The performance and credit quality of the loan portfolio is also monitored by analyzing the age of the loans receivable as determined by the length of time a recorded payment is past due. The following table presents the classes of the loan portfolio summarized by the past due status as of December 31, 2018 and December 31, 2017: Loans Past Due Greater (Dollars in thousands) Greater than 90 30-59 Days 60-89 Days than 90 Total Past Days an As of December 31, 2018 Past Due Past Due Days Due Current Total Loans Accruing (1) Commercial, financial and agricultural $ 6 $ - $ - $ 6 $ 46,557 $ 46,563 $ - Real estate - commercial Real estate - commercial - - 1,214 1,214 139,890 141,104 306 Acquired with credit deterioration 140 - - 140 51 191 - Real estate - construction 32 - 29 61 36,627 36,688 - Real estate - mortgage Real estate - mortgage 824 561 175 1,560 161,651 163,211 23 Acquired with credit deterioration 259 - 7 266 71 337 7 Obligations of states and political subdivisions - - - - 19,129 19,129 - Personal 24 15 17 56 10,352 10,408 - Total $ 1,285 $ 576 $ 1,442 $ 3,303 $ 414,328 $ 417,631 $ 336 Loans Past Due Greater (Dollars in thousands) Greater than 90 30-59 Days 60-89 Days than 90 Total Past Days an As of December 31, 2017 Past Due Past Due Days Due Current Total Loans Accruing (1) Commercial, financial and agricultural $ - $ - $ - $ - $ 45,802 $ 45,802 $ - Real estate - commercial Real estate - commercial 16 23 - 39 140,139 140,178 - Acquired with credit deterioration - - 28 28 163 191 28 Real estate - construction - - - - 28,403 28,403 - Real estate - mortgage Real estate - mortgage 694 80 64 838 145,713 146,551 64 Acquired with credit deterioration - - 123 123 214 337 123 Obligations of states and political subdivisions - - - - 13,044 13,044 - Personal 66 6 - 72 9,326 9,398 - Total $ 776 $ 109 $ 215 $ 1,100 $ 382,804 $ 383,904 $ 215 (1) These loans are guaranteed, or well secured, and there is an effective means of collection in process. The following table summarizes information regarding troubled debt restructurings by loan portfolio class as of and for the years ended December 31, 2018 and 2017. (Dollars in thousands) Pre-Modification Post-Modification Number of Outstanding Outstanding Contracts Recorded Investment Recorded Investment Recorded Investment As of December 31, 2018 Accruing troubled debt restructurings: Real estate - mortgage 8 $ 522 $ 550 $ 428 Non-accruing troubled debt restructurings: Real estate - mortgage 1 25 25 17 9 $ 547 $ 575 $ 445 (Dollars in thousands) Pre-Modification Post-Modification Number of Outstanding Outstanding Contracts Recorded Investment Recorded Investment Recorded Investment As of December 31, 2017 Accruing troubled debt restructurings: Real estate - commercial Real estate - mortgage 7 $ 369 $ 397 $ 315 Non-accruing troubled debt restructurings: Commercial, financial, agricultural 1 19 20 4 Real estate - mortgage 1 25 25 20 9 $ 413 $ 442 $ 339 The Company’s troubled debt restructurings are also impaired loans, which may result in a specific allocation and subsequent charge-off if appropriate. As of December 31, 2018, there were no specific reserves relating to the troubled debt restructurings, nor were there any charge-offs on troubled debt restructured loans recorded in 2018. The amended terms of the restructured loans vary, whereby interest rates have been reduced, principal payments have been reduced or deferred for a period of time and/or maturity dates have been extended. As of December 31, 2018, one restructured loan for $39,000 was in default because it was delinquent in excess of 30 days with respect to the terms of the restructuring. There were no defaults of troubled debt restructurings within 12 months of restructure during 2018, 2017 or 2016. The following tables summarize loans whose terms were modified, resulting in troubled debt restructurings during 2018 and 2017. (Dollars in thousands) Pre-Modification Post-Modification Number of Outstanding Outstanding Contracts Recorded Investment Recorded Investment Recorded Investment Year ended December 31, 2018 Non-accruing troubled debt restructurings: Real estate - mortgage 1 $ 153 $ 153 $ 147 1 $ 153 $ 153 $ 147 (Dollars in thousands) Pre-Modification Post-Modification Number of Outstanding Outstanding Contracts Recorded Investment Recorded Investment Recorded Investment Year ended December 31, 2017 Non-accruing troubled debt restructurings: Commercial, financial, agricultural 1 $ 19 $ 20 $ 4 1 $ 19 $ 20 $ 4 The following tables summarize loans and the activity in the allowance for loan losses by loan class, segregated into the amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment as of and for the years ended December 31, 2018, 2017 and 2016: (Dollars in thousands) Obligations Commercial, of states financial and Real estate- Real estate- Real estate- and political Allowance for loan losses: agricultural commercial construction mortgage subdivisions Personal Total Beginning Balance, January 1, 2018 $ 273 $ 1,022 $ 288 $ 1,285 $ - $ 71 $ 2,939 Charge-offs - (60) - (183) - (42) (285) Recoveries 10 5 - 12 - 16 43 Provisions (8) 107 270 (79) 20 27 337 Ending balance, December 31, 2018 $ 275 $ 1,074 $ 558 $ 1,035 $ 20 $ 72 $ 3,034 collectively evaluated for impairment $ 275 $ 1,074 $ 558 $ 1,035 $ 20 $ 72 $ 3,034 Loans receivable: Ending balance $ 46,563 $ 141,295 $ 36,688 $ 163,548 $ 19,129 $ 10,408 $ 417,631 individually evaluated for impairment - 909 27 1,180 - 17 2,133 acquired with credit deterioration - 544 - 971 - - 1,515 collectively evaluated for impairment $ 46,563 $ 139,842 $ 36,661 $ 161,397 $ 19,129 $ 10,391 $ 413,983 (Dollars in thousands) Obligations Commercial, of states financial and Real estate- Real estate- Real estate- and political Allowance for loan losses: agricultural commercial construction mortgage subdivisions Personal Total Beginning Balance, January 1, 2017 $ 318 $ 948 $ 231 $ 1,143 $ - $ 83 $ 2,723 Charge-offs (46) (70) - (149) - (27) (292) Recoveries 5 2 - 45 - 17 69 Provisions (4) 142 57 246 - (2) 439 Ending balance, December 31, 2017 $ 273 $ 1,022 $ 288 $ 1,285 $ - $ 71 $ 2,939 collectively evaluated for impairment $ 273 $ 1,022 $ 288 $ 1,285 $ - $ 71 $ 2,939 Loans receivable: Ending balance $ 45,802 $ 140,369 $ 28,403 $ 146,888 $ 13,044 $ 9,398 $ 383,904 individually evaluated for impairment 468 5,031 - 2,232 - - 7,731 acquired with credit deterioration - 191 - 337 - - 528 collectively evaluated for impairment $ 45,334 $ 135,147 $ 28,403 $ 144,319 $ 13,044 $ 9,398 $ 375,645 (Dollars in thousands) Obligations Commercial, of states financial and Real estate- Real estate- Real estate- and political Allowance for loan losses: agricultural commercial construction mortgage subdivisions Personal Total Beginning Balance, January 1, 2016 $ 264 $ 836 $ 191 $ 1,140 $ - $ 47 $ 2,478 Charge-offs (4) (146) - (103) - (26) (279) Recoveries - 24 - 15 - 19 58 Provisions 58 234 40 91 - 43 466 Ending balance, December 31, 2016 $ 318 $ 948 $ 231 $ 1,143 $ - $ 83 $ 2,723 individually evaluated for impairment - - - 56 - - 56 collectively evaluated for impairment $ 318 $ 948 $ 231 $ 1,087 $ - $ 83 $ 2,667 Loans receivable: Ending balance $ 40,827 $ 123,711 $ 35,206 $ 154,905 $ 13,616 $ 10,032 $ 378,297 individually evaluated for impairment 436 5,499 2,455 4,057 - - 12,447 acquired with credit deterioration - 641 - 415 - - 1,056 collectively evaluated for impairment $ 40,391 $ 117,571 $ 32,751 $ 150,433 $ 13,616 $ 10,032 $ 364,794 |
Pledged Assets
Pledged Assets | 12 Months Ended |
Dec. 31, 2018 | |
Pledged Assets [Abstract] | |
Pledged Assets | 8. Pledged Assets The Bank must maintain sufficient qualifying collateral with the FHLB in order to secure borrowings. Therefore, a Master Collateral Agreement has been entered into which pledges all mortgage related assets as collateral for future borrowings. Mortgage related assets could include loans or investment securities. As of December 31, 2018, the amount of loans included in qualifying collateral was $ 261,442,000 , for a lending value of $ 187,818,000 . As of December 31, 2017, the amount of loans included in qualifying collateral was $224,561,000 , for a lending value of $163,181,000 . No investment securities are included in qualifying collateral as of December 31, 2018 or 2017. |
Bank Owned Life Insurance and A
Bank Owned Life Insurance and Annuities | 12 Months Ended |
Dec. 31, 2018 | |
Bank Owned Life Insurance and Annuities [Abstract] | |
Bank Owned Life Insurance and Annuities | 9. Bank Owned Life Insurance and Annuities The Company holds bank-owned life insurance (“BOLI”) and deferred annuities with a combined cash value of $ 15,938,000 and $ 14,972,000 at December 31, 2018 and 2017, respectively. As annuitants retire, the deferred annuities may be converted to payout annuities to create payment streams that match certain post-retirement liabilities. The net increase in cash surrender value on the BOLI and annuities was $ 966,000 and $ 341,000 in 2018 and 2017, respectively, while the cash surrender value decreased in 2016 by $274,000; the net change resulting from the addition of BOLI acquired through acquisition, proceeds from life insurance claim payments, premium payments and earnings recorded as non-interest income. The contracts are owned by the Bank in various insurance companies. The crediting rate on the policies varies annually based on the insurance companies’ investment portfolio returns in their general fund and market conditions. Changes in cash value of BOLI and annuities in 2018 and 2017 are shown below: (Dollars in thousands) Life Deferred Insurance Annuities Total Balance as of January 1, 2017 $ 14,198 433 $ 14,631 Earnings 285 16 301 Premiums on existing policies 27 13 40 Balance as of December 31, 2017 14,510 462 14,972 Earnings 277 18 295 Premiums on existing policies 25 13 38 Annuity payments received 1 - 1 BOLI acquired through acquisition 632 - 632 Balance as of December 31, 2018 $ 15,445 $ 493 $ 15,938 |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2018 | |
Premises and Equipment [Abstract] | |
Premises and Equipment | 10. Premises And Equipment Premises and equipment consist of the following: (Dollars in thousands) December 31, 2018 2017 Land $ 1,158 $ 1,126 Buildings and improvements 11,645 11,358 Furniture, computer software and equipment 6,217 5,898 19,020 18,382 Less: accumulated depreciation (10,276) (9,495) $ 8,744 $ 8,887 Depreciation expense on premises and equipment charged to operations was $ 815, 000 in 2018, $ 672,000 in 2017 and $ 595,000 in 2016. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2018 | |
Goodwill and Other Intangible Assets [Abstract] | |
Goodwill and Other Intangible Assets | 11. Goodwill and other intangible assets Branch Acquisition On September 8, 2006 , the Company acquired a branch office in Richfield, PA. Goodwill at December 31, 2018 and 2017 was $ 2,046,000 . The core deposit intangible of $431,000 was fully amortized as of December 31, 2018 and 2017. The core deposit intangible was being amortized over a ten -year period on a straight-line basis. Goodwill is not amortized, but is measured annually for impairment. FNBPA Acquisition On November 30, 2015 , the Company completed its acquisition of FNBPA and, as a result, recorded goodwill of $3,335,000 . In 2016, an adjustment was made to increase goodwill to $3,402,000 , which is where the balance remained as of December 31, 201 8 and 2017. Core deposit intangible in the amount of $303,000 was recorded and is being amortized over a ten -year period using a sum of the year’s digits basis. Other intangible assets were identified and recorded as of November 30, 2015, in the amount of $40,000 and were amortized on a straight-line basis over two years, through November 30, 2017. LCB Acquisition On April 30, 2018 , Juniata completed the acquisition of LCB and, as a result, recorded goodwill of $3,691,000 , which was also the balance at December 31, 2018. In addition, a core deposit intangible of $289,000 was recorded and will be amortized over a ten -year period using a sum of the years’ digits basis. The following table shows the amortization schedule for each of the intangible assets recorded. (Dollars in thousands) LCB FNBPA FNBPA Branch Acquisition Acquisition Acquisition Acquisition Core Core Other Core Deposit Deposit Intangible Deposit Intangible Intangible Assets Intangible Beginning Balance at Acquisition Date $ 289 $ 303 $ 40 $ 431 Amortization expense recorded prior to December 31, 2015 - 4 2 402 Amortization expense recorded in Years ended: December 31, 2016 - 55 20 29 December 31, 2017 - 49 18 - December 31, 2018 35 44 - - Unamortized balance as of December 31, 2018 254 151 - - Scheduled Amortization expense for years ended: December 31, 2019 49 38 - - December 31, 2020 44 33 - - December 31, 2021 39 27 - - December 31, 2022 33 22 - - December 31, 2023 28 16 - - After December 31, 2023 61 15 - - |
Investment in Unconsolidated Su
Investment in Unconsolidated Subsidiary | 12 Months Ended |
Dec. 31, 2018 | |
Investment in Unconsolidated Subsidiary [Abstract] | |
Investment in Unconsolidated Subsidiary | 12. Investment in Unconsolidated Subsidiary The Company no longer has an investment in an unconsolidated subsidiary following its acquisition of the remainder of the outstanding common stock of Liverpool on April 30, 2018. Prior to the acquisition, the Company owned 39.16% of the outstanding common stock of Liverpool. The investment was accounted for under the equity method of accounting and was carried at $4,812,000 as of December 31, 2017. The Company increased its investment in LCB for its share of earnings and decreased its investment by any dividends received from LCB. The investment was evaluated quarterly for impairment. A loss in value of the investment which is determined to be other than a temporary decline would have been recognized as a loss in the period in which such determination was made. Evidence of a loss in value might include, but would not necessarily be limited to, absence of an ability to recover the carrying amount of the investment or inability of LCB to sustain an earnings capacity that would justify the current carrying value of the investment. There was no impairment of the investment relating to LCB prior to the acquisition on April 30, 2018. A deferred tax liability of $406,000 related to the previous 39.16% ownership in LCB, was removed as of April 30, 2018, resulting in a corresponding reduction in income tax expense. The following table illustrates the components of the income/gain from the unconsolidated subsidiary investment recorded for the years ended December 31, 2018, 2017, and 2016. ( Dollars in thousands ) Years Ended December 31, Income from unconsolidated subsidiary (excluding merger- 2018 2017 2016 related adjustments) Dividend income $ 36 $ 61 $ 55 Equity income 45 106 167 Total income (excluding merger-related adjustments) 81 167 222 Merger-related adjustments for investment in unconsolidated subsidiary Adjustment to LCB book value at April 30, 2018 (239) - - Special merger-related dividend 39 - - Fair value gain 415 - - Total merger-related adjustments 215 - - Total income/gain from unconsolidated subsidiary $ 296 $ 167 $ 222 |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2018 | |
Deposits [Abstract] | |
Deposits | 13. Deposits The aggregate amount of demand deposit overdrafts that were reclassified as loans were $75,000 at December 31, 2018, compared to $33,000 at December 31, 2017. Deposits consist of the following: (Dollars in thousands) December 31, 2018 2017 Demand, non-interest bearing $ 126,057 $ 115,911 Interest-bearing demand and money market 147,413 122,407 Savings 99,236 98,966 Time deposits, $250,000 or more 8,368 8,456 Other time deposits 140,648 131,928 $ 521,722 $ 477,668 Deposits and other funds from related parties held by Juniata amounted to $1,215,000 and $1,116,000 at December 31, 2018 and 2017, respectively. Aggregate amount of scheduled maturities of time deposits as of December 31, 2018 include the following: (Dollars in thousands) Time Deposits Maturing in: $250,000 or more Other Total Time Deposits 2019 $ 3,538 $ 49,056 $ 52,594 2020 2,715 34,817 37,532 2021 513 21,694 22,207 2022 - 9,503 9,503 2023 607 11,070 11,677 Later 995 14,508 15,503 $ 8,368 $ 140,648 $ 149,016 |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2018 | |
Borrowings [Abstract] | |
Borrowings | 14. Borrowings Short term borrowings as of December 31, 2018, 2017 and 2016, and the related maximum amounts outstanding at the end of any month in each of the three years ended, are presented below. (Dollars in thousands) December 31, Maximum Outstanding at Any Month End 2018 2017 2016 2018 2017 2016 Securities sold under agreements to repurchase $ 2,911 $ 9,769 $ 4,496 $ 4,620 $ 9,769 $ 6,018 Short-term borrowings with FHLB: Overnight advances 11,600 12,000 27,700 29,238 30,721 32,300 $ 14,511 $ 21,769 $ 32,196 $ 33,858 $ 40,490 $ 38,318 The following table presents supplemental information related to short-term borrowings. Securities sold under agreements Short-term borrowings with (Dollars in thousands) to repurchase Federal Home Loan Bank 2018 2017 2016 2018 2017 2016 Amount outstanding as of December 31 $ 2,911 $ 9,769 $ 4,496 $ 11,600 $ 12,000 $ 27,700 Weighted average interest rate as of December 31 2.13 % 0.32 % 0.18 % 2.62 % 1.54 % 0.74 % Average amount out- standing during the year 4,177 4,823 4,712 9,906 25,476 15,696 Weighted average interest rate during the year 1.49 % 0.64 % 0.11 % 1.92 % 1.16 % 0.60 % Long-term debt is comprised only of FHLB advances with an original maturity of one year or more. Outstanding balances were $15,000,000 as of December 31, 2018 and $25,000,000 as of December 31, 2017. The following table summarizes the scheduled maturities of long-term debt as of December 31, 2018. (Dollars in thousands) Scheduled Weighted Average Year Maturities Interest Rate 2019 15,000 1.59 % 2020 - - 2021 - - 2022 - - 2023 - - Thereafter - - $ 15,000 1.59 % The Bank has repurchase agreements with several of its depositors, under which customers’ funds are invested daily into an interest bearing account. These funds are carried by the Company as short-term debt. It is the Company’s policy to completely collateralize repurchase agreements with U.S. Government securities. As of December 31, 2018, the securities that serve as collateral for securities sold under agreements to repurchase had a fair value of $8,666,000 . The interest rate paid on these funds is variable and subject to change daily. The Bank’s maximum borrowing capacity with the FHLB is $ 187,818,000 , with a balance of $ 26,600,000 outstanding as of December 31, 2018. In order to borrow additional amounts, the FHLB would require the Bank to purchase additional FHLB Stock. The FHLB is a source of both short-term and long-term funding. The Bank must maintain sufficient qualifying collateral to secure all outstanding advances. Qualifying collateral is defined by the FHLB and includes outstanding balances of the Company’s real estate loans, excluding loans with certain risk mitigants, including delinquencies and loans made to insiders, borrowers with low credit scores or loans with high loan-to-value ratios. |
Operating Lease Obligations
Operating Lease Obligations | 12 Months Ended |
Dec. 31, 2018 | |
Operating Lease Obligations [Abstract] | |
Operating Lease Obligations | 15. Operating Lease Obligations The Company has entered into four operating lease arrangements. The operating leases are for two branch and two office locations. The majority of the leases are renewable at the Company’s option. One of the office location lease agreements is with a related party. The original term of this lease was for ten years followed by fifteen annual renewal options. The Company is currently in the fifth annual renewal period. Future minimum lease commitments are based on current rental payments. Rental expense charged to operations, including license fees for branch offices, was $ 109, 000 , $ 147,000 and $ 142,000 in 2018, 2017 and 2016, respectively. The primary reason for the decline in rental expense in 2018 was because a previously leased branch office was relocated to a newly constructed branch facility owned by Juniata at the end of 2017. The following is a summary of future minimum rental payments for the next five years required under operating leases that have initial or remaining noncancelable lease terms in excess of one year as of December 31, 2018: (Dollars in thousands) Years ending December 31, Lease Obligation 2019 $ 111 2020 93 2021 83 2022 26 2023 21 2024 and beyond 95 Total minimum payments required $ 429 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Taxes [Abstract] | |
Income Taxes | 16. Income Taxes ASC 740 requires the effects of tax law and rate changes be reflected as a component of tax expense from continuing operations. Due to the enactment of the Tax Cuts and Jobs Act on December 22, 2017, Juniata’s future maximum corporate tax rate was lowered from 34% to 21% , thereby decreasing the future tax benefit of its net deferred tax asset by 13% . Though the reduced rate will provide tax savings to Juniata in future periods, the reduction resulted in a write-downs of Juniata’s net deferred tax assets, which was previously valued based upon the projection of a 34% future tax rate. As a result, a non-cash charge of $416,000 was included in the 2017 expense for income taxes. In 2018, the value of Juniata’s net deferred tax asset was adjusted again, primarily due to a defined benefit contribution applied to the 2017 tax year that resulted in a decline in tax expense of $168,000 in 2018. Offsetting the tax expense was the effect of tax credits for Juniata’s investment in two low-income housing partnerships amounting to $901,000 in 2018, $722,000 in 2017 and $572,000 in 2016. Tax credits associated with phase I will continue through 2023. Phase II credits were initiated in the second half of 2017 and will run through 2027. The tax credits are included in the tax expense line item on the Consolidated Statements of Income. In addition, a $406,000 deferred tax liability related to the previous 39.16% ownership in Liverpool, was removed as of April 30, 2018, resulting in a corresponding reduction in income tax expense. The components of income tax (benefit) expense for the three years ended December 31 were: (Dollars in thousands) Years Ended December 31, 2018 2017 2016 Current tax (benefit) expense $ (563) $ 379 $ 499 Deferred tax expense (96) 681 320 Total tax (benefit) expense $ (659) $ 1,060 $ 819 A reconciliation of the statutory income tax (benefit) expense computed at 21% in 2018 and 34% in both 2017 and 2016 to the income tax expense included in the consolidated statements of income follows: (Dollars in thousands) Years Ended December 31, 2018 2017 2016 Income before income taxes $ 5,245 $ 5,597 $ 5,975 Statutory tax rate 21.0 % 34.0 % 34.0% Federal tax at statutory rate 1,101 1,903 2,032 Tax-exempt interest (271) (443) (427) Net earnings on BOLI (50) (75) (84) Gain from life insurance proceeds - - (124) Dividend from unconsolidated subsidiary (10) (17) (15) Stock-based compensation 19 24 23 Federal tax credits (901) (722) (572) Merger and acquisition expenses 33 - - Tax reform adjustment - 416 - Defined benefit prior year contribution, net of other PTR adjustments (198) - - Basis difference related to LCB investment prior to acquisition (406) - - Other permanent differences 24 (26) (14) Total tax (benefit) expense $ (659) $ 1,060 $ 819 Effective tax rate (12.6) % 18.9 % 13.7% Deductible temporary differences and taxable temporary differences gave rise to a net deferred tax asset for the Company as of December 31, 2018 and 2017. The components giving rise to the net deferred tax asset are detailed below: (Dollars in thousands) Years Ended December 31, 2018 2017 Deferred Tax Assets: Allowance for loan losses $ 494 $ 369 Deferred directors' compensation 345 338 Employee and director benefits 309 320 Qualified pension liability 78 512 Unrealized losses on securities available for sale 655 439 Unrealized loss from securities impairment 34 37 Investment in low income housing project 142 141 Fair value adjustments to acquired assets and liabilities 293 168 Tax credit carryforward 225 75 Valuation reserves on other real estate owned 1 1 Other 1 - Total deferred tax assets 2,577 2,400 Deferred Tax Liabilities: Depreciation (445) (345) Equity income from unconsolidated subsidiary - (368) Loan origination costs (384) (340) Prepaid expense (229) (230) Annuity earnings (56) (52) Fair value of mortgage servicing rights (42) (47) Intangible assets (68) (18) Goodwill (353) (324) Other - (24) Total deferred tax liabilities (1,577) (1,748) Net deferred tax asset included in other assets $ 1,000 $ 652 The Company has concluded that the deferred tax assets are realizable (on a more likely than not basis) through the combination of future reversals of existing taxable temporary differences, certain tax planning strategies and expected future taxable income. It is the Company’s policy to recognize interest and penalties on unrecognized tax benefits in income tax expense in the Consolidated Statements of Income. No significant income tax uncertainties were identified as a result of the Company’s evaluation of its income tax position. Therefore, the Company recognized no adjustment for unrecognized income tax benefits for the years ended December 31, 2018, 2017 and 2016. The Company is no longer subject to examination by taxing authorities for years before 2015. Tax years 2015 through the present, with limited exception, remain open to examination. |
Stockholders' Equity and Regula
Stockholders' Equity and Regulatory Matters | 12 Months Ended |
Dec. 31, 2018 | |
Stockholders' Equity and Regulatory Matters [Abstract] | |
Stockholders' Equity and Regulatory Matters | 17. Stockholders’ Equity and Regulatory Matters The Company is authorized to issue 500,000 shares of preferred stock with no par value. The Board has the ability to fix the voting, dividend, redemption and other rights of the preferred stock, which can be issued in one or more series. No shares of preferred stock have been issued. The Company has a dividend reinvestment and stock purchase plan. Under this plan, additional shares of Juniata Valley Financial Corp. stock may be purchased at the prevailing market prices through reinvested dividends and voluntary cash payments, within limits. To the extent that shares are not available in the open market, the Company has reserved common stock to be issued under the plan. Any adjustment in capitalization of the Company will result in a proportionate adjustment to the reserved shares for this plan. At December 31, 2018, 141,887 shares were available for issuance under the Dividend Reinvestment Plan. The Company periodically repurchases shares of its common stock under a share repurchase program approved by the Board of Directors. Repurchases have typically been through open market transactions and have complied with all regulatory restrictions on the timing and amount of such repurchases. Shares repurchased have been added to treasury stock and accounted for at cost. These shares may be reissued for stock option exercises, stock awards, employee stock purchase plan purchases, to fulfill dividend reinvestment program needs and to supply shares needed for exchange in an acquisition. During 2018, 2017 and 2016, 3,416 , 4,289 and 49,370 shares, respectively, were repurchased in conjunction with this program. Remaining shares authorized in the program were 170,574 as of December 31, 2018. The Company and the Bank are subject to risk-based capital standards by which bank holding companies and banks are evaluated in terms of capital adequacy. These regulatory capital requirements are administered by the federal banking agencies. Failure to meet minimum capital requirements can result in certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s consolidated financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and the Bank must meet specific capital guidelines that involve quantitative measures of the Company’s and the Bank’s assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Company’s and Bank’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Quantitative measures established by regulation to ensure capital adequacy require the Company and the Bank to each maintain minimum amounts and ratios. The requirements were revised and became effective on a phased-in basis beginning January 1, 2015 and included the establishment of a Common Equity Tier I level. Juniata’s and the Bank’s Total, Tier I and Common Equity Tier I capital (as defined in the regulations) to risk-weighted assets (as defined in the regulations), and Tier I capital (as defined in the regulations) to average assets (as defined in the regulations) are set forth in the table below. These risk-based capital rules require that banks and holding companies maintain a “capital conservation buffer” of 250 basis points in excess of the “minimum capital ratio”. The minimum capital ratio is equal to the prompt corrective action adequately capitalized threshold ratio. The capital conservation buffer was fully phased in as of January 1, 2019. The maximum buffer for 2018 was 1.875% and is 2.5% for 2019 and thereafter. Failure to maintain the required capital conservation buffer will result in limitations on capital distributions and on discretionary bonuses to executive officers. Management believes, as of December 31, 2018 and 2017, that the Company and the Bank met all capital adequacy requirements to which they were subject. As of December 31, 2018, the most recent notification from the regulatory banking agencies categorized the Bank 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, Tier I risk-based, Common Equity Tier I risk-based and Tier I leverage ratios as set forth in the table. To the knowledge of management, there are no conditions or events since these notifications that have changed the Bank’s category. The table below provides a comparison of the Company’s and the Bank’s risk-based capital ratios and leverage ratios to the minimum regulatory requirements as of the dates indicated. Juniata Valley Financial Corp. (Consolidated) Minimum Requirement for Capital (Dollars in thousands) Actual Adequacy Purposes Amount Ratio Amount Ratio As of December 31, 2018: Total Capital (to Risk Weighted Assets) $ 63,883 15.86% $ 32,214 8.00% Tier 1 Capital (to Risk Weighted Assets) 60,849 15.11% 24,160 6.00% Common Equity Tier 1 Capital (to Risk Weighted Assets) 60,849 15.11% 18,120 4.50% Tier 1 Capital (to Average Assets) Leverage 60,849 10.01% 24,318 4.00% As of December 31, 2017: Total Capital (to Risk Weighted Assets) $ 59,667 15.01% $ 31,809 8.00% Tier 1 Capital (to Risk Weighted Assets) 55,808 14.04% 23,857 6.00% Common Equity Tier 1 Capital (to Risk Weighted Assets) 55,808 14.04% 17,892 4.50% Tier 1 Capital (to Average Assets) Leverage 55,808 9.43% 23,666 4.00% Minimum Regulatory Requirements Minimum to be "Well Capital Capitalized" The Juniata Valley Bank Minimum Requirement Adequacy under Prompt for Capital with Capital Corrective Action (Dollars in thousands) Actual Adequacy Purposes Buffer Provisions Amount Ratio Amount Ratio Amount Ratio Amount Ratio As of December 31, 2018: Total Capital $ 62,422 15.50% $ 32,222 8.00% $ 39,774 9.875% $ 40,278 10.00% (to Risk Weighted Assets) Tier 1 Capital 59,388 14.74% 24,167 6.00% 31,719 7.875% 32,222 8.00% (to Risk Weighted Assets) Common Equity Tier 1 Capital 59,388 14.74% 18,125 4.50% 25,677 6.375% 26,181 6.50% (to Risk Weighted Assets) Tier 1 Capital 59,388 9.77% 24,317 4.00% 24,317 4.000% 30,397 5.00% (to Average Assets) Leverage As of December 31, 2017: Total Capital $ 52,009 13.24% $ 31,435 8.00% $ 36,346 9.250% $ 39,293 10.00% (to Risk Weighted Assets) Tier 1 Capital 49,026 12.48% 23,576 6.00% 28,488 7.250% 31,435 8.00% (to Risk Weighted Assets) Common Equity Tier 1 Capital 49,026 12.48% 17,682 4.50% 22,594 5.750% 25,541 6.50% (to Risk Weighted Assets) Tier 1 Capital 49,026 8.36% 23,460 4.00% 23,460 4.000% 29,325 5.00% (to Average Assets) Leverage Certain regulatory restrictions exist regarding the ability of the Bank to transfer funds to the Company in the form of cash dividends, loans or advances. At December 31, 2018, $ 42,119,000 of undistributed earnings of the Bank, included in the consolidated stockholders’ equity, was available for distribution to the Company as dividends without prior regulatory approval, subject to the regulatory capital requirements above. |
Calculation of Earnings Per Sha
Calculation of Earnings Per Share | 12 Months Ended |
Dec. 31, 2018 | |
Calculation of Earnings Per Share [Abstract] | |
Calculation of Earnings Per Share | 18. Calculation Of Earnings Per Share Basic earnings per share (“EPS”) is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted EPS reflects 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 Company. Potential common shares that may be issued by the Company relate solely to outstanding stock options and are determined using the treasury stock method. Restricted stock is participating, and therefore, is included in the EPS calculation. The following table sets forth the computation of basic and diluted earnings per share: (Dollars in thousands, except earnings per share) Years Ended December 31, 2018 2017 2016 Net income $ 5,904 $ 4,537 $ 5,156 Weighted-average common shares outstanding 4,987 4,765 4,801 Basic earnings per share $ 1.18 $ 0.95 $ 1.07 Weighted-average common shares outstanding 4,987 4,765 4,801 Common stock equivalents due to effect of stock options 22 10 1 Total weighted-average common shares and equivalents $ 5,009 $ 4,775 $ 4,802 Diluted earnings per share $ 1.18 $ 0.95 $ 1.07 Anti-dilutive stock options outstanding - 6 401 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 12 Months Ended |
Dec. 31, 2018 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Accumulated Other Comprehensive Loss | 19. Accumulated other Comprehensive loss Components of accumulated other comprehensive loss, net of tax as of December 31 of each of the last three years consist of the following: (Dollars in thousands) As of December 31, 2018 2017 2016 Unrealized losses on available for sale securities $ (2,647) $ (1,683) $ (866) Unrecognized expense for defined benefit pension (1,652) (2,351) (2,343) Accumulated other comprehensive loss $ (4,299) $ (4,034) $ (3,209) |
Fair Value Measurement
Fair Value Measurement | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Measurement [Abstract] | |
