Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2021 | Jul. 29, 2021 | |
Cover [Abstract] | ||
Entity Registrant Name | CITIZENS FINANCIAL SERVICES INC | |
Entity Central Index Key | 0000739421 | |
Current Fiscal Year End Date | --12-31 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2021 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
Document Transition Report | false | |
Entity File Number | 0-13222 | |
Entity Incorporation, State or Country Code | PA | |
Entity Tax Identification Number | 23-2265045 | |
Entity Address, Address Line One | 15 South Main Street | |
Entity Address, City or Town | Mansfield | |
Entity Address, State or Province | PA | |
Entity Address, Postal Zip Code | 16933 | |
City Area Code | 570 | |
Local Phone Number | 662‑2121 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 3,951,890 |
CONSOLIDATED BALANCE SHEET
CONSOLIDATED BALANCE SHEET - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 | |
Cash and due from banks: | |||
Noninterest-bearing | $ 17,403 | $ 16,374 | |
Interest-bearing | 90,791 | 52,333 | |
Total cash and cash equivalents | 108,194 | 68,707 | |
Interest bearing time deposits with other banks | 12,266 | 13,758 | |
Equity securities | 2,148 | 1,931 | |
Available-for-sale securities | 369,002 | 295,189 | |
Loans held for sale | 5,282 | 14,640 | |
Loans (net of allowance for loan losses: 2021, $16,931 and 2020, $15,815) | 1,398,178 | 1,389,466 | |
Premises and equipment | 17,243 | 16,948 | |
Accrued interest receivable | 5,564 | 5,998 | |
Goodwill | [1] | 31,376 | 31,376 |
Bank owned life insurance | 30,353 | 32,589 | |
Other intangibles | 1,705 | 1,668 | |
Other assets | 21,989 | 19,404 | |
TOTAL ASSETS | 2,003,300 | 1,891,674 | |
Deposits: | |||
Noninterest-bearing | 339,414 | 303,762 | |
Interest-bearing | 1,342,973 | 1,285,096 | |
Total deposits | 1,682,387 | 1,588,858 | |
Borrowed funds | 97,830 | 88,838 | |
Accrued interest payable | 789 | 1,017 | |
Other liabilities | 17,875 | 18,702 | |
TOTAL LIABILITIES | 1,798,881 | 1,697,415 | |
STOCKHOLDERS' EQUITY: | |||
Preferred Stock $1.00 par value; authorized 3,000,000 shares at June 30, 2021 and December 31, 2020; none issued in 2021 or 2020 | 0 | 0 | |
Common stock $1.00 par value; authorized 25,000,000 shares at June 30, 2021 and December 31, 2020; issued 4,388,901 at June 30, 2021 and 4,350,342 at December 31, 2020 | 4,389 | 4,350 | |
Additional paid-in capital | 78,412 | 75,908 | |
Retained earnings | 135,714 | 126,627 | |
Accumulated other comprehensive income | 1,610 | 2,587 | |
Treasury stock, at cost: 437,328 shares at June 30, 2021 and 428,492 shares at December 31, 2020 | (15,706) | (15,213) | |
TOTAL STOCKHOLDERS' EQUITY | 204,419 | 194,259 | |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 2,003,300 | $ 1,891,674 | |
[1] | Excludes fully amortized intangible assets |
CONSOLIDATED BALANCE SHEET (Par
CONSOLIDATED BALANCE SHEET (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
ASSETS: | ||
Loans, allowance for loan losses | $ 16,931 | $ 15,815 |
STOCKHOLDERS' EQUITY: | ||
Preferred Stock, par value (in dollars per share) | $ 1 | $ 1 |
Preferred Stock, authorized (in shares) | 3,000,000 | 3,000,000 |
Preferred Stock, issued (in shares) | 0 | 0 |
Common Stock, par value (in dollars per share) | $ 1 | $ 1 |
Common Stock, authorized (in shares) | 25,000,000 | 25,000,000 |
Common Stock, issued (in shares) | 4,388,901 | 4,350,342 |
Treasury stock, shares (in shares) | 437,328 | 428,492 |
CONSOLIDATED STATEMENT OF INCOM
CONSOLIDATED STATEMENT OF INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
INTEREST INCOME: | ||||
Interest and fees on loans | $ 16,370 | $ 16,407 | $ 33,064 | $ 30,045 |
Interest-bearing deposits with banks | 111 | 97 | 217 | 192 |
Investment securities: | ||||
Taxable | 941 | 1,126 | 1,791 | 2,233 |
Nontaxable | 547 | 463 | 1,091 | 852 |
Dividends | 106 | 67 | 207 | 177 |
TOTAL INTEREST INCOME | 18,075 | 18,160 | 36,370 | 33,499 |
INTEREST EXPENSE: | ||||
Deposits | 1,525 | 1,657 | 3,123 | 3,644 |
Borrowed funds | 338 | 217 | 594 | 679 |
TOTAL INTEREST EXPENSE | 1,863 | 1,874 | 3,717 | 4,323 |
NET INTEREST INCOME | 16,212 | 16,286 | 32,653 | 29,176 |
Provision for loan losses | 500 | 550 | 1,150 | 950 |
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES | 15,712 | 15,736 | 31,503 | 28,226 |
NON-INTEREST INCOME: | ||||
Service charges | 1,163 | 914 | 2,269 | 1,995 |
Trust | 185 | 145 | 492 | 343 |
Brokerage and insurance | 406 | 249 | 782 | 589 |
Gains on loans sold | 311 | 260 | 814 | 427 |
Equity security gains (losses), net | 29 | 11 | 216 | (243) |
Available for sale security gains, net | 0 | 117 | 50 | 117 |
Earnings on bank owned life insurance | 163 | 178 | 1,478 | 334 |
Other | 449 | 195 | 840 | 358 |
TOTAL NON-INTEREST INCOME | 2,706 | 2,069 | 6,941 | 3,920 |
NON-INTEREST EXPENSES: | ||||
Salaries and employee benefits | 6,481 | 5,895 | 12,744 | 11,309 |
Occupancy | 711 | 651 | 1,494 | 1,177 |
Furniture and equipment | 141 | 189 | 284 | 320 |
Professional fees | 395 | 438 | 843 | 763 |
FDIC insurance | 129 | 135 | 258 | 206 |
Pennsylvania shares tax | 178 | 259 | 517 | 534 |
Amortization of intangibles | 49 | 55 | 98 | 105 |
Merger and acquisition | 0 | 1,803 | 0 | 2,179 |
Software expenses | 354 | 246 | 667 | 493 |
ORE expenses | 167 | 159 | 253 | 191 |
Other | 1,715 | 1,583 | 3,109 | 3,057 |
TOTAL NON-INTEREST EXPENSES | 10,320 | 11,413 | 20,267 | 20,334 |
Income before provision for income taxes | 8,098 | 6,392 | 18,177 | 11,812 |
Provision for income taxes | 1,451 | 1,054 | 3,067 | 1,943 |
NET INCOME | $ 6,647 | $ 5,338 | $ 15,110 | $ 9,869 |
PER COMMON SHARE DATA: | ||||
Net Income - Basic (in dollars per share) | $ 1.69 | $ 1.37 | $ 3.83 | $ 2.64 |
Net Income - Diluted (in dollars per share) | 1.69 | 1.37 | 3.83 | 2.64 |
Cash Dividends Paid (in dollars per share) | $ 0.460 | $ 0.446 | $ 0.920 | $ 0.989 |
Number of shares used in computation - basic (in shares) | 3,944,488 | 3,883,734 | 3,946,184 | 3,737,759 |
Number of shares used in computation - diluted (in shares) | 3,944,560 | 3,884,763 | 3,946,219 | 3,738,273 |
CONSOLIDATED STATEMENT OF COMPR
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME [Abstract] | ||||
Net income | $ 6,647 | $ 5,338 | $ 15,110 | $ 9,869 |
Other comprehensive income (loss): | ||||
Change in unrealized gains (losses) on available for sale securities | 1,441 | 400 | (2,653) | 4,735 |
Income tax effect | (302) | (84) | 557 | (995) |
Change in unrecognized pension cost | 82 | 267 | 173 | 424 |
Income tax effect | (18) | (56) | (37) | (90) |
Change in unrealized loss on interest rate swaps | (754) | (566) | 1,293 | (566) |
Income tax effect | 159 | 120 | (271) | 120 |
Less: Reclassification adjustment for investment security gains included in net income | 0 | (117) | (50) | (117) |
Income tax effect | 0 | 25 | 11 | 25 |
Other comprehensive income (loss), net of tax | 608 | (11) | (977) | 3,536 |
Comprehensive income | $ 7,255 | $ 5,327 | $ 14,133 | $ 13,405 |
CONSOLIDATED STATEMENT OF CHANG
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Treasury Stock [Member] | Total |
Balance at Dec. 31, 2019 | $ 3,939 | $ 55,089 | $ 110,800 | $ (629) | $ (14,425) | $ 154,774 |
Balance (in shares) at Dec. 31, 2019 | 3,938,668 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 9,869 | 9,869 | ||||
Net other comprehensive income (loss) | 3,536 | 3,536 | ||||
Stock dividend | $ 38 | 1,878 | 0 | |||
Stock dividend | (1,916) | |||||
Stock dividend (in shares) | 38,318 | |||||
Issuance of Common stock | $ 373 | 18,854 | 19,227 | |||
Issuance of Common stock (in shares) | 373,356 | |||||
Purchase of treasury stock | (1,502) | (1,502) | ||||
Restricted stock, executive and Board of Director awards | (233) | 338 | 105 | |||
Restricted stock vesting | 281 | 281 | ||||
Cash dividend reinvestment paid from treasury stock | (6) | 0 | 564 | 558 | ||
Cash dividends | (3,753) | (3,753) | ||||
Balance at Jun. 30, 2020 | $ 4,350 | 75,863 | 115,000 | 2,907 | (15,025) | 183,095 |
Balance (in shares) at Jun. 30, 2020 | 4,350,342 | |||||
Balance at Mar. 31, 2020 | $ 3,939 | 55,129 | 113,374 | 2,918 | (15,437) | 159,923 |
Balance (in shares) at Mar. 31, 2020 | 3,938,668 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 5,338 | 5,338 | ||||
Net other comprehensive income (loss) | (11) | (11) | ||||
Stock dividend | $ 38 | 1,878 | 0 | |||
Stock dividend | (1,916) | |||||
Stock dividend (in shares) | 38,318 | |||||
Issuance of Common stock | $ 373 | 18,854 | 19,227 | |||
Issuance of Common stock (in shares) | 373,356 | |||||
Purchase of treasury stock | (223) | (223) | ||||
Restricted stock, executive and Board of Director awards | (234) | 326 | 92 | |||
Restricted stock vesting | 241 | 241 | ||||
Cash dividend reinvestment paid from treasury stock | (5) | 0 | 309 | 304 | ||
Cash dividends | (1,796) | (1,796) | ||||
Balance at Jun. 30, 2020 | $ 4,350 | 75,863 | 115,000 | 2,907 | (15,025) | 183,095 |
Balance (in shares) at Jun. 30, 2020 | 4,350,342 | |||||
Balance at Dec. 31, 2020 | $ 4,350 | 75,908 | 126,627 | 2,587 | (15,213) | 194,259 |
Balance (in shares) at Dec. 31, 2020 | 4,350,342 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 15,110 | 15,110 | ||||
Net other comprehensive income (loss) | (977) | (977) | ||||
Stock dividend | $ 39 | 2,313 | 0 | |||
Stock dividend | (2,352) | |||||
Stock dividend (in shares) | 38,559 | |||||
Purchase of treasury stock | (849) | (849) | ||||
Restricted stock, executive and Board of Director awards | (215) | 359 | 144 | |||