Fair Value Measurement | 20. Fair Value Measurement Fair value measurement and disclosure guidance defines fair value as the price that would be received to sell an asset or transfer a liability in an orderly transaction (that is, not a forced liquidation or distressed sale) between market participants at the measurement date under current market conditions. Additional guidance is provided on determining when the volume and level of activity for the asset or liability has significantly decreased. The guidance also includes guidance on identifying circumstances when a transaction may not be considered orderly. Fair value measurement and disclosure guidance provides a list of factors that a reporting entity should evaluate to determine whether there has been a significant decrease in the volume and level of activity for the asset or liability in relation to normal market activity for the asset or liability. When the reporting entity concludes there has been a significant decrease in the volume and level of activity for the asset or liability, further analysis of the information from that market is needed, and significant adjustments to the related prices may be necessary to estimate fair value in accordance with fair value measurement and disclosure guidance. This guidance clarifies that, when there has been a significant decrease in the volume and level of activity for the asset or liability, some transactions may not be orderly. In those situations, the entity must evaluate the weight of the evidence to determine whether the transaction is orderly. The guidance provides a list of circumstances that may indicate that a transaction is not orderly. A transaction price that is not associated with an orderly transaction is given little, if any, weight when estimating fair value. Fair value measurement and disclosure guidance defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The price in the principal (or most advantageous) market used to measure the fair value of the asset or liability is not adjusted for transaction costs. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets and liabilities; it is not a forced transaction. Market participants are buyers and sellers in the principal market that are (i) independent, (ii) knowledgeable, (iii) able to transact and (iv) willing to transact. Fair value measurement and disclosure guidance requires the use of valuation techniques that are consistent with the market approach, the income approach and/or the cost approach. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets and liabilities. The income approach uses valuation techniques to convert future amounts, such as cash flows or earnings, to a single present amount on a discounted basis. The cost approach is based on the amount that currently would be required to replace the service capacity of an asset (replacement cost). Valuation techniques should be consistently applied. Inputs to valuation techniques refer to the assumptions that market participants would use in pricing the asset or liability. Inputs may be observable, meaning those that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from independent sources, or unobservable, meaning those that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. In that regard, the guidance establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows: Level 1 Inputs – Unadjusted quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 2 Inputs – Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These might include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (such as interest rates, volatilities, prepayment speeds, credit risks, etc.) or inputs that are derived principally from or corroborated by market data by correlation or other means. Level 3 Inputs – Unobservable inputs for determining the fair values of assets or liabilities that reflect an entity’s own assumptions about the assumptions that market participants would use in pricing the assets or liabilities. An asset’s or liability’s placement in the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. A description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. In general, fair value is based upon quoted market prices, where available. If such quoted market prices are not available, fair value is based upon internally developed models that primarily use, as inputs, observable market-based parameters. Valuation adjustments may be made to ensure that financial instruments are recorded at fair value. These adjustments may include amounts to reflect counterparty credit quality, the Company’s creditworthiness, among other things, as well as unobservable parameters. Any such valuation adjustments are applied consistently over time. The Company’s valuation methodologies may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. While management believes the Company’s valuation methodologies are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. Equities Securities The fair value of equity securities is based upon quoted prices in active markets and is reported using Level 1 inputs. Securities Available for Sale Debt securities classified as available for sale are reported at fair value utilizing Level 2 inputs. For these securities, the Company obtains fair value measurement from an independent pricing service. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and the debt securities’ terms and conditions, among other things. Equity securities classified as available for sale are reported at fair value using Level 1 inputs. Impaired Loans Certain impaired loans are reported on a non-recurring basis at the fair value of the underlying collateral since repayment is expected solely from the collateral. Fair value is generally determined based upon independent third-party appraisals of the properties, or discounted cash flows based upon the expected proceeds. These assets are included as Level 3 fair values, based upon the lowest level of input that is significant to the fair value measurements. Other Real Estate Owned Certain assets included in other real estate owned are carried at fair value as a result of impairment and accordingly are presented measured on a non-recurring basis as they are carried at the lower of cost or fair value. Values are estimated using Level 3 inputs, based on appraisals that consider the sales prices of property in the proximate vicinity less estimated costs to sell. Mortgage Servicing Rights The fair value of servicing assets is based on the present value of estimated future cash flows on pools of mortgages stratified by rate and maturity date and are considered Level 3 inputs. The following table summarizes financial assets and financial liabilities measured at fair value as of December 31, 2018 and December 31, 2017, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value. There were no transfers of assets between fair value Level 1 and Level 2 during the years ended December 31, 2018 or 2017. (Level 1) (Level 2) (Level 3) Quoted Prices in Significant Significant Active Markets Other Other (Dollars in thousands) December 31, for Identical Observable Unobservable 2018 Assets Inputs Inputs Measured at fair value on a recurring basis: Debt securities available-for-sale: Obligations of U.S. Government agencies and corporations $ 23,266 $ - $ 23,266 $ - Obligations of state and political subdivisions 18,181 - 18,181 - Mortgage-backed securities 100,506 - 100,506 - Measured at fair value on a non-recurring basis: Impaired loans 1,104 - - 1,104 Other real estate owned 149 - - 149 Mortgage servicing rights 200 - - 200 (Level 1) (Level 2) (Level 3) Quoted Prices in Significant Significant Active Markets Other Other (Dollars in thousands) December 31, for Identical Observable Unobservable 2017 Assets Inputs Inputs Measured at fair value on a recurring basis: Debt securities available-for-sale: Obligations of U.S. Government agencies and corporations $ 34,214 $ - $ 34,214 $ - Obligations of state and political subdivisions 24,981 - 24,981 - Mortgage-backed securities 93,510 - 93,510 - Equity securities available-for-sale 1,119 1,119 - - Measured at fair value on a non-recurring basis: Impaired loans 1,574 - - 1,574 Other real estate owned 27 - - 27 Mortgage servicing rights 225 - - 225 The following table presents additional quantitative information about assets measured at fair value on a nonrecurring basis and for which Level 3 inputs have been used to determine fair value: (Dollars in thousands) Fair Value Weighted December 31, 2018 Estimate Valuation Technique Unobservable Input Range Average Impaired loans $ 1,104 Appraisal of collateral (1) Appraisal and 0% - 15% 14% liquidation adjustments (2) Other real estate owned 149 Appraisal of collateral (1) Appraisal and 2% 2% liquidation adjustments (2) Mortgage servicing rights 200 Multiple of annual Estimated 300% - 400% 369% servicing fee pre-payment speed, based on rate and term + (Dollars in thousands) Fair Value Weighted December 31, 2017 Estimate Valuation Technique Unobservable Input Range Average Impaired loans $ 1,574 Appraisal of collateral (1) Appraisal and 0% - 13% 8% liquidation adjustments (2) Other real estate owned 27 Appraisal of collateral (1) Appraisal and 22% 22% liquidation adjustments (2) Mortgage servicing rights 225 Multiple of annual Estimated 300% - 400% 371% servicing fee pre-payment speed, based on rate and term (1) Fair value is generally determined through independent appraisals of the underlying collateral that generally include various level 3 inputs which are not identifiable. (2) Appraisals may be adjusted downward by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. Fair Value of Financial Instruments Management uses its best judgment in estimating the fair value of the Company’s financial instruments; however, there are inherent weaknesses in any estimation technique. Therefore, the fair value estimates herein are not necessarily indicative of the amounts the Company could have realized in sales transactions on the dates indicated. The estimated fair value amounts have been measured as of their respective year ends and have not been re-evaluated or updated for purposes of these consolidated financial statements subsequent to those respective dates. As such, the estimated fair values of these financial instruments subsequent to the respective reporting dates may be different from the amounts reported at each year end. The information presented below should not be interpreted as an estimate of the fair value of the entire Company since a fair value calculation is provided only for a limited portion of the Company’s assets and liabilities. Due to a wide range of valuation techniques and the degree of subjectivity used in making the estimates, comparisons between the Company’s disclosures and those of other companies may not be meaningful. The following describes the estimated fair value of the Company’s financial instruments as well as the significant methods and assumptions not previously disclosed used to determine these estimated fair values. Carrying values approximate fair value for cash and due from banks, interest-bearing demand deposits with banks, federal funds sold, restricted stock in the Federal Home Loan Bank, interest receivable, mortgage servicing rights, non-interest bearing deposits, securities sold under agreements to repurchase, short-term borrowings and interest payable. Other than cash and due from banks, which are considered Level 1 inputs, and mortgage servicing rights, which are Level 3 inputs, these instruments are Level 2 inputs. The estimated fair values of the Company’s financial instruments are as follows: Financial Instruments (Dollars in thousands) December 31, 2018 December 31, 2017 Carrying Fair Carrying Fair Financial assets: Value Value Value Value Cash and due from banks $ 15,617 $ 15,617 $ 9,839 $ 9,839 Interest bearing deposits with banks 110 110 58 58 Federal funds sold 729 729 - - Interest bearing time deposits with banks 3,290 3,290 350 350 Securities 141,953 141,953 153,824 153,824 Restricted investment in FHLB stock 2,441 2,441 3,104 3,104 Loans, net of allowance for loan losses 414,597 415,195 380,965 372,906 Mortgage servicing rights 200 200 225 225 Accrued interest receivable 1,681 1,681 1,582 1,582 Financial liabilities: Non-interest bearing deposits 126,057 126,057 115,911 115,911 Interest bearing deposits 395,665 395,226 361,757 361,468 Securities sold under agreements to repurchase 2,911 2,911 9,769 9,769 Short-term borrowings 11,600 11,600 12,000 12,000 Long-term debt 15,000 14,958 25,000 24,885 Other interest bearing liabilities 1,596 1,597 1,593 1,595 Accrued interest payable 289 289 300 300 Off-balance sheet financial instruments: Commitments to extend credit - - - - Letters of credit - - - - The following presents the carrying amount, fair value and placement in the fair value hierarchy of the Company’s financial instruments not previously disclosed as of December 31, 2018 and December 31, 2017. This table excludes financial instruments for which the carrying amount approximates fair value. (Level 1) (Level 2) (Level 3) Quoted Prices in Significant Significant (Dollars in thousands) Active Markets Other Other Carrying for Identical Observable Unobservable December 31, 2018 Amount Fair Value Assets or Liabilities Inputs Inputs Financial instruments - Assets Interest bearing time deposits with banks $ 3,290 $ 3,290 $ - $ 3,290 $ - Loans, net of allowance for loan losses 414,597 415,195 - - 415,195 Financial instruments - Liabilities Interest bearing deposits $ 395,665 $ 395,226 $ - $ 395,226 $ - Long-term debt 15,000 14,958 - 14,958 - Other interest bearing liabilities 1,596 1,597 - 1,597 - (Level 1) (Level 2) (Level 3) Quoted Prices in Significant Significant (Dollars in thousands) Active Markets Other Other Carrying for Identical Observable Unobservable December 31, 2017 Amount Fair Value Assets or Liabilities Inputs Inputs Financial instruments - Assets Interest bearing time deposits with banks $ 350 $ 350 $ - $ 350 $ - Loans, net of allowance for loan losses 380,965 372,906 - - 372,906 Financial instruments - Liabilities Interest bearing deposits $ 361,757 $ 361,468 $ - $ 361,468 $ - Long-term debt 25,000 24,885 - 24,885 - Other interest bearing liabilities 1,593 1,595 - 1,595 - |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Dec. 31, 2018 | |
Revenue Recognition [Abstract] | |
Revenue Recognition | 21. Revenue Recognition As disclosed in Note 3, as of January 1, 2018, the Company adopted ASU 2014-09, “Revenue from Contracts with Customers (Topic 606)”, as well as subsequent ASU’s that modified ASC 606. The Company elected to apply the ASU and all related ASU’s using the modified retrospective approach applied to all contracts initiated on or after the effective date, and for contracts which have remaining obligations as of the effective date, while prior period results continue to be reported under legacy U.S. GAAP. Based on this assessment, the Company concluded that ASC 606 did not materially change the method by which the Company currently recognizes revenue for these revenue streams, which is by recognizing revenues as they are earned based upon contractual terms, as transactions occur, or as services are provided and collectability is reasonably assured. The Company generally acts in a principal capacity, on its own behalf, in most contracts with customers. In such transactions, revenue and related costs to provide these services are recognized on a gross basis in the financial statements. In some cases, the Company acts in an agent capacity, deriving revenue through assisting other entities in transactions with its customers. In such transactions, revenue and the related costs to provide the services are recognized on a net basis in the financial statements. These transactions primarily relate to non-deposit product commissions and fees derived from customer’s use of various interchange and ATM/debit card networks. All of the Company’s revenue from contracts with customers in the scope of ASC 606 are recognized within non-interest income on the consolidated statements of income. Revenue streams not within the scope of ASC 606 included in non-interest income on the consolidated statements of income include earnings on bank-owned life insurance and annuities, income from unconsolidated subsidiary, fees derived from loan activity, mortgage banking income, gain/loss on sales and calls of securities, and the change in value of equity securities. A description of the Company’s sources of revenue accounted for under ASC 606 are as follows: Customer Service Fees – fees mainly represent fees from deposit customers for transaction based, account maintenance, and overdraft services. Transaction based fees include, but are not limited to, stop payment and overdraft fees. These fees are recognized at the time of the transaction when the performance obligation has been fulfilled. Account maintenance fees and account analysis fees are earned over the course of a month, representing the period of the performance obligation, and are recognized monthly. Debit Card Fee Income – consists of interchange fees from cardholder transactions conducted through the card payment network. Cardholders use debit cards to conduct point-of-sale transactions that produce interchange fees. The Company acts in an agent capacity to offer processing services for debit cards to its customers. Fees are recognized with the processing of the transactions and netted against the related fees from such transactions. Trust Fees – include asset management and estate fees. Asset management fees are generally based on a fee schedule, based upon the market value of the assets under management, and recognized monthly when the service obligation is completed. Trust fees recognized in 2018 and 2017 were $367,000 and $371,000 , respectively. Fees for estate management services are based on a specified fee schedule and generally recognized as the following performance obligations are fulfilled: (i) 25% of total estate fee recognized when all estate assets are collected and debts paid, (ii) 50% of the total fee is recognized when the inheritance tax return is filed, and (iii) remaining 25% is recognized when the first and final account is confirmed, settling the estate. Estate fees recognized during 2018 and 2017 were $63,000 and $75 ,000 , respectively . Commissions From Sales Of Non-Deposit Products – include, but are not limited to, brokerage services, employer-based retirement solutions, individual retirement planning, insurance solutions, and fee-based investment advisory services. The Company acts in an agent capacity to offer these services to customers. Revenue is recognized, net of related fees, in the month in which the contract is fulfilled. Other Non-Interest Income – includes certain revenue streams within the scope of ASC 606 comprised primarily of ATM surcharges, commissions on check orders, and wire transfer fees. ATM surcharges are the result of customers conducting ATM transactions that generate fee income. All of these fees, as well as wire transfer fees, are transaction based and are recognized at the time of the transaction. In addition, the Company acts in an agent capacity to offer checks to its customers and recognizes commissions, net of related fees, when the contract is fulfilled. Gains/Losses On Sales Of Other Real Estate Owned – are recognized when control of the property transfers to the buyer, which generally occurs when the deed is executed. Contract Balances A contract asset balance occurs when an entity performs a service for a customer before the customer pays consideration (resulting in a contract receivable) or before payment is due (resulting in a contract asset). A contract liability balance is an entity’s obligation to transfer a service to a customer for which the entity has already received payment (or payment is due from the customer). The company’s non-interest revenue streams are largely based on transactional activity, or standard month-end revenue accruals such as asset management fees based on month-end market values. Consideration is often received immediately or shortly after the Company satisfies its performance obligation and revenue is recognized. The Company does not typically enter into longer-term revenue contracts with customer, and therefore, does not experience significant contract balances. Contract Acquisition Costs The Company expenses all contract acquisition costs as costs are incurred. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2018 | |
Employee Benefit Plans [Abstract] | |
Employee Benefit Plans | 22. Employee Benefit Plans Long-Term Incentive Plan The Company maintains the 2016 Long-Term Incentive Plan (the “Plan”), that amended and restated the former 2011 Stock Option Plan (the “2011 Plan”). The Plan continues in effect for any outstanding awards under the 2011 Plan in accordance with the terms and conditions governing such awards immediately prior to the effective date of the Plan but expanded the types of awards authorized to include, among others, restricted stock. Under the provisions of the Plan, while active, awards may consist of grants of incentive stock options, nonqualified stock options, stock appreciation rights, restricted stock and performance shares to officers and key employees of the Company, as well as Directors. Compensation expense for stock options granted and restricted stock awarded is measured using the fair value of the award on the grant date and is recognized over the vesting period. The Company recognized $ 82,000 , $ 71,000 and $67,000 of expense for the years ended December 31, 2018, 2017 and 2016, respectively, for stock-based compensation. The Plan is administered by a committee of the Board of Directors. The Committee determines, among other things, which officers and key employees receive stock compensation, the number of shares to be subject to each award, the option price, the duration of the option and the restricted period, as appropriate. A recipient of the restricted shares will forfeit those shares in their entirety if employment is terminated prior to the vesting date for reasons other than retirement, death or disability. The maximum number of shares of common stock that may be issued under the Plan is 300,000 shares, and 164,955 shares were available for grant as of December 31, 2018. Shares of common stock issued under the Plan may be treasury shares or authorized but unissued shares. During 2018 and 2017, certain officers and key employees were issued restricted stock awards of 5,220 and 4,650 shares, respectively. Each of the awards carry a three -year restriction, with no interim vesting. The following table presents compensation expense and related tax benefits for restricted stock awards recognized on the consolidated statement of income. (Dollars in thousands) 2018 2017 2016 Compensation expense $ 77 $ 43 $ 16 Tax benefit (16) (15) (5) Net income effect $ 61 $ 28 $ 11 At December 31, 2018, there was $109,000 of unrecognized compensation cost related to all non-vested restricted stock awards. This cost is expected to be recognized through February 2021. The following table presents a summary of non-vested restricted shares activity for 2018. Weighted Average Grant Date Shares Fair Value Non-vested at January 1, 2018 7,800 $ 18.10 Vested - Cancelled - Granted 5,220 19.80 Non-vested at December 31, 2018 13,020 18.78 No stock options were awarded in 2018. Options granted prior to 2018 vest over three to five years and are exercisable at the grant price, which is at least the fair market value of the stock on the grant date. The Plan provides that the option price per share is not to be less than the fair market value of the stock on the day the option was granted, but in no event less than the par value of such stock. Options granted under the Plan are exercisable no earlier than one year after the date of grant and expire ten years after the date of the grant. All options previously granted under the Plans are scheduled to expire through February 17, 2025 . Total options outstanding at December 31, 2018 have exercise prices between $ 17.22 and $ 18.00 , with a weighted average exercise price of $ 17.91 and a weighted average remaining contractual life of 5.1 years. As of December 31, 2018, there was $ 111,000 of total unrecognized compensation cost related to nonvested share-based compensation arrangements granted under the Plan. That cost is expected to be recognized through 2021 . Cash received from option exercises under the Plans for the year ended December 31, 2018 was $90,000 and $172,000 for the year ended December 31, 2017. No options were exercised in 2016. A summary of the status of the outstanding stock options as of December 31, 2018, 2017 and 2016, and changes during the years ending on those dates is presented below: 2018 2017 2016 Weighted Weighted Weighted Average Average Average Exercise Exercise Exercise Shares Price Shares Price Shares Price Outstanding at beginning of year 125,026 $ 17.91 139,155 $ 17.97 142,524 $ 18.07 Granted - - - - - - Exercised (5,170) 17.47 (9,704) 17.74 - - Forfeited (6,100) 21.10 (4,425) 20.05 (3,369) 22.36 Outstanding at end of year 113,756 $ 17.76 125,026 $ 17.91 139,155 $ 17.97 Options exercisable at year-end 110,911 110,282 97,584 Weighted-average fair value of of options granted during the year $ - $ - $ - Intrinsic value of options exercised during the year $ 15,240 $ 10,807 $ - Intrinsic value of options outstanding and exercisable at December 31, 2018 $ 387,318 The following table summarizes characteristics of stock options as of December 31, 2018: Outstanding Exercisable Grant Date Exercise Price Shares Contractual Average Life (Years) Shares 10/20/2009 $ 17.22 3,909 0.80 3,909 9/20/2011 $ 17.75 13,200 2.72 13,200 3/20/2012 $ 18.00 15,800 3.22 15,800 2/19/2013 $ 17.65 16,622 4.14 16,622 2/18/2014 $ 17.72 31,025 5.13 30,180 2/17/2015 $ 17.80 33,200 6.13 31,200 113,756 110,911 Defined Benefit Retirement Plans The Company sponsors a defined benefit retirement plan [The Juniata Valley Bank Retirement Plan (“JVB Plan”)] which covers substantially all of its employees employed prior to December 31, 2007. As of January 1, 2008, the JVB Plan was amended to close the plan to new entrants. All active participants as of December 31, 2007 became 100% vested in their accrued benefit and, as long as they remained eligible, continued to accrue benefits until December 31, 2012. The benefits are based on years of service and the employee’s compensation. Effective December 31, 2012, the JVB Plan was amended to cease future service accruals after that date (i.e., it was frozen). As a result of the FNBPA acquisition, the Company assumed sponsorship of a second defined benefit retirement plan [Retirement Plan for the First National Bank of Port Allegany (“FNB Plan”)] as of November 30, 2015, which covers substantially all former FNBPA employees that were employed prior to September 30, 2008. The FNBPA Plan was amended as of December 31, 2015 to cease future service accruals to previously unfrozen participants and is now considered to be “frozen”. Effective December 31, 2016, the FNB Plan was merged into the JVB Plan, which was amended to provide the same benefits to the class of participants previously included in the FNB Plan. The Company’s funding policy is to contribute annually no more than the maximum amount that can be deducted for federal income tax purposes. Contributions are intended to provide for benefits attributed to service through December 31, 2012. In 2017, Juniata initiated a strategy to reduce the liability associated with its defined benefit pension plan. The first step of the initiative consisted of the purchase of a single premium group annuity for a group of Juniata’s retirees, transferring the associated pension liability to the issuer of the annuity. This step reduced Juniata’s overall pension liability by approximately 12% , which resulted in a pre-tax charge to earnings of $377,000 . In 2018, Juniata completed the second step of the strategy to reduce the liability associated with its defined benefit pension plan by making a lump sum payment offer to a small group of terminated vested participants in Juniata’s defined benefit plan. This step further reduced Juniata’s remaining pension liability by approximately 9% , which resulted in a pre-tax charge to earnings of $210,000 in the twelve months ended December 31, 2018. The pre-tax charges for both the 2018 and 2017 strategies executed to reduce the pension liability, represent a further acceleration of pension expenses that would otherwise have impacted Juniata’s future earnings. In 2019, Juniata plans to finalize the termination of its defined benefit plan. Management expects to record a $117,000 net periodic expense in 2019 for the JVB Plan, which includes expected amortization out of accumulated other comprehensive loss. The following table sets forth by level, within the fair value hierarchy, debt and equity instruments included in the JVB Plan’s assets at fair value as of December 31, 2018 and December 31, 2017. Assets included in the JVB Plan that are not valued in the hierarchy table consist of cash and cash equivalents, totaling $ 50,000 and $46,000 , at December 31, 2018 and 2017, respectively. (Level 1) (Level 2) (Level 3) Quoted Prices in Significant Other Significant Other (Dollars in thousands) December 31, Active Markets for Observable Unobservable 2018 Identical Assets Inputs Inputs Measured at fair value on a recurring basis: Mutual funds $ 11,891 $ 11,891 $ - $ - Money market funds 241 241 - - $ 12,132 $ 12,132 $ - $ - (Level 1) (Level 2) (Level 3) Quoted Prices in Significant Other Significant Other (Dollars in thousands) December 31, Active Markets for Observable Unobservable 2017 Identical Assets Inputs Inputs Measured at fair value on a recurring basis: Mutual funds $ 12,857 $ 12,857 $ - $ - Money market funds 213 213 - - $ 13,070 $ 13,070 $ - $ - The measurement date for the JVB Plan is December 31. Information pertaining to the activity in the defined benefit plan is as follows: (Dollars in thousands) Years ended December 31, 2018 2017 Change in projected benefit obligation (PBO) PBO at beginning of year $ 15,554 $ 16,332 Interest cost 521 621 Change in assumptions (1,208) 1,141 Actuarial loss (244) 136 Group annuity purchase - (1,974) Settlement payments (1,485) - Benefits paid (583) (702) PBO at end of year $ 12,555 $ 15,554 Change in plan assets Fair value of plan assets at beginning of year $ 13,117 $ 13,840 Actual return on plan assets, net of expenses (217) 1,953 Employer contribution 1,350 - Group annuity purchase - (1,974) Settlement payments (1,485) - Benefits paid (583) (702) Fair value of plan assets at end of year $ 12,182 $ 13,117 Funded status, included in other (liabilities) assets $ (373) $ (2,437) Amounts recognized in accumulated comprehensive loss before income taxes consist of: Unrecognized actual loss $ (884) $ (3,081) Accumulated benefit obligation $ 12,555 $ 15,554 For the year ended December 31, 2018, the mortality assumptions were derived using the Adjusted RP-2014 White Collar Mortality Table. Incorporated into the most recent table are rates projected generationally using Scale MP-2018 to reflect mortality improvement. For the year ended December 31, 2017, the mortality assumptions were derived using the Adjusted RP-2014 White Collar Mortality Table. Incorporated into the table are rates projected generationally using Scale MP-2017 to reflect mortality improvement. Pension expense for the JVB Plan included the following components for the years ended December 31: (Dollars in thousands) 2018 2017 2016 Interest cost on projected benefit obligation $ 521 $ 621 $ 666 Expected return on plan assets (690) (793) (795) Settlement loss 210 377 - Recognized net actuarial loss 129 207 248 Net periodic benefit cost 170 412 119 Net loss (gain) (449) 117 173 Amortization of net loss (435) (584) (248) Total recognized in other comprehensive loss (income) $ (884) $ (467) $ (75) Total recognized in net periodic benefit cost and other comprehensive loss (income) $ (714) $ (55) $ 44 Assumptions used to determine benefit obligations were: 2018 2017 2016 Discount rate 4.10 % 3.50 % 4.00 % Rate of compensation increase N/A N/A N/A Assumptions used to determine the net periodic benefit cost were: 2018 2017 2016 Discount rate 3.50 % 4.00 % 4.25 % Expected long-term return on plan assets 4.20 6.00 6.00 Rate of compensation increase N/A N/A N/A As previously stated, the Company has terminated the Defined Benefit Plan as of November 30, 2018, with final distribution targeted for the second or third quarter of 2019. Accordingly, a liability-driven investment strategy has been established, which includes an asset allocation glide path that gradually increases the fixed income allocation from 40% (as of December 31, 2017) to 100% and decrease the equity allocation from 60% to zero by mid-2019. At December 31, 2018, the asset allocation was 10% equities and 90% fixed income in the JVB Plan. Future expected benefit payments: (Dollars in thousands) 2019 2020 2021 2022 2023 2024-2028 Estimated future benefit payments $ 626 $ 630 $ 620 $ 621 $ 631 $ 3,406 Defined Contribution Plan The Company has a Defined Contribution Plan under which employees, through payroll deductions, are able to defer portions of their compensation. The Company makes an annual non-elective fully vested contribution equal to 3 % of compensation to each eligible participant. As of December 31, 2018, a liability of $ 238,000 was recorded to satisfy this obligation and was credited to employees’ accounts by January 31, 2019. This liability at December 31, 2017 totaled $ 224,000 and was credited to employee accounts during 2017. Expense incurred under this plan was $ 234,000 , $ 222,000 and $ 211,000 in 2018, 2017 and 2016, respectively. The Defined Contribution Plan also includes an employer matching contribution for employees that elect to defer compensation into this program. The matching contribution in 2018, 2017 and 2016 was $199,000 , $189,000 and $179,000 , respectively. Employee Stock Purchase Plan The Company has an Employee Stock Purchase Plan under which employees, through payroll deductions, are able to purchase shares of Company stock annually. The option price of the stock purchases is between 95 % and 100 % of the fair market value of the stock on the offering termination date as determined annually by the Board of Directors. The maximum number of shares which employees may purchase under the Plan is 250,000 ; however, the annual issuance of shares may not exceed 5,000 shares plus any unissued shares from prior offerings. There were 2,134 shares issued in 2018, 1,961 shares issued in 2017 and 3,764 shares issued in 2016 under this plan. At December 31, 2018, there were 172,959 shares reserved for issuance under the Employee Stock Purchase Plan. Supplemental Retirement Plans The Company has non-qualified supplemental retirement plans for directors and key employees. At December 31, 2018 and 2017, the present value of the future liability associated with these plans was $ 215, 000 and $ 261,000 , respectively. For the years ended December 31, 2018, 2017 and 2016, $ 20, 000 , $ 25,000 and $ 30,000 , respectively, was charged to expense in connection with these plans. The Company offsets the cost of these plans through the purchase of bank-owned life insurance and annuities. See Note 9. Deferred Compensation Plans The Company has entered into deferred compensation agreements with certain directors to provide each director an additional retirement benefit, or to provide their beneficiary a benefit, in the event of pre-retirement death. At December 31, 2018 and 2017, the present value of the future liability was $ 1,602, 000 and $ 1,609,000 , respectively. For the years ended December 31, 2018, 2017 and 2016, $ 40, 000 , $ 33,000 and $ 32,000 , respectively, was charged to expense in connection with these plans. The Company offsets the cost of these plans through the purchase of bank-owned life insurance. See Note 9. Salary Continuation Plans The Company has non-qualified salary continuation plans for key employees. At December 31, 2018 and 2017, the present value of the future liability was $ 1,256, 000 and $ 1,264,000 , respectively. For the years ended December 31, 2018, 2017 and 2016 $ 103, 000 , $ 127,000 and $ 185,000 , respectively, was charged to expense in connection with these plans. The Company offsets the cost of these plans through the purchase of bank-owned life insurance. See Note 9. |
Financial Instruments with Off-
Financial Instruments with Off-Balance Sheet Risk | 12 Months Ended |
Dec. 31, 2018 | |
Financial Instruments with off-Balance Sheet Risk [Abstract] | |
Financial Instruments with Off-Balance Sheet Risk | 23. Financial Instruments With Off-Balance Sheet Risk The Company 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 may include commitments to extend credit and letters of credit. Because many commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. These instruments involve, to varying degrees, elements of credit risk that are not recognized in the consolidated financial statements. Exposure to credit loss in the event of non-performance by the other party to the financial instrument for commitments to extend credit and letters of credit is represented by the contractual amount of those instruments. The Bank uses the same credit policies in making these commitments and conditional obligations as it does for on-balance sheet instruments. The Company controls the credit risk of its financial instruments through credit approvals, limits and monitoring procedures; however, it does not generally require collateral for such financial instruments since there is no principal credit risk. A summary of the Company’s financial instrument commitments is as follows: (Dollars in thousands) December 31, 2018 2017 Commitments to grant loans $ 72,755 $ 77,023 Unfunded commitments under lines of credit 14,468 3,150 Outstanding letters of credit 2,749 2,541 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since portions of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Bank evaluates each customer's creditworthiness on a case-by-case basis. The amount of collateral obtained by the Bank upon extension of credit is based on management's credit evaluation of the counter-party. Collateral held varies but may include personal or commercial real estate, accounts receivable, inventory and equipment. Outstanding letters of credit are instruments issued by the Bank that guarantee the beneficiary payment by the Bank in the event of default by the Bank’s customer in the non-performance of an obligation or service. Most letters of credit are extended for one year periods. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. The Bank holds collateral supporting those commitments for which collateral is deemed necessary. The amount of the liability as of December 31, 2018 and 2017 for guarantees under letters of credit issued is not material. The maximum undiscounted exposure related to these guarantees at December 31, 2018 was $ 2,749,000 , and the approximate value of underlying collateral upon liquidation that would be expected to cover this maximum potential exposure was $22,963,000 . |
Related-Party Transactions
Related-Party Transactions | 12 Months Ended |
Dec. 31, 2018 | |
Related-Party Transactions [Abstract] | |
Related-Party Transactions | 24. Related-Party Transactions The Bank has granted loans to certain of its executive officers, directors and their related interests. The aggregate dollar amount of these loans was $ 7,780, 000 and $ 7,939,000 at December 31, 2018 and 2017, respectively. During 2018, $ 10,714, 000 of new loans were made and repayments totaled $10,873, 000 . None of these loans were past due, in non-accrual status or restructured at December 31, 2018 or 2017. |
Commitments and Contingent Liab
Commitments and Contingent Liabilities | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingent Liabilities [Abstract] | |
Commitments and Contingent Liabilities | 25. Commitments And Contingent Liabilities In 2017, the Company executed renewal agreements for technology outsourcing services through two outside service bureaus. Both agreements provide for termination fees if the Company cancels the services prior to the end of the 7 -year commitment period that runs through May 31, 2024. At December 31, 2018, potential termination fees were estimated to be approximately $1,672,000 and $1,542,000 on the two contracts. The potential termination fees decrease by approximately 15% in each succeeding year through 2024. Since the Company does not expect to terminate these services with either vendor prior to the end of the commitment periods, no liability has been recorded as of December 31, 2018. The Company, from time to time, may be a defendant in legal proceedings relating to the conduct of its banking business. Most of such legal proceedings are a normal part of the banking business and, in management's opinion, the consolidated financial condition and results of operations of the Company would not be materially affected by the outcome of such legal proceedings. Additionally, the Company has sold qualifying residential mortgage loans to the FHLB as part of its Mortgage Partnership Finance Program (“Program”). Under the terms of the Program, there is limited recourse back to the Company for loans that do not perform in accordance with the terms of the loan agreement. Each loan sold under the Program is “credit enhanced” such that the individual loan’s rating is raised to “BBB”, as determined by the FHLB. The Program can be terminated by either the FHLB or the Company, without cause, by giving notice to the other party. The FHLB has no obligation to commit to purchase any mortgage through, or from, the Company. |
Subsequent Event
Subsequent Event | 12 Months Ended |
Dec. 31, 2018 | |
Subsequent Event [Abstract] | |
Subsequent Event | 26 . Subsequent Event In January 201 9 , the Board of Directors declared a dividend of $0.22 per share to shareholders of record on February 18, 2019 , payable on March 1, 2019 . |
Juniata Valley Financial Corp.
Juniata Valley Financial Corp. (Parent Company Only) | 12 Months Ended |
Dec. 31, 2018 | |
Juniata Valley Financial Corp. (Parent Company Only) [Abstract] | |
Juniata Valley Financial Corp. (Parent Company Only) | 27. Juniata Valley Financial Corp. (Parent Company Only) Financial information: CONDENSED BALANCE SHEETS (Dollars in thousands) December 31, 2018 2017 ASSETS Cash and cash equivalents $ 48 $ 1,082 Investment in bank subsidiary 65,909 52,522 Investment in unconsolidated subsidiary - 4,812 Investment securities available for sale 1,193 1,169 Other assets 641 224 TOTAL ASSETS $ 67,791 $ 59,809 LIABILITIES Accounts payable and other liabilities $ 413 $ 422 STOCKHOLDERS' EQUITY 67,378 59,387 TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 67,791 $ 59,809 CONDENSED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (Dollars in thousands) Years Ended December 31, 2018 2017 2016 INCOME Interest and dividends on investment securities available for sale $ 44 $ 44 $ 59 Dividends from bank subsidiary 4,923 4,194 5,624 Income from unconsolidated subsidiary 296 167 222 Gain on sale of securities - 314 166 Change in value of equity securities 26 - - TOTAL INCOME 5,289 4,719 6,071 EXPENSE Merger-related expenses 134 13 66 Other non-interest expense 155 146 157 TOTAL EXPENSE 289 159 223 INCOME BEFORE INCOME TAXES AND EQUITY IN UNDISTRIBUTED NET INCOME OF SUBSIDIARY 5,000 4,560 5,848 Income tax (benefit) expense (347) (127) 47 5,347 4,687 5,801 Undistributed net gain (loss) of subsidiary 557 (150) (645) NET INCOME $ 5,904 $ 4,537 $ 5,156 COMPREHENSIVE INCOME $ 5,795 $ 4,300 $ 4,150 CONDENSED STATEMENTS OF CASH FLOWS (Dollars in thousands) Years Ended December 31, 2018 2017 2016 Cash flows from operating activities: Net income $ 5,904 $ 4,537 $ 5,156 Adjustments to reconcile net income to net cash provided by operating activities: Undistributed net (gain) loss of subsidiary (556) 150 645 Realized gains on sales of investment securities - (314) (166) Change in value of equity securities (26) - - Equity in earnings of unconsolidated subsidiary, net of dividends of $75 , $61 and $55 194 (106) (167) Equity gain from acquisition of unconsolidated subsidiary (415) - - Stock-based compensation expense 82 71 67 (Increase) decrease in other assets (93) 513 (413) (Decrease) increase in taxes payable (402) (271) 191 (Decrease) increase in accounts payable and other liabilities (12) (254) 1 Net cash provided by operating activities 4,676 4,326 5,314 Cash flows from investing activities: Purchases of available for sale securities - - (470) Proceeds from the sale of available for sale securities - 734 252 Proceeds from the maturity of available for sale investment securities - - - Net cash received from acquisition (1,361) - - Net cash provided by (used in) investing activities (1,361) 734 (218) Cash flows from financing activities: Cash dividends (4,411) (4,194) (4,226) Purchase of treasury stock (70) (86) (927) Treasury stock issued for stock plans 90 - - Common stock issued for stock plans 42 206 64 Net cash used in financing activities (4,349) (4,074) (5,089) Net (decrease) increase in cash and cash equivalents (1,034) 986 7 Cash and cash equivalents at beginning of year 1,082 96 89 Cash and cash equivalents at end of year $ 48 $ 1,082 $ 96 |
Quarterly Results of Operations
Quarterly Results of Operations (Unaudited) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Results of Operations (Unaudited) [Abstract] | |
Quarterly Results of Operations (Unaudited) | 28. Quarterly Results Of Operations (Unaudited) The unaudited quarterly results of operations for the years ended December 31, 2018 and 2017 follow: (Dollars in thousands, except per share data) 2018 Quarter ended March 31 June 30 as Revised* September 30 December 31 Total interest income $ 5,439 $ 5,944 $ 6,129 $ 6,139 Total interest expense 794 890 950 1,001 Net interest income 4,645 5,054 5,179 5,138 Provision for loan losses 158 41 32 106 AFS securities losses (15) - - (173) Change in equity security value (6) 52 (4) (43) Other income 1,195 1,444 1,245 1,332 Merger and acquisition expense 64 376 185 259 Other expense 4,341 4,530 4,847 4,859 Income before income taxes 1,256 1,603 1,356 1,030 Income tax (benefit) expense (71) (372) (29) (187) Net income $ 1,327 $ 1,975 $ 1,385 $ 1,217 Per-share data: Basic earnings $ 0.28 $ 0.39 $ 0.27 $ 0.24 Diluted earnings $ 0.28 $ 0.39 $ 0.27 $ 0.24 Cash dividends $ 0.22 $ 0.22 $ 0.22 $ 0.22 2017 Quarter ended March 31 June 30 September 30 December 31 Total interest income $ 5,174 $ 5,348 $ 5,457 $ 5,395 Total interest expense 627 702 752 774 Net interest income 4,547 4,646 4,705 4,621 Provision for loan losses 105 135 149 50 Securities gains 504 4 2 2 Other income 1,112 1,252 1,217 1,199 Merger and acquisition expense - - - 13 Other expense 4,269 4,229 4,442 4,822 Income before income taxes 1,789 1,538 1,333 937 Income tax expense 330 244 127 359 Net income $ 1,459 $ 1,294 $ 1,206 $ 578 Per-share data: Basic earnings $ 0.31 $ 0.27 $ 0.25 $ 0.12 Diluted earnings $ 0.31 $ 0.27 $ 0.25 $ 0.12 Cash dividends $ 0.22 $ 0.22 $ 0.22 $ 0.22 * The income tax benefit and net income for the quarter ended June 30, 2018 set forth on this table have been restated by $406,000 from the amounts of income tax expense of $34,000 and net income of $1,569,000 originally reported. In addition, the basic and diluted earnings per share set forth on this table have been restated from the $0.31 per share originally reported. The $406,000 relates primarily to the reversal of a deferred tax liability on the previous investment in LCB prior to the acquisition on April 30, 2018 . The Form 10-Qs for the quarters ending June 30, 2019 and September 30, 2019 will reflect these changes as a correction of a prior year immaterial error. |
Summary of Significant Accounti
Summary of Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2018 | |
Principles of Consolidation | Principles of consolidation The consolidated financial statements include the accounts of Juniata Valley Financial Corp. and its wholly owned subsidiary, The Juniata Valley Bank. All significant intercompany transactions and balances have been eliminated. |
Use of Estimates | Use of estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses 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 the determination of the allowance for loan losses, the determination of other-than-temporary impairment on securities, impairment of goodwill and the value of assets acquired and liabilities assumed in business combinations. |
Significant Group Concentrations of Credit Risk | Significant group concentrations of credit risk Most of the Company’s activities are with customers located within the Juniata Valley and the JVB Northern Tier regions. Note 6 discusses the types of securities in which the Company invests. Note 7 discusses the types of lending in which the Company engages. As of December 31, 2018, credit exposure to lessors of non-residential buildings and dwellings represented 55.3% of capital, credit exposure to hotels and motels represented 40.0% of capital, credit exposure to continuing care retirement communities represented 28.4% of capital, and credit exposure to residential buildings and dwellings represented 27.9% of capital. Otherwise, there were no concentrations of credit to any particular industry equaling more than 25% of total capital. The Bank’s business activities are geographically concentrated in the counties of Juniata, Mifflin, Perry, Huntingdon, Centre, Franklin, McKean, Potter and Snyder, Pennsylvania. The Bank has a diversified loan portfolio; however, a substantial portion of its debtors’ ability to honor their obligations is dependent upon the economy in central Pennsylvania. |
Revenue Recognition | Revenue Recognition The Company generally acts in a principal capacity, on its own behalf, in most contracts with customers. In such transactions, revenue and related costs to provide these services are recognized on a gross basis in the financial statements. In some cases, the Company acts in an agent capacity, deriving revenue through assisting other entities in transactions with its customers. In such transactions, revenue and the related costs to provide the services are recognized on a net basis in the financial statements. These transactions primarily relate to non-deposit product commissions and fees derived from customer’s use of various interchange and ATM/debit card networks. All of the Company’s revenue from contracts with customers in the scope of ASC Topic 606, Revenue from Contracts with Customers , are recognized within non-interest income on the consolidated statements of income. Revenue streams not within the scope of ASC 606 included in non-interest income on the consolidated statements of income include earnings on bank-owned life insurance and annuities, income from unconsolidated subsidiary, fees derived from loan activity, mortgage banking income, gain/loss on sales and calls of securities, and the change in value of equity securities. Refer to Note 21 for a description of the Company’s sources of revenue accounted for under ASC 606. |
Cash and Cash Equivalents | Cash and cash equivalents For purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks, interest bearing demand deposits with banks and federal funds sold. Generally, federal funds are sold for one-day periods. |
Interest Bearing Time Deposits with Banks | Interest bearing time deposits with banks Interest-bearing time deposits with banks consist of certificates of deposits in other banks with maturities within five years . |
Securities | Securities Securities classified as available for sale, which include marketable investment securities, are stated at fair value, with the unrealized gains and losses, net of tax, reported as a component of other comprehensive income (loss). Securities classified as available for sale are those securities that the Company intends to hold for an indefinite period of time but not necessarily to maturity. Any decision to sell a security classified as available for sale would be based on various factors, including significant movement in interest rates, changes in maturity mix of the Company’s assets and liabilities, liquidity needs, regulatory capital considerations and other similar factors. Interest and dividends are recognized as income when earned. Premiums and discounts are recognized in interest income using the interest method over the terms of the securities. Gains or losses on the disposition of securities available for sale are based on the net proceeds and the adjusted carrying amount of the securities sold, determined on a specific identification basis. The Company had no securities classified as held to maturity at December 31, 2018 and 2017. Prior to January 1, 2018, both debt and equity securities were accounted for under ASC 320, Investments – Debt and Equity Securities . ASC 320 clarified the interaction of the factors that should be considered when determining whether a debt security is other-than-temporarily impaired. For debt securities, management had to assess whether (a) it had the intent to sell the security and (b) it was more likely than not that it would be required to sell the security prior to its anticipated recovery. These steps were taken before an assessment was made as to whether the entity would recover the cost basis of the investment. If either of these circumstances was present, the securities would be written down to fair value through an impairment charge recorded on the income statement. In instances when a determination is made that an other-than-temporary impairment exists and the entity does not intend to sell the debt security and it is not more likely than not that it will be required to sell the debt security prior to its anticipated recovery, the other-than-temporary impairment is separated into the amount of the total other-than-temporary impairment related to a decrease in cash flows expected to be collected from the debt security (the credit loss) and the amount of the total other-than-temporary impairment related to all other factors. The amount of the total other-than-temporary impairment related to the credit loss is recognized in earnings. The amount of the total other-than-temporary impairment related to all other factors is recognized in other comprehensive (loss) income. Management determines the appropriate classification of debt securities at the time of purchase and re-evaluates such designation as of each balance sheet date. For equity securities under ASC 320, consideration was given to management’s intention and ability to hold the securities until recovery of unrealized losses in assessing potential other-than-temporary impairment. More specifically, factors considered to determine other-than-temporary impairment status for individual equity holdings included the length of time the stock remained in an unrealized loss position, the percentage of unrealized loss compared to the carrying cost of the stock, dividend reduction or suspension, market analyst reviews and expectations, and other pertinent factors that would affect expectations for recovery or further decline. As of January 1, 2018, upon the adoption of ASU 2016-01, all of the Company’ equity securities are within the scope of ASC 321, Investments – Equity Securities , while debt securities remain under ASC 320, Investments – Debt Securities . ASC 321 requires all equity securities within its scope to be measured at fair value with changes in fair value recognized in net income. |
Restricted Investment in FHLB Stock | Restricted Investment in Bank Stock The Bank owns restricted stock investments in the Federal Home Loan Bank and the Atlantic Community Bankers Bank (“ACBB”). Federal law requires a member institution of the Federal Home Loan Bank to hold stock according to a predetermined formula. Both the FHLB and ACBB stock is carried at cost. Management evaluates the restricted stock for impairment on an annual basis. Management’s determination of whether these investments are impaired is based on management’s assessment of the ultimate recoverability of the cost of these investments rather than by recognizing temporary declines in value. The recoverability of the cost of the FHLB investments is influenced by criteria such as (1) the significance of the decline in net assets of the FHLB as compared to 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, and (3) the impact of legislative and regulatory changes on institutions and, accordingly, on the customer base of the FHLB. Management believes no impairment charge was necessary related to the FHLB or ACBB restricted stock during 2018, 2017 or 2016. |
Loans | Loans Loans that the Company has the intent and ability to hold for the foreseeable future or until maturity are stated at the outstanding unpaid principal balances, net of any deferred fees or costs and the allowance for loan losses. Interest income on all loans, other than nonaccrual loans, is accrued over the term of the loans based on the amount of principal outstanding. Unearned income is amortized to income over the life of the loans, using the interest method. The loan portfolio is segmented into commercial and consumer loans. Commercial loans are comprised of the following classes of loans: (1) commercial, financial and agricultural, (2) commercial real estate, (3) real estate construction, (4) mortgage loans and (5) obligations of states and political subdivisions. Consumer loans are comprised of (4) mortgage loans and (6) personal loans. Loans on which the accrual of interest has been discontinued are designated as non-accrual loans. Accrual of interest on loans is generally discontinued when the contractual payment of principal or interest has become 90 days past due or reasonable doubt exists as to the full, timely collection of principal or interest. However, it is the Company’s policy to continue to accrue interest on loans over 90 days past due as long as (1) they are guaranteed or well secured and (2) there is an effective means of collection in process. When a loan is placed on non-accrual status, all unpaid interest credited to income in the current year is reversed against current period income and unpaid interest accrued in prior years is charged against the allowance for loan losses. Interest received on nonaccrual loans generally is either applied against principal or reported as interest income, according to management’s judgment as to the collectability of principal. Generally, accruals are resumed on loans only when the obligation is brought fully current with respect to interest and principal, has performed in accordance with the contractual terms for a reasonable period of time and the ultimate collectability of the total contractual principal and interest is no longer in doubt. The Company originates loans in the portfolio with the intent to hold them until maturity. At the time the Company no longer intends to hold loans to maturity based on asset/liability management practices, the Company transfers loans from its portfolio to held for sale at fair value. Any write-down recorded upon transfer is charged against the allowance for loan losses. Any write-downs recorded after the initial transfers are recorded as a charge to other non-interest expense. Gains or losses recognized upon sale are included in other non-interest income. |
Loan Origination Fees and Costs | Loan origination fees and costs Loan origination fees and related direct origination costs for a given loan are deferred and amortized over the life of the loan on a level-yield basis as an adjustment to interest income over the contractual life of the loan. As of December 31, 2018 and 2017, the amount of net unamortized origination fees carried as an adjustment to outstanding loan balances was $ 11,000 and $ 52,000 , respectively. |
Allowance for Credit Losses | Allowance for credit losses The allowance for credit losses consists of the allowance for loan losses and the reserve for unfunded lending commitments. The allowance for loan losses (“allowance”) represents management’s estimate of losses inherent in the loan portfolio as of the consolidated statement of financial condition date and is recorded as a reduction to loans. The reserve for unfunded lending commitments represents management’s estimate of losses inherent in its unfunded lending commitments and is recorded in other liabilities on the consolidated statement of financial condition, when necessary. The amount of the reserve for unfunded lending commitments is not material to the consolidated financial statements. The allowance for loan losses is increased by the provision for loan losses, and decreased by charge-offs, net of recoveries. Loans deemed to be uncollectible are charged against the allowance for loan losses, and subsequent recoveries, if any, are credited to the allowance. For financial reporting purposes, the provision for loan losses charged to current operating income is based on management's estimates, and actual losses may vary from estimates. These estimates are reviewed and adjusted at least quarterly and are reported in earnings in the periods in which they become known. Loans included in any class are considered for charge-off when: · principal or interest has been in default for 120 days or more and for which no payment has been received during the previous four months; · all collateral securing the loan has been liquidated and a deficiency balance remains; · a bankruptcy notice is received for an unsecured loan; · a confirming loss event has occurred; or · the loan is deemed to be uncollectible for any other reason. The allowance for loan losses is maintained at a level considered adequate to offset probable losses on the Company’s existing loans. The analysis of the allowance for loan losses relies heavily on changes in observable trends that may indicate potential credit weaknesses. Management’s periodic evaluation of the adequacy of the allowance is based on the Bank’s past loan loss experience, known and inherent risks in the portfolio, adverse situations that may affect the borrower’s ability to repay, the estimated value of any underlying collateral, composition of the loan portfolio, current economic conditions and other relevant factors. This evaluation is inherently subjective as it requires material estimates that may be susceptible to significant revision as more information becomes available. Based on management’s comprehensive analysis of the loan portfolio, management believes the level of the allowance for loan losses as of December 31, 2018 was adequate. There are two components of the allowance: 1) specific allowances allocated to loans evaluated for impairment under ASC Section 310-10-35; and 2) allowances calculated for pools of loans evaluated collectively for impairment under ASC Subtopic 450-20 (Contingencies). A loan is considered to be impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loans and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan by loan basis by the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s observable market price or the fair value of the collateral if the loan is collateral dependent. The estimated fair values of substantially all of the Company’s impaired loans are measured based on the estimated fair value of the loan’s collateral. For commercial loans secured with real estate, estimated fair values are determined primarily through third-party appraisals. When a real estate secured loan becomes impaired, a decision is made regarding whether an updated certified appraisal of the real estate is necessary. This decision is based on various considerations, including the age of the most recent appraisal, the loan-to-value ratio based on the current appraisal and the condition of the property. Appraised values may be discounted to arrive at the estimated selling price of the collateral, which is considered to be the estimated fair value. The discounts also include the estimated costs to sell the property. For commercial loans secured by non-real estate collateral, estimated fair values are determined based on the borrower’s financial statements, inventory reports, aging accounts receivable, equipment appraisals or invoices. Indications of value from these sources are generally discounted based on the age of the financial information or the quality of the assets. For such loans that are classified as impaired, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. The Company generally does not separately identify individual consumer segment loans for impairment analysis, unless such loans are subject to a restructuring agreement. Loans whose terms are modified are classified as troubled debt restructurings if the Company grants borrowers concessions and it is deemed that those borrowers are experiencing financial difficulty. Concessions granted under a troubled debt restructuring generally involve a below-market interest rate based on the loan’s risk characteristics, an extension of a loan’s stated maturity date or a significant delay in payment. Nonaccrual troubled debt restructurings are restored to accrual status if principal and interest payments, under the modified terms, are current for a sustained period of time after modification. Loans classified as troubled debt restructurings are designated as impaired. The component of the allowance for pooled loan contingencies relates to other loans that have been segmented into risk rated categories. In accordance with ASC Subtopic 450-20, when measuring estimated credit losses, these loans are grouped into homogenous pools with similar characteristics and evaluated collectively considering both quantitative measures, such as historical loss, and qualitative measures, in the form of environmental adjustments. Some portfolio segments are further disaggregated and evaluated collectively for impairment based on "class segments," which are largely based on the type of collateral underlying each loan. For commercial, financial and agricultural loans, class segments include commercial loans secured by other-than real estate collateral. Real estate – commercial class segments include loans secured by farmland, multi-family properties, owner-occupied non-farm, non-residential properties and other nonfarm non-residential properties. Real estate – mortgage includes loans secured by first and junior liens on residential real estate. Construction loan class segments include loans secured by commercial real estate, loans to commercial borrowers secured by residential real estate and loans to individuals secured by residential real estate. Personal loan class segments include direct consumer installment loans, indirect automobile loans and other revolving and unsecured loans to individuals. Quantitative factor determination: An average annual loss rate is calculated for each pool through an analysis of historical losses over a five-year look-back period. Using data for each loan, a loss emergence period is determined within each segmented class pool. The loss emergence period reflects the approximate length of time from the point when a loss is incurred (the loss trigger event) to the point of loss confirmation (the date of eventual charge-off). The loss emergence period is applied to the average annual loss to produce the qualitative factor for each pooled class segment. Qualitative factor determination: Historical loss rates computed in the quantitative component reflects an estimate of the level of incurred losses in the portfolio based on historical experience. Management considers that the current conditions may deviate from those that prevailed over the historical look-back period. Thus, the quantitative rates are an imperfect estimate, necessitating an evaluation of qualitative considerations, i.e. environmental factors to incorporate these risks. Management considered qualitative, environmental risk factors including: · National, regional and local economic and business conditions, and developments that affect the collectability of the portfolio, including the condition of various market segments; · Changes in the volume and severity of past due loans, the volume of nonaccrual loans, and the volume and severity of adversely classified loans; · Changes in the nature and volume of the portfolio and terms of loans; · Changes in the experience, ability and depth of lending and credit management and other relevant staff; · Existence and effect of any concentrations of credit and changes in the level of such concentrations; · Changes in the quality of the loan review system; · Changes in lending policies and procedures including changes in underwriting standards and collection, charge-off and recovery practices; · Changes in the value of underlying collateral for collateral-dependent loans; and · Effect of external influences, including competition, legal and regulatory requirements. Within each loan segment, an analysis was performed over a ten-year look-back period to discover peak historical losses, and with this data, management established ranges of risk from minimal to very high, for each risk factor, to produce a supportable anchor for risk assignment. Based on the framework for risk factor evaluation and range of adjustments established through the anchoring process, a risk assessment and corresponding adjustment was assigned for each portfolio segment as of December 31, 2018. Adjustments to the factors are supported through documentation of changes in conditions in a narrative accompanying the allowance for loan loss calculation. The combination of quantitative and qualitative factors were applied to year-end balances in each pooled segment to establish the overall allowance. |
Acquired Loans | Acquired Loans Loans that Juniata acquires through business combinations are recorded at fair value with no carryover of the related allowance for loan losses. Fair value of the loans involves estimating the amount and timing of principal and interest cash flows expected to be collected on the loans and discounting those cash flows at a market rate of interest. The excess of cash flows expected at acquisition over the estimated fair value is referred to as the accretable discount and is recognized into interest income over the remaining life of the loan. The difference between contractually required payments at acquisition and the cash flows expected to be collected at acquisition is referred to as the nonaccretable discount. The nonaccretable discount includes estimated future credit losses expected to be incurred over the life of the loan. Subsequent decreases to the expected cash flows will require Juniata to evaluate the need for an additional allowance for credit losses. Subsequent improvement in expected cash flows will result in the reversal of a corresponding amount of the nonaccretable discount which Juniata will then reclassify as accretable discount that will be recognized into interest income over the remaining life of the loan. Acquired loans that met the criteria for impaired or nonaccrual of interest prior to the acquisition may be considered performing upon acquisition, regardless of whether the customer is contractually delinquent, if Juniata expects to fully collect the new carrying value (i.e. fair value) of the loans. As such, Juniata may no longer consider the loan to be nonaccrual or nonperforming and may accrue interest on these loans, including the impact of any accretable discount. In addition, charge-offs on such loans would be first applied to the nonaccretable difference portion of the fair value adjustment. Loans acquired through business combinations that do not meet the specific criteria of ASC 310-30, but for which a discount is attributable at least in part to credit quality, are also accounted for in accordance with this guidance. As a result, related discounts are recognized subsequently through accretion based on the contractual cash flows of the acquired loans. |
Loans Held for Sale | Loans Held for Sale The Company has originated residential mortgage loans with the intent to sell. These individual loans are normally funded by the buyer immediately. The Company maintains servicing rights on these loans. Mortgage servicing rights are recognized as an asset upon the sale of a mortgage loan. A portion of the cost of the loan is allocated to the servicing right based upon relative fair value. Servicing rights are intangible assets and are carried at estimated fair value. Adjustments to fair value are recorded as non-interest income and included in mortgage banking income in the consolidated statements of income. In a business combination, the Company may acquire loans which it intends to sell. These loans are assigned a fair value by obtaining actual bids on the loans and adjusting for contingencies in the bids. These loans are carried at lower of cost or market value until sold, adjusted periodically if conditions change before the subsequent sale. Adjustments to fair value and gains or losses recognized upon sale are included in gains on sales of loans which is a component of non-interest income. |
Other Real Estate Owned | Other real estate owned Assets acquired in settlement of mortgage loan indebtedness are recorded as other real estate owned (“OREO”) at fair value less estimated costs to sell, establishing a new cost basis. Costs to maintain the assets and subsequent gains and losses attributable to their disposal are included in other expense as realized. No depreciation or amortization expense is recognized. At December 31, 2018 and 2017, the carrying value of other real estate owned was $744,000 and $ 355,000 , respectively. |
Goodwill and Intangibles | Goodwill and intangibles The Company accounts for its business combinations using the purchase accounting method. Purchase accounting requires the total purchase price to be allocated to the estimated fair values of assets acquired and liabilities assumed, including certain intangible assets that must be recognized. Typically, this allocation results in the purchase price exceeding the fair value of net assets acquired, which is recorded as goodwill. Core deposit intangibles are a measure of the value of checking, money market and savings deposits acquired in business combinations accounted for under the purchase method. Core deposit intangibles and other identified intangibles with finite useful lives are amortized over their estimated useful lives. Goodwill and other intangible assets are tested for impairment annually or when circumstances arise indicating impairment may have occurred. In determining whether impairment has occurred, management considers a number of factors including, but not limited to, the market value of the Company’s stock, operating results, business plans, economic projections, anticipated future cash flows and current market data. There are inherent uncertainties related to these factors and management’s judgment in applying them to the analysis of impairment. Changes in economic and operating conditions, as well as other factors, could result in impairment in future periods. Any impairment losses arising from such testing would be reported in the Consolidated Statements of Income as a separate line item within operations. There were no impairment losses recognized as a result of periodic impairment testing in each of the three years ended December 31, 2018. |
Mortgage Servicing Rights | Mortgage servicing rights The Company originates residential mortgage loans with the intent to sell. These individual loans are normally funded by the buyer immediately. The Company maintains servicing rights on these loans. Mortgage servicing rights are recognized as an asset upon the sale of a mortgage loan. A portion of the cost of the loan is allocated to the servicing right based upon relative fair value. Servicing rights are intangible assets and are carried at estimated fair value. The carrying amount of mortgage servicing rights was $200,000 and $225,000 at December 31, 2018 and 2017, respectively. Adjustments to fair value are recorded as non-interest income and included in gain on sales of loans in the consolidated statements of income. The Company retains the servicing rights on mortgage loans sold to the FHLB and receives mortgage banking fee income based upon the principal balance outstanding. Total loans serviced for the FHLB were $23,563,000 and $23,647,000 at December 31, 2018 and 2017, respectively. The mortgage loans sold to the FHLB and serviced by the Company are not reflected in the consolidated statements of financial condition. |