Restricted stock vesting | 403 | 403 | ||||
Forfeited restricted stock | 3 | (3) | 0 | |||
Cash dividends | (3,671) | (3,671) | ||||
Balance at Jun. 30, 2021 | $ 4,389 | 78,412 | 135,714 | 1,610 | (15,706) | 204,419 |
Balance (in shares) at Jun. 30, 2021 | 4,388,901 | |||||
Balance at Mar. 31, 2021 | $ 4,350 | 75,908 | 133,270 | 1,002 | (15,723) | 198,807 |
Balance (in shares) at Mar. 31, 2021 | 4,350,342 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 6,647 | 6,647 | ||||
Net other comprehensive income (loss) | 608 | 608 | ||||
Stock dividend | $ 39 | 2,313 | 0 | |||
Stock dividend | (2,352) | |||||
Stock dividend (in shares) | 38,559 | |||||
Purchase of treasury stock | (336) | (336) | ||||
Restricted stock, executive and Board of Director awards | (207) | 353 | 146 | |||
Restricted stock vesting | 398 | 398 | ||||
Cash dividends | (1,851) | (1,851) | ||||
Balance at Jun. 30, 2021 | $ 4,389 | $ 78,412 | $ 135,714 | $ 1,610 | $ (15,706) | $ 204,419 |
Balance (in shares) at Jun. 30, 2021 | 4,388,901 |
CONSOLIDATED STATEMENT OF CHA_2
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY [Abstract] | ||||
Purchase of treasury stock (in shares) | 5,554 | 4,505 | 14,756 | 27,917 |
Restricted stock (in shares) | 5,331 | 6,447 | 5,419 | 6,651 |
Cash dividend reinvestment paid from treasury stock (in shares) | 6,120 | 10,276 | ||
Cash dividends (in dollars per share) | $ 0.460 | $ 0.446 | $ 0.920 | $ 0.989 |
CONSOLIDATED STATEMENT OF CASH
CONSOLIDATED STATEMENT OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Apr. 17, 2020 | ||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||
Net income | $ 15,110 | $ 9,869 | ||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||
Provision for loan losses | 1,150 | 950 | ||
Depreciation and amortization | 566 | 532 | ||
Amortization and accretion of loans and other assets | (2,333) | (1,796) | ||
Amortization and accretion of investment securities | 1,091 | 277 | ||
Deferred income taxes | 1,029 | 173 | ||
Investment securities (gains) losses, net | (266) | 126 | ||
Earnings on bank owned life insurance | (1,478) | (334) | ||
Originations of loans held for sale | (25,914) | (31,889) | ||
Proceeds from sales of loans held for sale | 35,812 | 15,542 | ||
Realized gains on loans sold | (814) | (427) | ||
Decrease (increase) in accrued interest receivable | 434 | (809) | ||
Decrease in accrued interest payable | (228) | (364) | ||
Other, net | (2,436) | 2,444 | ||
Net cash provided by (used in) operating activities | 21,723 | (5,706) | ||
Available-for-sale securities: | ||||
Proceeds from sales | 5,045 | 5,476 | ||
Proceeds from maturity and principal repayments | 28,433 | 44,204 | ||
Purchase of securities | (111,036) | (76,877) | ||
Purchase of equity securities | 0 | (245) | ||
Purchase of interest bearing time deposits with other banks | 0 | (350) | ||
Proceeds from life insurance | 3,714 | 0 | ||
Proceeds from matured interest bearing time deposits with other banks | 1,492 | 350 | ||
Proceeds from redemption of regulatory stock | 2,235 | 6,383 | ||
Purchase of regulatory stock | (2,025) | (3,923) | ||
Net increase in loans | (7,758) | (22,949) | ||
Purchase of premises and equipment | (858) | (561) | ||
Proceeds from sale of foreclosed assets held for sale | 524 | 466 | ||
Acquisition, net of cash paid | 0 | 1,023 | ||
Net cash used in investing activities | (80,234) | (47,003) | ||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||
Net increase in deposits | 93,529 | 93,339 | ||
Proceeds from long-term borrowings | 9,869 | 5,000 | ||
Repayments of long-term borrowings | (2,000) | (3,000) | ||
Net (decrease) increase in short-term borrowed funds | 1,120 | (17,423) | ||
Purchase of treasury and restricted stock | (849) | (1,502) | ||
Dividends paid | (3,671) | (3,195) | ||
Net cash provided by financing activities | 97,998 | 73,219 | ||
Net increase in cash and cash equivalents | 39,487 | 20,510 | ||
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD | 68,707 | 18,520 | ||
CASH AND CASH EQUIVALENTS AT END OF PERIOD | 108,194 | 39,030 | ||
Supplemental Disclosures of Cash Flow Information: | ||||
Interest paid | 3,945 | 4,523 | ||
Income taxes paid | 3,500 | 0 | ||
Loans transferred to foreclosed property | 517 | 0 | ||
Right of use asset and liability | 211 | 0 | ||
Stock dividend | 2,352 | $ 1,916 | ||
Non-cash assets acquired | ||||
Goodwill | [1] | $ 31,376 | ||
MidCoast Community Bancorp, Inc [Member] | ||||
Non-cash assets acquired | ||||
Available-for-sale securities | $ 0 | |||
Interest bearing time deposits with other banks | 0 | |||
Loans | 223,235 | |||
Premises and equipment | 1,787 | |||
Accrued interest receivable | 586 | |||
Bank owned life insurance | 3,766 | |||
Intangibles | 157 | |||
Deferred tax asset | 3,402 | |||
Other assets | 2,878 | |||
Goodwill | 8,080 | |||
Total Non-cash assets acquired | 243,891 | |||
Liabilities assumed | ||||
Noninterest-bearing deposits | 38,694 | |||
Interest-bearing deposits | 170,132 | |||
Accrued interest payable | 164 | |||
Borrowed funds | 15,497 | |||
Other liabilities | 1,198 | |||
Total liabilities assumed | 225,685 | |||
Net non-cash assets acquired | 18,206 | |||
Cash and cash equivalents acquired | $ 8,637 | |||
[1] | Excludes fully amortized intangible assets |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2021 | |
Basis of Presentation [Abstract] | |
Basis of Presentation | Note 1 – Basis of Presentation Citizens Financial Services, Inc. (individually and collectively with its direct and indirect subsidiaries, the “Company”) is a Pennsylvania corporation and the holding company of its wholly owned subsidiary, First Citizens Community Bank (the “Bank”), and of the Bank’s wholly owned subsidiaries, First Citizens Insurance Agency, Inc. (“First Citizens Insurance”) and 1 st Realty of PA LLC (“Realty”). The accompanying consolidated financial statements have been prepared pursuant to rules and regulations of the Securities and Exchange Commission (“SEC”) and in conformity with U.S. generally accepted accounting principles. Because this report is based on an interim period, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles have been condensed or omitted. Certain of the prior year amounts have been reclassified to conform with the current year presentation. Such reclassifications had no effect on net income or stockholders’ equity. All material inter‑company balances and transactions have been eliminated in consolidation. In the opinion of management of the Company, the accompanying interim consolidated financial statements at June 30, 2021 and for the periods ended June 30, 2021 and 2020 include all adjustments, consisting of only normal recurring adjustments, necessary for a fair presentation of the financial condition and the results of operations at the dates and for the periods presented. In preparing the consolidated financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the balance sheet and of revenues and expenses for the periods covered by the Consolidated Statement of Income. The financial performance reported for the Company for the three and six month periods ended June 30, 2021 is not necessarily indicative of the results to be expected for the full year. This information should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2020. |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Jun. 30, 2021 | |
Revenue Recognition [Abstract] | |
Revenue Recognition | Note 2 – Revenue Recognition In accordance with ASC 606, Management determined that the primary sources of revenue emanating from interest and dividend income on loans and investments along with noninterest revenue resulting from investment security gains, loan servicing, gains on loans sold and earnings on bank owned life insurances are not within the scope of ASC 606. The main types of noninterest income within the scope of the standard are as follows: • Service charges on deposit accounts – The Company has contracts with its deposit customers where fees are charged if certain parameters are not met. These agreements can be cancelled at any time by either the Company or the deposit customer. Revenue from these transactions is recognized on a monthly basis as the Company has an unconditional right to the fee consideration. The Company also has transaction fees related to specific transactions or activities resulting from a customer request or activity that include overdraft fees, online banking fees, interchange fees, ATM fees and other transaction fees. All of these fees are attributable to specific performance obligations of the Company where the revenue is recognized at a defined point in time upon the completion of the requested service/transaction. • Trust fees – Typical contracts for trust services are based on a fixed percentage of the assets earned ratably over a defined period and billed on a monthly basis. Fees charged to customers’ accounts are recognized as revenue over the period during which the Company fulfills its performance obligation under the contract (i.e., holding client asset in a managed fiduciary trust account). For these accounts, the performance obligation of the Company is typically satisfied by holding and managing the customer’s assets over time. Other fees related to specific customer requests are attributable to specific performance obligations of the Company where the revenue is recognized at a defined point in time, upon completion of the requested service/transaction. • Gains