Premises, Equipment and Depreciation | Premises and equipment and depreciation Premises and equipment are stated at cost less accumulated depreciation. Depreciation is computed principally using the straight-line method over the estimated useful lives of the related assets, which range from 3 to 10 years for furniture and equipment and 25 to 50 years for buildings. Expenditures for maintenance and repairs are charged against income as incurred. Costs of major additions and improvements are capitalized. Amortization of leasehold improvements is computed on a straight-line basis over the shorter of the assets’ useful life or the related lease term . |
Trust Assets and Revenues | Trust assets and revenues Assets held in a fiduciary capacity are not assets of the Bank or the Bank’s Trust Department and are, therefore, not included in the consolidated financial statements. Trust revenues are recorded on the accrual basis. |
Bank Owned Life Insurance, Annuities and Split-dollar Arrangements | Bank owned life insurance, annuities and split-dollar arrangements The cash surrender value of bank owned life insurance and annuities is carried as an asset, and changes in cash surrender value are recorded as non-interest income. GAAP requires split-dollar life insurance arrangements to have a liability recognized related to the postretirement benefits covered by an endorsement split-dollar life insurance arrangement. The accrued benefit liability was $ 1,081,000 and $ 1,014,000 as of December 31, 2018 and 2017, respectively. Related expenses for 2018, 2017 and 2016 were $ 38,000 , $ 95,000 and $ 61,000 , respectively. |
Investments in Low-income Housing Partnerships | Investments in low-income housing partnerships Juniata has invested as a limited partner in two partnerships that provide low-income housing in Lewistown, Pennsylvania. The carrying value of the investment in the limited partnerships was $4,545,000 at December 31, 2018 and $5,245,000 at December 31, 2017. The decline in carrying value in 2018 was the result of amortization exceeding the draws taken for the completion of the phase II low-income housing project. Federal credits are available for ten years for each of the two projects. Tax credits associated with phase I will continue through 2023 annually at $572,000 . Phase II credits were initiated in 2017 and will run through 2027 at an annual amount of $333,000 . The tax credits are included in the tax expense line item on the Consolidated Statements of Income. Amortization of the investment using the cost method is scheduled to occur over the same period as tax credits are earned. Juniata’s maximum exposure to loss is limited to the carrying value of the investment at year-end. |
Income Taxes | Income taxes The Company accounts for income taxes in accordance with income tax accounting guidance ASC Topic 740, Income Taxes . Current income tax accounting guidance results in two components of income tax expense: current and deferred. Current income tax expense reflects taxes to be paid or refunded for the current period by applying the provisions of the enacted tax law to the taxable income or excess of deductions over revenues. The Company determines deferred income taxes using the liability (or balance sheet) method. Under this method, the net deferred tax asset or liability is based on the tax effects of the differences between the book and tax bases of assets and liabilities, and enacted changes in tax rates and laws are recognized in the period in which they occur. Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. Deferred tax assets are reduced by a valuation allowance if, based on the weight of the evidence available, it is more likely than not that some portion or all of a deferred tax asset will not be realized. The Company accounts for uncertain tax positions if it is more likely than not, based on the technical merits, that the tax position will be realized or sustained upon examination. The term “more likely than not” means a likelihood of more than 50 percent; the terms “examined” and “upon examination” also include resolution of the related appeals or litigation processes, if any. A tax position that meets the more-likely-than-not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more-likely-than-not recognition threshold considers the facts, circumstances and information available at the reporting date and is subject to management’s judgment. The Company recognizes interest and penalties on income taxes, if any, as a component of income tax expense. |
Advertising | Advertising The Company follows the policy of charging costs of advertising to expense as incurred. Advertising expenses were $ 294,000 , $ 272,000 and $ 243,000 in 2018, 2017 and 2016, respectively. |
Off-balance Sheet Financial Instruments | Off-balance sheet financial instruments In the ordinary course of business, the Bank has entered into off-balance sheet financial instruments consisting of commitments to extend credit and letters of credit. Such financial instruments are recorded on the consolidated statement of financial condition when they are funded. |
Transfer of Financial Assets | Transfer of financial assets Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. |
Comprehensive Income | Comprehensive Income Comprehensive income consists of net income and other comprehensive income (loss). Other comprehensive income (loss) includes changes in unrealized gains and losses on securities available for sale arising during the period and reclassification adjustments for realized gains and losses on securities available for sale included in net income. The Company has a defined benefit retirement plan which utilizes assumptions and methods to calculate the fair value of Plan assets and recognizing the funded status of the Plans on its consolidated balance sheet. Gains and losses on the Plan are recognized in other comprehensive income (loss), net of tax, until they are amortized, or immediately upon curtailment. |
Stock-based Compensation | Stock-based compensation The Company sponsors a stock compensation plan for certain key officers which allows, among other stock-based compensation methods, for stock options and restricted stock awards. Prior to 2016, stock options were used exclusively for long-term compensation, but beginning in 2016, restricted shares awards were used. Compensation expense for stock options granted and restricted stock awarded is measured using the fair value of the award on the grant date and is recognized over the vesting period. The stock-based compensation expense amounts for stock options were derived based on the fair value of options using the Black-Scholes option-pricing model. |
Segment Reporting | Segment reporting Management does not separately allocate expenses, including the cost of funding loan demand, between the commercial, retail and trust operations of the Company. As such, discrete financial information is not available, and segment reporting would not be meaningful. |
Subsequent Events | Subsequent events The Company has evaluated events and transactions occurring subsequent to the consolidated statement of financial condition date of December 31, 2018, for items that should potentially be recognized or disclosed in the consolidated financial statements. The evaluation was conducted through the date these consolidated financial statements were issued. |
Commercial, Financial and Agricultural [Member] | Commercial Portfolio Segment [Member] | |
Loans | Commercial, Financial and Agricultural Lending The Company originates commercial, financial and agricultural loans primarily to businesses located in its primary market area and surrounding areas. These loans are used for various business purposes, which include short-term loans and lines of credit to finance machinery and equipment purchases, inventory and accounts receivable. Generally, the maximum term for loans extended on machinery and equipment is shorter and does not exceed the projected useful life of such machinery and equipment. Most business lines of credit are written with a five year maturity, subject to an annual review. Commercial loans are generally secured with short-term assets; however, in many cases, additional collateral, such as real estate, is provided as additional security for the loan. Loan-to-value maximum values have been established by the Company and are specific to the type of collateral. Collateral values may be determined using invoices, inventory reports, accounts receivable aging reports, collateral appraisals, etc. In underwriting commercial loans, an analysis of the borrower’s character, capacity to repay the loan, the adequacy of the borrower’s capital and collateral, as well as an evaluation of conditions affecting the borrower, is performed. Analysis of the borrower’s past, present and future cash flows is also an important aspect of the Company’s analysis. Concentration analysis assists in identifying industry specific risk inherent in commercial, financial and agricultural lending. Mitigants include the identification of secondary and tertiary sources of repayment and appropriate increases in oversight. Commercial, financial and agricultural loans generally present a higher level of risk than certain other types of loans, particularly during slow economic conditions. |
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | |
Loans | Commercial Real Estate Lending The Company engages in commercial real estate lending in its primary market area and surrounding areas. The Company’s commercial real estate portfolio is secured primarily by residential housing, commercial buildings, raw land and hotels. Generally, commercial real estate loans have terms that do not exceed 20 years, have loan-to-value ratios of up to 80 % of the appraised value of the property and are typically secured by personal guarantees of the borrowers. As economic conditions deteriorate, the Company reduces its exposure in real estate loans with higher risk characteristics. In underwriting these loans, the Company performs a thorough analysis of the financial condition of the borrower, the borrower’s credit history, and the reliability and predictability of the cash flow generated by the property securing the loan. Appraisals on properties securing commercial real estate loans originated by the Company are performed by independent appraisers. Commercial real estate loans generally present a higher level of risk than certain other types of loans, particularly during slow economic conditions. |
Construction Loan [Member] | Real Estate Portfolio Segment [Member] | |
Loans | Real Estate Construction Lending The Company engages in real estate construction lending in its primary market area and surrounding areas. The Company’s real estate construction lending consists of commercial and residential site development loans, as well as commercial building construction and residential housing construction loans. The Company’s commercial real estate construction loans are generally secured with the subject property, and advances are made in conformity with a pre-determined draw schedule supported by independent inspections. Terms of construction loans depend on the specifics of the project, such as estimated absorption rates, estimated time to complete, etc. In underwriting commercial real estate construction loans, the Company performs a thorough analysis of the financial condition of the borrower, the borrower’s credit history, the reliability and predictability of the cash flow generated by the project using feasibility studies, market data, etc. Appraisals on properties securing commercial real estate loans originated by the Company are performed by independent appraisers. Real estate construction loans generally present a higher level of risk than certain other types of loans, particularly during slow economic conditions. The difficulty of estimating total construction costs adds to the risk as well. |
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | |
Loans | Mortgage Lending The Company’s real estate mortgage portfolio is comprised of consumer residential mortgages and business loans secured by one-to-four family properties. One-to-four family residential mortgage loan originations, including home equity installment and home equity lines of credit loans, are generated by the Company’s marketing efforts, its present customers, walk-in customers and referrals. These loans originate primarily within the Company’s market area or with customers primarily from the market area. The Company offers fixed-rate and adjustable rate mortgage loans with terms up to a maximum of 25 years for both permanent structures and those under construction. The Company’s one-to-four family residential mortgage originations are secured primarily by properties located in its primary market area and surrounding areas. The majority of the Company’s residential mortgage loans originate with a loan-to-value of 80 % or less. Home equity installment loans are secured by the borrower’s primary residence with a maximum loan-to-value of 80 % and a maximum term of 15 years. Home equity lines of credit are secured by the borrower’s primary residence with a maximum loan-to-value of 90 % and a maximum term of 20 years. In underwriting one-to-four family residential real estate loans, the Company evaluates the borrower’s ability to make monthly payments, the borrower’s repayment history and the value of the property securing the loan. The ability to repay is determined by the borrower’s employment history, current financial conditions, and credit background. The analysis is based primarily on the customer’s ability to repay and secondarily on the collateral or security. Most properties securing real estate loans made by the Company are appraised by independent fee appraisers. The Company generally requires mortgage loan borrowers to obtain an attorney’s title opinion or title insurance, and fire and property insurance (including flood insurance, if necessary) in an amount not less than the amount of the loan. The Company does not engage in sub-prime residential mortgage originations. Residential mortgage loans and home equity loans generally present a lower level of risk than certain other types of consumer loans because they are secured by the borrower’s primary residence. Risk is increased when the Company is in a subordinate position for the loan collateral. |
Obligations of State and Political Subdivisions [Member] | Unallocated Financing Receivables [Member] | |
Loans | Obligations of States and Political Subdivisions The Company lends to local municipalities and other tax-exempt organizations. These loans are primarily tax-anticipation notes and, as such, carry little risk. Historically, the Company has never had a loss on any loan of this type. |
Personal Loan [Member] | Consumer Portfolio Segment [Member] | |
Loans | Personal Lending The Company offers a variety of secured and unsecured personal loans, including vehicle loans, mobile home loans and loans secured by savings deposits as well as other types of personal loans. Personal loan terms vary according to the type and value of collateral and creditworthiness of the borrower. In underwriting personal loans, a thorough analysis of the borrower’s willingness and financial ability to repay the loan as agreed is performed. The ability to repay is determined by the borrower’s employment history, current financial conditions and credit background. Personal loans may entail greater credit risk than do residential mortgage loans, particularly in the case of personal loans which are unsecured or are secured by rapidly depreciable assets, such as automobiles or recreational equipment. In such cases, any repossessed collateral for a defaulted personal loan may not provide an adequate source of repayment of the outstanding loan balance as a result of the greater likelihood of damage, loss or depreciation. In addition, personal loan collections are dependent on the borrower’s continuing financial stability and, thus are more likely to be affected by adverse personal circumstances. Furthermore, the application of various federal and state laws, including bankruptcy and insolvency laws, may limit the amount which can be recovered on such loans. |
Borrowings (Policy)
Borrowings (Policy) | 12 Months Ended |
Dec. 31, 2018 | |
Borrowings [Abstract] | |
Repurchase Agreements, Policy | The Bank has repurchase agreements with several of its depositors, under which customers’ funds are invested daily into an interest bearing account. These funds are carried by the Company as short-term debt. It is the Company’s policy to completely collateralize repurchase agreements with U.S. Government securities. |
Merger (Tables)
Merger (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Merger [Abstract] | |
Schedule of Purchase Price Allocation | The allocation of the purchase price is as follows: (Dollars in thousands) Step One Purchase Price Consideration April 30, 2018 JUVF basis in LCB (before gain) $ 4,622 Increase in Step One basis from equity gain in acquisition 415 Total Step One adjusted basis 5,037 Step Two Purchase Price Consideration Purchase price assigned to LCB common shares exchanged for 315,284 JUVF common shares $ 6,463 Purchase price assigned to LCB common shares exchanged for cash including cash in lieu of fractional shares 1,362 Total Step Two purchase price consideration 7,825 Total purchase price 12,862 LCB net assets acquired: Tangible common equity 9,246 Adjustments to reflect assets acquired and liabilities assumed at fair value: Total fair value adjustments (95) Associated deferred income taxes 20 Fair value adjustment to net assets acquired, net of tax (75) Total LCB net assets acquired 9,171 Goodwill resulting from the merger $ 3,691 |
Summary of the Estimated Fair Value of the Assets Acquired and Liabilities Assumed | The following table summarizes the estimated fair value of the assets acquired and liabilities assumed. (Dollars in thousands) Total purchase price $ 12,862 Net assets acquired: Cash and cash equivalents 8,923 Investments in time deposits with banks 3,675 Loans 31,331 Premises and equipment 125 Accrued interest receivable 123 Core deposit and other intangibles 289 Bank owned life insurance 632 FHLB stock 124 Other assets 267 Deposits (36,052) Accrued interest payable (17) Other liabilities (249) 9,171 Goodwill $ 3,691 |
Schedule of Fair Value Adjustments for Acquired Loans | The table below illustrates the fair value adjustments made to the amortized cost basis in order to present a fair value of the loans acquired. (Dollars in thousands) Gross amortized cost basis at April 30, 2018 $ 32,091 Market rate adjustment 272 Credit fair value adjustment on pools of homogeneous loans (496) Credit fair value adjustment on purchased credit impaired loans (622) Reversal of existing deferred fees and premiums 86 Fair value of purchased loans at April 30, 2018 $ 31,331 |
Schedule of Acquired Impaired Loans | Summarized below is the acquired Liverpool purchased credit impaired loan portfolio as of April 30, 2018. (Dollars in thousands) Contractually required principal and interest at acquisition $ 2,022 Contractual cash flows not expected to be collected (nonaccretable discount) (1,273) Expected cash flows at acquisition 749 Interest component of expected cash flows (accretable discount) (177) Fair value of acquired loans $ 572 |
Merger, Pro Forma Information | The pro forma financial information does not include the impact of possible business model changes, nor does it consider any potential impacts of current market conditions or revenues, expense efficiencies or other factors. (Dollars in thousands; except share data) Years ended December 31, 2018 2017 Net interest income after loan loss provision $ 20,629 $ 19,943 Noninterest income 4,816 5,347 Noninterest expense 18,818 19,098 Net income available to common shareholders 6,996 5,184 Net income per common share 1.37 1.02 |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Securities [Abstract] | |
Securities Available for Sale | The amortized cost and fair value of securities available for sale as of December 31, 2018 and 2017, by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because the securities may be called or prepaid with or without prepayment penalties. (Dollars in thousands) December 31, 2018 Gross Gross Securities Available for Sale Amortized Fair Unrealized Unrealized Type and maturity Cost Value Gains Losses Obligations of U.S. Government agencies and corporations After one year but within five years $ 20,998 $ 20,355 $ - $ (643) After five years but within ten years 2,999 2,911 - (88) 23,997 23,266 - (731) Obligations of state and political subdivisions Within one year 826 826 - - After one year but within five years 14,751 14,686 13 (78) After five years but within ten years 2,779 2,669 - (110) 18,356 18,181 13 (188) Mortgage-backed securities 102,957 100,506 172 (2,623) Total $ 145,310 $ 141,953 $ 185 $ (3,542) (Dollars in thousands) December 31, 2017 Gross Gross Securities Available for Sale Amortized Fair Unrealized Unrealized Type and maturity Cost Value Gains Losses Obligations of U.S. Government agencies and corporations Within one year $ 6,000 $ 5,969 $ - $ (31) After one year but within five years 15,000 14,689 - (311) After five years but within ten years 13,998 13,556 - (442) 34,998 34,214 - (784) Obligations of state and political subdivisions Within one year 2,521 2,516 - (5) After one year but within five years 13,959 13,955 50 (54) After five years but within ten years 8,611 8,510 18 (119) 25,091 24,981 68 (178) Mortgage-backed securities 94,945 93,510 38 (1,473) Equity securities 922 1,119 197 - Total $ 155,956 $ 153,824 $ 303 $ (2,435) |
Summary of Proceeds and Realized Gain/(Loss) | Following is a summary of proceeds received from all investment securities transactions and the resulting realized gains and losses: (Dollars in thousands) Years Ended December 31, 2018 2017 2016 Gross proceeds from sales of securities $ 10,461 $ 21,799 $ 4,304 Securities available for sale: Gross realized gains from sold and called securities $ - $ 539 $ 139 Gross realized losses from sold and called securities (188) (32) (21) Gross gains from business combinations - 5 100 |
Schedule of Gross Unrealized Losses and Fair Value | The following table shows gross unrealized losses and fair values of securities available for sale, aggregated by category and length of time that individual securities have been in a continuous unrealized loss position, at December 31, 2018: Unrealized Losses at December 31, 2018 Less Than 12 Months 12 Months or More Total Number Number Number (Dollars in thousands) of Fair Unrealized of Fair Unrealized of Fair Unrealized Securities Value Losses Securities Value Losses Securities Value Losses Obligations of U.S. Government agencies and corporations - $ - $ - 14 $ 23,267 $ (731) 14 $ 23,267 $ (731) Obligations of state and political subdivisions 8 5,055 (10) 13 8,242 (178) 21 13,297 (188) Mortgage-backed securities 3 6,726 (32) 43 77,170 (2,591) 46 83,896 (2,623) Total debt securities 11 11,781 (42) 70 108,679 (3,500) 81 120,460 (3,542) Total temporarily impaired securities 11 $ 11,781 $ (42) 70 $ 108,679 $ (3,500) 81 $ 120,460 $ (3,542) The following table shows gross unrealized losses and fair value, aggregated by category and length of time that individual securities had been in a continuous unrealized loss position, at December 31, 2017: Unrealized Losses at December 31, 2017 Less Than 12 Months 12 Months or More Total Number Number Number (Dollars in thousands) of Fair Unrealized of Fair Unrealized of Fair Unrealized Securities Value Losses Securities Value Losses Securities Value Losses Obligations of U.S. Government agencies and corporations 5 $ 10,845 $ (157) 15 $ 23,369 $ (627) 20 $ 34,214 $ (784) Obligations of state and political subdivisions 23 10,491 (70) 6 3,862 (108) 29 14,353 (178) Mortgage-backed securities 23 51,050 (518) 20 38,740 (955) 43 89,790 (1,473) Total debt securities 51 72,386 (745) 41 65,971 (1,690) 92 138,357 (2,435) Equity securities 1 9 - 1 4 - 2 13 - Total temporarily impaired securities 52 $ 72,395 $ (745) 42 $ 65,975 $ (1,690) 94 $ 138,370 $ (2,435) |
Loans and Related Allowance f_2
Loans and Related Allowance for Loan Losses (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Loans and Related Allowance for Loan Losses [Abstract] | |
Classes of the Loan Portfolio Summarized by the Aggregate Risk Rating | The following table presents the classes of the loan portfolio summarized by the aggregate pass rating and the classified ratings of special mention, substandard and doubtful within the Company’s internal risk rating system as of December 31, 2018 and December 31, 2017. Due to the expansion of the Company’s internal credit quality risk ratings in the second quarter of 2018, the amount reclassified from the special mention rating to the pass/watch rating, which is included within the pass rating classification below, was $32,603 ,000 at June 30, 2018. Previously, both special mention and watch rated loans were reported under the special mention rating classification. (Dollars in thousands) Special As of December 31, 2018 Pass Mention Substandard Doubtful Total Commercial, financial and agricultural $ 42,757 $ 2,992 $ 814 $ - $ 46,563 Real estate - commercial 125,352 8,590 6,459 894 141,295 Real estate - construction 34,131 - 2,528 29 36,688 Real estate - mortgage 160,774 24 2,569 181 163,548 Obligations of states and political subdivisions 19,129 - - - 19,129 Personal 10,389 - 19 - 10,408 Total $ 392,532 $ 11,606 $ 12,389 $ 1,104 $ 417,631 (Dollars in thousands) Special As of December 31, 2017 Pass Mention Substandard Doubtful Total Commercial, financial and agricultural $ 34,826 $ 8,692 $ 2,280 $ 4 $ 45,802 Real estate - commercial 114,299 17,928 7,189 953 140,369 Real estate - construction 22,470 3,297 2,636 - 28,403 Real estate - mortgage 139,861 3,551 2,859 617 146,888 Obligations of states and political subdivisions 12,088 956 - - 13,044 Personal 9,360 32 6 - 9,398 Total $ 332,904 $ 34,456 $ 14,970 $ 1,574 $ 383,904 |
Impaired Loans by Loan Portfolio Class | The following tables summarize information regarding impaired loans by portfolio class as of December 31, 2018 and December 31, 2017: (Dollars in thousands) As of December 31, 2018 As of December 31, 2017 Impaired Loans Recorded Investment Unpaid Principal Balance Related Allowance Recorded Investment Unpaid Principal Balance Related Allowance With no related allowance recorded: Commercial, financial and agricultural $ - $ - $ - $ 468 $ 477 $ - Real estate - commercial 909 1,303 - 5,031 5,957 - Acquired with credit deterioration 544 592 - 191 247 - Real estate - construction 27 1,123 - - - - Real estate - mortgage 1,180 1,912 - 2,232 3,738 - Acquired with credit deterioration 971 1,061 - 337 384 - Personal 17 17 - - - - Total: Commercial, financial and agricultural $ - $ - $ - $ 468 $ 477 $ - Real estate - commercial 909 1,303 - 5,031 5,957 - Acquired with credit deterioration 544 592 - 191 247 - Real estate - construction 27 1,123 - - - - Real estate - mortgage 1,180 1,912 - 2,232 3,738 - Acquired with credit deterioration 971 1,061 - 337 384 - Personal 17 17 - - - - $ 3,648 $ 6,008 $ - $ 8,259 $ 10,803 $ - (Dollars in thousands) Year Ended December 31, 2018 Year Ended December 31, 2017 Year Ended December 31, 2016 Impaired Loans Average Recorded Investment Interest Income Recognized Cash Basis Interest Income Average Recorded Investment Interest Income Recognized Cash Basis Interest Income Average Recorded Investment Interest Income Recognized Cash Basis Interest Income With no related allowance recorded: Commercial, financial and agricultural $ 234 $ - $ - $ 452 $ 25 $ - $ 456 $ 29 $ - Real estate - commercial 2,970 - - 5,265 313 - 3,675 331 - Acquired with credit deterioration 368 - - 416 - - 738 - - Real estate - construction 14 - - 1,228 34 - 1,228 136 - Real estate - mortgage 1,706 19 33 2,789 21 20 2,991 28 37 Acquired with credit deterioration 654 - - 376 - - 523 - - Personal 9 - - - - With an allowance recorded: Real estate - mortgage $ - $ - $ - $ 356 $ - $ - $ 356 $ - $ - Total: Commercial, financial and agricultural 234 - - 452 25 - 456 29 - Real estate - commercial 2,970 - - 5,265 313 - 3,675 331 - Acquired with credit deterioration 368 - - 416 - - 738 - - Real estate - construction 14 - - 1,228 34 - 1,228 136 - Real estate - mortgage 1,706 19 33 3,145 21 20 3,347 28 37 Acquired with credit deterioration 654 - - 376 - - 523 - - Personal 9 - - - - - - - - $ 5,955 $ 19 $ 33 $ 10,882 $ 393 $ 20 $ 9,967 $ 524 $ 37 |
Nonaccrual Loans by Classes of the Loan Portfolio | The following table presents nonaccrual loans by classes of the loan portfolio as of December 31, 2018 and December 31, 2017: (Dollars in thousands) Nonaccrual loans: December 31, 2018 December 31, 2017 Commercial, financial and agricultural $ - $ 4 Real estate - commercial 908 953 Real estate - construction 29 - Real estate - mortgage 753 1,917 Personal 17 - Total $ 1,707 $ 2,874 |
Loan Portfolio Summarized by the Past Due Status | The following table presents the classes of the loan portfolio summarized by the past due status as of December 31, 2018 and December 31, 2017: Loans Past Due Greater (Dollars in thousands) Greater than 90 30-59 Days 60-89 Days than 90 Total Past Days an As of December 31, 2018 Past Due Past Due Days Due Current Total Loans Accruing (1) Commercial, financial and agricultural $ 6 $ - $ - $ 6 $ 46,557 $ 46,563 $ - Real estate - commercial Real estate - commercial - - 1,214 1,214 139,890 141,104 306 Acquired with credit deterioration 140 - - 140 51 191 - Real estate - construction 32 - 29 61 36,627 36,688 - Real estate - mortgage Real estate - mortgage 824 561 175 1,560 161,651 163,211 23 Acquired with credit deterioration 259 - 7 266 71 337 7 Obligations of states and political subdivisions - - - - 19,129 19,129 - Personal 24 15 17 56 10,352 10,408 - Total $ 1,285 $ 576 $ 1,442 $ 3,303 $ 414,328 $ 417,631 $ 336 Loans Past Due Greater (Dollars in thousands) Greater than 90 30-59 Days 60-89 Days than 90 Total Past Days an As of December 31, 2017 Past Due Past Due Days Due Current Total Loans Accruing (1) Commercial, financial and agricultural $ - $ - $ - $ - $ 45,802 $ 45,802 $ - Real estate - commercial Real estate - commercial 16 23 - 39 140,139 140,178 - Acquired with credit deterioration - - 28 28 163 191 28 Real estate - construction - - - - 28,403 28,403 - Real estate - mortgage Real estate - mortgage 694 80 64 838 145,713 146,551 64 Acquired with credit deterioration - - 123 123 214 337 123 Obligations of states and political subdivisions - - - - 13,044 13,044 - Personal 66 6 - 72 9,326 9,398 - Total $ 776 $ 109 $ 215 $ 1,100 $ 382,804 $ 383,904 $ 215 (1) These loans are guaranteed, or well secured, and there is an effective means of collection in process. |
Troubled Debt Restructurings on Financing Receivables | The following table summarizes information regarding troubled debt restructurings by loan portfolio class as of and for the years ended December 31, 2018 and 2017. (Dollars in thousands) Pre-Modification Post-Modification Number of Outstanding Outstanding Contracts Recorded Investment Recorded Investment Recorded Investment As of December 31, 2018 Accruing troubled debt restructurings: Real estate - mortgage 8 $ 522 $ 550 $ 428 Non-accruing troubled debt restructurings: Real estate - mortgage 1 25 25 17 9 $ 547 $ 575 $ 445 (Dollars in thousands) Pre-Modification Post-Modification Number of Outstanding Outstanding Contracts Recorded Investment Recorded Investment Recorded Investment As of December 31, 2017 Accruing troubled debt restructurings: Real estate - commercial Real estate - mortgage 7 $ 369 $ 397 $ 315 Non-accruing troubled debt restructurings: Commercial, financial, agricultural 1 19 20 4 Real estate - mortgage 1 25 25 20 9 $ 413 $ 442 $ 339 |
Summary of Loans whose Terms Have Been Modified | The following tables summarize loans whose terms were modified, resulting in troubled debt restructurings during 2018 and 2017. (Dollars in thousands) Pre-Modification Post-Modification Number of Outstanding Outstanding Contracts Recorded Investment Recorded Investment Recorded Investment Year ended December 31, 2018 Non-accruing troubled debt restructurings: Real estate - mortgage 1 $ 153 $ 153 $ 147 1 $ 153 $ 153 $ 147 (Dollars in thousands) Pre-Modification Post-Modification Number of Outstanding Outstanding Contracts Recorded Investment Recorded Investment Recorded Investment Year ended December 31, 2017 Non-accruing troubled debt restructurings: Commercial, financial, agricultural 1 $ 19 $ 20 $ 4 1 $ 19 $ 20 $ 4 |
Allowance for Loan Losses and Recorded Investments in Loans Receivable | The following tables summarize loans and the activity in the allowance for loan losses by loan class, segregated into the amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment as of and for the years ended December 31, 2018, 2017 and 2016: (Dollars in thousands) Obligations Commercial, of states financial and Real estate- Real estate- Real estate- and political Allowance for loan losses: agricultural commercial construction mortgage subdivisions Personal Total Beginning Balance, January 1, 2018 $ 273 $ 1,022 $ 288 $ 1,285 $ - $ 71 $ 2,939 Charge-offs - (60) - (183) - (42) (285) Recoveries 10 5 - 12 - 16 43 Provisions (8) 107 270 (79) 20 27 337 Ending balance, December 31, 2018 $ 275 $ 1,074 $ 558 $ 1,035 $ 20 $ 72 $ 3,034 collectively evaluated for impairment $ 275 $ 1,074 $ 558 $ 1,035 $ 20 $ 72 $ 3,034 Loans receivable: Ending balance $ 46,563 $ 141,295 $ 36,688 $ 163,548 $ 19,129 $ 10,408 $ 417,631 individually evaluated for impairment - 909 27 1,180 - 17 2,133 acquired with credit deterioration - 544 - 971 - - 1,515 collectively evaluated for impairment $ 46,563 $ 139,842 $ 36,661 $ 161,397 $ 19,129 $ 10,391 $ 413,983 (Dollars in thousands) Obligations Commercial, of states financial and Real estate- Real estate- Real estate- and political Allowance for loan losses: agricultural commercial construction mortgage subdivisions Personal Total Beginning Balance, January 1, 2017 $ 318 $ 948 $ 231 $ 1,143 $ - $ 83 $ 2,723 Charge-offs (46) (70) - (149) - (27) (292) Recoveries 5 2 - 45 - 17 69 Provisions (4) 142 57 246 - (2) 439 Ending balance, December 31, 2017 $ 273 $ 1,022 $ 288 $ 1,285 $ - $ 71 $ 2,939 collectively evaluated for impairment $ 273 $ 1,022 $ 288 $ 1,285 $ - $ 71 $ 2,939 Loans receivable: Ending balance $ 45,802 $ 140,369 $ 28,403 $ 146,888 $ 13,044 $ 9,398 $ 383,904 individually evaluated for impairment 468 5,031 - 2,232 - - 7,731 acquired with credit deterioration - 191 - 337 - - 528 collectively evaluated for impairment $ 45,334 $ 135,147 $ 28,403 $ 144,319 $ 13,044 $ 9,398 $ 375,645 (Dollars in thousands) Obligations Commercial, of states financial and Real estate- Real estate- Real estate- and political Allowance for loan losses: agricultural commercial construction mortgage subdivisions Personal Total Beginning Balance, January 1, 2016 $ 264 $ 836 $ 191 $ 1,140 $ - $ 47 $ 2,478 Charge-offs (4) (146) - (103) - (26) (279) Recoveries - 24 - 15 - 19 58 Provisions 58 234 40 91 - 43 466 Ending balance, December 31, 2016 $ 318 $ 948 $ 231 $ 1,143 $ - $ 83 $ 2,723 individually evaluated for impairment - - - 56 - - 56 collectively evaluated for impairment $ 318 $ 948 $ 231 $ 1,087 $ - $ 83 $ 2,667 Loans receivable: Ending balance $ 40,827 $ 123,711 $ 35,206 $ 154,905 $ 13,616 $ 10,032 $ 378,297 individually evaluated for impairment 436 5,499 2,455 4,057 - - 12,447 acquired with credit deterioration - 641 - 415 - - 1,056 collectively evaluated for impairment $ 40,391 $ 117,571 $ 32,751 $ 150,433 $ 13,616 $ 10,032 $ 364,794 |
Bank Owned Life Insurance and_2
Bank Owned Life Insurance and Annuities (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Bank Owned Life Insurance and Annuities [Abstract] | |
Summary of Changes in Cash Value of BOLI and Annuities | Changes in cash value of BOLI and annuities in 2018 and 2017 are shown below: (Dollars in thousands) Life Deferred Insurance Annuities Total Balance as of January 1, 2017 $ 14,198 433 $ 14,631 Earnings 285 16 301 Premiums on existing policies 27 13 40 Balance as of December 31, 2017 14,510 462 14,972 Earnings 277 18 295 Premiums on existing policies 25 13 38 Annuity payments received 1 - 1 BOLI acquired through acquisition 632 - 632 Balance as of December 31, 2018 $ 15,445 $ 493 $ 15,938 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Premises and Equipment [Abstract] | |
Premises and Equipment | Premises and equipment consist of the following: (Dollars in thousands) December 31, 2018 2017 Land $ 1,158 $ 1,126 Buildings and improvements 11,645 11,358 Furniture, computer software and equipment 6,217 5,898 19,020 18,382 Less: accumulated depreciation (10,276) (9,495) $ 8,744 $ 8,887 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Goodwill and Other Intangible Assets [Abstract] | |
Amortization Schedule for Intangible Assets | The following table shows the amortization schedule for each of the intangible assets recorded. (Dollars in thousands) LCB FNBPA FNBPA Branch Acquisition Acquisition Acquisition Acquisition Core Core Other Core Deposit Deposit Intangible Deposit Intangible Intangible Assets Intangible Beginning Balance at Acquisition Date $ 289 $ 303 $ 40 $ 431 Amortization expense recorded prior to December 31, 2015 - 4 2 402 Amortization expense recorded in Years ended: December 31, 2016 - 55 20 29 December 31, 2017 - 49 18 - December 31, 2018 35 44 - - Unamortized balance as of December 31, 2018 254 151 - - Scheduled Amortization expense for years ended: December 31, 2019 49 38 - - December 31, 2020 44 33 - - December 31, 2021 39 27 - - December 31, 2022 33 22 - - December 31, 2023 28 16 - - After December 31, 2023 61 15 - - |
Investment in Unconsolidated _2
Investment in Unconsolidated Subsidiary (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Investment in Unconsolidated Subsidiary [Abstract] | |
Components of the Income/Gain from the Unconsolidated Subsidiary Investment | The following table illustrates the components of the income/gain from the unconsolidated subsidiary investment recorded for the years ended December 31, 2018, 2017, and 2016. ( Dollars in thousands ) Years Ended December 31, Income from unconsolidated subsidiary (excluding merger- 2018 2017 2016 related adjustments) Dividend income $ 36 $ 61 $ 55 Equity income 45 106 167 Total income (excluding merger-related adjustments) 81 167 222 Merger-related adjustments for investment in unconsolidated subsidiary Adjustment to LCB book value at April 30, 2018 (239) - - Special merger-related dividend 39 - - Fair value gain 415 - - Total merger-related adjustments 215 - - Total income/gain from unconsolidated subsidiary $ 296 $ 167 $ 222 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Deposits [Abstract] | |
Schedule of Deposits | Deposits consist of the following: (Dollars in thousands) December 31, 2018 2017 Demand, non-interest bearing $ 126,057 $ 115,911 Interest-bearing demand and money market 147,413 122,407 Savings 99,236 98,966 Time deposits, $250,000 or more 8,368 8,456 Other time deposits 140,648 131,928 $ 521,722 $ 477,668 |
Schedule of Maturities of Time Deposits | Aggregate amount of scheduled maturities of time deposits as of December 31, 2018 include the following: (Dollars in thousands) Time Deposits Maturing in: $250,000 or more Other Total Time Deposits 2019 $ 3,538 $ 49,056 $ 52,594 2020 2,715 34,817 37,532 2021 513 21,694 22,207 2022 - 9,503 9,503 2023 607 11,070 11,677 Later 995 14,508 15,503 $ 8,368 $ 140,648 $ 149,016 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Borrowings [Abstract] | |
Short Term Borrowings | Short term borrowings as of December 31, 2018, 2017 and 2016, and the related maximum amounts outstanding at the end of any month in each of the three years ended, are presented below. (Dollars in thousands) December 31, Maximum Outstanding at Any Month End 2018 2017 2016 2018 2017 2016 Securities sold under agreements to repurchase $ 2,911 $ 9,769 $ 4,496 $ 4,620 $ 9,769 $ 6,018 Short-term borrowings with FHLB: Overnight advances 11,600 12,000 27,700 29,238 30,721 32,300 $ 14,511 $ 21,769 $ 32,196 $ 33,858 $ 40,490 $ 38,318 The following table presents supplemental information related to short-term borrowings. Securities sold under agreements Short-term borrowings with (Dollars in thousands) to repurchase Federal Home Loan Bank 2018 2017 2016 2018 2017 2016 Amount outstanding as of December 31 $ 2,911 $ 9,769 $ 4,496 $ 11,600 $ 12,000 $ 27,700 Weighted average interest rate as of December 31 2.13 % 0.32 % 0.18 % 2.62 % 1.54 % 0.74 % Average amount out- standing during the year 4,177 4,823 4,712 9,906 25,476 15,696 Weighted average interest rate during the year 1.49 % 0.64 % 0.11 % 1.92 % 1.16 % 0.60 % |
Summary of the Scheduled Maturities of Long-Term Debt | The following table summarizes the scheduled maturities of long-term debt as of December 31, 2018. (Dollars in thousands) Scheduled Weighted Average Year Maturities Interest Rate 2019 15,000 1.59 % 2020 - - 2021 - - 2022 - - 2023 - - Thereafter - - $ 15,000 1.59 % |
Operating Lease Obligations (Ta
Operating Lease Obligations (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Operating Lease Obligations [Abstract] | |
Schedule of Future Minimum Rental Payments | The following is a summary of future minimum rental payments for the next five years required under operating leases that have initial or remaining noncancelable lease terms in excess of one year as of December 31, 2018: (Dollars in thousands) Years ending December 31, Lease Obligation 2019 $ 111 2020 93 2021 83 2022 26 2023 21 2024 and beyond 95 Total minimum payments required $ 429 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Taxes [Abstract] | |
Components of Income Tax Expense | The components of income tax (benefit) expense for the three years ended December 31 were: (Dollars in thousands) Years Ended December 31, 2018 2017 2016 Current tax (benefit) expense $ (563) $ 379 $ 499 Deferred tax expense (96) 681 320 Total tax (benefit) expense $ (659) $ 1,060 $ 819 |
Effective Income Tax Rate Reconciliation | A reconciliation of the statutory income tax (benefit) expense computed at 21% in 2018 and 34% in both 2017 and 2016 to the income tax expense included in the consolidated statements of income follows: (Dollars in thousands) Years Ended December 31, 2018 2017 2016 Income before income taxes $ 5,245 $ 5,597 $ 5,975 Statutory tax rate 21.0 % 34.0 % 34.0% Federal tax at statutory rate 1,101 1,903 2,032 Tax-exempt interest (271) (443) (427) Net earnings on BOLI (50) (75) (84) Gain from life insurance proceeds - - (124) Dividend from unconsolidated subsidiary (10) (17) (15) Stock-based compensation 19 24 23 Federal tax credits (901) (722) (572) Merger and acquisition expenses 33 - - Tax reform adjustment - 416 - Defined benefit prior year contribution, net of other PTR adjustments (198) - - Basis difference related to LCB investment prior to acquisition (406) - - Other permanent differences 24 (26) (14) Total tax (benefit) expense $ (659) $ 1,060 $ 819 Effective tax rate (12.6) % 18.9 % 13.7% |
Schedule of Deferred Tax Assets and Liabilities | The components giving rise to the net deferred tax asset are detailed below: (Dollars in thousands) Years Ended December 31, 2018 2017 Deferred Tax Assets: Allowance for loan losses $ 494 $ 369 Deferred directors' compensation 345 338 Employee and director benefits 309 320 Qualified pension liability 78 512 Unrealized losses on securities available for sale 655 439 Unrealized loss from securities impairment 34 37 Investment in low income housing project 142 141 Fair value adjustments to acquired assets and liabilities 293 168 Tax credit carryforward 225 75 Valuation reserves on other real estate owned 1 1 Other 1 - Total deferred tax assets 2,577 2,400 Deferred Tax Liabilities: Depreciation (445) (345) Equity income from unconsolidated subsidiary - (368) Loan origination costs (384) (340) Prepaid expense (229) (230) Annuity earnings (56) (52) Fair value of mortgage servicing rights (42) (47) Intangible assets (68) (18) Goodwill (353) (324) Other - (24) Total deferred tax liabilities (1,577) (1,748) Net deferred tax asset included in other assets $ 1,000 $ 652 |
Stockholders' Equity and Regu_2
Stockholders' Equity and Regulatory Matters (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Stockholders' Equity and Regulatory Matters [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements | The table below provides a comparison of the Company’s and the Bank’s risk-based capital ratios and leverage ratios to the minimum regulatory requirements as of the dates indicated. Juniata Valley Financial Corp. (Consolidated) Minimum Requirement for Capital (Dollars in thousands) Actual Adequacy Purposes Amount Ratio Amount Ratio As of December 31, 2018: Total Capital (to Risk Weighted Assets) $ 63,883 15.86% $ 32,214 8.00% Tier 1 Capital (to Risk Weighted Assets) 60,849 15.11% 24,160 6.00% Common Equity Tier 1 Capital (to Risk Weighted Assets) 60,849 15.11% 18,120 4.50% Tier 1 Capital (to Average Assets) Leverage 60,849 10.01% 24,318 4.00% As of December 31, 2017: Total Capital (to Risk Weighted Assets) $ 59,667 15.01% $ 31,809 8.00% Tier 1 Capital (to Risk Weighted Assets) 55,808 14.04% 23,857 6.00% Common Equity Tier 1 Capital (to Risk Weighted Assets) 55,808 14.04% 17,892 4.50% Tier 1 Capital (to Average Assets) Leverage 55,808 9.43% 23,666 4.00% Minimum Regulatory Requirements Minimum to be "Well Capital Capitalized" The Juniata Valley Bank Minimum Requirement Adequacy under Prompt for Capital with Capital Corrective Action (Dollars in thousands) Actual Adequacy Purposes Buffer Provisions Amount Ratio Amount Ratio Amount Ratio Amount Ratio As of December 31, 2018: Total Capital $ 62,422 15.50% $ 32,222 8.00% $ 39,774 9.875% $ 40,278 10.00% (to Risk Weighted Assets) Tier 1 Capital 59,388 14.74% 24,167 6.00% 31,719 7.875% 32,222 8.00% (to Risk Weighted Assets) Common Equity Tier 1 Capital 59,388 14.74% 18,125 4.50% 25,677 6.375% 26,181 6.50% (to Risk Weighted Assets) Tier 1 Capital 59,388 9.77% 24,317 4.00% 24,317 4.000% 30,397 5.00% (to Average Assets) Leverage As of December 31, 2017: Total Capital $ 52,009 13.24% $ 31,435 8.00% $ 36,346 9.250% $ 39,293 10.00% (to Risk Weighted Assets) Tier 1 Capital 49,026 12.48% 23,576 6.00% 28,488 7.250% 31,435 8.00% (to Risk Weighted Assets) Common Equity Tier 1 Capital 49,026 12.48% 17,682 4.50% 22,594 5.750% 25,541 6.50% (to Risk Weighted Assets) Tier 1 Capital 49,026 8.36% 23,460 4.00% 23,460 4.000% 29,325 5.00% (to Average Assets) Leverage |
Calculation of Earnings Per S_2
Calculation of Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Calculation of Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Earnings per Share | Restricted stock is participating, and therefore, is included in the EPS calculation. The following table sets forth the computation of basic and diluted earnings per share: (Dollars in thousands, except earnings per share) Years Ended December 31, 2018 2017 2016 Net income $ 5,904 $ 4,537 $ 5,156 Weighted-average common shares outstanding 4,987 4,765 4,801 Basic earnings per share $ 1.18 $ 0.95 $ 1.07 Weighted-average common shares outstanding 4,987 4,765 4,801 Common stock equivalents due to effect of stock options 22 10 1 Total weighted-average common shares and equivalents $ 5,009 $ 4,775 $ 4,802 Diluted earnings per share $ 1.18 $ 0.95 $ 1.07 Anti-dilutive stock options outstanding - 6 401 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Components of Accumulated Other Comprehensive Loss | Components of accumulated other comprehensive loss, net of tax as of December 31 of each of the last three years consist of the following: (Dollars in thousands) As of December 31, 2018 2017 2016 Unrealized losses on available for sale securities $ (2,647) $ (1,683) $ (866) Unrecognized expense for defined benefit pension (1,652) (2,351) (2,343) Accumulated other comprehensive loss $ (4,299) $ (4,034) $ (3,209) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Measurement [Abstract] | |
Fair Value Measurements by Level of Valuation Inputs | The following table summarizes financial assets and financial liabilities measured at fair value as of December 31, 2018 and December 31, 2017, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value. There were no transfers of assets between fair value Level 1 and Level 2 during the years ended December 31, 2018 or 2017. (Level 1) (Level 2) (Level 3) Quoted Prices in Significant Significant Active Markets Other Other (Dollars in thousands) December 31, for Identical Observable Unobservable 2018 Assets Inputs Inputs Measured at fair value on a recurring basis: Debt securities available-for-sale: Obligations of U.S. Government agencies and corporations $ 23,266 $ - $ 23,266 $ - Obligations of state and political subdivisions 18,181 - 18,181 - Mortgage-backed securities 100,506 - 100,506 - Measured at fair value on a non-recurring basis: Impaired loans 1,104 - - 1,104 Other real estate owned 149 - - 149 Mortgage servicing rights 200 - - 200 (Level 1) (Level 2) (Level 3) Quoted Prices in Significant Significant Active Markets Other Other (Dollars in thousands) December 31, for Identical Observable Unobservable 2017 Assets Inputs Inputs Measured at fair value on a recurring basis: Debt securities available-for-sale: Obligations of U.S. Government agencies and corporations $ 34,214 $ - $ 34,214 $ - Obligations of state and political subdivisions 24,981 - 24,981 - Mortgage-backed securities 93,510 - 93,510 - Equity securities available-for-sale 1,119 1,119 - - Measured at fair value on a non-recurring basis: Impaired loans 1,574 - - 1,574 Other real estate owned 27 - - 27 Mortgage servicing rights 225 - - 225 |
Quantitative Information for Assets Measured at Fair Value | The following table presents additional quantitative information about assets measured at fair value on a nonrecurring basis and for which Level 3 inputs have been used to determine fair value: (Dollars in thousands) Fair Value Weighted December 31, 2018 Estimate Valuation Technique Unobservable Input Range Average Impaired loans $ 1,104 Appraisal of collateral (1) Appraisal and 0% - 15% 14% liquidation adjustments (2) Other real estate owned 149 Appraisal of collateral (1) Appraisal and 2% 2% liquidation adjustments (2) Mortgage servicing rights 200 Multiple of annual Estimated 300% - 400% 369% servicing fee pre-payment speed, based on rate and term + (Dollars in thousands) Fair Value Weighted December 31, 2017 Estimate Valuation Technique Unobservable Input Range Average Impaired loans $ 1,574 Appraisal of collateral (1) Appraisal and 0% - 13% 8% liquidation adjustments (2) Other real estate owned 27 Appraisal of collateral (1) Appraisal and 22% 22% liquidation adjustments (2) Mortgage servicing rights 225 Multiple of annual Estimated 300% - 400% 371% servicing fee pre-payment speed, based on rate and term (1) Fair value is generally determined through independent appraisals of the underlying collateral that generally include various level 3 inputs which are not identifiable. (2) Appraisals may be adjusted downward by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. |
Estimated Fair Values of Financial Instruments | The estimated fair values of the Company’s financial instruments are as follows: Financial Instruments (Dollars in thousands) December 31, 2018 December 31, 2017 Carrying Fair Carrying Fair Financial assets: Value Value Value Value Cash and due from banks $ 15,617 $ 15,617 $ 9,839 $ 9,839 Interest bearing deposits with banks 110 110 58 58 Federal funds sold 729 729 - - Interest bearing time deposits with banks 3,290 3,290 350 350 Securities 141,953 141,953 153,824 153,824 Restricted investment in FHLB stock 2,441 2,441 3,104 3,104 Loans, net of allowance for loan losses 414,597 415,195 380,965 372,906 Mortgage servicing rights 200 200 225 225 Accrued interest receivable 1,681 1,681 1,582 1,582 Financial liabilities: Non-interest bearing deposits 126,057 126,057 115,911 115,911 Interest bearing deposits 395,665 395,226 361,757 361,468 Securities sold under agreements to repurchase 2,911 2,911 9,769 9,769 Short-term borrowings 11,600 11,600 12,000 12,000 Long-term debt 15,000 14,958 25,000 24,885 Other interest bearing liabilities 1,596 1,597 1,593 1,595 Accrued interest payable 289 289 300 300 Off-balance sheet financial instruments: Commitments to extend credit - - - - Letters of credit - - - - |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following presents the carrying amount, fair value and placement in the fair value hierarchy of the Company’s financial instruments not previously disclosed as of December 31, 2018 and December 31, 2017. This table excludes financial instruments for which the carrying amount approximates fair value. (Level 1) (Level 2) (Level 3) Quoted Prices in Significant Significant (Dollars in thousands) Active Markets Other Other Carrying for Identical Observable Unobservable December 31, 2018 Amount Fair Value Assets or Liabilities Inputs Inputs Financial instruments - Assets Interest bearing time deposits with banks $ 3,290 $ 3,290 $ - $ 3,290 $ - Loans, net of allowance for loan losses 414,597 415,195 - - 415,195 Financial instruments - Liabilities Interest bearing deposits $ 395,665 $ 395,226 $ - $ 395,226 $ - Long-term debt 15,000 14,958 - 14,958 - Other interest bearing liabilities 1,596 1,597 - 1,597 - (Level 1) (Level 2) (Level 3) Quoted Prices in Significant Significant (Dollars in thousands) Active Markets Other Other Carrying for Identical Observable Unobservable December 31, 2017 Amount Fair Value Assets or Liabilities Inputs Inputs Financial instruments - Assets Interest bearing time deposits with banks $ 350 $ 350 $ - $ 350 $ - Loans, net of allowance for loan losses 380,965 372,906 - - 372,906 Financial instruments - Liabilities Interest bearing deposits $ 361,757 $ 361,468 $ - $ 361,468 $ - Long-term debt 25,000 24,885 - 24,885 - Other interest bearing liabilities 1,593 1,595 - 1,595 - |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Defined Benefit Plan Disclosure [Line Items] | |
Compensation Expense and Related Tax Benefits for Restricted Stock | The following table presents compensation expense and related tax benefits for restricted stock awards recognized on the consolidated statement of income. (Dollars in thousands) 2018 2017 2016 Compensation expense $ 77 $ 43 $ 16 Tax benefit (16) (15) (5) Net income effect $ 61 $ 28 $ 11 |
Summary of Non-Vested Restricted Shares Activity | The following table presents a summary of non-vested restricted shares activity for 2018. Weighted Average Grant Date Shares Fair Value Non-vested at January 1, 2018 7,800 $ 18.10 Vested - Cancelled - Granted 5,220 19.80 Non-vested at December 31, 2018 13,020 18.78 |
Schedule of Stock Options Activity | A summary of the status of the outstanding stock options as of December 31, 2018, 2017 and 2016, and changes during the years ending on those dates is presented below: 2018 2017 2016 Weighted Weighted Weighted Average Average Average Exercise Exercise Exercise Shares Price Shares Price Shares Price Outstanding at beginning of year 125,026 $ 17.91 139,155 $ 17.97 142,524 $ 18.07 Granted - - - - - - Exercised (5,170) 17.47 (9,704) 17.74 - - Forfeited (6,100) 21.10 (4,425) 20.05 (3,369) 22.36 Outstanding at end of year 113,756 $ 17.76 125,026 $ 17.91 139,155 $ 17.97 Options exercisable at year-end 110,911 110,282 97,584 Weighted-average fair value of of options granted during the year $ - $ - $ - Intrinsic value of options exercised during the year $ 15,240 $ 10,807 $ - Intrinsic value of options outstanding and exercisable at December 31, 2018 $ 387,318 |
Schedule of Stock Option Information by Grant Date | The following table summarizes characteristics of stock options as of December 31, 2018: Outstanding Exercisable Grant Date Exercise Price Shares Contractual Average Life (Years) Shares 10/20/2009 $ 17.22 3,909 0.80 3,909 9/20/2011 $ 17.75 13,200 2.72 13,200 3/20/2012 $ 18.00 15,800 3.22 15,800 2/19/2013 $ 17.65 16,622 4.14 16,622 2/18/2014 $ 17.72 31,025 5.13 30,180 2/17/2015 $ 17.80 33,200 6.13 31,200 113,756 110,911 |
JVB Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Schedule of Allocation of Plan Assets | The following table sets forth by level, within the fair value hierarchy, debt and equity instruments included in the JVB Plan’s assets at fair value as of December 31, 2018 and December 31, 2017. Assets included in the JVB Plan that are not valued in the hierarchy table consist of cash and cash equivalents, totaling $ 50,000 and $46,000 , at December 31, 2018 and 2017, respectively. (Level 1) (Level 2) (Level 3) Quoted Prices in Significant Other Significant Other (Dollars in thousands) December 31, Active Markets for Observable Unobservable 2018 Identical Assets Inputs Inputs Measured at fair value on a recurring basis: Mutual funds $ 11,891 $ 11,891 $ - $ - Money market funds 241 241 - - $ 12,132 $ 12,132 $ - $ - (Level 1) (Level 2) (Level 3) Quoted Prices in Significant Other Significant Other (Dollars in thousands) December 31, Active Markets for Observable Unobservable 2017 Identical Assets Inputs Inputs Measured at fair value on a recurring basis: Mutual funds $ 12,857 $ 12,857 $ - $ - Money market funds 213 213 - - $ 13,070 $ 13,070 $ - $ - |
Schedule of Net Funded Status | The measurement date for the JVB Plan is December 31. Information pertaining to the activity in the defined benefit plan is as follows: (Dollars in thousands) Years ended December 31, 2018 2017 Change in projected benefit obligation (PBO) PBO at beginning of year $ 15,554 $ 16,332 Interest cost 521 621 Change in assumptions (1,208) 1,141 Actuarial loss (244) 136 Group annuity purchase - (1,974) Settlement payments (1,485) - Benefits paid (583) (702) PBO at end of year $ 12,555 $ 15,554 Change in plan assets Fair value of plan assets at beginning of year $ 13,117 $ 13,840 Actual return on plan assets, net of expenses (217) 1,953 Employer contribution 1,350 - Group annuity purchase - (1,974) Settlement payments (1,485) - Benefits paid (583) (702) Fair value of plan assets at end of year $ 12,182 $ 13,117 Funded status, included in other (liabilities) assets $ (373) $ (2,437) Amounts recognized in accumulated comprehensive loss before income taxes consist of: Unrecognized actual loss $ (884) $ (3,081) Accumulated benefit obligation $ 12,555 $ 15,554 |
Components of Net Periodic Pension Cost | Pension expense for the JVB Plan included the following components for the years ended December 31: (Dollars in thousands) 2018 2017 2016 Interest cost on projected benefit obligation $ 521 $ 621 $ 666 Expected return on plan assets (690) (793) (795) Settlement loss 210 377 - Recognized net actuarial loss 129 207 248 Net periodic benefit cost 170 412 119 Net loss (gain) (449) 117 173 Amortization of net loss (435) (584) (248) Total recognized in other comprehensive loss (income) $ (884) $ (467) $ (75) Total recognized in net periodic benefit cost and other comprehensive loss (income) $ (714) $ (55) $ 44 |
Schedule of Assumptions Used | Assumptions used to determine benefit obligations were: 2018 2017 2016 Discount rate 4.10 % 3.50 % 4.00 % Rate of compensation increase N/A N/A N/A Assumptions used to determine the net periodic benefit cost were: 2018 2017 2016 Discount rate 3.50 % 4.00 % 4.25 % Expected long-term return on plan assets 4.20 6.00 6.00 Rate of compensation increase N/A N/A N/A |
Schedule of Expected Benefit Payments | Future expected benefit payments: (Dollars in thousands) 2019 2020 2021 2022 2023 2024-2028 Estimated future benefit payments $ 626 $ 630 $ 620 $ 621 $ 631 $ 3,406 |
Financial Instruments with Of_2
Financial Instruments with Off-Balance Sheet Risk (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Financial Instruments with off-Balance Sheet Risk [Abstract] | |
Summary of Financial Instrument Commitments | A summary of the Company’s financial instrument commitments is as follows: (Dollars in thousands) December 31, 2018 2017 Commitments to grant loans $ 72,755 $ 77,023 Unfunded commitments under lines of credit 14,468 3,150 Outstanding letters of credit 2,749 2,541 |
Juniata Valley Financial Corp_2
Juniata Valley Financial Corp. (Parent Company Only) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Juniata Valley Financial Corp. (Parent Company Only) [Abstract] | |
Condensed Balance Sheet | CONDENSED BALANCE SHEETS (Dollars in thousands) December 31, 2018 2017 ASSETS Cash and cash equivalents $ 48 $ 1,082 Investment in bank subsidiary 65,909 52,522 Investment in unconsolidated subsidiary - 4,812 Investment securities available for sale 1,193 1,169 Other assets 641 224 TOTAL ASSETS $ 67,791 $ 59,809 LIABILITIES Accounts payable and other liabilities $ 413 $ 422 STOCKHOLDERS' EQUITY 67,378 59,387 TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 67,791 $ 59,809 |
Condensed Income Statement | CONDENSED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (Dollars in thousands) Years Ended December 31, 2018 2017 2016 INCOME Interest and dividends on investment securities available for sale $ 44 $ 44 $ 59 Dividends from bank subsidiary 4,923 4,194 5,624 Income from unconsolidated subsidiary 296 167 222 Gain on sale of securities - 314 166 Change in value of equity securities 26 - - TOTAL INCOME 5,289 4,719 6,071 EXPENSE Merger-related expenses 134 13 66 Other non-interest expense 155 146 157 TOTAL EXPENSE 289 159 223 INCOME BEFORE INCOME TAXES AND EQUITY IN UNDISTRIBUTED NET INCOME OF SUBSIDIARY 5,000 4,560 5,848 Income tax (benefit) expense (347) (127) 47 5,347 4,687 5,801 Undistributed net gain (loss) of subsidiary 557 (150) (645) NET INCOME $ 5,904 $ 4,537 $ 5,156 COMPREHENSIVE INCOME $ 5,795 $ 4,300 $ 4,150 |
Condensed Cash Flow Statement | CONDENSED STATEMENTS OF CASH FLOWS (Dollars in thousands) Years Ended December 31, 2018 2017 2016 Cash flows from operating activities: Net income $ 5,904 $ 4,537 $ 5,156 Adjustments to reconcile net income to net cash provided by operating activities: Undistributed net (gain) loss of subsidiary (556) 150 645 Realized gains on sales of investment securities - (314) (166) Change in value of equity securities (26) - - Equity in earnings of unconsolidated subsidiary, net of dividends of $75 , $61 and $55 194 (106) (167) Equity gain from acquisition of unconsolidated subsidiary (415) - - Stock-based compensation expense 82 71 67 (Increase) decrease in other assets (93) 513 (413) (Decrease) increase in taxes payable (402) (271) 191 (Decrease) increase in accounts payable and other liabilities (12) (254) 1 Net cash provided by operating activities 4,676 4,326 5,314 Cash flows from investing activities: Purchases of available for sale securities - - (470) Proceeds from the sale of available for sale securities - 734 252 Proceeds from the maturity of available for sale investment securities - - - Net cash received from acquisition (1,361) - - Net cash provided by (used in) investing activities (1,361) 734 (218) Cash flows from financing activities: Cash dividends (4,411) (4,194) (4,226) Purchase of treasury stock (70) (86) (927) Treasury stock issued for stock plans 90 - - Common stock issued for stock plans 42 206 64 Net cash used in financing activities (4,349) (4,074) (5,089) Net (decrease) increase in cash and cash equivalents (1,034) 986 7 Cash and cash equivalents at beginning of year 1,082 96 89 Cash and cash equivalents at end of year $ 48 $ 1,082 $ 96 |
Quarterly Results of Operatio_2
Quarterly Results of Operations (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Results of Operations (Unaudited) [Abstract] | |
Schedule of Quarterly Financial Information | The unaudited quarterly results of operations for the years ended December 31, 2018 and 2017 follow: (Dollars in thousands, except per share data) 2018 Quarter ended March 31 June 30 as Revised* September 30 December 31 Total interest income $ 5,439 $ 5,944 $ 6,129 $ 6,139 Total interest expense 794 890 950 1,001 Net interest income 4,645 5,054 5,179 5,138 Provision for loan losses 158 41 32 106 AFS securities losses (15) - - (173) Change in equity security value (6) 52 (4) (43) Other income 1,195 1,444 1,245 1,332 Merger and acquisition expense 64 376 185 259 Other expense 4,341 4,530 4,847 4,859 Income before income taxes 1,256 1,603 1,356 1,030 Income tax (benefit) expense (71) (372) (29) (187) Net income $ 1,327 $ 1,975 $ 1,385 $ 1,217 Per-share data: Basic earnings $ 0.28 $ 0.39 $ 0.27 $ 0.24 Diluted earnings $ 0.28 $ 0.39 $ 0.27 $ 0.24 Cash dividends $ 0.22 $ 0.22 $ 0.22 $ 0.22 2017 Quarter ended March 31 June 30 September 30 December 31 Total interest income $ 5,174 $ 5,348 $ 5,457 $ 5,395 Total interest expense 627 702 752 774 Net interest income 4,547 4,646 4,705 4,621 Provision for loan losses 105 135 149 50 Securities gains 504 4 2 2 Other income 1,112 1,252 1,217 1,199 Merger and acquisition expense - - - 13 Other expense 4,269 4,229 4,442 4,822 Income before income taxes 1,789 1,538 1,333 937 Income tax expense 330 244 127 359 Net income $ 1,459 $ 1,294 $ 1,206 $ 578 Per-share data: Basic earnings $ 0.31 $ 0.27 $ 0.25 $ 0.12 Diluted earnings $ 0.31 $ 0.27 $ 0.25 $ 0.12 Cash dividends $ 0.22 $ 0.22 $ 0.22 $ 0.22 * The income tax benefit and net income for the quarter ended June 30, 2018 set forth on this table have been restated by $406,000 from the amounts of income tax expense of $34,000 and net income of $1,569,000 originally reported. In addition, the basic and diluted earnings per share set forth on this table have been restated from the $0.31 per share originally reported. The $406,000 relates primarily to the reversal of a deferred tax liability on the previous investment in LCB prior to the acquisition on April 30, 2018 . The Form 10-Qs for the quarters ending June 30, 2019 and September 30, 2019 will reflect these changes as a correction of a prior year immaterial error. |
Nature of Operations (Narrative
Nature of Operations (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2018segment | |
Nature of Operations [Abstract] | |
Number of reportable segment | 1 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Summary of Significant Accounting Policies [Line Items] | |||
Concentration of credit, benchmark description | Otherwise, there were no concentrations of credit to any particular industry equaling more than 25% of total capital. | ||
Maturity of interest-bearing time deposits | 5 years | ||
Mortgage servicing rights | $ 200,000 | $ 225,000 | |
Held-to-maturity securities | 0 | 0 | |
Net unamortized origination fees | $ 11,000 | 52,000 | |
Usual period of lines of credit for commercial, financial and agricultural lending | 5 years | ||
Other real estate owned | $ 744,000 | 355,000 | |
Goodwill impairment loss | 0 | 0 | $ 0 |
Mortgage banking and servicing for FHLB | 23,563,000 | 23,647,000 | |
Investment in low-income housing limited partnership | $ 4,545,000 | 5,245,000 | |
Income tax credits and adjustments period | 10 years | ||
Accrued benefit liability | $ 1,081,000 | 1,014,000 | |
Other postretirement benefit | 38,000 | 95,000 | 61,000 |
Advertising expense | 294,000 | 272,000 | 243,000 |
Phase II Credits [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Annual income tax credits over ten years | 333,000 | ||
Phase I Credits [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Annual income tax credits over ten years | $ 572,000 | ||
Leasehold Improvements [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Estimated useful life of property and equipment, description | shorter of the assets' useful life or the related lease term | ||
Investment in Federal Home Loan Bank Stock [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Securities impairment charge | $ 0 | $ 0 | $ 0 |
Residential Portfolio Segment [Member] | Credit Exposure [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Percentage of capital representing credit exposure to lessors | 27.90% | ||
Residential Portfolio Segment [Member] | Mortgage Loan [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Loan period for lending, maximum | 25 years | ||
Maximum loan-to-value ratio | 80.00% | ||
Residential Portfolio Segment [Member] | Home Equity Lines of Credit [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Loan period for lending, maximum | 20 years | ||
Maximum loan-to-value ratio | 90.00% | ||
Residential Portfolio Segment [Member] | Home Equity Installments [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Loan period for lending, maximum | 15 years | ||
Maximum loan-to-value ratio | 80.00% | ||
Real Estate Portfolio Segment [Member] | Credit Exposure [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Percentage of capital representing credit exposure to lessors | 28.40% | ||
Real Estate Portfolio Segment [Member] | Mortgage Loan [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Loan period for lending, maximum | 25 years | ||
Real Estate Portfolio Segment [Member] | Commercial Loan [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Loan period for lending, maximum | 20 years | ||
Maximum loan-to-value ratio | 80.00% | ||