and losses on sale of other real estate owned – Gains and losses are recognized at the completion of the property sale when the buyer obtains control of the real estate and all of the performance obligations of the Company have been satisfied. Evidence of the buyer obtaining control of the asset include transfer of the property title, physical possession of the asset, and the buyer obtaining control of the risks and rewards related to the asset. In situations where the Company agrees to provide financing to facilitate the sale, additional analysis is performed to ensure that the contract for sale identifies the buyer and seller, the asset to be transferred, payment terms, and that the contract has a true commercial substance and that collection of amounts due from the buyer are reasonable. In situations where financing terms are not reflective of current market terms, the transaction price is discounted impacting the gain/loss and the carrying value of the asset. • Brokerage and insurance – Fees includes commissions from the sales of investments and insurance products recognized on a trade date basis as the performance obligation is satisfied at the point in time in which the trade is processed. Additional fees are based on a percentage of the market value of customer accounts and billed on a monthly or quarterly basis. The Company’s performance obligation under the contracts with certain customers is generally satisfied through the passage of time as the Company monitors and manages the assets in the customer’s portfolio and is not dependent on certain return or performance level of the customer’s portfolio. Fees for these services are billed monthly and are recorded as revenue at the end of the month for which the wealth management service has been performed. Other performance obligations (such as the delivery of account statements to customers) are generally considered immaterial to the overall transaction price. The following table depicts the disaggregation of revenue derived from contracts with customers to depict the nature, amount, timing, and uncertainty of revenue and cash flows for the three and six months ended June 30, 2021 and 2020 (in thousands). All revenue in the table below relates to goods and services transferred at a point in time. Three Months Ended Six June 30, June 30 Revenue stream 2021 2020 2021 2020 Service charges on deposit accounts Overdraft fees $ 247 206 $ 505 $ 565 Statement fees 56 50 112 106 Interchange revenue 704 555 1,343 1,077 ATM income 101 59 199 142 Other service charges 55 44 110 105 Total Service Charges 1,163 914 2,269 1,995 Trust 185 145 492 343 Brokerage and insurance 406 249 782 589 Other 119 138 228 245 Total $ 1,873 $ 1,446 $ 3,771 $ 3,172 |
Earnings per Share
Earnings per Share | 6 Months Ended |
Jun. 30, 2021 | |
Earnings per Share [Abstract] | |
Earnings per Share | Note 3 – Earnings per Share The following table sets forth the computation of earnings per share. Three months ended Six June 30, June 30 2021 2020 2021 2020 Net income applicable to common stock $ 6,647 $ 5,338 $ 15,110 $ 9,869 Basic earnings per share computation Weighted average common shares outstanding 3,944,488 3,883,734 3,946,184 3,737,759 Earnings per share - basic $ 1.69 $ 1.37 $ 3.83 $ 2.64 Diluted earnings per share computation Weighted average common shares outstanding for basic earnings per share 3,944,488 3,883,734 3,946,184 3,737,759 Add: Dilutive effects of restricted stock 72 1,029 35 514 Weighted average common shares outstanding for dilutive earnings per share 3,944,560 3,884,763 3,946,219 3,738,273 Earnings per share - diluted $ 1.69 $ 1.37 $ 3.83 $ 2.64 For the three months ended June 30, 2021 and 2020, there were 2,479 and 6,304 shares, respectively, related to the restricted stock plan that were excluded from the diluted earnings per share calculations since they were anti-dilutive. These anti-dilutive shares had per share prices ranging from $51.14-$62.33 for the three month period ended June 30, 2021 and per share prices ranging from for the three month period ended June 30, 2020. For the six months ended June 30, 2021 and 2020, and shares, respectively, related to the restricted stock plan were excluded from the diluted earnings per share calculations since they were anti-dilutive. These anti-dilutive shares had prices ranging from $ -$ for the six month period ended June 30, 2021 and prices ranging from $ -$ for the six month period ended June 30, 2020. |
Investments
Investments | 6 Months Ended |
Jun. 30, 2021 | |
Investments [Abstract] | |
Investments | Note 4 – Investments The amortized cost, gross unrealized gains and losses, and fair value of investment securities at June 30, 2021 and December 31, 2020 were as follows (in thousands): June 30 2021 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Available-for-sale securities: U.S. agency securities $ 83,329 $ 1,727 $ (545 ) $ 84,511 U.S. treasury securities 69,408 404 (127 ) 69,685 Obligations of state and political subdivisions 106,369 2,858 (72 ) 109,155 Corporate obligations 10,892 67 (4 ) 10,955 Mortgage-backed securities in government sponsored entities 94,038 1,210 (552 ) 94,696 Total available-for-sale securities $ 364,036 $ 6,266 $ (1,300 ) $ 369,002 December 31 2020 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Available-for-sale securities: U.S. agency securities $ 79,065 $ 2,403 $ (52 ) $ 81,416 U.S. treasury securities 27,442 601 - 28,043 Obligations of state and political subdivisions 100,089 2,938 (55 ) 102,972 Corporate obligations 6,413 96 - 6,509 Mortgage-backed securities in government sponsored entities 74,512 1,874 (137 ) 76,249 Total available-for-sale securities $ 287,521 $ 7,912 $ (244 ) $ 295,189 The following table shows the Company’s gross unrealized losses and fair value of the Company’s investments with unrealized losses that are not deemed to be other-than-temporarily impaired, aggregated by investment category and length of time, which individual securities have been in a continuous unrealized loss position, at June 30, 2021 and December 31, 2020 (in thousands). As of June 30, 2021, the Company owned 77 securities whose fair value was less than their cost basis. June 30 2021 Less than Twelve Months Twelve Months or Greater Total Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses U.S. agency securities $ 32,225 $ (545 ) $ - $ - $ 32,225 $ (545 ) U.S. treasury securities 28,482 (127 ) - - 28,482 (127 ) Obligations of state and political subdivisions 8,651 (35 ) 3,239 (37 ) 11,890 (72 ) Corporate obligations 496 (4 ) - - 496 (4 ) Mortgage-backed securities in government sponsored entities 43,942 (526 ) 2,111 (26 ) 46,053 (552 ) Total securities $ 113,796 $ (1,237 ) $ 5,350 $ (63 ) $ 119,146 $ (1,300 ) December 31 2020 Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses U.S. agency securities $ 13,720 $ (52 ) $ - $ - $ 13,720 $ (52 ) Obligations of states and political subdivisions 5,407 (55 ) - - 5,407 (55 ) Mortgage-backed securities in government sponsored entities 14,600 (99 ) 5,633 (38 ) 20,233 (137 ) Total securities $ 33,727 $ (206 ) $ 5,633 $ (38 ) $ 39,360 $ (244 ) As of June 30, 2021 and December 31, 2020, the Company’s investment securities portfolio contained unrealized losses on agency securities issued or backed by the full faith and credit of the United States government or are generally viewed as having the implied guarantee of the U.S. government, obligations of states and political subdivisions, corporate obligations and mortgage backed securities issued by government sponsored entities. For fixed maturity investments management considers whether the present value of cash flows expected to be collected are less than the security’s amortized cost basis (the difference defined as the credit loss), the magnitude and duration of the decline, the reasons underlying the decline and the Company’s intent to sell the security or whether it is more likely than not that the Company would be required to sell the security before its anticipated recovery in fair value, to determine whether the loss in value is other than temporary. Once a decline in value is determined to be other than temporary, if the Company does not intend to sell the security, and it is more likely than not that it will not be required to sell the security before recovery of the security’s amortized cost basis, the charge to earnings is limited to the amount of credit loss. Any remaining difference between fair value and amortized cost (the difference defined as the non-credit portion) is recognized in other comprehensive income, net of applicable taxes. Otherwise, the entire difference between fair value and amortized cost is charged to earnings. The Company has concluded that any impairment of its investment securities portfolio outlined in the above table is not other than temporary and is the result of interest rate changes, sector credit rating changes, or issuer-specific rating changes that are not expected to result in the non-collection of principal and interest during the period. Proceeds from sales of securities available-for-sale for the six months ended June 30, 2021 and 2020 were , respectively. There were sales of available-for-sale securities during the three months ended June 30, 2021. Proceeds from sales of securities available-for-sale for the three months ended June 30, 2020 were $ . The gross gains and losses were as follows (in s): Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 Gross gains on available for sale securities $ - $ 117 $ 50 $ 117 Gross losses on available for sale securities - - - - Net gains $ - $ 117 $ 50 $ 117 The following table presents the net gains (losses) on the Company’s equity investments recognized in earnings during the three and six month periods ended June 30, 2021 and 2020, and the portion of unrealized gains for the period that relates to equity investments held at June 30, 2021 and 2020 (in thousands): Three Months Ended June 30, Six June 30 Equity securities 2021 2020 2021 2020 Net gains (losses) recognized in equity securities during the period $ 29 $ 11 $ 216 $ (243 ) Less: Net gains realized on the sale of equity securities during the period - - - - Net unrealized gains (losses) $ 29 $ 11 $ 216 $ (243 ) Investment securities with an approximate carrying value of $263.5 million and $245.4 million at June 30, 2021 and December 31, 2020, respectively, were pledged to secure public funds, certain other deposits and borrowing lines. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. The amortized cost and fair value of debt securities (excludes equity securities) at June 30, 2021, by contractual maturity, are shown below (in thousands): Amortized Cost Fair Value Available-for-sale debt securities: Due in one year or less $ 23,487 $ 23,744 Due after one year through five years 77,822 79,805 Due after five years through ten years 110,884 111,619 Due after ten years 151,843 153,834 Total $ 364,036 $ 369,002 |
Loans
Loans | 6 Months Ended |
Jun. 30, 2021 | |
Loans [Abstract] | |
Loans | Note 5 – Loans The Company grants loans primarily to customers throughout north central, central and south central Pennsylvania and the southern tier of New York. The recently completed MidCoast acquisition has expanded our lending market into Wilmington and Dover, Delaware. Although the Company had a diversified loan portfolio at and , a substantial portion of its debtors’ ability to honor their contracts is dependent on the economic conditions within these regions. The following table summarizes the primary segments of the loan portfolio and how those segments are analyzed within the allowance for loan losses as of and June 30 2021 Total Loans Individually evaluated for impairment Loans acquired with deteriorated credit quality Collectively evaluated for impairment Real estate loans: Residential $ 202,171 $ 708 $ 19 $ 201,444 Commercial 641,633 8,844 2,235 630,554 Agricultural 310,274 4,490 1,647 304,137 Construction 63,065 - - 63,065 Consumer 8,684 - - 8,684 Other commercial loans 104,349 933 43 103,373 Other agricultural loans 33,720 1,047 - 32,673 State and political subdivision loans 51,213 - - 51,213 Total 1,415,109 16,022 3,944 1,395,143 Allowance for loan losses 16,931 269 - 16,662 Net loans $ 1,398,178 $ 15,753 $ 3,944 $ 1,378,481 December 31, 2020 Total Loans Individually evaluated for impairment Loans acquired with deteriorated credit quality Collectively evaluated for impairment Real estate loans: Residential $ 201,911 $ 990 $ 20 $ 200,901 Commercial 596,255 9,183 2,937 584,135 Agricultural 315,158 4,645 1,686 308,827 Construction 35,404 - - 35,404 Consumer 30,277 2 - 30,275 Other commercial loans 114,169 1,335 232 112,602 Other agricultural loans 48,779 1,122 - 47,657 State and political subdivision loans 63,328 - - 63,328 Total 1,405,281 17,277 4,875 1,383,129 Allowance for loan losses 15,815 510 - 15,305 Net loans $ 1,389,466 $ 16,767 $ 4,875 $ 1,367,824 During 2021 the Company continued its participation in the Paycheck Protection Program (“PPP”), administered directly by the U.S. Small Business Administration (the “SBA”). The PPP provides loans to small businesses who were affected by economic conditions as a result of COVID -19 to provide cash-flow assistance to employers who maintain their payroll (including healthcare and certain related expenses), mortgage interest, rent, leases, utilities and interest on existing debt during the COVID -19 emergency. As of June 30, 2021 and December 31, 2020 , the Company had outstanding principal balances of $ million and $ million , respectively, of PPP loans that are included in other commercial loans. During 2021 , the Company originated $ million of loans, of which $ million remain outstanding as of June 30, 2021 . The PPP loans are fully guaranteed by the SBA and may be eligible for forgiveness by the SBA to the extent that the proceeds are used to cover eligible payroll costs, interest costs, rent, and utility costs over a period of up to 24 weeks after the loan is made as long as certain conditions are met regarding employee retention and compensation levels. PPP loans deemed eligible for forgiveness by the SBA will be repaid by the SBA to the Company. The SBA has issued guidance for forgiveness with a streamlined approach for loans of $ or less. In accordance with the SBA terms and conditions on these PPP loans, the Company received approximately $ million in fees associated with the processing of the loans outstanding as of June 30,2021 . Upon funding of the loan, these fees were deferred and will be amortized over the life of the loan as an adjustment to yield in accordance with FASB ASC 310-20-25-2 . As of June 30, 2021 , $ million of deferred fees related to the PPP loans remain to be amortized The Company evaluated whether loans acquired as part of the MidCoast acquisition were within the scope of ASC 310-30 , Receivables-Loans and Debt Securities Acquired with Deteriorated Credit Quality. Purchased credit-impaired loans are loans that have evidence of credit deterioration since origination and it is probable at the date of acquisition that the Company will not collect all contractually required principal and interest payments. There were no material increases or decreases in the expected cash flows of these loans between April 17, 2020 (the “acquisition date”) and June 30, 2021 . The fair value of purchased credit-impaired loans, on the acquisition date, was determined, primarily based on the fair value of loan collateral. The carrying value of purchased loans acquired with deteriorated credit quality as a result of the MidCoast acquisition was $ at June 30, 2021 . On the acquisition date, the preliminary estimate of the unpaid principal balance for all loans evidencing credit impairment acquired in the MidCoast acquisition was $ and the estimated fair value of the loans was $ . Total contractually required payments on these loans, including interest, at the acquisition date was $ . However, the Company’s preliminary estimate of expected cash flows was $ at the acquisition date. At the acquisition date, the Company established a credit risk related non-accretable discount (a discount representing amounts which are not expected to be collected from the customer nor liquidation of collateral) of $ relating to these impaired loans, reflected in the recorded net fair value. Such amount is reflected as a non-accretable fair value adjustment to loans. The Company further estimated the timing and amount of expected cash flows in excess of the estimated fair value and established an accretable discount of $ on the acquisition date relating to these impaired loans. The table below presents the components of the purchase accounting adjustments related to the purchased impaired loans acquired in the MidCoast Acquisition as of (in thousands): April 17, 2020 Contractually required principal and interest at acquisition $ 8,801 Non-accretable discount (2,966 ) Expected cash flows 5,835 Accretable discount $ (966 ) Estimated fair value $ 4,869 Changes in the accretable yield for PCI loans were as follows for the three and six months ended June 30, 2021 and 2020 (in thousands): Three months ended June 30, Six June 30 2021 2020 2021 2020 Balance at beginning of period $ 688 $ 88 $ 788 $ 89 Acquisition of Midcoast - 966 - 966 Accretion (104 ) (67 ) (204 ) (68 ) Balance at end of period $ 584 $ 987 $ 584 $ 987 The following table presents additional information regarding loans acquired with specific evidence of deterioration in credit quality under ASC 310-30 (in thousands): June 30, 2021 December 31, 2020 Outstanding balance $ 7,092 $ 8,958 Carrying amount 3,944 4,875 The segments of the Company’s loan portfolio are disaggregated into classes to a level that allows management to monitor risk and performance. Residential real estate mortgages consist primarily of 15 to 30 year first mortgages on residential real estate, while residential real estate home equity loans are consumer purpose installment loans or lines of credit with terms of 15 years or less secured by a mortgage which is often a second lien on residential real estate. Commercial real estate loans are business purpose loans secured by a mortgage on commercial real estate. Agricultural real estate loans are loans secured by a mortgage on real estate used in agriculture production. Construction real estate loans are loans secured by residential, commercial or agricultural real estate used during the construction phase of residential, commercial or agricultural projects. Consumer loans are typically unsecured or primarily secured by assets other than real estate and overdraft lines of credit are typically secured by customer deposit accounts. Other commercial loans are loans for commercial purposes primarily secured by non-real estate collateral. Other agricultural loans are loans for agricultural purposes primarily secured by non-real estate collateral. State