Commercial Portfolio Segment [Member] | Credit Exposure [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Percentage of capital representing credit exposure to lessors | 40.00% | ||
Non-Residential Portfolio [Member] | Credit Exposure [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Percentage of capital representing credit exposure to lessors | 55.30% | ||
Maximum [Member] | Furniture and Equipment [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Estimated useful life of property and equipment | 10 years | ||
Maximum [Member] | Building [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Estimated useful life of property and equipment | 50 years | ||
Minimum [Member] | Furniture and Equipment [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Estimated useful life of property and equipment | 3 years | ||
Minimum [Member] | Building [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Estimated useful life of property and equipment | 25 years |
Recent Accounting Standards U_2
Recent Accounting Standards Update (ASU) (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
New Accounting Pronouncement, Early Adoption [Line Items] | |||
Federal statutory income tax rate | 21.00% | 34.00% | 34.00% |
Unrealized gains on equity securities | $ (1,000) | ||
Operating leases, ROU assets | 519,000 | ||
Operating lease liability | 510,000 | ||
Equity Securities [Member] | |||
New Accounting Pronouncement, Early Adoption [Line Items] | |||
Unrealized gains on equity securities | $ 197,000 | ||
Retained Earnings [Member] | |||
New Accounting Pronouncement, Early Adoption [Line Items] | |||
AOCI deferred tax adjustment due to tax reform | 588,000 | ||
Reclassification from other comprehensive loss to retained earnings | 156,000 | ||
Accumulated Other Comprehensive Loss [Member] | |||
New Accounting Pronouncement, Early Adoption [Line Items] | |||
AOCI deferred tax adjustment due to tax reform | $ (588,000) | ||
Reclassification from other comprehensive loss to retained earnings | $ (156,000) |
Merger (Narrative) (Details)
Merger (Narrative) (Details) - USD ($) | Apr. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Apr. 29, 2018 |
Business Acquisition [Line Items] | |||||
Acquiree's common shares outstanding | 5,092,048 | 4,767,656 | |||
Fair value gain | $ 415,000 | ||||
Goodwill | 9,139,000 | $ 5,448,000 | |||
Income/gain from unconsolidated subsidiary | 296,000 | 167,000 | $ 222,000 | ||
Gross amortized cost basis | $ 145,310,000 | $ 155,956,000 | |||
Assumed tax rate | 21.00% | 34.00% | 34.00% | ||
Liverpool Community Bank [Member] | |||||
Business Acquisition [Line Items] | |||||
Acquisition date | Apr. 30, 2018 | ||||
Business acquisition, name of acquired entity | Liverpool Community Bank | ||||
Total assets of acquiree | $ 45,360,000 | ||||
Loans receivables of acquiree | 32,091,000 | ||||
Tangible common equity | $ 9,246,000 | ||||
Number of acquiree's common shares owned | 1,214 | ||||
Percentage of equity interest in acquiree, before acquisition | 39.16% | ||||
Acquiree's common shares outstanding | 3,100 | ||||
Percentage of equity interest acquired | 60.84% | ||||
Juniata's basis in acquiree | $ 5,037,000 | ||||
Fair value gain | 415,000 | ||||
Equity owned before acquisition | $ 4,622,000 | ||||
Number of Juniata's share for each acquiree's share | 202.6286 | ||||
Per share price of acquiree's shares | $ 4,050 | ||||
Number of shares issued upon the closing of acquisition | 315,284 | ||||
Fair value of shares issued for acquisition | $ 6,463,000 | ||||
Closing stock price | $ 20.50 | ||||
Cash paid for acquisition | $ 1,362,000 | ||||
Step Two purchase price consideration | 7,825,000 | ||||
Juniata's Step One adjusted basis in acquiree | 12,862,000 | ||||
Goodwill | 3,691,000 | ||||
Core deposit intangible assets acquired | $ 289,000 | ||||
Intangible assets amortization period | 10 years | ||||
Income/gain from unconsolidated subsidiary | $ 296,000 | $ 167,000 | |||
Gross amortized cost basis | $ 32,091,000 | ||||
Merger related costs | 884,000 | 13,000 | |||
Merger related tax expense (benefit) | $ (123,000) | $ (218,000) | |||
Assumed tax rate | 21.00% | 21.00% | |||
Maximum [Member] | Liverpool Community Bank [Member] | |||||
Business Acquisition [Line Items] | |||||
Percentage of outstanding common stock to be purchased for cash | 20.00% | ||||
Minimum [Member] | Liverpool Community Bank [Member] | |||||
Business Acquisition [Line Items] | |||||
Percentage of outstanding common stock to be purchased for cash | 15.00% |
Merger (Schedule of Purchase Pr
Merger (Schedule of Purchase Price Allocation) (Details) - USD ($) | Apr. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 |
Business Acquisition [Line Items] | |||
Increase in Step One basis from equity gain in acquisition | $ 415,000 | ||
Adjustments to reflect assets acquired and liabilities assumed at fair value: | |||
Goodwill | $ 9,139,000 | $ 5,448,000 | |
Liverpool Community Bank [Member] | |||
Business Acquisition [Line Items] | |||
April 30, 2018 JUVF basis in LCB (before gain) | $ 4,622,000 | ||
Increase in Step One basis from equity gain in acquisition | 415,000 | ||
Total Step One adjusted basis | 5,037,000 | ||
Purchase price assigned to LCB common shares exchanged for 315,284 Juniata common shares | 6,463,000 | ||
Purchase price assigned to LCB common shares exchanged for cash | 1,362,000 | ||
Total Step Two purchase price consideration | 7,825,000 | ||
Business Combination, Consideration Transferred, Including Equity Interest in Acquiree Held Prior to Combination, Total | 12,862,000 | ||
Net assets acquired: | |||
Tangible common equity | 9,246,000 | ||
Adjustments to reflect assets acquired and liabilities assumed at fair value: | |||
Total fair value adjustments | (95,000) | ||
Associated deferred income taxes | 20,000 | ||
Fair value adjustment to net assets acquired, net of tax | (75,000) | ||
Total net assets acquired | 9,171,000 | ||
Goodwill | $ 3,691,000 | ||
Number of shares issued upon the closing of acquisition | 315,284 |
Merger (Summary of the Estimate
Merger (Summary of the Estimated Fair Value of the Assets Acquired and Liabilities Assumed) (Details) - USD ($) | Apr. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Net assets acquired: | ||||
Bank owned life insurance and annuities | $ 15,938,000 | $ 14,972,000 | $ 14,631,000 | |
Goodwill | $ 9,139,000 | $ 5,448,000 | ||
Liverpool Community Bank [Member] | ||||
Business Acquisition [Line Items] | ||||
Total purchase price | $ 12,862,000 | |||
Net assets acquired: | ||||
Cash and cash equivalents | 8,923,000 | |||
Investments in time deposits with banks | 3,675,000 | |||
Loans | 31,331,000 | |||
Premises and equipment | 125,000 | |||
Accrued interest receivable | 123,000 | |||
Core deposit and other intangibles | 289,000 | |||
Bank owned life insurance and annuities | 632,000 | |||
FHLB Stock | 124,000 | |||
Other assets | 267,000 | |||
Deposits | (36,052,000) | |||
Accrued interest payable | (17,000) | |||
Other liabilities | (249,000) | |||
Total net assets acquired | 9,171,000 | |||
Goodwill | $ 3,691,000 |
Merger (Schedule of Fair Value
Merger (Schedule of Fair Value Adjustments for Acquired Loans) (Details) - Liverpool Community Bank [Member] $ in Thousands | Apr. 30, 2018USD ($) |
Business Acquisition [Line Items] | |
Gross amortized cost basis at April 30, 2018 | $ 32,091 |
Market rate adjustment | 272 |
Credit fair value adjustment on pools of homogeneous loans | (496) |
Credit fair value adjustment on impaired loans | (622) |
Reversal of existing deferred fees and premiums | 86 |
Fair value of purchased loans at April 30, 2018 | $ 31,331 |
Merger (Schedule of Acquired Im
Merger (Schedule of Acquired Impaired Loans) (Details) - Liverpool Community Bank [Member] $ in Thousands | Apr. 30, 2018USD ($) |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | |
Contractually required principal and interest at acquisition | $ 2,022 |
Contractual cash flows not expected to be collected (nonaccretable discount) | (1,273) |
Expected cash flows at acquisition | 749 |
Interest component of expected cash flows (accretable discount) | (177) |
Fair value of acquired loans | $ 572 |
Merger (Merger, Pro Forma Infor
Merger (Merger, Pro Forma Information) (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Merger [Abstract] | ||
Consolidated net interest income after loan loss provision | $ 20,629 | $ 19,943 |
Consolidated noninterest income | 4,816 | 5,347 |
Consolidated noninterest expense | 18,818 | 19,098 |
Consolidated net income | $ 6,996 | $ 5,184 |
Consolidated net income per common share | $ 1.37 | $ 1.02 |
Securities (Narrative) (Details
Securities (Narrative) (Details) | 12 Months Ended | ||
Dec. 31, 2018USD ($)security | Dec. 31, 2017USD ($)security | Dec. 31, 2016USD ($) | |
Schedule of Available-for-sale Securities [Line Items] | |||
Equity securities | $ | $ 1,118,000 | ||
Fair value of pledged assets | $ | $ 50,157,000 | $ 47,825,000 | |
Number of securities | security | 81 | 94 | |
Unrealized loss on equity securities | $ | $ 3,500,000 | $ 1,690,000 | |
Number of securities in unrealized loss positions for 12 Months or More | security | 70 | 42 | |
Equity Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Equity securities available for sale, fair value | $ | $ 1,119,000 | ||
Number of securities | security | 2 | ||
Other than temporary impairment | $ | $ 0 | $ 0 | |
Unrealized loss on equity securities | $ | $ 1,000 | $ 1,000 | |
Number of securities in unrealized loss positions for 12 Months or More | security | 1 | ||
Obligations of U.S. Government Agencies and Corporations [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Number of securities | security | 14 | 20 | |
Unrealized loss on equity securities | $ | $ 731,000 | $ 627,000 | |
Number of securities in unrealized loss positions for 12 Months or More | security | 14 | 15 | |
Obligations of State and Political Subdivisions [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Investment portfolio percentage | 13.00% | ||
Number of securities | security | 21 | 29 | |
Unrealized loss on equity securities | $ | $ 178,000 | $ 108,000 | |
Number of securities in unrealized loss positions for 12 Months or More | security | 13 | 6 | |
U.S. Government Sponsored Agencies [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Investment portfolio percentage | 16.00% | ||
Mortgage-Backed Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Investment portfolio percentage | 71.00% | ||
Equity securities available for sale, fair value | $ | $ 100,506,000 | $ 93,510,000 | |
Number of securities | security | 46 | ||
Number of securities in unrealized loss positions for 12 Months or More | security | 43 | ||
Municipal Bonds [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Debt instrument term | 5 years | ||
Retained Earnings [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Reclassification for ASU 2016-01 | $ | $ 156,000 | ||
Maximum [Member] | Obligations of U.S. Government Agencies and Corporations [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Percentage of securities depreciated from their amortized cost basis | 1.00% | ||
Maximum [Member] | Obligations of State and Political Subdivisions [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Percentage of securities depreciated from their amortized cost basis | 1.00% | ||
Maximum [Member] | Mortgage-Backed Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Percentage of securities depreciated from their amortized cost basis | 2.00% |
Securities (Securities Availabl
Securities (Securities Available for Sale) (Details) - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 |
Schedule of Available-for-sale Securities [Line Items] | ||
Securities Available for Sale, Amortized Cost,Total | $ 145,310,000 | $ 155,956,000 |
Fair Value of AFS Securities, Total | 141,953,000 | 153,824,000 |
Gross Unrealized Gains on AFS Securities Without Single Maturity Date | (1,000) | |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax, Total | 185,000 | 303,000 |
AFS, Gross Unrealized Losses, Total | (3,542,000) | (2,435,000) |
Obligations of U.S. Government Agencies and Corporations [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost of AFS Securities Maturing Within One Year | 6,000,000 | |
Amortized Cost of AFS Securities Maturing After One Year But Within Five Years | 20,998,000 | 15,000,000 |
Amortized Cost of AFS Securities Maturing After Five Years But Within Ten Years | 2,999,000 | 13,998,000 |
Amortized Cost of AFS Securities, Single Maturity Date, Total | 23,997,000 | 34,998,000 |
Fair Value of AFS Securities Maturing Within One Year | 5,969,000 | |
Fair Value of AFS Securities Maturing After One Year But Within Five Years | 20,355,000 | 14,689,000 |
Fair Value of AFS Securities Maturing After Five Years But Within Ten Years | 2,911,000 | 13,556,000 |
Fair Value of AFS Securities, Single Maturity Date, Total | 23,266,000 | 34,214,000 |
Gross Unrealized Losses on AFS Securities Maturing Within One Year | (31,000) | |
Gross Unrealized Losses on AFS Securities Maturing After One Year But Within Five Years | (643,000) | (311,000) |
Gross Unrealized Losses on AFS Securities Maturing After Five Years But Within Ten Years | (88,000) | (442,000) |
Gross Unrealized Losses on AFS Securities, Single Maturity Date, Total | (731,000) | (784,000) |
Obligations of State and Political Subdivisions [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost of AFS Securities Maturing Within One Year | 826,000 | 2,521,000 |
Amortized Cost of AFS Securities Maturing After One Year But Within Five Years | 14,751,000 | 13,959,000 |
Amortized Cost of AFS Securities Maturing After Five Years But Within Ten Years | 2,779,000 | 8,611,000 |
Amortized Cost of AFS Securities, Single Maturity Date, Total | 18,356,000 | 25,091,000 |
Fair Value of AFS Securities Maturing Within One Year | 826,000 | 2,516,000 |
Fair Value of AFS Securities Maturing After One Year But Within Five Years | 14,686,000 | 13,955,000 |
Fair Value of AFS Securities Maturing After Five Years But Within Ten Years | 2,669,000 | 8,510,000 |
Fair Value of AFS Securities, Single Maturity Date, Total | 18,181,000 | 24,981,000 |
Gross Unrealized Gains on AFS Securities Maturing After One Year But Within Five Years | 13,000 | 50,000 |
Gross Unrealized Gains on AFS Securities Maturing After Five Years But Within Ten Years | 18,000 | |
Gross Unrealized Gains on AFS Securities, Single Maturity Date, Total | 13,000 | 68,000 |
Gross Unrealized Losses on AFS Securities Maturing Within One Year | (5,000) | |
Gross Unrealized Losses on AFS Securities Maturing After One Year But Within Five Years | (78,000) | (54,000) |
Gross Unrealized Losses on AFS Securities Maturing After Five Years But Within Ten Years | (110,000) | (119,000) |
Gross Unrealized Losses on AFS Securities, Single Maturity Date, Total | (188,000) | (178,000) |
Mortgage-Backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost of AFS Securities Without Single Maturity Date | 102,957,000 | 94,945,000 |
Fair Value of AFS Securities Without Single Maturity Date | 100,506,000 | 93,510,000 |
Gross Unrealized Gains on AFS Securities Without Single Maturity Date | 172,000 | 38,000 |
Gross Unrealized Losses on AFS Securities Without Single Maturity Date | $ (2,623,000) | (1,473,000) |
Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost of AFS Securities Without Single Maturity Date | 922,000 | |
Fair Value of AFS Securities Without Single Maturity Date | 1,119,000 | |
Gross Unrealized Gains on AFS Securities Without Single Maturity Date | $ 197,000 |
Securities (Summary of Proceeds
Securities (Summary of Proceeds and Realized Gain/(Loss)) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Securities [Abstract] | |||
Proceeds from: Sales of securities available for sale | $ 10,461 | $ 21,799 | $ 4,304 |
Gross realized gains from sold and called securities | 539 | 139 | |
Gross realized losses from sold and called securities | $ (188) | (32) | (21) |
Gross gains from business combinations | $ 5 | $ 100 |
Securities (Schedule of Unreali
Securities (Schedule of Unrealized Losses) (Details) | Dec. 31, 2018USD ($)security | Dec. 31, 2017USD ($)security |
Schedule of Available-for-sale Securities [Line Items] | ||
Number of Securities, Less Than 12 Months | security | 11 | 52 |
Fair Value, Less Than 12 Months | $ 11,781,000 | $ 72,395,000 |
Gross unrealized Losses, Less Than 12 Months | $ (42,000) | $ (745,000) |
Number of Securities, 12 Months or More | security | 70 | 42 |
Fair Value, 12 Months or More | $ 108,679,000 | $ 65,975,000 |
Gross Unrealized Losses, 12 Months or More | $ (3,500,000) | $ (1,690,000) |
Number of Securities, Total | security | 81 | 94 |
Fair Value, Total | $ 120,460,000 | $ 138,370,000 |
Unrealized Losses, Total | $ (3,542,000) | $ (2,435,000) |
Obligations of U.S. Government Agencies and Corporations [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of Securities, Less Than 12 Months | security | 5 | |
Fair Value, Less Than 12 Months | $ 10,845,000 | |
Gross unrealized Losses, Less Than 12 Months | $ (157,000) | |
Number of Securities, 12 Months or More | security | 14 | 15 |
Fair Value, 12 Months or More | $ 23,267,000 | $ 23,369,000 |
Gross Unrealized Losses, 12 Months or More | $ (731,000) | $ (627,000) |
Number of Securities, Total | security | 14 | 20 |
Fair Value, Total | $ 23,267,000 | $ 34,214,000 |
Unrealized Losses, Total | $ (731,000) | $ (784,000) |
Obligations of State and Political Subdivisions [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of Securities, Less Than 12 Months | security | 8 | 23 |
Fair Value, Less Than 12 Months | $ 5,055,000 | $ 10,491,000 |
Gross unrealized Losses, Less Than 12 Months | $ (10,000) | $ (70,000) |
Number of Securities, 12 Months or More | security | 13 | 6 |
Fair Value, 12 Months or More | $ 8,242,000 | $ 3,862,000 |
Gross Unrealized Losses, 12 Months or More | $ (178,000) | $ (108,000) |
Number of Securities, Total | security | 21 | 29 |
Fair Value, Total | $ 13,297,000 | $ 14,353,000 |
Unrealized Losses, Total | $ (188,000) | $ (178,000) |
Mortgage Backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of Securities, Less Than 12 Months | security | 3 | 23 |
Fair Value, Less Than 12 Months | $ 6,726,000 | $ 51,050,000 |
Gross unrealized Losses, Less Than 12 Months | $ (32,000) | $ (518,000) |
Number of Securities, 12 Months or More | security | 43 | 20 |
Fair Value, 12 Months or More | $ 77,170,000 | $ 38,740,000 |
Gross Unrealized Losses, 12 Months or More | $ (2,591,000) | $ (955,000) |
Number of Securities, Total | security | 46 | 43 |
Fair Value, Total | $ 83,896,000 | $ 89,790,000 |
Unrealized Losses, Total | $ (2,623,000) | $ (1,473,000) |
Debt securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of Securities, Less Than 12 Months | security | 11 | 51 |
Fair Value, Less Than 12 Months | $ 11,781,000 | $ 72,386,000 |
Gross unrealized Losses, Less Than 12 Months | $ (42,000) | $ (745,000) |
Number of Securities, 12 Months or More | security | 70 | 41 |
Fair Value, 12 Months or More | $ 108,679,000 | $ 65,971,000 |
Gross Unrealized Losses, 12 Months or More | $ (3,500,000) | $ (1,690,000) |
Number of Securities, Total | security | 81 | 92 |
Fair Value, Total | $ 120,460,000 | $ 138,357,000 |
Unrealized Losses, Total | (3,542,000) | $ (2,435,000) |
Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of Securities, Less Than 12 Months | security | 1 | |
Fair Value, Less Than 12 Months | $ 9,000 | |
Number of Securities, 12 Months or More | security | 1 | |
Fair Value, 12 Months or More | $ 4,000 | |
Gross Unrealized Losses, 12 Months or More | $ (1,000) | $ (1,000) |
Number of Securities, Total | security | 2 | |
Fair Value, Total | $ 13,000 |
Loans and Related Allowance f_3
Loans and Related Allowance for Loan Losses (Narrative) (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jun. 30, 2018 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total loans | $ 417,631,000 | $ 383,904,000 | $ 378,297,000 | |
Period for trouble debt restructuring loan to be considered in default | 30 days | |||
Interest income on nonaccrual loans | $ 311,000 | 300,000 | 281,000 | |
Troubled debt restructured loan | 445,000 | 339,000 | ||
Recorded charge-offs | 285,000 | 292,000 | 279,000 | |
Aggregate amount of demand deposits reclassified as loan balances | 75,000 | 33,000 | ||
Real Estate Portfolio Segment [Member] | Commercial Loan [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total loans | 141,295,000 | 140,369,000 | 123,711,000 | |
Recorded charge-offs | $ 60,000 | 70,000 | 146,000 | |
Maximum loan-to-value ratio | 80.00% | |||
Real Estate Portfolio Segment [Member] | Mortgage Loan [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total loans | $ 163,548,000 | 146,888,000 | 154,905,000 | |
Restructured loan balance in default status | 39,000 | |||
Recorded charge-offs | 183,000 | 149,000 | $ 103,000 | |
Loan balance in the process of foreclosure | 94,000 | 1,285,000 | ||
Non-Accruing Troubled Debt Restructurings [Member] | Real Estate Portfolio Segment [Member] | Mortgage Loan [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Troubled debt restructured loan | 17,000 | 20,000 | ||
Pass [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total loans | 392,532,000 | 332,904,000 | $ 32,603,000 | |
Pass [Member] | Real Estate Portfolio Segment [Member] | Commercial Loan [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total loans | 125,352,000 | 114,299,000 | ||
Pass [Member] | Real Estate Portfolio Segment [Member] | Mortgage Loan [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total loans | $ 160,774,000 | $ 139,861,000 |
Loans and Related Allowance f_4
Loans and Related Allowance for Loan Losses (Classes of the Loan Portfolio Summarized by the Aggregate Risk Rating) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Jun. 30, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | $ 417,631 | $ 383,904 | $ 378,297 | |
Pass [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 392,532 | $ 32,603 | 332,904 | |
Special Mention [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 11,606 | 34,456 | ||
Substandard [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 12,389 | 14,970 | ||
Doubtful [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 1,104 | 1,574 | ||
Commercial, Financial and Agricultural [Member] | Commercial Portfolio Segment [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 46,563 | 45,802 | 40,827 | |
Commercial, Financial and Agricultural [Member] | Commercial Portfolio Segment [Member] | Pass [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 42,757 | 34,826 | ||
Commercial, Financial and Agricultural [Member] | Commercial Portfolio Segment [Member] | Special Mention [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 2,992 | 8,692 | ||
Commercial, Financial and Agricultural [Member] | Commercial Portfolio Segment [Member] | Substandard [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 814 | 2,280 | ||
Commercial, Financial and Agricultural [Member] | Commercial Portfolio Segment [Member] | Doubtful [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 4 | |||
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 141,295 | 140,369 | 123,711 | |
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | Pass [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 125,352 | 114,299 | ||
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | Special Mention [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 8,590 | 17,928 | ||
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | Substandard [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 6,459 | 7,189 | ||
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | Doubtful [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 894 | 953 | ||
Construction Loan [Member] | Real Estate Portfolio Segment [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 36,688 | 28,403 | 35,206 | |
Construction Loan [Member] | Real Estate Portfolio Segment [Member] | Pass [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 34,131 | 22,470 | ||
Construction Loan [Member] | Real Estate Portfolio Segment [Member] | Special Mention [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 3,297 | |||
Construction Loan [Member] | Real Estate Portfolio Segment [Member] | Substandard [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 2,528 | 2,636 | ||
Construction Loan [Member] | Real Estate Portfolio Segment [Member] | Doubtful [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 29 | |||
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 163,548 | 146,888 | 154,905 | |
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | Pass [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 160,774 | 139,861 | ||
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | Special Mention [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 24 | 3,551 | ||
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | Substandard [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 2,569 | 2,859 | ||
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | Doubtful [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 181 | 617 | ||
Personal Loan [Member] | Consumer Portfolio Segment [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 10,408 | 9,398 | 10,032 | |
Personal Loan [Member] | Consumer Portfolio Segment [Member] | Pass [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 10,389 | 9,360 | ||
Personal Loan [Member] | Consumer Portfolio Segment [Member] | Special Mention [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 32 | |||
Personal Loan [Member] | Consumer Portfolio Segment [Member] | Substandard [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 19 | 6 | ||
Obligations of State and Political Subdivisions [Member] | Unallocated Financing Receivables [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | 19,129 | 13,044 | $ 13,616 | |
Obligations of State and Political Subdivisions [Member] | Unallocated Financing Receivables [Member] | Pass [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | $ 19,129 | 12,088 | ||
Obligations of State and Political Subdivisions [Member] | Unallocated Financing Receivables [Member] | Special Mention [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Total loans | $ 956 |
Loans and Related Allowance f_5
Loans and Related Allowance for Loan Losses (Impaired Loans by Loan Portfolio Class) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Financing Receivable, Impaired [Line Items] | ||
Recorded Investment, Total | $ 3,648 | $ 8,259 |
Unpaid Principal Balance, Total | 6,008 | 10,803 |
Commercial, Financial and Agricultural [Member] | Commercial Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans with No Allowance: Recorded Investment | 468 | |
Impaired Loans with No Allowance: Unpaid Principal Balance | 477 | |
Recorded Investment, Total | 468 | |
Unpaid Principal Balance, Total | 477 | |
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans with No Allowance: Recorded Investment | 909 | 5,031 |
Impaired Loans with No Allowance: Unpaid Principal Balance | 1,303 | 5,957 |
Recorded Investment, Total | 909 | 5,031 |
Unpaid Principal Balance, Total | 1,303 | 5,957 |
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | Acquired with Credit Deterioration [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans with No Allowance: Recorded Investment | 544 | 191 |
Impaired Loans with No Allowance: Unpaid Principal Balance | 592 | 247 |
Recorded Investment, Total | 544 | 191 |
Unpaid Principal Balance, Total | 592 | 247 |
Construction Loan [Member] | Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans with No Allowance: Recorded Investment | 27 | |
Impaired Loans with No Allowance: Unpaid Principal Balance | 1,123 | |
Recorded Investment, Total | 27 | |
Unpaid Principal Balance, Total | 1,123 | |
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans with No Allowance: Recorded Investment | 1,180 | 2,232 |
Impaired Loans with No Allowance: Unpaid Principal Balance | 1,912 | 3,738 |
Recorded Investment, Total | 1,180 | 2,232 |
Unpaid Principal Balance, Total | 1,912 | 3,738 |
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | Acquired with Credit Deterioration [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans with No Allowance: Recorded Investment | 971 | 337 |
Impaired Loans with No Allowance: Unpaid Principal Balance | 1,061 | 384 |
Recorded Investment, Total | 971 | 337 |
Unpaid Principal Balance, Total | 1,061 | $ 384 |
Personal Loan [Member] | Consumer Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans with No Allowance: Recorded Investment | 17 | |
Impaired Loans with No Allowance: Unpaid Principal Balance | 17 | |
Recorded Investment, Total | 17 | |
Unpaid Principal Balance, Total | $ 17 |
Loans and Related Allowance f_6
Loans and Related Allowance for Loan Losses (Impaired Loans and Related Interest Income by Loan Portfolio Class) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Financing Receivable, Impaired [Line Items] | |||
Average Recorded Investment, Total | $ 5,955 | $ 10,882 | $ 9,967 |
Interest Income Recognized, Total | 19 | 393 | 524 |
Cash Basis Interest Income, Total | 33 | 20 | 37 |
Commercial, Financial and Agricultural [Member] | Commercial Portfolio Segment [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Loans with No Allowance: Average Recorded Investment | 234 | 452 | 456 |
Impaired Loans with No Allowance: Interest Income Recognized | 25 | 29 | |
Average Recorded Investment, Total | 234 | 452 | 456 |
Interest Income Recognized, Total | 25 | 29 | |
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Loans with No Allowance: Average Recorded Investment | 2,970 | 5,265 | 3,675 |
Impaired Loans with No Allowance: Interest Income Recognized | 313 | 331 | |
Average Recorded Investment, Total | 2,970 | 5,265 | 3,675 |
Interest Income Recognized, Total | 313 | 331 | |
Construction Loan [Member] | Real Estate Portfolio Segment [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Loans with No Allowance: Average Recorded Investment | 14 | 1,228 | 1,228 |
Impaired Loans with No Allowance: Interest Income Recognized | 34 | 136 | |
Average Recorded Investment, Total | 14 | 1,228 | 1,228 |
Interest Income Recognized, Total | 34 | 136 | |
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Loans with No Allowance: Average Recorded Investment | 1,706 | 2,789 | 2,991 |
Impaired Loans with No Allowance: Interest Income Recognized | 19 | 21 | 28 |
Impaired Loans with No Allowance: Cash Basis Interest Income | 33 | 20 | 37 |
Impaired Loans with Allowance: Average Recorded Investment | 356 | 356 | |
Average Recorded Investment, Total | 1,706 | 3,145 | 3,347 |
Interest Income Recognized, Total | 19 | 21 | 28 |
Cash Basis Interest Income, Total | 33 | 20 | 37 |
Personal Loan [Member] | Consumer Portfolio Segment [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Loans with No Allowance: Average Recorded Investment | 9 | ||
Average Recorded Investment, Total | 9 | ||
Acquired with Credit Deterioration [Member] | Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Average Recorded Investment, Total | 368 | 416 | 738 |
Acquired with Credit Deterioration [Member] | Construction Loan [Member] | Real Estate Portfolio Segment [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Loans with No Allowance: Average Recorded Investment | 368 | 416 | 738 |
Acquired with Credit Deterioration [Member] | Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Loans with No Allowance: Average Recorded Investment | 654 | 376 | 523 |
Average Recorded Investment, Total | $ 654 | $ 376 | $ 523 |
Loans and Related Allowance f_7
Loans and Related Allowance for Loan Losses (Nonaccrual Loans by Classes of the Loan Portfolio) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Financing Receivable, Impaired [Line Items] | ||
Financing receivable, recorded investment, nonaccrual status | $ 1,707 | $ 2,874 |
Commercial, Financial and Agricultural [Member] | Commercial Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Financing receivable, recorded investment, nonaccrual status | 4 | |
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Financing receivable, recorded investment, nonaccrual status | 908 | 953 |
Construction Loan [Member] | Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Financing receivable, recorded investment, nonaccrual status | 29 | |
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Financing receivable, recorded investment, nonaccrual status | 753 | $ 1,917 |
Personal Loan [Member] | Consumer Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Financing receivable, recorded investment, nonaccrual status | $ 17 |
Loans and Related Allowance f_8
Loans and Related Allowance for Loan Losses (Loan Portfolio Summarized by the Past Due Status) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | $ 3,303 | $ 1,100 | ||
Current | 414,328 | 382,804 | ||
Total loans | 417,631 | 383,904 | $ 378,297 | |
Loans Past Due Greater than 90 Days and Accruing | [1] | 336 | 215 | |
30-59 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 1,285 | 776 | ||
60-89 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 576 | 109 | ||
Greater than 90 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 1,442 | 215 | ||
Commercial, Financial and Agricultural [Member] | Commercial Portfolio Segment [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 6 | |||
Current | 46,557 | 45,802 | ||
Total loans | 46,563 | 45,802 | 40,827 | |
Commercial, Financial and Agricultural [Member] | Commercial Portfolio Segment [Member] | 30-59 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 6 | |||
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 141,295 | 140,369 | 123,711 | |
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | Acquired with Credit Deterioration [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 140 | 28 | ||
Current | 51 | 163 | ||
Total loans | 191 | 191 | ||
Loans Past Due Greater than 90 Days and Accruing | [1] | 28 | ||
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | Acquired Without Deteriorated Credit Quality [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 1,214 | 39 | ||
Current | 139,890 | 140,139 | ||
Total loans | 141,104 | 140,178 | ||
Loans Past Due Greater than 90 Days and Accruing | [1] | 306 | ||
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | 30-59 Days Past Due [Member] | Acquired with Credit Deterioration [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 140 | |||
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | 30-59 Days Past Due [Member] | Acquired Without Deteriorated Credit Quality [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 16 | |||