and political subdivision loans are loans to state and local municipalities for capital and operating expenses or tax free loans used to finance commercial development. Management considers other commercial loans, other agricultural loans, state and political subdivision loans, commercial real estate loans and agricultural real estate loans which are 90 days or more past due to be impaired. Management will also consider a loan impaired based on other factors it becomes aware of, including the customer’s results of operations and cash flows or if the loan is modified in a troubled debt restructuring. In addition, certain residential mortgages, home equity and consumer loans that are cross collateralized with commercial relationships that are determined to be impaired may also be classified as impaired. Impaired loans are analyzed to determine if it is probable that all amounts will not be collected according to the contractual terms of the loan agreement. If management determines that the value of the impaired loan is less than the recorded investment in the loan (net of previous charge-offs, deferred loan fees or costs and unamortized premium or discount), impairment is recognized through an allocation to the allowance for loan losses or a charge-off to the allowance for loan losses. The following table includes the recorded investment and unpaid principal balances for impaired loan receivables by class, excluding PCI loans, with the associated allowance amount, if applicable (in thousands): June 30 2021 Unpaid Principal Balance Recorded Investment With No Allowance Recorded Investment With Allowance Total Recorded Investment Related Allowance Real estate loans: Mortgages $ 766 $ 574 $ 48 $ 622 $ 9 Home Equity 103 40 46 86 7 Commercial 9,691 7,941 903 8,844 97 Agricultural 4,742 2,756 1,734 4,490 12 Consumer - - - - - Other commercial loans 1,572 832 101 933 35 Other agricultural loans 1,247 15 1,032 1,047 109 Total $ 18,121 $ 12,158 $ 3,864 $ 16,022 $ 269 December 31, 2020 Real estate loans: Mortgages $ 1,070 $ 740 $ 123 $ 863 $ 9 Home Equity 150 70 57 127 9 Commercial 9,847 8,323 860 9,183 95 Agricultural 4,811 2,799 1,846 4,645 83 Consumer 2 2 - 2 - Other commercial loans 1,908 1,094 241 1,335 170 Other agricultural loans 1,262 19 1,103 1,122 144 Total $ 19,050 $ 13,047 $ 4,230 $ 17,277 $ 510 The following tables includes the average balance of impaired loan receivables by class and the income recognized on these receivables for the three and six month periods ended June 30, 2021 and 2020 (in thousands): For the Six Months Ended June 30, 2021 June 30, 2020 Average Recorded Investment Interest Income Recognized Interest Income Recognized Cash Basis Average Recorded Investment Interest Income Recognized Interest Income Recognized Cash Basis Real estate loans: Mortgages $ 784 $ 8 $ - $ 1,047 $ 10 $ - Home Equity 117 3 - 144 3 - Commercial 9,009 134 15 11,529 219 2 Agricultural 4,543 43 - 3,761 40 - Consumer 1 - - 3 - - Other commercial loans 1,072 1 - 1,822 2 - Other agricultural loans 1,093 3 - 1,283 4 - Total $ 16,619 $ 192 $ 15 $ 19,589 $ 278 $ 2 For the Three Months Ended June 30, 2021 June 30, 2020 Average Recorded Investment Interest Income Recognized Interest Income Recognized Cash Basis Average Recorded Investment Interest Income Recognized Interest Income Recognized Cash Basis Real estate loans: Mortgages $ 718 $ 3 $ - $ 1,062 $ 5 $ - Home Equity 109 2 - 142 1 - Commercial 8,781 67 8 11,572 115 - Agricultural 4,497 21 - 3,746 19 - Consumer - - - 2 - - Other commercial loans 1,023 - - 1,805 1 - Other agricultural loans 1,082 1 - 1,290 2 - Total $ 16,210 $ 94 $ 8 $ 19,619 $ 143 $ - Credit Quality Information For commercial real estate, agricultural real estate, construction, other commercial, other agricultural and state and political subdivision loans, management uses a nine grade internal risk rating system to monitor and assess credit quality. The first five categories are considered not criticized and are aggregated as “Pass” rated. The criticized rating categories utilized by management generally follow bank regulatory definitions. The definitions of each rating are defined below: • Pass (Grades 1-5) – These loans are to customers with credit quality ranging from an acceptable to very high quality and are protected by the current net worth and paying capacity of the obligor or by the value of the underlying collateral. • Special Mention (Grade 6) – This loan grade is in accordance with regulatory guidance and includes loans where a potential weakness or risk exists, which could cause a more serious problem if not corrected. • Substandard (Grade 7) – This loan grade is in accordance with regulatory guidance and includes loans that have a well-defined weakness based on objective evidence and be characterized by the distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected. • Doubtful (Grade 8) – This loan grade is in accordance with regulatory guidance and includes loans that have all the weaknesses inherent in a substandard asset. In addition, these weaknesses make collection or liquidation in full highly questionable and improbable, based on existing circumstances. • Loss (Grade 9) – This loan grade is in accordance with regulatory guidance and includes loans that are considered uncollectible, or of such value that continuance as an asset is not warranted. To help ensure that risk ratings are accurate and reflect the present and future capacity of borrowers to repay the loan as agreed, the Company’s loan rating process includes several layers of internal and external oversight. The Company’s loan officers are responsible for the timely and accurate risk rating of the loans in each of their portfolios at origination and on an ongoing basis under the supervision of management. All commercial, agricultural and state and political relationships over $500,000 are reviewed annually to ensure the appropriateness of the loan grade. In addition, the Company engages an external consultant on at least an annual basis to: 1) review a minimum of 50% of the dollar volume of the commercial, agricultural and municipal loan portfolios on an annual basis, 2) review a sample of new loans originated for over $1.0 million in the last year, 3) review a sample of borrowers with commitments greater than or equal to $1.0 million, 4) review selected loan relationships over $750,000 which are over 30 days past due or classified Special Mention, Substandard, Doubtful, or Loss, and 5) such other loans which management or the consultant deems appropriate. The following tables represent credit exposures by internally assigned grades as of June 30, 2021 and December 31, 2020 (in thousands): June 30 2021 Pass Special Mention Substandard Doubtful Loss Ending Balance Real estate loans: Commercial $ 610,776 $ 24,148 $ 6,709 $ - $ - $ 641,633 Agricultural 290,149 10,068 10,057 - - 310,274 Construction 63,065 - - - - 63,065 Other commercial loans 97,731 3,038 3,528 52 - 104,349 Other agricultural loans 31,594 923 1,203 - - 33,720 State and political subdivision loans 46,602 4,372 239 - - 51,213 Total $ 1,139,917 $ 42,549 $ 21,736 $ 52 $ - $ 1,204,254 December 31, 2020 Pass Special Mention Substandard Doubtful Loss Ending Balance Real estate loans: Commercial $ 563,121 $ 24,329 $ 8,805 $ - $ - $ 596,255 Agricultural 289,216 14,307 11,635 - - 315,158 Construction 35,404 - - - - 35,404 Other commercial loans 106,604 3,808 3,672 85 - 114,169 Other agricultural loans 45,758 1,431 1,590 - - 48,779 State and political subdivision loans 58,649 4,372 307 - - 63,328 Total $ 1,098,752 $ 48,247 $ 26,009 $ 85 $ - $ 1,173,093 For residential real estate mortgages, home equity and consumer loans, credit quality is monitored based on whether the loan is performing or non-performing, which is typically based on the aging status of the loan and payment activity, unless a specific action, such as bankruptcy, repossession, death or significant delay in payment occurs to raise awareness of a possible credit event. Non-performing loans include those loans that are considered nonaccrual, described in more detail below, and all loans past due 90 or more days and still accruing. The following table presents the recorded investment in those loan classes based on payment activity as of June 30, 2021 and December 31, 2020 (in thousands): June 30 2021 Performing Non-performing PCI Total Real estate loans: Mortgages $ 149,149 $ 579 $ 19 $ 149,747 Home Equity 52,403 21 - 52,424 Consumer 8,684 - - 8,684 Total $ 210,236 $ 600 $ 19 $ 210,855 December 31, 2020 Performing Non-performing PCI Total Real estate loans: Mortgages $ 145,843 $ 1,039 $ 20 $ 146,902 Home Equity 54,961 48 - 55,009 Consumer 30,247 30 - 30,277 Total $ 231,051 $ 1,117 $ 20 $ 232,188 Aging Analysis of Past Due Loan Receivables Management further monitors the performance and credit quality of the loan portfolio by analyzing the age of the portfolio as determined by the length of time a recorded payment is past due. The following table includes an aging analysis of the recorded investment of past due loan receivables as of June 30, 2021 and December 31, 2020 (in thousands): June 30 2021 30-59 Days Past Due 60-89 Days Past Due 90 Days Or Greater Total Past Due Current PCI Total Loans Receivables 90 Days or Greater and Accruing Real estate loans: Mortgages $ 415 $ 30 $ 207 $ 652 $ 149,076 $ 19 $ 149,747 $ 37 Home Equity 81 9 8 98 52,326 - 52,424 2 Commercial 667 1,340 1,269 3,276 636,122 2,235 641,633 10 