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | 60-89 Days Past Due [Member] | Acquired Without Deteriorated Credit Quality [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 23 | |||
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | Greater than 90 Days Past Due [Member] | Acquired with Credit Deterioration [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 28 | |||
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | Greater than 90 Days Past Due [Member] | Acquired Without Deteriorated Credit Quality [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 1,214 | |||
Construction Loan [Member] | Real Estate Portfolio Segment [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 61 | |||
Current | 36,627 | 28,403 | ||
Total loans | 36,688 | 28,403 | 35,206 | |
Construction Loan [Member] | Real Estate Portfolio Segment [Member] | 30-59 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 32 | |||
Construction Loan [Member] | Real Estate Portfolio Segment [Member] | Greater than 90 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 29 | |||
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 163,548 | 146,888 | 154,905 | |
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | Acquired with Credit Deterioration [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 266 | 123 | ||
Current | 71 | 214 | ||
Total loans | 337 | 337 | ||
Loans Past Due Greater than 90 Days and Accruing | [1] | 7 | 123 | |
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | Acquired Without Deteriorated Credit Quality [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 1,560 | 838 | ||
Current | 161,651 | 145,713 | ||
Total loans | 163,211 | 146,551 | ||
Loans Past Due Greater than 90 Days and Accruing | [1] | 23 | 64 | |
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | 30-59 Days Past Due [Member] | Acquired with Credit Deterioration [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 259 | |||
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | 30-59 Days Past Due [Member] | Acquired Without Deteriorated Credit Quality [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 824 | 694 | ||
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | 60-89 Days Past Due [Member] | Acquired Without Deteriorated Credit Quality [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 561 | 80 | ||
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | Greater than 90 Days Past Due [Member] | Acquired with Credit Deterioration [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 7 | 123 | ||
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | Greater than 90 Days Past Due [Member] | Acquired Without Deteriorated Credit Quality [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 175 | 64 | ||
Obligations of State and Political Subdivisions [Member] | Unallocated Financing Receivables [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Current | 19,129 | 13,044 | ||
Total loans | 19,129 | 13,044 | 13,616 | |
Personal Loan [Member] | Consumer Portfolio Segment [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 56 | 72 | ||
Current | 10,352 | 9,326 | ||
Total loans | 10,408 | 9,398 | $ 10,032 | |
Personal Loan [Member] | Consumer Portfolio Segment [Member] | 30-59 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 24 | 66 | ||
Personal Loan [Member] | Consumer Portfolio Segment [Member] | 60-89 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 15 | $ 6 | ||
Personal Loan [Member] | Consumer Portfolio Segment [Member] | Greater than 90 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | $ 17 | |||
[1] | These loans are guaranteed, or well secured, and there is an effective means of collection in process. |
Loans and Related Allowance f_9
Loans and Related Allowance for Loan Losses (Troubled Debt Restructurings on Financing Receivables) (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018USD ($)contract | Dec. 31, 2017USD ($)contract | |
Financing Receivable, Modifications [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 9 | 9 |
Financing Receivable, Modifications, Pre-Modification Recorded Investment | $ 547 | $ 413 |
Financing Receivable, Modifications, Post-Modification Recorded Investment | 575 | 442 |
Financing Receivable, Modifications, Recorded Investment | $ 445 | $ 339 |
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | Accruing Troubled Debt Restructurings [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 8 | 7 |
Financing Receivable, Modifications, Pre-Modification Recorded Investment | $ 522 | $ 369 |
Financing Receivable, Modifications, Post-Modification Recorded Investment | 550 | 397 |
Financing Receivable, Modifications, Recorded Investment | $ 428 | $ 315 |
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | Non-Accruing Troubled Debt Restructurings [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 1 | 1 |
Financing Receivable, Modifications, Pre-Modification Recorded Investment | $ 25 | $ 25 |
Financing Receivable, Modifications, Post-Modification Recorded Investment | 25 | 25 |
Financing Receivable, Modifications, Recorded Investment | $ 17 | $ 20 |
Commercial, Financial and Agricultural [Member] | Commercial Portfolio Segment [Member] | Non-Accruing Troubled Debt Restructurings [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 1 | |
Financing Receivable, Modifications, Pre-Modification Recorded Investment | $ 19 | |
Financing Receivable, Modifications, Post-Modification Recorded Investment | 20 | |
Financing Receivable, Modifications, Recorded Investment | $ 4 | |
Restructured Loan [Member] | Non-Accruing Troubled Debt Restructurings [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 1 | 1 |
Financing Receivable, Modifications, Pre-Modification Recorded Investment | $ 153 | $ 19 |
Financing Receivable, Modifications, Post-Modification Recorded Investment | 153 | 20 |
Financing Receivable, Modifications, Recorded Investment | $ 147 | $ 4 |
Restructured Loan [Member] | Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | Non-Accruing Troubled Debt Restructurings [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 1 | |
Financing Receivable, Modifications, Pre-Modification Recorded Investment | $ 153 | |
Financing Receivable, Modifications, Post-Modification Recorded Investment | 153 | |
Financing Receivable, Modifications, Recorded Investment | $ 147 | |
Restructured Loan [Member] | Commercial, Financial and Agricultural [Member] | Commercial Portfolio Segment [Member] | Non-Accruing Troubled Debt Restructurings [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 1 | |
Financing Receivable, Modifications, Pre-Modification Recorded Investment | $ 19 | |
Financing Receivable, Modifications, Post-Modification Recorded Investment | 20 | |
Financing Receivable, Modifications, Recorded Investment | $ 4 |
Loans and Related Allowance _10
Loans and Related Allowance for Loan Losses (Allowance for Loan Losses and Related Investments in Loans Receivable) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | $ 2,939 | $ 2,723 | $ 2,939 | $ 2,723 | $ 2,478 | ||||||
Charge-offs | (285) | (292) | (279) | ||||||||
Recoveries | 43 | 69 | 58 | ||||||||
Provision for loan losses | $ 106 | $ 32 | $ 41 | 158 | $ 50 | $ 149 | $ 135 | 105 | 337 | 439 | 466 |
Allowance for loan losses: Ending balance | 3,034 | 2,939 | 3,034 | 2,939 | 2,723 | ||||||
Ending balance: individually evaluated for impairment | 56 | ||||||||||
Ending balance: collectively evaluated for impairment | 3,034 | 2,939 | 3,034 | 2,939 | 2,667 | ||||||
Loans: Ending Balance | 417,631 | 383,904 | 417,631 | 383,904 | 378,297 | ||||||
Ending balance: individually evaluated for impairment | 2,133 | 7,731 | 2,133 | 7,731 | 12,447 | ||||||
Ending balance: collectively evaluated for impairment | 413,983 | 375,645 | 413,983 | 375,645 | 364,794 | ||||||
Commercial, Financial and Agricultural [Member] | Commercial Portfolio Segment [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | 273 | 318 | 273 | 318 | 264 | ||||||
Charge-offs | (46) | (4) | |||||||||
Recoveries | 10 | 5 | |||||||||
Provision for loan losses | (8) | (4) | 58 | ||||||||
Allowance for loan losses: Ending balance | 275 | 273 | 275 | 273 | 318 | ||||||
Ending balance: collectively evaluated for impairment | 275 | 273 | 275 | 273 | 318 | ||||||
Loans: Ending Balance | 46,563 | 45,802 | 46,563 | 45,802 | 40,827 | ||||||
Ending balance: individually evaluated for impairment | 468 | 468 | 436 | ||||||||
Ending balance: collectively evaluated for impairment | 46,563 | 45,334 | 46,563 | 45,334 | 40,391 | ||||||
Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | 1,022 | 948 | 1,022 | 948 | 836 | ||||||
Charge-offs | (60) | (70) | (146) | ||||||||
Recoveries | 5 | 2 | 24 | ||||||||
Provision for loan losses | 107 | 142 | 234 | ||||||||
Allowance for loan losses: Ending balance | 1,074 | 1,022 | 1,074 | 1,022 | 948 | ||||||
Ending balance: collectively evaluated for impairment | 1,074 | 1,022 | 1,074 | 1,022 | 948 | ||||||
Loans: Ending Balance | 141,295 | 140,369 | 141,295 | 140,369 | 123,711 | ||||||
Ending balance: individually evaluated for impairment | 909 | 5,031 | 909 | 5,031 | 5,499 | ||||||
Ending balance: collectively evaluated for impairment | 139,842 | 135,147 | 139,842 | 135,147 | 117,571 | ||||||
Construction Loan [Member] | Real Estate Portfolio Segment [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | 288 | 231 | 288 | 231 | 191 | ||||||
Provision for loan losses | 270 | 57 | 40 | ||||||||
Allowance for loan losses: Ending balance | 558 | 288 | 558 | 288 | 231 | ||||||
Ending balance: collectively evaluated for impairment | 558 | 288 | 558 | 288 | 231 | ||||||
Loans: Ending Balance | 36,688 | 28,403 | 36,688 | 28,403 | 35,206 | ||||||
Ending balance: individually evaluated for impairment | 27 | 27 | 2,455 | ||||||||
Ending balance: collectively evaluated for impairment | 36,661 | 28,403 | 36,661 | 28,403 | 32,751 | ||||||
Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | 1,285 | 1,143 | 1,285 | 1,143 | 1,140 | ||||||
Charge-offs | (183) | (149) | (103) | ||||||||
Recoveries | 12 | 45 | 15 | ||||||||
Provision for loan losses | (79) | 246 | 91 | ||||||||
Allowance for loan losses: Ending balance | 1,035 | 1,285 | 1,035 | 1,285 | 1,143 | ||||||
Ending balance: individually evaluated for impairment | 56 | ||||||||||
Ending balance: collectively evaluated for impairment | 1,035 | 1,285 | 1,035 | 1,285 | 1,087 | ||||||
Loans: Ending Balance | 163,548 | 146,888 | 163,548 | 146,888 | 154,905 | ||||||
Ending balance: individually evaluated for impairment | 1,180 | 2,232 | 1,180 | 2,232 | 4,057 | ||||||
Ending balance: collectively evaluated for impairment | 161,397 | 144,319 | 161,397 | 144,319 | 150,433 | ||||||
Obligations of State and Political Subdivisions [Member] | Unallocated Financing Receivables [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Provision for loan losses | 20 | ||||||||||
Allowance for loan losses: Ending balance | 20 | 20 | |||||||||
Ending balance: collectively evaluated for impairment | 20 | 20 | |||||||||
Loans: Ending Balance | 19,129 | 13,044 | 19,129 | 13,044 | 13,616 | ||||||
Ending balance: collectively evaluated for impairment | 19,129 | 13,044 | 19,129 | 13,044 | 13,616 | ||||||
Personal Loan [Member] | Consumer Portfolio Segment [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | $ 71 | $ 83 | 71 | 83 | 47 | ||||||
Charge-offs | (42) | (27) | (26) | ||||||||
Recoveries | 16 | 17 | 19 | ||||||||
Provision for loan losses | 27 | (2) | 43 | ||||||||
Allowance for loan losses: Ending balance | 72 | 71 | 72 | 71 | 83 | ||||||
Ending balance: collectively evaluated for impairment | 72 | 71 | 72 | 71 | 83 | ||||||
Loans: Ending Balance | 10,408 | 9,398 | 10,408 | 9,398 | 10,032 | ||||||
Ending balance: individually evaluated for impairment | 17 | 17 | |||||||||
Ending balance: collectively evaluated for impairment | 10,391 | 9,398 | 10,391 | 9,398 | 10,032 | ||||||
Acquired with Credit Deterioration [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Ending balance: individually evaluated for impairment | 1,515 | 528 | 1,515 | 528 | 1,056 | ||||||
Acquired with Credit Deterioration [Member] | Commercial Loan [Member] | Real Estate Portfolio Segment [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Loans: Ending Balance | 191 | 191 | 191 | 191 | |||||||
Ending balance: individually evaluated for impairment | 544 | 191 | 544 | 191 | 641 | ||||||
Acquired with Credit Deterioration [Member] | Mortgage Loan [Member] | Real Estate Portfolio Segment [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Loans: Ending Balance | 337 | 337 | 337 | 337 | |||||||
Ending balance: individually evaluated for impairment | $ 971 | $ 337 | $ 971 | $ 337 | $ 415 |
Pledged Assets (Narrative) (Det
Pledged Assets (Narrative) (Details) - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 |
Pledged Assets [Abstract] | ||
Loans pledged as collateral | $ 261,442,000 | $ 224,561,000 |
Securities pledged as collateral | 0 | 0 |
Maximum borrowing capacity with the Federal Home Loan Bank of Pittsburgh ("FHLB") | $ 187,818,000 | $ 163,181,000 |
Bank Owned Life Insurance and_3
Bank Owned Life Insurance and Annuities (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Bank Owned Life Insurance and Annuities [Abstract] | |||
Bank owned life insurance and annuities, cash value | $ 15,938 | $ 14,972 | $ 14,631 |
Increase in cash surrender value of bank-owned life insurance | $ 966 | $ (274) | $ 341 |
Bank Owned Life Insurance and_4
Bank Owned Life Insurance and Annuities (Summary of Changes in Cash Value of BOLI and Annuities) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Balance | $ 14,972 | $ 14,631 |
Earnings | 295 | 301 |
Premiums on existing policies | 38 | 40 |
Annuity payments received | 1 | |
BOLI acquired through acquisition | 632 | |
Balance | 15,938 | 14,972 |
Life Insurance [Member] | ||
Balance | 14,510 | 14,198 |
Earnings | 277 | 285 |
Premiums on existing policies | 25 | 27 |
Annuity payments received | 1 | |
BOLI acquired through acquisition | 632 | |
Balance | 15,445 | 14,510 |
Deferred Annuities [Member] | ||
Balance | 462 | 433 |
Earnings | 18 | 16 |
Premiums on existing policies | 13 | 13 |
Balance | $ 493 | $ 462 |
Premises and Equipment (Narrati
Premises and Equipment (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Premises and Equipment [Abstract] | |||
Depreciation expense on premises and equipment | $ 815 | $ 672 | $ 595 |
Premises and Equipment (Premise
Premises and Equipment (Premises and Equipment) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 19,020 | $ 18,382 |
Less: accumulated depreciation | (10,276) | (9,495) |
Premises and equipment, net | 8,744 | 8,887 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 1,158 | 1,126 |
Building and Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 11,645 | 11,358 |
Furniture, Computer Software and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 6,217 | $ 5,898 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets (Narrative) (Details) - USD ($) | Apr. 30, 2018 | Nov. 30, 2015 | Sep. 08, 2006 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Goodwill and Other Intangible Assets [Line Items] | ||||||
Goodwill included in purchase price of the branch | $ 3,402,000 | $ 3,402,000 | $ 3,402,000 | |||
Other intangible assets | 200,000 | 225,000 | ||||
Branch Office in Richfield, PA [Member] | ||||||
Goodwill and Other Intangible Assets [Line Items] | ||||||
Acquisition date | Sep. 8, 2006 | |||||
Goodwill included in purchase price of the branch | $ 2,046,000 | $ 2,046,000 | ||||
Intangible assets included in purchase price | $ 431,000 | |||||
Intangible assets amortization period | 10 years | |||||
FNBPA Bancorp, Inc [Member] | ||||||
Goodwill and Other Intangible Assets [Line Items] | ||||||
Acquisition date | Nov. 30, 2015 | |||||
Goodwill included in purchase price of the branch | $ 3,335,000 | |||||
Intangible assets included in purchase price | $ 303,000 | |||||
Intangible assets amortization period | 10 years | |||||
Other intangible assets | $ 40,000 | |||||
Liverpool Community Bank [Member] | ||||||
Goodwill and Other Intangible Assets [Line Items] | ||||||
Acquisition date | Apr. 30, 2018 | |||||
Intangible assets included in purchase price | $ 289,000 | |||||
Intangible assets amortization period | 10 years | |||||
Other Intangible Assets [Member] | FNBPA Bancorp, Inc [Member] | ||||||
Goodwill and Other Intangible Assets [Line Items] | ||||||
Intangible assets included in purchase price | $ 40,000 | |||||
Intangible assets amortization period | 2 years |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets (Amortization Schedule for Intangible Assets) (Details) - USD ($) | 12 Months Ended | ||||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2013 | Apr. 30, 2018 | Nov. 30, 2015 | Sep. 08, 2006 | |
Finite-Lived Intangible Assets [Line Items] | |||||||
Amortization of intangibles | $ 79,000 | $ 67,000 | $ 105,000 | ||||
Liverpool Community Bank [Member] | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Beginning Balance at Acquisition Date | $ 289,000 | ||||||
Liverpool Community Bank [Member] | Core Deposits [Member] | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Beginning Balance at Acquisition Date | $ 289,000 | ||||||
Amortization of intangibles | 35,000 | ||||||
Unamortized balance as of December 31, 2018 | 254,000 | ||||||
Scheduled Amortization expense for years ended: | |||||||
December 31, 2019 | 49,000 | ||||||
December 31, 2020 | 44,000 | ||||||
December 31, 2021 | 39,000 | ||||||
December 31, 2022 | 33,000 | ||||||
December 31, 2023 | 28,000 | ||||||
After December 31, 2023 | 61,000 | ||||||
FNBPA Bancorp, Inc [Member] | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Beginning Balance at Acquisition Date | $ 303,000 | ||||||
FNBPA Bancorp, Inc [Member] | Core Deposits [Member] | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Beginning Balance at Acquisition Date | 303,000 | ||||||
Amortization of intangibles | 44,000 | 49,000 | 55,000 | $ 4,000 | |||
Unamortized balance as of December 31, 2018 | 151,000 | ||||||
Scheduled Amortization expense for years ended: | |||||||
December 31, 2019 | 38,000 | ||||||
December 31, 2020 | 33,000 | ||||||
December 31, 2021 | 27,000 | ||||||
December 31, 2022 | 22,000 | ||||||
December 31, 2023 | 16,000 | ||||||
After December 31, 2023 | $ 15,000 | ||||||
FNBPA Bancorp, Inc [Member] | Other Intangible Assets [Member] | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Beginning Balance at Acquisition Date | $ 40,000 | ||||||
Amortization of intangibles | $ 18,000 | 20,000 | 2,000 | ||||
Branch Office in Richfield, PA [Member] | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Beginning Balance at Acquisition Date | $ 431,000 | ||||||
Amortization of intangibles | $ 29,000 | $ 402,000 |
Investment in Unconsolidated _3
Investment in Unconsolidated Subsidiary (Narrative) (Details) - USD ($) | Apr. 29, 2018 | Dec. 31, 2017 |
Schedule of Equity Method Investments [Line Items] | ||
Investment in unconsolidated subsidiary | $ 4,812,000 | |
Deferred tax liability related to previous 39.16% ownership in LCB | $ 368,000 | |
Liverpool Community Bank [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage of equity interest in acquiree, before acquisition | 39.16% | |
Deferred tax liability related to previous 39.16% ownership in LCB | $ 406,000 |
Investment in Unconsolidated _4
Investment in Unconsolidated Subsidiary (Components of the Income/Gain from the Unconsolidated Subsidiary Investment) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income from unconsolidated subsidiary (excluding merger-related adjustments) | |||
Dividend income | $ 36 | $ 61 | $ 55 |
Equity income | 45 | 106 | 167 |
Total income (excluding merger-related adjustments) | 81 | 167 | 222 |
Merger Related Adjustments For Investment In Unconsolidated Subsidiary [Abstract] | |||
Adjustment to LCB book value at April 30, 2018 | (239) | ||
Special merger-related dividend | 39 | ||
Fair value gain | 415 | ||
Total merger-related adjustments | 215 | ||
Total income/gain from unconsolidated subsidiary | $ 296 | $ 167 | $ 222 |
Deposits (Narrative) (Details)
Deposits (Narrative) (Details) - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 |
Deposits [Abstract] | ||
Aggregate amount of demand deposits reclassified as loan balances | $ 75,000 | $ 33,000 |
Deposits and other funds from related parties | $ 1,215,000 | $ 1,116,000 |
Deposits (Schedule of Deposits)
Deposits (Schedule of Deposits) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Deposits [Abstract] | ||
Demand, non-interest bearing | $ 126,057 | $ 115,911 |
Interest-bearing demand and money market | 147,413 | 122,407 |
Savings | 99,236 | 98,966 |
Time deposits, 250,000 or more | 8,368 | 8,456 |
Other time deposits | 140,648 | 131,928 |
Total deposits | $ 521,722 | $ 477,668 |
Deposits (Schedule of Maturitie
Deposits (Schedule of Maturities of Time Deposits) (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Time Deposits 250000 or More [Member] | |
Maturities of Time Deposits | |
2019 | $ 3,538 |
2020 | 2,715 |
2021 | 513 |
2023 | 607 |
Later | 995 |
Total time deposits | 8,368 |
Time Deposits Other [Member] | |
Maturities of Time Deposits | |
2019 | 49,056 |
2020 | 34,817 |
2021 | 21,694 |
2022 | 9,503 |
2023 | 11,070 |
Later | 14,508 |
Total time deposits | 140,648 |
Certificates of Deposit [Member] | |
Maturities of Time Deposits | |
2019 | 52,594 |
2020 | 37,532 |
2021 | 22,207 |
2022 | 9,503 |
2023 | 11,677 |
Later | 15,503 |
Total time deposits | $ 149,016 |
Borrowings (Narrative) (Details
Borrowings (Narrative) (Details) - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 |
Short-term Debt [Line Items] | ||
Fair value of pledged assets | $ 50,157,000 | $ 47,825,000 |
Maximum borrowing capacity with the Federal Home Loan Bank of Pittsburgh ("FHLB") | 187,818,000 | 163,181,000 |
Amount outstanding with Federal Home Loan Bank ("FHLB") | 26,600,000 | |
Long-term debt | 15,000,000 | $ 25,000,000 |
Securities Sold under Agreements to Repurchase [Member] | ||
Short-term Debt [Line Items] | ||
Fair value of pledged assets | $ 8,666,000 |
Borrowings (Schedule of Borrowi
Borrowings (Schedule of Borrowings) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Short-term borrowings with Federal Home Loan Bank | $ 14,511 | $ 21,769 | $ 32,196 |
Maximum outstanding at any month end | 33,858 | 40,490 | 38,318 |
Securities Sold under Agreements to Repurchase [Member] | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Short-term borrowings with Federal Home Loan Bank | 2,911 | 9,769 | 4,496 |
Maximum outstanding at any month end | $ 4,620 | $ 9,769 | $ 6,018 |
Weighted average interest rate as of December 31 | 2.13% | 0.32% | 0.18% |
Average amount outstanding during the year | $ 4,177 | $ 4,823 | $ 4,712 |
Weighted average interest rate during the year | 1.49% | 0.64% | 0.11% |
Overnight Advances [Member] | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Short-term borrowings with Federal Home Loan Bank | $ 11,600 | $ 12,000 | $ 27,700 |
Maximum outstanding at any month end | 29,238 | 30,721 | 32,300 |
Short-term borrowings with Federal Home Loan Bank [Member] | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Short-term borrowings with Federal Home Loan Bank | $ 11,600 | $ 12,000 | $ 27,700 |
Weighted average interest rate as of December 31 | 2.62% | 1.54% | 0.74% |
Average amount outstanding during the year | $ 9,906 | $ 25,476 | $ 15,696 |
Weighted average interest rate during the year | 1.92% | 1.16% | 0.60% |
Borrowings (Summary of the Sche
Borrowings (Summary of the Scheduled Maturities of Long-Term Debt) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Year | ||
2019 | $ 15,000 | |
2020 | ||
2021 | ||
2022 | ||
2023 | ||
Thereafter | ||
Long-term debt, total | $ 15,000 | $ 25,000 |
Weighted Average Interest Rate | ||
2019 | 1.59% | |
2020 | ||
2021 | ||
2022 | ||
2023 | ||
Thereafter | ||
Weighted average interest rate | 1.59% |
Operating Lease Obligations (Na
Operating Lease Obligations (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Operating Lease Obligations [Abstract] | |||
Rental expense including license fees | $ 109 | $ 147 | $ 142 |
Operating Lease Obligations (Sc
Operating Lease Obligations (Schedule of Future Minimum Rental Payments) (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Operating Lease Obligations [Abstract] | |
2019 | $ 111 |
2020 | 93 |
2021 | 83 |
2022 | 26 |
2023 | 21 |
2024 and beyond | 95 |
Total minimum payments required | $ 429 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Apr. 29, 2018 | |
Federal statutory income tax rate | 21.00% | 34.00% | 34.00% | |
Decrease in federal statutory tax rate | 13.00% | |||
Deferred tax liability related to previous 39.16% ownership in LCB | $ 368,000 | |||
Increase (decrease) in income tax expense | $ (168,000) | |||
Federal tax credits related to investment in low income housing | 901,000 | 722,000 | $ 572,000 | |
Reclassification out of AOCI to income | 416,000 | |||
Adjustments to unrecognized tax benefits | $ 0 | $ 0 | $ 0 | |
Liverpool Community Bank [Member] | ||||
Percentage of equity interest in acquiree, before acquisition | 39.16% | |||
Deferred tax liability related to previous 39.16% ownership in LCB | $ 406,000 |
Income Taxes (Components of Inc
Income Taxes (Components of Income Tax Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes [Abstract] | |||||||||||
Current tax (benefit) expense | $ (563) | $ 379 | $ 499 | ||||||||
Deferred income tax (benefit) expense | (96) | 681 | 320 | ||||||||
Total tax (benefit) expense | $ (187) | $ (29) | $ (372) | $ (71) | $ 359 | $ 127 | $ 244 | $ 330 | $ (659) | $ 1,060 | $ 819 |
Income Taxes (Effective Income
Income Taxes (Effective Income Tax Rate Reconciliation) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes [Abstract] | |||||||||||
Income before income taxes | $ 1,030,000 | $ 1,356,000 | $ 1,603,000 | $ 1,256,000 | $ 937,000 | $ 1,333,000 | $ 1,538,000 | $ 1,789,000 | $ 5,245,000 | $ 5,597,000 | $ 5,975,000 |
Assumed tax rate | 21.00% | 34.00% | 34.00% | ||||||||
Federal tax at statutory rate | $ 1,101,000 | $ 1,903,000 | $ 2,032,000 | ||||||||
Tax-exempt interest | (271,000) | (443,000) | (427,000) | ||||||||
Net earnings on BOLI | (50,000) | (75,000) | (84,000) | ||||||||
Gain from life insurance proceeds | (124,000) | ||||||||||
Dividend from unconsolidated subsidiary | (10,000) | (17,000) | (15,000) | ||||||||
Stock-based compensation | 19,000 | 24,000 | 23,000 | ||||||||
Federal tax credits | (901,000) | (722,000) | (572,000) | ||||||||
Merger and acquisition expenses | 33,000 | ||||||||||
Tax reform adjustment | 416,000 | ||||||||||
Defined benefit prior year contribution, net of other PTR adjustments | (198,000) | ||||||||||
Basis difference related to LCB investments prior to acquisition | (406,000) | ||||||||||
Other permanent differences | 24,000 | (26,000) | (14,000) | ||||||||
Total tax (benefit) expense | $ (187,000) | $ (29,000) | $ (372,000) | $ (71,000) | $ 359,000 | $ 127,000 | $ 244,000 | $ 330,000 | $ (659,000) | $ 1,060,000 | $ 819,000 |
Effective tax rate | (12.60%) | 18.90% | 13.70% |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred Tax Assets | ||
Allowance for loan losses | $ 494 | $ 369 |
Deferred directors' compensation | 345 | 338 |
Employee and director benefits | 309 | 320 |
Qualified pension liability | 78 | 512 |
Unrealized losses on securities available for sale | 655 | 439 |
Unrealized loss from securities impairment | 34 | 37 |
Investment in low income housing project | 142 | 141 |
Fair value adjustments to acquired assets and liabilities | 293 | 168 |
Tax credit carryforward | 225 | 75 |
Valuation reserves on other real estate owned | 1 | 1 |
Other | 1 | |
Total deferred tax assets | 2,577 | 2,400 |
Deferred Tax Liabilities | ||
Depreciation | (445) | (345) |
Equity income from unconsolidated subsidiary | (368) | |
Loan origination costs | (384) | (340) |
Prepaid expense | (229) | (230) |
Annuity earnings | (56) | (52) |
Fair value of mortgage servicing rights | (42) | (47) |
Intangible assets | (68) | (18) |
Goodwill | (353) | (324) |
Other | (24) | |
Total deferred tax liabilities | (1,577) | (1,748) |
Net deferred tax asset included in other assets | $ 1,000 | $ 652 |
Stockholders' Equity and Regu_3
Stockholders' Equity and Regulatory Matters (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Preferred Stock, Authorized | 500,000 | 500,000 | |
Preferred Stock Par Value | $ 0 | $ 0 | |
Preferred Stock, Issued | 0 | 0 | |
Shares Available For Issuance Under Dividend Reinvestment Plan | 141,887 | ||
Remaining Number of Shares Authorized Under Repurchase Program | 170,574 | ||
Undistributed Earnings of Subsidiary, Available for Distribution | $ 42,119 | ||
Shares issued during period under employee stock purchase plans | 2,134 | 1,961 | 3,764 |
Treasury Stock [Member] | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Common Shares Repurchased Under Repurchase Program | 3,416 | 4,289 | 49,370 |
Stockholders' Equity and Regu_4
Stockholders' Equity and Regulatory Matters (Schedule of Compliance with Regulatory Capital Requirements) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total Capital, Amount | $ 63,883 | $ 59,667 |
Total Capital, Ratio | 15.86% | 15.01% |
Total Capital, Minimum Requirement for Capital Adequacy Purposes, Amount | $ 32,214 | $ 31,809 |
Total Capital, Minimum Requirement for Capital Adequacy Purposes, Ratio | 8.00% | 8.00% |
Tier 1 Capital, Amount | $ 60,849 | $ 55,808 |
Tier 1 Capital, Ratio | 15.11% | 14.04% |
Tier 1 Capital, Minimum Requirement for Capital Adequacy Purposes, Amount | $ 24,160 | $ 23,857 |
Tier 1 Capital, Minimum Requirement for Capital Adequacy Purposes, Ratio | 6.00% | 6.00% |
Common Equity Tier 1 Capital, Amount | $ 60,849 | $ 55,808 |
Common Equity Tier 1 Capital, Ratio | 15.11% | 14.04% |
Common Equity Tier 1 Capital, Minimum Requirement for Capital Adequacy Purposes, Amount | $ 18,120 | $ 17,892 |
Common Equity Tier 1 Capital, Minimum Requirement for Capital Adequacy Purposes, Ratio | 4.50% | 4.50% |
Tier 1, Leverage Capital to Average Assets, Amount | $ 60,849 | $ 55,808 |
Tier 1, Leverage Capital to Average Assets, Ratio | 10.01% | 9.43% |
Tier 1, Leverage Capital to Average Assets, Minimum Requirement for Capital Adequacy Purposes, Amount | $ 24,318 | $ 23,666 |
Tier 1, Leverage Capital to Average Assets, Minimum Requirement for Capital Adequacy Purposes, Ratio | 4.00% | 4.00% |
The Juniata Valley Bank [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total Capital, Amount | $ 62,422 | $ 52,009 |
Total Capital, Ratio | 15.50% | 13.24% |
Total Capital, Minimum Requirement for Capital Adequacy Purposes, Amount | $ 32,222 | $ 31,435 |
Total Capital, Minimum Requirement for Capital Adequacy Purposes, Ratio | 8.00% | 8.00% |
Total Capital, Minimum Capital Adequacy With Capital Buffer, Amount | $ 39,774 | $ 36,346 |
Total Capital, Minimum Capital Adequacy With Capital Buffer, Ratio | 9.875% | 9.25% |
Total Capital, Minimum Regulatory Requirements to be "Well Capitalized", Amount | $ 40,278 | $ 39,293 |
Total Capital, Minimum Regulatory Requirements to be "Well Capitalized", Ratio | 10.00% | 10.00% |
Tier 1 Capital, Amount | $ 59,388 | $ 49,026 |
Tier 1 Capital, Ratio | 14.74% | 12.48% |
Tier 1 Capital, Minimum Requirement for Capital Adequacy Purposes, Amount | $ 24,167 | $ 23,576 |
Tier 1 Capital, Minimum Requirement for Capital Adequacy Purposes, Ratio | 6.00% | 6.00% |
Tier One Risk Based Capital Minimum Capital Adequacy With Capital Buffer, Amount | $ 31,719 | $ 28,488 |
Tier One Risk Based Capital Minimum Capital Adequacy With Capital Buffer, Ratio | 7.875% | 7.25% |
Tier 1 Capital, Minimum Regulatory Requirements to be "Well Capitalized", Amount | $ 32,222 | $ 31,435 |
Tier 1 Capital, Minimum Regulatory Requirements to be "Well Capitalized", Ratio | 8.00% | 8.00% |
Common Equity Tier 1 Capital, Amount | $ 59,388 | $ 49,026 |
Common Equity Tier 1 Capital, Ratio | 14.74% | 12.48% |
Common Equity Tier 1 Capital, Minimum Requirement for Capital Adequacy Purposes, Amount | $ 18,125 | $ 17,682 |
Common Equity Tier 1 Capital, Minimum Requirement for Capital Adequacy Purposes, Ratio | 4.50% | 4.50% |
Common Equity Tier 1 Capital, Minimum Capital Adequacy With Capital Buffer, Amount | $ 25,677 | $ 22,594 |
Common Equity Tier 1 Capital, Minimum Capital Adequacy With Capital Buffer, Ratio | 6.375% | 5.75% |
Common Equity Tier 1 Capital, Minimum Regulatory Requirements to be "Well Capitalized", Amount | $ 26,181 | $ 25,541 |
Common Equity Tier 1 Capital, Minimum Regulatory Requirements to be "Well Capitalized", Ratio | 6.50% | 6.50% |
Tier 1, Leverage Capital to Average Assets, Amount | $ 59,388 | $ 49,026 |
Tier 1, Leverage Capital to Average Assets, Ratio | 9.77% | 8.36% |
Tier 1, Leverage Capital to Average Assets, Minimum Requirement for Capital Adequacy Purposes, Amount | $ 24,317 | $ 23,460 |
Tier 1, Leverage Capital to Average Assets, Minimum Requirement for Capital Adequacy Purposes, Ratio | 4.00% | 4.00% |
Tier One Risk Based Capital Minimum Capital Adequacy With Capital Buffer, Amount | $ 24,317 | $ 23,460 |
Tier 1, Leverage Capital to Average Assets, Minimum Capital Adequacy With Capital Buffer, Ratio | 4.00% | 4.00% |
Tier 1, Leverage Capital to Average Assets, Minimum Regulatory Requirements to be "Well Capitalized", Amount | $ 30,397 | $ 29,325 |
Tier 1, Leverage Capital to Average Assets, Minimum Regulatory Requirements to be "Well Capitalized", Ratio | 5.00% | 5.00% |
Calculation of Earnings Per S_3
Calculation of Earnings Per Share (Computation of Basic and Diluted Earnings per Share) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Calculation of Earnings Per Share [Abstract] | |||||||||||
Net income | $ 1,217 | $ 1,385 | $ 1,975 | $ 1,327 | $ 578 | $ 1,206 | $ 1,294 | $ 1,459 | $ 5,904 | $ 4,537 | $ 5,156 |
Weighted-average common shares outstanding | 4,987,186 | 4,765,165 | 4,801,245 | ||||||||
Basic earnings per share | $ 0.24 | $ 0.27 | $ 0.39 | $ 0.28 | $ 0.12 | $ 0.25 | $ 0.27 | $ 0.31 | $ 1.18 | $ 0.95 | $ 1.07 |
Common stock equivalents due to effect of stock options | 22,000 | 10,000 | 1,000 | ||||||||
Total weighted-average common shares and equivalents | 5,009,484 | 4,775,505 | 4,802,175 | ||||||||
Diluted earnings per share | $ 0.24 | $ 0.27 | $ 0.39 | $ 0.28 | $ 0.12 | $ 0.25 | $ 0.27 | $ 0.31 | $ 1.18 | $ 0.95 | $ 1.07 |
Anti-dilutive stock options outstanding | 6,000 | 401,000 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Accumulated Other Comprehensive Loss) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Accumulated Other Comprehensive Loss [Abstract] | |||
Unrealized (losses) gains on available for sale securities | $ (2,647) | $ (1,683) | $ (866) |
Unrecognized expense for defined benefit pension | (1,652) | (2,351) | (2,343) |
Accumulated other comprehensive loss | $ (4,299) | $ (4,034) | $ (3,209) |
Fair Value Measurements (Fair V
Fair Value Measurements (Fair Value Measurements by Level of Valuation Inputs) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | $ 141,953 | $ 153,824 |
Impaired loans | 3,648 | 8,259 |
Other real estate owned | 744 | 355 |
Measured at Fair Value on a Recurring Basis [Member] | Obligations of U.S. Government Agencies and Corporations [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 23,266 | 34,214 |
Measured at Fair Value on a Recurring Basis [Member] | Obligations of State and Political Subdivisions [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 18,181 | 24,981 |
Measured at Fair Value on a Recurring Basis [Member] | Mortgage-Backed Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 100,506 | 93,510 |
Measured at Fair Value on a Recurring Basis [Member] | Equity Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 1,119 | |
Measured at Fair Value on a Recurring Basis [Member] | (Level 1) Quoted Prices in Active Markets for Identical Assets [Member] | Equity Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 1,119 | |
Measured at Fair Value on a Recurring Basis [Member] | (Level 2) Significant Other Observable Inputs [Member] | Obligations of U.S. Government Agencies and Corporations [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 23,266 | 34,214 |
Measured at Fair Value on a Recurring Basis [Member] | (Level 2) Significant Other Observable Inputs [Member] | Obligations of State and Political Subdivisions [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 18,181 | 24,981 |
Measured at Fair Value on a Recurring Basis [Member] | (Level 2) Significant Other Observable Inputs [Member] | Mortgage-Backed Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 100,506 | 93,510 |
Measured at Fair Value on a Non-Recurring Basis [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Impaired loans | 1,104 | 1,574 |
Other real estate owned | 149 | 27 |
Mortgage servicing rights | 200 | 225 |
Measured at Fair Value on a Non-Recurring Basis [Member] | (Level 3) Significant Other Unobservable Inputs [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Impaired loans | 1,104 | 1,574 |
Other real estate owned | 149 | 27 |
Mortgage servicing rights | $ 200 | $ 225 |
Fair Value Measurements (Quanti
Fair Value Measurements (Quantitative Information for Assets Measured at Fair Value) (Details) | 12 Months Ended | |
Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Impaired loans | $ 3,648,000 | $ 8,259,000 |
Other real estate owned | 744,000 | 355,000 |
Impaired Loans [Member] | Appraisal and Liquidation Adjustments [Member] | Appraisal of Collateral [Member] | (Level 3) Significant Other Unobservable Inputs [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Impaired loans | 1,104,000 | 1,574,000 |
Other Real Estate Owned [Member] | Appraisal and Liquidation Adjustments [Member] | Appraisal of Collateral [Member] | (Level 3) Significant Other Unobservable Inputs [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Other real estate owned | $ 149,000 | $ 27,000 |
Other real estate owned, measurement input | 0.02 | 0.22 |
Mortgage Servicing Rights [Member] | Estimated Pre-Payment Speed, Based on Rate and Term [Member] | Multiple of Annual Servicing Fee [Member] | (Level 3) Significant Other Unobservable Inputs [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Mortgage servicing rights | $ 200,000 | $ 225,000 |
Maximum [Member] | Impaired Loans [Member] | Appraisal and Liquidation Adjustments [Member] | Appraisal of Collateral [Member] | (Level 3) Significant Other Unobservable Inputs [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Impaired Loans, measurement input | 0.15 | 0.13 |
Maximum [Member] | Mortgage Servicing Rights [Member] | Estimated Pre-Payment Speed, Based on Rate and Term [Member] | Multiple of Annual Servicing Fee [Member] | (Level 3) Significant Other Unobservable Inputs [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Mortgage servicing rights, measurement input | 4 | 4 |
Minimum [Member] | Impaired Loans [Member] | Appraisal and Liquidation Adjustments [Member] | Appraisal of Collateral [Member] | (Level 3) Significant Other Unobservable Inputs [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Impaired Loans, measurement input | 0 | 0 |
Minimum [Member] | Mortgage Servicing Rights [Member] | Estimated Pre-Payment Speed, Based on Rate and Term [Member] | Multiple of Annual Servicing Fee [Member] | (Level 3) Significant Other Unobservable Inputs [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Mortgage servicing rights, measurement input | 3 | 3 |
Weighted Average [Member] | Impaired Loans [Member] | Appraisal and Liquidation Adjustments [Member] | Appraisal of Collateral [Member] | (Level 3) Significant Other Unobservable Inputs [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Impaired Loans, measurement input | 0.14 | 0.08 |
Weighted Average [Member] | Other Real Estate Owned [Member] | Appraisal and Liquidation Adjustments [Member] | Appraisal of Collateral [Member] | (Level 3) Significant Other Unobservable Inputs [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Other real estate owned, measurement input | 0.02 | 0.22 |
Weighted Average [Member] | Mortgage Servicing Rights [Member] | Estimated Pre-Payment Speed, Based on Rate and Term [Member] | Multiple of Annual Servicing Fee [Member] | (Level 3) Significant Other Unobservable Inputs [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Mortgage servicing rights, measurement input | 3.69 | 3.71 |
Fair Value Measurements (Estima
Fair Value Measurements (Estimated Fair Values of Financial Instruments) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Interest bearing deposits with banks | $ 110 | $ 58 | |
Federal funds sold | 729 | ||
Interest bearing time deposits with banks | 3,290 | 350 | |
Investment securities available for sale | 141,953 | 153,824 | |
Restricted investment in bank stock | 2,441 | 3,104 | |
Non-interest bearing deposits | 126,057 | 115,911 | |
Interest bearing deposits | 395,665 | 361,757 | |
Short-term borrowings with Federal Home Loan Bank | 14,511 | 21,769 | $ 32,196 |
Long-term debt | 15,000 | 25,000 | |
Other interest bearing liabilities | 1,596 | 1,593 | |
Carrying Value [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Cash and due from banks | 15,617 | 9,839 | |
Interest bearing deposits with banks | 110 | 58 | |
Federal funds sold | 729 | ||
Interest bearing time deposits with banks | 3,290 | 350 | |
Investment securities available for sale | 141,953 | 153,824 | |
Restricted investment in bank stock | 2,441 | 3,104 | |
Loans, net of allowance for loan losses | 414,597 | 380,965 | |
Mortgage servicing rights | 200 | 225 | |
Accrued interest receivable | 1,681 | 1,582 | |
Non-interest bearing deposits | 126,057 | 115,911 | |
Interest bearing deposits | 395,665 | 361,757 | |
Securities sold under agreements to repurchase | 2,911 | 9,769 | |
Short-term borrowings with Federal Home Loan Bank | 11,600 | 12,000 | |
Long-term debt | 15,000 | 25,000 | |
Other interest bearing liabilities | 1,596 | 1,593 | |
Accrued interest payable | 289 | 300 | |
Commitments to extend credit | |||
Letters of credit | |||
Fair Value [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Cash and due from banks | 15,617 | 9,839 | |
Interest bearing deposits with banks | 110 | 58 | |
Federal funds sold | 729 | ||
Interest bearing time deposits with banks | 3,290 | 350 | |
Investment securities available for sale | 141,953 | 153,824 | |
Restricted investment in bank stock | 2,441 | 3,104 | |
Loans, net of allowance for loan losses | 415,195 | 372,906 | |
Mortgage servicing rights | 200 | 225 | |
Accrued interest receivable | 1,681 | 1,582 | |
Non-interest bearing deposits | 126,057 | 115,911 | |
Interest bearing deposits | 395,226 | 361,468 | |
Securities sold under agreements to repurchase | 2,911 | 9,769 | |
Short-term borrowings with Federal Home Loan Bank | 11,600 | 12,000 | |
Long-term debt | 14,958 | 24,885 | |
Other interest bearing liabilities | 1,597 | 1,595 | |
Accrued interest payable | 289 | 300 | |
Commitments to extend credit | |||
Letters of credit |
Fair Value Measurements (Schedu
Fair Value Measurements (Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Interest bearing time deposits with banks | $ 3,290 | $ 350 |
Interest bearing deposits | 395,665 | 361,757 |
Long-term debt | 15,000 | 25,000 |
Other interest bearing liabilities | 1,596 | 1,593 |
(Level 2) Significant Other Observable Inputs [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Interest bearing time deposits with banks | 3,290 | 350 |
Interest bearing deposits | 395,226 | 361,468 |
Long-term debt | 14,958 | 24,885 |
Other interest bearing liabilities | 1,597 | 1,595 |
(Level 3) Significant Other Unobservable Inputs [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Loans, net of allowance for loan losses | 415,195 | 372,906 |
Carrying Value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Interest bearing time deposits with banks | 3,290 | 350 |
Loans, net of allowance for loan losses | 414,597 | 380,965 |
Interest bearing deposits | 395,665 | 361,757 |
Long-term debt | 15,000 | 25,000 |
Other interest bearing liabilities | 1,596 | 1,593 |
Fair Value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Interest bearing time deposits with banks | 3,290 | 350 |
Loans, net of allowance for loan losses | 415,195 | 372,906 |
Interest bearing deposits | 395,226 | 361,468 |
Long-term debt | 14,958 | 24,885 |
Other interest bearing liabilities | $ 1,597 | $ 1,595 |
Revenue Recognition (Narrative)
Revenue Recognition (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Trust Fees [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Fees income recognized | $ 430 | $ 446 | $ 454 |
Asset Management Fees [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Fees income recognized | 367 | 371 | |
Estate Management Services [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Fees income recognized | $ 63 | $ 75 | |
Percentage of total estate fee recognized when all estate assets are collected and debts paid | 25.00% | ||
Percentage of total estate fee recognized when the inheritance tax return is filed | 50.00% | ||
Percentage of total estate fee recognized when the first and final account is confirmed | 25.00% |
Employee Benefit Plans (Narrati
Employee Benefit Plans (Narrative) (Details) - USD ($) | 12 Months Ended | |||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2007 | Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Benefit Plan Disclosure [Line Items] | ||||||
Stock-based compensation expense | $ 82,000 | $ 71,000 | $ 67,000 | |||
Weighted average exercise price | $ 17.76 | $ 17.91 | $ 17.97 | $ 18.07 | ||
Compensation costs not yet recognized | $ 111,000 | |||||
Employer's matching contribution | $ 199,000 | $ 189,000 | $ 179,000 | |||
Compensation cost not yet recognized, period for recognition | 3 years | |||||
Cash received from option exercises | $ 90,000 | 0 | 172,000 | |||
Debt and equity instruments included in the plan assets | $ 12,132,000 | 13,070,000 | ||||
Employer's safe harbor contribution rate | 3.00% | |||||
Employer's safe harbor contribution payable | $ 238,000 | |||||
Prior year contribution payable credited in current year | 224,000 | |||||
Defined contribution plan, cost recognized | $ 234,000 | $ 222,000 | $ 211,000 | |||
Percentage of increase (decrease) in pension liability | 9.00% | 12.00% | ||||
Settlement loss | $ 210,000 | $ 377,000 | ||||
Shares issued during period under employee stock purchase plans | 2,134 | 1,961 | 3,764 | |||
Deferred compensation liability | $ 1,602,000 | $ 1,609,000 | ||||
Deferred compensation, compensation expense | 40,000 | 33,000 | $ 32,000 | |||
Salary continuation liability | 1,256,000 | 1,264,000 | ||||
Salary continuation period expense | 103,000 | 127,000 | 185,000 | |||
Supplemental Employee Retirement Plan [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Present value of future plan liability | 215,000 | 261,000 | ||||
Supplemental retirement plans, cost recognized during period | $ 20,000 | $ 25,000 | 30,000 | |||
Employee Stock Option [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Award expiration period | 10 years | |||||
Award expiration date | Feb. 17, 2025 | |||||
Shares authorized under share-based payment awards | 300,000 | |||||
Shares available for grant | 164,955 | |||||
Exercise price, lower range limit | $ 17.22 | |||||
Exercise price, upper range limit | 18 | |||||
Weighted average exercise price | $ 17.91 | |||||
Weighted average remaining contractual life | 5 years 1 month 6 days | |||||
Restricted Stock [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Number of shares issued under long-term stock incentive plan | 5,220 | 4,650 | ||||
Award vesting period | 3 years | |||||
Unrecognized compensation cost related to non-vested awards | $ 109,000 | |||||
Employee Stock Purchase Plan [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Shares authorized under share-based payment awards | 250,000 | |||||
Shares available for grant | 172,959 | |||||
Number of share per year in addition to prior unissued shares | 5,000 | |||||
JVB Plan [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Estimated net period benefit cost to be recorded next year | $ 117,000 | |||||
Debt and equity instruments included in the plan assets | 12,182,000 | $ 13,117,000 | $ 13,117,000 | $ 13,840,000 | ||
Settlement loss | $ 210,000 | $ 377,000 | ||||
Percentage of vested benefit | 100.00% | |||||
JVB Plan [Member] | Equity Securities [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Plan assets, target allocation | 0.00% | |||||
Plan assets, actual allocation | 10.00% | 60.00% | ||||
JVB Plan [Member] | Fixed Income Securities [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Plan assets, target allocation | 100.00% | |||||
Plan assets, actual allocation | 90.00% | 40.00% | ||||
JVB Plan [Member] | Cash and Cash Equivalents [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Debt and equity instruments included in the plan assets | $ 50,000 | $ 46,000 | ||||
Maximum [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Option price as a percentage of fair value | 100.00% | |||||
Maximum [Member] | Employee Stock Option [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Award vesting period | 5 years | |||||
Minimum [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Option price as a percentage of fair value | 95.00% | |||||
Minimum [Member] | Employee Stock Option [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Award vesting period | 3 years |
Employee Benefit Plans (Compens
Employee Benefit Plans (Compensation Expense and Related Tax Benefits for Restricted Stock) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Net income effect | $ 82 | $ 71 | $ 67 |
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Compensation expense | 77 | 43 | 16 |
Tax benefit | (16) | (15) | (5) |
Net income effect | $ 61 | $ 28 | $ 11 |
Employee Benefit Plans (Summary
Employee Benefit Plans (Summary of Non-Vested Restricted Shares Activity) (Details) - Restricted Stock [Member] - $ / shares | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Number of shares | ||
Non-vested at January 1, 2018 | 7,800 | |
Vested | ||
Cancelled | ||
Granted | 5,220 | 4,650 |
Non-vested at December 31, 2018 | 13,020 | 7,800 |
Weighted Average Grant Date Fair Value | ||
Non-vested at January 1, 2018 | $ 18.10 | |
Vested | ||
Cancelled | ||
Granted | 19.80 | |
Non-vested at December 31, 2018 | $ 18.78 | $ 18.10 |
Employee Benefit Plans (Schedul
Employee Benefit Plans (Schedule of Stock Option Activity) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Employee Benefit Plans [Abstract] | |||
Outstanding at beginning of year, Shares | 125,026 | 139,155 | 142,524 |
Exercised, Shares | (5,170) | (9,704) | |
Forfeited, Shares | (6,100) | (4,425) | (3,369) |
Outstanding at end of year, Shares | 113,756 | 125,026 | 139,155 |
Options exercisable at year-end, Shares | 110,911 | 110,282 | 97,584 |
Outstanding at beginning of year, Weighted average exercise price | $ 17.91 | $ 17.97 | $ 18.07 |
Exercised, Weighted average exercise price | 17.47 | 17.74 | |
Forfeited, Weighted average exercise price | 21.10 | 20.05 | 22.36 |
Outstanding at end of year, Weighted average exercise price | $ 17.76 | $ 17.91 | $ 17.97 |
Intrinsic value of options exercised during the year | $ 15,240 | $ 10,807 | |
Intrinsic value of options outstanding and exercisable at December 31, 2018 | $ 387,318 |
Employee Benefit Plans (Sched_2
Employee Benefit Plans (Schedule of Stock Option Information by Grant Date) (Details) - $ / shares | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares outstanding | 113,756 | 125,026 | 139,155 | 142,524 |
Shares Exercisable | 110,911 | |||
Grant Date - 10/20/2009 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Granted, Weighted average exercise price | $ 17.22 | |||
Shares outstanding | 3,909 | |||
Contractual average life (years) | 9 months 18 days | |||
Shares Exercisable | 3,909 | |||
Grant Date - 9/20/2011 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Granted, Weighted average exercise price | $ 17.75 | |||
Shares outstanding | 13,200 | |||
Contractual average life (years) | 2 years 8 months 19 days | |||
Shares Exercisable | 13,200 | |||
Grant Date - 3/20/2012 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Granted, Weighted average exercise price | $ 18 | |||
Shares outstanding | 15,800 | |||
Contractual average life (years) | 3 years 2 months 19 days | |||
Shares Exercisable | 15,800 | |||
Grant Date - 2/19/2013 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Granted, Weighted average exercise price | $ 17.65 | |||
Shares outstanding | 16,622 | |||
Contractual average life (years) | 4 years 1 month 21 days | |||
Shares Exercisable | 16,622 | |||
Grant Date - 2/18/2014 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Granted, Weighted average exercise price | $ 17.72 | |||
Shares outstanding | 31,025 | |||
Contractual average life (years) | 5 years 1 month 17 days | |||
Shares Exercisable | 30,180 | |||
Grant Date - 2/17/2015 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Granted, Weighted average exercise price | $ 17.80 | |||
Shares outstanding | 33,200 | |||
Contractual average life (years) | 6 years 1 month 17 days | |||
Shares Exercisable | 31,200 |
Employee Benefit Plans (Sched_3
Employee Benefit Plans (Schedule of Allocation of Plan Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2014 |
Defined Benefit Plan Disclosure [Line Items] | ||||
Debt and equity instruments included in the plan assets | $ 12,132 | $ 13,070 | ||
Mutual Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Debt and equity instruments included in the plan assets | 11,891 | 12,857 | ||
Money Market Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Debt and equity instruments included in the plan assets | 241 | 213 | ||
(Level 1) Quoted Prices in Active Markets for Identical Assets [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Debt and equity instruments included in the plan assets | 12,132 | 13,070 | ||
(Level 1) Quoted Prices in Active Markets for Identical Assets [Member] | Mutual Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Debt and equity instruments included in the plan assets | 11,891 | 12,857 | ||
(Level 1) Quoted Prices in Active Markets for Identical Assets [Member] | Money Market Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Debt and equity instruments included in the plan assets | 241 | 213 | ||
JVB Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Debt and equity instruments included in the plan assets | $ 12,182 | $ 13,117 | $ 13,117 | $ 13,840 |
Employee Benefit Plans (Sched_4
Employee Benefit Plans (Schedule of Net Funded Status) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Change in plan assets | |||
Fair value of plan assets at beginning of year | $ 13,070 | ||
Fair value of plan assets at end of year | 12,132 | $ 13,070 | |
JVB Plan [Member] | |||
Change in projected benefit obligation (PBO) | |||
PBO at beginning of year | 15,554 | 16,332 | |
Interest cost | 521 | 621 | $ 666 |
Change in assumptions | (1,208) | 1,141 | |
Actuarial (gain) loss | (244) | 136 | |
Group annuity purchase | (1,974) | ||
Settlement payments | (1,485) | ||
Benefits paid | (583) | (702) | |
PBO at end of year | 12,555 | 15,554 | 16,332 |
Change in plan assets | |||
Fair value of plan assets at beginning of year | 13,117 | 13,117 | |
Actual return on plan assets, net of expenses | (217) | 1,953 | |
Employer contribution | 1,350 | ||
Group annuity purchase | (1,974) | ||
Benefits paid | (583) | (702) | |
Fair value of plan assets at end of year | 12,182 | 13,117 | $ 13,117 |
Funded status, included in other (liabilities) assets | (373) | (2,437) | |
Unrecognized actual loss | (884) | (3,081) | |
Accumulated benefit obligation | $ 12,555 | $ 15,554 |
Employee Benefit Plans (Compone
Employee Benefit Plans (Components of Net Periodic Pension Cost) (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Defined Benefit Plan Disclosure [Line Items] | ||||
Settlement loss | $ 210,000 | $ 377,000 | ||
Net loss (gain) | [1],[2] | 55,000 | (1,024,000) | $ 9,000 |
JVB Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Interest cost on projected benefit obligation | 521,000 | 621,000 | 666,000 | |
Expected return on plan assets | (690,000) | (793,000) | (795,000) | |
Settlement loss | 210,000 | 377,000 | ||
Recognized net actuarial loss | 129,000 | 207,000 | 248,000 | |
Net periodic benefit cost | 170,000 | 412,000 | 119,000 | |
Net loss (gain) | (449,000) | 117,000 | 173,000 | |
Amortization of net loss | (435,000) | (584,000) | (248,000) | |
Total recognized in other comprehensive loss (income) | (884,000) | (467,000) | (75,000) | |
Total recognized in net periodic benefit cost and other comprehensive loss (income) | $ (714,000) | $ (55,000) | $ 44,000 | |
[1] | Amounts are included in the computation of net periodic benefit cost and are included in employee benefits expense on the Consolidated Statements of Income as a separate element within total non-interest expense. | |||
[2] | Income tax amounts are included in the provision for income taxes on the Consolidated Statements of Income. |
Employee Benefit Plans (Sched_5
Employee Benefit Plans (Schedule of Assumptions Used) (Details) - JVB Plan [Member] | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Assumptions used calculating benefit obligation, discount rate | 4.10% | 3.50% | 4.00% |
Assumptions used calculating net periodic benefit cost, discount rate | 3.50% | 4.00% | 4.25% |
Assumptions used calculating net periodic benefit cost, expected long-term return on plan assets | 4.20% | 6.00% | 6.00% |
Employee Benefit Plans (Sched_6
Employee Benefit Plans (Schedule of Expected Benefit Payments) (Details) - JVB Plan [Member] $ in Thousands | Dec. 31, 2018USD ($) |
Defined Benefit Plan Disclosure [Line Items] | |
2019 | $ 626 |
2020 | 630 |
2021 | 620 |
2022 | 621 |
2023 | 631 |
2024-2028 | $ 3,406 |
Financial Instruments with Of_3
Financial Instruments with Off-Balance Sheet Risk (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Financial Instruments with off-Balance Sheet Risk [Abstract] | |
Maximum undiscounted exposure | $ 2,749,000 |
Underlying collateral upon liquidation | $ 22,963,000 |
Financial Instruments with Of_4
Financial Instruments with Off-Balance Sheet Risk (Summary of Financial Instrument Commitments) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Commitments to Grant Loans [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Outstanding letters of credit | $ 72,755 | $ 77,023 |
Unfunded Commitments Under Lines of Credit [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Outstanding letters of credit | 14,468 | 3,150 |
Outstanding Letters of Credit [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Outstanding letters of credit | $ 2,749 | $ 2,541 |
Related-Party Transactions (Nar
Related-Party Transactions (Narrative) (Details) - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 |
Related-Party Transactions [Abstract] | ||
Due from related parties | $ 7,780,000 | $ 7,939,000 |
Due from related parties, new loans in period | 10,714,000 | |
Due from related parties, repayments in period | $ 10,873,000 |
Commitments and Contingent Li_2
Commitments and Contingent Liabilities (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Loss Contingencies [Line Items] | |
Commitment period | 7 years |
Technology Outsourcing Services [Member] | |
Loss Contingencies [Line Items] | |
Percentage decrease in termination fees in each succeeding year, if terminated | 15.00% |
Service Bureau One [Member] | |
Loss Contingencies [Line Items] | |
Estimated contract termination fees | $ 1,672,000 |
Service Bureau Two [Member] | |
Loss Contingencies [Line Items] | |
Estimated contract termination fees | $ 1,542,000 |
Subsequent Events (Narrative) (
Subsequent Events (Narrative) (Details) - Subsequent Event [Member] | 1 Months Ended |
Jan. 31, 2019$ / shares | |
Subsequent Event [Line Items] | |
Dividends payable per share | $ 0.22 |
Dividends payable, date declared | Jan. 15, 2019 |
Dividends payable, date of record | Feb. 15, 2018 |
Dividends payable, date to be paid | Mar. 1, 2019 |
Juniata Valley Financial Corp_3
Juniata Valley Financial Corp. (Parent Company Only) (Schedule of Condensed Balance Sheets) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Cash and cash equivalents | $ 16,456 | $ 9,897 | ||
Investment in unconsolidated subsidiary | 4,812 | |||
Investment securities available for sale | 141,953 | 153,824 | ||
Total assets | 625,236 | 591,945 | ||
Stockholders' equity | 67,378 | 59,387 | $ 59,090 | $ 59,962 |
Total liabilities and stockholders' equity | 625,236 | 591,945 | ||
Parent Company [Member] | ||||
Cash and cash equivalents | 48 | 1,082 | ||
Investment in bank subsidiary | 65,909 | 52,522 | ||
Investment in unconsolidated subsidiary | 4,812 | |||
Investment securities available for sale | 1,193 | 1,169 | ||
Other assets | 641 | 224 | ||
Total assets | 67,791 | 59,809 | ||
Accounts payable and other liabilities | 413 | 422 | ||
Stockholders' equity | 67,378 | 59,387 | ||
Total liabilities and stockholders' equity | $ 67,791 | $ 59,809 |
Juniata Valley Financial Corp_4
Juniata Valley Financial Corp. (Parent Company Only) (Schedule of Condensed Statements of Income and Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income/gain from unconsolidated subsidiary | $ 296 | $ 167 | $ 222 | ||||||||
Gain (loss) on the sale of securities | $ (173) | $ (15) | $ 2 | $ 2 | $ 4 | $ 504 | (188) | 512 | 218 | ||
Change in equity security value | 43 | $ 4 | $ (52) | 6 | |||||||
Merger-related expenses | 259 | 185 | 376 | 64 | 13 | 884 | 13 | 347 | |||
Other non-interest expense | 19,461 | 17,775 | 17,178 | ||||||||
Income tax (benefit) provision | (187) | (29) | (372) | (71) | 359 | 127 | 244 | 330 | (659) | 1,060 | 819 |
Net income | $ 1,217 | $ 1,385 | $ 1,975 | $ 1,327 | $ 578 | $ 1,206 | $ 1,294 | $ 1,459 | 5,904 | 4,537 | 5,156 |
Comprehensive income | 5,795 | 4,300 | 4,150 | ||||||||
Parent Company [Member] | |||||||||||
Interest and dividends on investment securities available for sale | 44 | 44 | 59 | ||||||||
Dividends from bank subsidiary | 4,923 | 4,194 | 5,624 | ||||||||
Income/gain from unconsolidated subsidiary | 296 | 167 | 222 | ||||||||
Gain (loss) on the sale of securities | 314 | 166 | |||||||||
Change in equity security value | 26 | ||||||||||
Total income | 5,289 | 4,719 | 6,071 | ||||||||
Merger-related expenses | 134 | 13 | 66 | ||||||||
Other non-interest expense | 155 | 146 | 157 | ||||||||
Total expense | 289 | 159 | 223 | ||||||||
Income before income taxes (benefit) and equity in undistributed net income of subsidiary | 5,000 | 4,560 | 5,848 | ||||||||
Income tax (benefit) provision | (347) | (127) | 47 | ||||||||
Net income, Including Portion attributable to subsidiary | 5,347 | 4,687 | 5,801 | ||||||||
Undistributed net gain (loss) of subsidiary | 557 | (150) | (645) | ||||||||
Net income | 5,904 | 4,537 | 5,156 | ||||||||
Comprehensive income | $ 5,795 | $ 4,300 | $ 4,150 |
Juniata Valley Financial Corp_5
Juniata Valley Financial Corp. (Parent Company Only) (Schedule of Condensed Statements of Cash Flows) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Net income | $ 1,217 | $ 1,385 | $ 1,975 | $ 1,327 | $ 578 | $ 1,206 | $ 1,294 | $ 1,459 | $ 5,904 | $ 4,537 | $ 5,156 |
Net realized loss (gain) on sales and calls of securities | 188 | (512) | (218) | ||||||||
Change in equity security value | (43) | $ (4) | $ 52 | (6) | |||||||
Equity loss (gain) in unconsolidated subsidiary, net of dividends of $75, $61 and $55 | 194 | (106) | (167) | ||||||||
Equity gain from acquisition of unconsolidated subsidiary | (415) | ||||||||||
Stock-based compensation expense | 82 | 71 | 67 | ||||||||
Net cash provided by operating activities | 5,321 | 6,800 | 6,303 | ||||||||
Purchases of: Securities available for sale | (20,610) | (42,510) | (48,195) | ||||||||
Proceeds from the maturity and principal repayments of available for sale investment securities | 19,145 | 16,322 | 43,835 | ||||||||
Net cash received from acquisition | 7,561 | ||||||||||
Net cash provided by (used in) investing activities | 14,835 | (13,798) | (459) | ||||||||
Cash dividends | (4,411) | (4,194) | (4,226) | ||||||||
Purchase of treasury stock | (70) | (86) | (927) | ||||||||
Treasury stock issued for stock plans | 42 | 206 | 64 | ||||||||
Common stock issued for stock plans | 90 | ||||||||||
Net cash (used in) provided by financing activities | (13,597) | 7,336 | (6,743) | ||||||||
Net increase (decrease) in cash and cash equivalents | 6,559 | 338 | (899) | ||||||||
Cash and cash equivalents at beginning of year | 9,897 | 9,559 | 9,897 | 9,559 | 10,458 | ||||||
Cash and cash equivalents at end of year | 16,456 | 9,897 | 16,456 | 9,897 | 9,559 | ||||||
Equity method investment, dividends | 75 | 61 | 55 | ||||||||
Parent Company [Member] | |||||||||||
Net income | 5,904 | 4,537 | 5,156 | ||||||||
Undistributed net loss (income) of subsidiary | (556) | 150 | 645 | ||||||||
Net realized loss (gain) on sales and calls of securities | (314) | (166) | |||||||||
Change in equity security value | (26) | ||||||||||
Equity loss (gain) in unconsolidated subsidiary, net of dividends of $75, $61 and $55 | 194 | (106) | (167) | ||||||||
Equity gain from acquisition of unconsolidated subsidiary | (415) | ||||||||||
Stock-based compensation expense | 82 | 71 | 67 | ||||||||
Decrease (increase) in other assets | (93) | 513 | (413) | ||||||||
(Decrease) increase in taxes payable | (402) | (271) | 191 | ||||||||
(Decrease) increase in accounts payable and other liabilities | (12) | (254) | 1 | ||||||||
Net cash provided by operating activities | 4,676 | 4,326 | 5,314 | ||||||||
Purchases of: Securities available for sale | (470) | ||||||||||
Proceeds from the sale of available for sale securities | 734 | 252 | |||||||||
Net cash received from acquisition | (1,361) | ||||||||||
Net cash provided by (used in) investing activities | (1,361) | 734 | (218) | ||||||||
Cash dividends | (4,411) | (4,194) | (4,226) | ||||||||
Purchase of treasury stock | (70) | (86) | (927) | ||||||||
Treasury stock issued for stock plans | 90 | ||||||||||
Common stock issued for stock plans | 42 | 206 | 64 | ||||||||
Net cash (used in) provided by financing activities | (4,349) | (4,074) | (5,089) | ||||||||
Net increase (decrease) in cash and cash equivalents | (1,034) | 986 | 7 | ||||||||
Cash and cash equivalents at beginning of year | $ 1,082 | $ 96 | 1,082 | 96 | 89 | ||||||
Cash and cash equivalents at end of year | $ 48 | $ 1,082 | 48 | 1,082 | 96 | ||||||
Equity method investment, dividends | $ 75 | $ 61 | $ 55 |
Quarterly Results of Operatio_3
Quarterly Results of Operations (Unaudited) (Quarterly Results of Operations) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Apr. 29, 2018 | |
Total interest income | $ 6,139,000 | $ 6,129,000 | $ 5,944,000 | $ 5,439,000 | $ 5,395,000 | $ 5,457,000 | $ 5,348,000 | $ 5,174,000 | $ 23,651,000 | $ 21,374,000 | $ 20,469,000 | |
Total interest expense | 1,001,000 | 950,000 | 890,000 | 794,000 | 774,000 | 752,000 | 702,000 | 627,000 | 3,635,000 | 2,855,000 | 2,268,000 | |
Net interest income | 5,138,000 | 5,179,000 | 5,054,000 | 4,645,000 | 4,621,000 | 4,705,000 | 4,646,000 | 4,547,000 | 20,016,000 | 18,519,000 | 18,201,000 | |
Provision for loan losses | 106,000 | 32,000 | 41,000 | 158,000 | 50,000 | 149,000 | 135,000 | 105,000 | 337,000 | 439,000 | 466,000 | |
Change in equity security value | (43,000) | (4,000) | 52,000 | (6,000) | ||||||||
Gain (loss) on the sale of securities | (173,000) | (15,000) | 2,000 | 2,000 | 4,000 | 504,000 | (188,000) | 512,000 | 218,000 | |||
Other income | 1,332,000 | 1,245,000 | 1,444,000 | 1,195,000 | 1,199,000 | 1,217,000 | 1,252,000 | 1,112,000 | ||||
Merger and acquisition expense | 259,000 | 185,000 | 376,000 | 64,000 | 13,000 | 884,000 | 13,000 | 347,000 | ||||
Other expense | 4,859,000 | 4,847,000 | 4,530,000 | 4,341,000 | 4,822,000 | 4,442,000 | 4,229,000 | 4,269,000 | ||||
Income before income taxes | 1,030,000 | 1,356,000 | 1,603,000 | 1,256,000 | 937,000 | 1,333,000 | 1,538,000 | 1,789,000 | 5,245,000 | 5,597,000 | 5,975,000 | |
Income tax (benefit) provision | (187,000) | (29,000) | (372,000) | (71,000) | 359,000 | 127,000 | 244,000 | 330,000 | (659,000) | 1,060,000 | 819,000 | |
Net income | $ 1,217,000 | $ 1,385,000 | $ 1,975,000 | $ 1,327,000 | $ 578,000 | $ 1,206,000 | $ 1,294,000 | $ 1,459,000 | $ 5,904,000 | $ 4,537,000 | $ 5,156,000 | |
Basic earnings per share | $ 0.24 | $ 0.27 | $ 0.39 | $ 0.28 | $ 0.12 | $ 0.25 | $ 0.27 | $ 0.31 | $ 1.18 | $ 0.95 | $ 1.07 | |
Diluted earnings per share | 0.24 | 0.27 | 0.39 | 0.28 | 0.12 | 0.25 | 0.27 | 0.31 | 1.18 | 0.95 | 1.07 | |
Per-share data: Cash dividends | $ 0.22 | $ 0.22 | $ 0.22 | $ 0.22 | $ 0.22 | $ 0.22 | $ 0.22 | $ 0.22 | $ 0.88 | $ 0.88 | $ 0.88 | |
Deferred tax liability related to previous 39.16% ownership in LCB | $ 368,000 | $ 368,000 | ||||||||||
Previously Reported [Member] | ||||||||||||
Income tax (benefit) provision | $ 34,000 | |||||||||||
Net income | $ 1,569,000 | |||||||||||
Basic earnings per share | $ 0.31 | |||||||||||
Diluted earnings per share | $ 0.31 | |||||||||||
Liverpool Community Bank [Member] | ||||||||||||
Deferred tax liability related to previous 39.16% ownership in LCB | $ 406,000 |