Agricultural 329 43 1,180 1,552 307,075 1,647 310,274 - Construction - - - - 63,065 - 63,065 - Consumer 159 3 - 162 8,522 - 8,684 - Other commercial loans - 832 - 832 103,474 43 104,349 - Other agricultural loans - 4 - 4 33,716 - 33,720 - State and political subdivision loans - - - - 51,213 - 51,213 - Total $ 1,651 $ 2,261 $ 2,664 $ 6,576 $ 1,404,589 $ 3,944 $ 1,415,109 $ 49 Loans considered non-accrual $ 426 $ 1,992 $ 2,615 $ 5,033 $ 4,049 $ - $ 9,082 Loans still accruing 1,225 269 49 1,543 1,400,540 3,944 1,406,027 Total $ 1,651 $ 2,261 $ 2,664 $ 6,576 $ 1,404,589 $ 3,944 $ 1,415,109 December 31, 2020 30-59 Days Past Due 60-89 Days Past Due 90 Days Or Greater Total Past Due Current PCI Total Loans Receivables 90 Days or Greater and Accruing Real estate loans: Mortgages $ 864 $ 414 $ 518 $ 1,796 $ 145,086 $ 20 $ 146,902 $ 252 Home Equity 152 62 34 248 54,761 - 55,009 23 Commercial 836 439 1,822 3,097 590,221 2,937 596,255 70 Agricultural 2,283 - 1,329 3,612 309,860 1,686 315,158 150 Construction - - - - 35,404 - 35,404 - Consumer 147 9 30 186 30,091 - 30,277 30 Other commercial loans 930 - 133 1,063 112,874 232 114,169 - Other agricultural loans 1,044 - - 1,044 47,735 - 48,779 - State and political subdivision loans - - - - 63,328 - 63,328 - Total $ 6,256 $ 924 $ 3,866 $ 11,046 $ 1,389,360 $ 4,875 $ 1,405,281 $ 525 Loans considered non-accrual $ 3,032 $ 28 $ 3,341 $ 6,401 $ 4,331 $ - $ 10,732 Loans still accruing 3,224 896 525 4,645 1,385,029 4,875 1,394,549 Total $ 6,256 $ 924 $ 3,866 $ 11,046 $ 1,389,360 $ 4,875 $ 1,405,281 Nonaccrual Loans Loans are considered for non-accrual status upon reaching 90 days delinquency, although the Company may be receiving partial payments of interest and partial repayments of principal on such loans, or if full payment of principal and interest is not expected. Additionally, if management is made aware of other information including bankruptcy, repossession, death, or legal proceedings, the loan may be placed on non-accrual status. If a loan is 90 days or more past due and is well secured and in the process of collection, it may still be considered accruing. The following table reflects the loan receivables, excluding PCI loans, on non-accrual status as of June 30, 2021 and December 31, 2020, respectively. The balances are presented by class of loan receivable (in thousands): June 30, 2021 December 31, 2020 Real estate loans: Mortgages $ 542 $ 787 Home Equity 19 25 Commercial 3,699 4,529 Agricultural 3,039 3,133 Other commercial loans 884 1,284 Other agricultural loans 899 974 $ 9,082 $ 10,732 Loan Modifications Related to COVID-19 The Company has elected to follow the loan modification guidance under Section 4013 of the CARES Act with regard to COVID-19 modifications made between March 1, 2020 and the earlier of either January 1, 2022 or the 60th day after the end of the COVID-19 national emergency. Under section 4013 of the CARES Act, loans less than 30 days past due as of December 31, 2019 will be considered current for COVID-19 modifications. A financial institution can then suspend the requirements under GAAP for loan modifications related to COVID-19 that would otherwise be categorized as a TDR, and suspend any determination of a loan modified as a result of COVID-19 as being a TDR, including the requirement to determine impairment for accounting purposes. Similarly, the Financial Accounting Standards Board has confirmed that short-term modifications made on a good-faith basis in response to COVID-19 to loan customers who were current prior to any relief are not TDRs. A modification of six months or less is considered to be a short-term loan modification. In response to the COVID-19 pandemic, the Company has prudently executed loan modifications for existing loan customers, which includes deferrals of interest and in certain cases deferrals of principal and interest. The following table presents information regarding loans which were subject to a loan modification related to COVID-19 during 2021 , with balances as of December 31, 2020 and June 30, 2021 , as well as the balance by modification type as of June 30, 2021 (dollars in thousands) Number of loans Balance as of December 31, 2020 Number of loans Balance as of June 30, 2021 Principal and Interest Deferral Principal Deferral % of loans as of June 30, 2021 Real estate loans: Mortgages 1 $ 209 - $ - $ - $ - 0.00 % Home Equity 1 49 - - - - 0.00 % Commercial 12 26,039 1 6,205 6,205 - 0.97 % Agricultural 3 181 - - - - 0.00 % Construction - - - - - - 0.00 % Consumer - - - - - - 0.00 % Other commercial loans 2 249 - - - - 0.00 % Other agricultural loans - - - - - - 0.00 % Total 19 $ 26,727 1 $ 6,205 $ 6,205 $ - 0.44 % Troubled Debt Restructurings In situations where, for economic or legal reasons related to a borrower's financial difficulties, management may grant a concession for other than an insignificant period of time to the borrower that would not otherwise be considered, the related loan is classified as a Troubled Debt Restructuring (TDR). Management strives to identify borrowers in financial difficulty early and work with them to structure more affordable terms before their loan reaches nonaccrual status. These restructured terms may include rate reductions, principal forgiveness, payment forbearance and other actions intended to minimize the economic loss and to avoid foreclosure or repossession of the collateral. In cases where borrowers are granted new terms that provide for a reduction of interest or principal, or both, management measures any impairment on the restructuring by calculating the present value of the revised loan terms and comparing this balance to the Company’s investment in the loan prior to the restructuring. As these loans are individually evaluated, they are excluded from pooled portfolios when calculating the allowance for loan and lease losses and a separate allocation within the allowance for loan and lease losses is provided. Management continually evaluates loans that are considered TDRs, including payment history under the modified loan terms, the borrower’s ability to continue to repay the loan based on continued evaluation of their operating results and cash flows from operations. As of June 30, 2021 and December 31, 2020, included within the allowance for loan losses are reserves of $147,000 and $257,000 respectively, that are associated with loans modified as TDRs. Loan modifications that are considered TDRs completed during the three and six months ended June 30, 2021 and 2020 were as follows (dollars in thousands): For the Three Months Ended June 30, 2021 Number of contracts Pre-modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Interest Modification Term Modification Interest Modification Term Modification Interest Modification Term Modification Real estate loans: Commercial - 1 $ - $ 1,117 $ - $ 1,117 Total - 1 $ - $ 1,117 $ - $ 1,117 For the Six Months Ended June 30, 2021 Number of contracts Pre-modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Interest Modification Term Modification Interest Modification Term Modification Interest Modification Term Modification Real estate loans: Commercial - 3 - 1,407 - 1,407 Total - 3 $ - $ 1,407 $ - $ 1,407 For the Three Months Ended June 30, 2020 Number of contracts Pre-modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Interest Modification Term Modification Interest Modification Term Modification Interest Modification Term Modification Real estate loans: Commercial - 2 $ - $ 406 $ - $ 406 Total - 2 $ - $ 406 $ - $ 406 For the Six Months Ended June 30, 2020 Number of contracts Pre-modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Interest Modification Term Modification Interest Modification Term Modification Interest Modification Term Modification Real estate loans: Commercial - 2 $ - $ 406 $ - $ 406 Agricultural - 1 - 150 - 150 Total - 3 $ - $ 556 $ - $ 556 Recidivism, or the borrower defaulting on its obligation pursuant to a modified loan, results in the loan once again becoming a non-accrual loan. Recidivism on modified loans occurs at a notably higher rate than do defaults on new origination loans, so modified loans present a higher risk of loss than do new origination loans. Allowance for Loan Losses The following table segregates the allowance for loan losses (ALLL) into the amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment as of June 30, 2021 and December 31, 2020, respectively (in thousands): June 30, 2021 December 31, 2020 Individually evaluated for impairment Collectively evaluated for impairment Total Individually evaluated for impairment Collectively evaluated for impairment Total Real estate loans: Residential $ 16 $ 1,158 $ 1,174 $ 18 $ 1,156 $ 1,174 Commercial 97 7,009 7,106 95 6,121 6,216 Agricultural 12 4,694 4,706 83 4,870 4,953 Construction - 496 496 - 122 122 Consumer - 85 85 - 321 321 Other commercial loans 35 1,293 1,328 170 1,056 1,226 Other agricultural loans 109 474 583 144 720 864 State and political subdivision loans - 404 404 - 479 479 Unallocated - 1,049 1,049 - 460 460 Total $ 269 $ 16,662 $ 16,931 $ 510 $ 15,305 $ 15,815 The following tables roll forward the balance of the ALLL by portfolio segment for the three and six months ended June 30, 2021 and 2020, respectively (in thousands): For the three months ended June 30, 2021 Balance at March 31, 2021 Charge-offs Recoveries Provision Balance at June 30, 2021 Real estate loans: Residential $ 1,167 $ - $ - $ 7 $ 1,174 Commercial 6,683 - - 423 7,106 Agricultural 4,917 - - (211 ) 4,706 Construction 151 - - 345 496 Consumer 237 (5 ) 6 (153 ) 85 Other commercial loans 1,504 (133 ) 3 (46 ) 1,328 Other agricultural loans 789 - - (206 ) 583 State and political subdivision loans 470 - - (66 ) 404 Unallocated 642 - - 407 1,049 Total $ 16,560 $ (138 ) $ 9 $ 500 $ 16,931 For the three months ended June 30, 2020 Balance at March 31, 2020 Charge-offs Recoveries Provision Balance at June 30, 2020 Real estate loans: Residential $ 1,154 $ - $ - $ 52 $ 1,206 Commercial 4,729 - 33 182 4,944 Agricultural 4,878 - - 183 5,061 Construction 56 - - 25 81 Consumer 117 (10 ) 4 251 362 Other commercial loans 1,297 - 3 (99 ) 1,201 Other agricultural loans 835 - - (14 ) 821 State and political subdivision loans 558 - - (11 ) 547 Unallocated 623 - - (19 ) 604 Total $ 14,247 $ (10 ) $ 40 $ 550 $ 14,827 For the six months ended June 30, 2021 Balance at December 31, 2020 Charge-offs Recoveries Provision Balance at June 30, 2021 Real estate loans: Residential $ 1,174 $ - $ - $ - $ 1,174 Commercial 6,216 - 89 801 7,106 Agricultural 4,953 - - (247 ) 4,706 Construction 122 - - 374 496 Consumer 321 (9 ) 12 (239 ) 85 Other commercial loans 1,226 (133 ) 7 228 1,328 Other agricultural loans 864 - - (281 ) 583 State and political subdivision loans 479 - - (75 ) 404 Unallocated 460 - - 589 1,049 Total $ 15,815 $ (142 ) $ 108 $ 1,150 $ 16,931 For the six months ended June 30, 2020 Balance at December 31, 2019 Charge-offs Recoveries Provision Balance at June 30, 2020 Real estate loans: Residential $ 1,114 $ - $ - $ 92 $ 1,206 Commercial 4,549 (1 ) 34 362 4,944 Agricultural 5,022 - - 39 5,061 Construction 43 - - 38 81 Consumer 112 (18 ) 12 256 362 Other commercial loans 1,255 - 5 (59 ) 1,201 Other agricultural loans 961 - - (140 ) 821 State and political subdivision loans 536 - - 11 547 Unallocated 253 - - 351 604 Total $ 13,845 $ (19 ) $ 51 $ 950 $ 14,827 The Company allocates the ALLL based on the factors described below, which conform to the Company’s loan classification policy and credit quality measurements. In reviewing risk within the Company’s loan portfolio, management has determined there to be several different risk categories within the loan portfolio. The ALLL consists of amounts applicable to: (i) residential real estate loans; (ii) residential real estate home equity loans; (iii) commercial real estate loans; (iv) agricultural real estate loans; (v) real estate construction loans; (vi) other commercial and agricultural loans; (vii) consumer loans; (viii) other agricultural loans and (ix) state and political subdivision loans. Factors considered in this process include general loan terms, collateral, and availability of historical data to support the analysis. Historical loss percentages are calculated and used as the basis for calculating allowance allocations. Certain qualitative factors are evaluated to determine additional inherent risks in the loan portfolio, which are not necessarily reflected in the historical loss percentages. These factors are then added to the historical allocation percentage to get the adjusted factor to be applied to non-classified loans. The following qualitative factors are analyzed: • Level of and trends in delinquencies and impaired/classified loans ▪ Change in volume and severity of past due loans ▪ Volume of non-accrual loans ▪ Volume and severity of classified, adversely or graded loans; • Level of and trends in charge-offs and recoveries; • Trends in volume, terms and nature of the loan portfolio; • Effects of any changes in risk selection and underwriting standards and any other changes in lending and recovery policies, procedures and practices; • Changes in the quality of the Company’s loan review system; • Experience, ability and depth of lending management and other relevant staff; • National, state, regional and local economic trends and business conditions ▪ General economic conditions ▪ Unemployment rates ▪ Inflation rate/ Consumer Price Index ▪ Changes in values of underlying collateral for collateral-dependent loans; • Industry conditions including the effects of external factors such as competition, legal, and regulatory requirements on the level of estimated credit losses; • Existence and effect of any credit concentrations, and changes in the level of such concentrations; and • Any change in the level of board oversight. The Company analyzes its loan portfolio at least each quarter to determine the adequacy of its ALLL. Loans determined to be TDRs are impaired and for purposes of estimating the ALLL must be individually evaluated for impairment. In calculating the impairment, the Company calculates the present value utilizing an analysis of discounted cash flows. If the present value calculated is below the recorded investment of the loan, impairment is recognized by a charge to the provision for loan and lease losses and a credit to the ALLL. For For For the three and six months ended June 30, 2020 the allowance for all categories was increased due to a general deterioration in economic activity and increase in unemployment as a result of the Covid-19 pandemic. In addition, commercial real estate was increased due to an increase in past due and nonaccrual loans. The decrease in the provision for other agricultural loans is due to the decrease in outstanding loans in these loan portfolios as of June 30, 2020 compared to December 31, 2019 The decrease in the provision for other commercial loans is due to the decrease in the unguaranteed balance of other commercial loans from December 31, 2019 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill and Other Intangible Assets [Abstract] | |
Goodwill and Other Intangible Assets | Note 6 – Goodwill and Other Intangible Assets The following table provides the gross carrying value and accumulated amortization of intangible assets as of June 30, 2021 and December 31, 2020 (in thousands): June 30, 2021 December 31, 2020 Gross carrying value Accumulated amortization Net carrying value Gross carrying value Accumulated amortization Net carrying value Amortized intangible assets (1): MSRs $ 2,427 $ (1,270 ) $ 1,157 $ 2,153 $ (1,131 ) $ 1,022 Core deposit intangibles 1,943 (1,395 ) 548 1,943 (1,297 ) 646 Total amortized intangible assets $ 4,370 $ (2,665 ) $ 1,705 $ 4,096 $ (2,428 ) $ 1,668 Unamortized intangible assets: Goodwill $ 31,376 $ 31,376 ( ) Excludes fully amortized intangible assets The following table provides the current year and estimated future amortization expense for amortized intangible assets for the next five years (in thousands). We based our projections of amortization expense shown below on existing asset balances at June 30, 2021. Future amortization expense may vary from these projections: MSRs Core deposit intangibles Total Three months ended June 30 2021 $ 67 $ 49 $ 116 Six June 30 2021 139 98 237 Three months ended June 30 2020 49 55 104 Six June 30 2020 97 105 202 Estimate for year ending December 31, Remaining 2021 157 94 251 2022 268 156 424 2023 213 121 334 2024 166 85 251 2025 125 50 175 Thereafter 228 42 270 Total $ 1,157 $ 548 $ 1,705 |
Employee Benefit Plans
Employee Benefit Plans | 6 Months Ended |
Jun. 30, 2021 | |
Employee Benefit Plans [Abstract] | |
Employee Benefit Plans | Note 7 – Employee Benefit Plans For additional detailed disclosure on the Company’s pension and employee benefits plans, please refer to Note 11 of the Company’s Consolidated Financial Statements included in the 2020 Annual Report on Form 10-K. Noncontributory Defined Benefit Pension Plan The Bank sponsors a trusteed noncontributory defined benefit pension plan (“Pension Plan”) covering substantially all employees and officers hired prior to January 1, 2007. The Bank’s funding policy is to make annual contributions, if needed, based upon the funding formula developed by the plans’ actuary. Any employee with a hire date of January 1, 2007 or later is not eligible to participate in the Pension Plan. In lieu of the Pension Plan, employees with a hire date of January 1, 2007 or later are eligible to receive, after meeting certain length of service requirements, an annual discretionary 401(k) plan contribution from the Bank equal to a percentage of an employee’s base compensation. The contribution amount, if any, is placed in a separate account within the 401(k) plan and is subject to a vesting requirement. For employees who are eligible to participate in the Pension Plan, the Pension Plan requires benefits to be paid to eligible employees based primarily upon age and compensation rates during employment. Upon retirement or other termination of employment, employees can elect either an annuity benefit or a lump sum distribution of vested benefits in the Pension Plan. The following sets forth the components of net periodic benefit costs of the Pension Plan and the line item on the Consolidated Statement of Income where such amounts are included, for the three and six months ended June Three Months Ended June 30, Six June 30 2021 2020 2021 2020 Affected line item on the Consolidated Statement of Income Service cost $ 115 $ 82 $ 225 $ 165 Salary and Employee Benefits Interest cost 78 79 160 166 Other Expenses Expected return on plan assets (252 ) (206 ) (504 ) (431 ) Other Expenses Partial Settlement - 307 - 307 Other Expenses Net amortization and deferral 82 55 173 117 Other Expenses Net periodic benefit cost $ 23 $ 317 $ 54 $ 324 The Bank does not expect to contribute to the Pension Plan during 2021 . Restricted Stock Plan The Company maintains a Restricted Stock Plan (the “Plan”) whereby employees and non-employee corporate directors are eligible to receive awards of restricted stock based upon performance related requirements. Awards granted under the Plan are in the form of the Company’s common stock and are subject to certain vesting requirements including continuous employment or service with the Company. In April of 2016, the Company’s stockholders authorized a total of 150,000 shares of the Company’s common stock to be made available under the Plan. As of June 30, 2021, 120,432 shares remain available to be issued under the Plan. The Plan assists the Company in attracting, retaining and motivating employees to make substantial contributions to the success of the Company and to increase the emphasis on the use of equity as a key component of compensation. The following table details the vesting, awarding and forfeiting of restricted stock during the three and six months ended June Three months Six Unvested Shares Weighted Average Market Price Unvested Shares Weighted Average Market Price Outstanding, beginning of period 10,198 $ 55.94 10,202 $ 55.93 Granted 3,531 60.30 3,619 60.21 Forfeited - - (60 ) (54.07 ) Vested (7,107 ) (56.43 ) (7,139 ) (56.44 ) Outstanding, end of period 6,622 $ 57.74 6,622 $ 57.74 Compensation expense related to restricted stock is recognized, based on the market price of the stock at the grant date, over the vesting period. Compensation expense related to restricted stock was $ and $ for the six months ended June 30, 2021 and 2020, respectively. For the three months ended June 30, 2021 and 2020 compensation expense totaled and respectively. At June 30, 2021, the total compensation cost related to nonvested awards that had not yet been recognized was $ , which is expected to be recognized over the next . |
Accumulated Comprehensive Incom
Accumulated Comprehensive Income | 6 Months Ended |
Jun. 30, 2021 | |
Accumulated Comprehensive Income [Abstract] | |
Accumulated Comprehensive Income | Note 8 – Accumulated Comprehensive Income The following tables present the changes in accumulated other comprehensive income by component, net of tax, for the three and six months ended June 30, 2021 and 2020 (in thousands): Six months ended June 30, 2021 Unrealized gain (loss) on available for sale securities (a) Defined Benefit Pension Items (a) Unrealized gain (loss) on interest rate swap (a) Total Balance as of December 31, 2020 $ 6,058 $ (3,462 ) $ (9 ) $ 2,587 Other comprehensive (loss) income before reclassifications (net of tax) (2,096 ) - 1,022 (1,074 ) Amounts reclassified from accumulated other comprehensive (loss) income (net of tax) (39 ) 136 - 97 Net current period other comprehensive (loss) income (2,135 ) 136 1,022 (977 ) Balance as of June 30 2021 $ 3,923 $ (3,326 ) $ 1,013 $ 1,610 Six months ended June 30, 2020 Unrealized gain (loss) on available for sale securities (a ) Defined Benefit Pension Items (a) Unrealized loss on interest rate swap (a) Total Balance as of December 31, 2019 $ 2,290 $ (2,919 ) $ - $ (629 ) Other comprehensive income (loss) before reclassifications (net of tax) 3,740 - (446 ) 3,294 Amounts reclassified from accumulated other comprehensive (loss) income (net of tax) (92 ) 334 - 242 Net current period other comprehensive income (loss) 3,648 334 (446 ) 3,536 Balance as of June 30 2020 $ 5,938 $ (2,585 ) $ (446 ) $ 2,907 Three months ended June 30, 2021 Unrealized gain on available for sale securities (a) Defined Benefit Pension Items (a) Unrealized gain (loss) on interest rate swap (a) Total Balance as of March 31, 2021 $ 2,784 $ (3,390 ) $ 1,608 $ 1,002 Other comprehensive income (loss) before reclassifications (net of tax) 1,139 - (595 ) 544 Amounts reclassified from accumulated other comprehensive income (net of tax) - 64 - 64 Net current period other comprehensive income (loss) 1,139 64 (595 ) 608 Balance as of June 30, 2021 $ 3,923 $ (3,326 ) $ 1,013 $ 1,610 Three months ended June 30, 2020 Unrealized gain (loss) on available for sale securities (a) Defined Benefit Pension Items (a) Unrealized loss on interest rate swap (a) Total Balance as of March 31, 2020 $ 5,714 $ (2,796 ) $ - $ 2,918 Other comprehensive income (loss) before reclassifications (net of tax) 316 - (446 ) (130 ) Amounts reclassified from accumulated other comprehensive (loss) income (net of tax) (92 ) 211 - 119 Net current period other comprehensive income (loss) 224 211 (446 ) (11 ) Balance as of June 30 2020 $ 5,938 $ (2,585 ) $ (446 ) $ 2,907 (a) Amounts in parentheses indicate debits on the Consolidated Balance Sheet. The following table presents the significant amounts reclassified out of each component of accumulated other comprehensive income (loss) for the three and six months ended June 30, 2021 and 2020 (in thousands): Details about accumulated other comprehensive income (loss) Amount reclassified from accumulated comprehensive income (loss) (a) Affected line item in the Consolidated Statement of Income Three Months Ended June 30, 2021 2020 Unrealized gains and losses on available for sale securities $ - $ 117 Available for sale securities gains, net - (25 ) Provision for income taxes $ - $ 92 Net of tax Defined benefit pension items $ (82 ) $ (267 ) Other expenses 18 56 Provision for income taxes $ (64 ) $ (211 ) Net of tax Total reclassifications $ (64 ) $ (119 ) Six Months Ended June 30, 2021 2020 Unrealized gains and losses on available for sale securities $ 50 $ 117 Available for sale securities gains, net (11 ) (25 ) Provision for income taxes $ 39 $ 92 Net of tax Defined benefit pension items $ (173 ) $ (423 ) Other expenses 37 89 Provision for income taxes $ (136 ) $ (334 ) Net of tax Total reclassifications $ (97 ) $ (242 ) (a) Amounts in parentheses indicate expenses and other amounts indicate income on the Consolidated Statement of Income |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Measurements [Abstract] | |
Fair Value Measurements | Note 9 – Fair Value Measurements The Company has established a hierarchal disclosure framework associated with the level of pricing observability utilized in measuring assets and liabilities at fair value. The three broad levels defined by this hierarchy are as follows: Level I: Quoted prices are available in active markets for identical assets or liabilities as of the reported date. Level II: Pricing inputs are other than quoted prices in active markets, which are either directly or indirectly observable as of the reported date. The nature of these assets and liabilities include items for which quoted prices are available but traded less frequently, and items that are fair valued using other financial instruments, the parameters of which can be directly observed. Level III: Assets and liabilities that have little to no pricing observability as of the reported date. These items do not have two-way markets and are measured using management’s best estimate of fair value, where the inputs into the determination of fair value require significant management judgment or estimation. 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. Our 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. Transfers between levels of the fair value hierarchy are recognized on the actual date of the event or circumstances that caused the transfer, which generally coincides with the Company’s monthly and/or quarterly valuation process. Assets and Liabilities Required to be Measured at Fair Value on a Recurring Basis The fair values of equity securities and securities available for sale are determined by quoted prices in active markets, when available, and classified as Level I. If quoted market prices are not available, the fair value is determined by a matrix pricing, which is a mathematical technique, widely used in the industry to value debt securities without relying exclusively on quoted prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted securities and classified as Level II. The fair values 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 bond’s terms and conditions, among other things. The following tables present the assets and liabilities reported on the Consolidated Balance Sheet at their fair value on a recurring basis as of June 30, 2021 and December 31, 2020 by level within the fair value hierarchy (in thousands). Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. June 30 2021 Level I Level II Level III Total Fair value measurements on a recurring basis: Assets: Equity securities $ 2,148 $ - $ - $ 2,148 Available for sale securities: U.S. Agency securities - 84,511 - 84,511 U.S. Treasury securities 69,685 - - 69,685 Obligations of state and political subdivisions - 109,155 - 109,155 Corporate obligations - 10,955 - 10,955 Mortgage-backed securities in government sponsored entities - 94,696 - 94,696 Derivative instruments - 2,934 - 2,934 Liabilities: Derivative instruments - (1,651 ) - (1,651 ) December 31, 2020 Level I Level II Level III Total Fair value measurements on a recurring basis: Assets: Equity securities $ 1,931 $ - $ - $ 1,931 Available for sale securities: U.S. Agency securities - 81,416 - 81,416 U.S. Treasuries securities 28,043 - - 28,043 Obligations of state and political subdivisions - 102,972 - 102,972 Corporate obligations - 6,509 - 6,509 Mortgage-backed securities in government sponsored entities - 76,249 - 76,249 Derivative instruments - 1,111 - 1,111 Liabilities: Derivative instruments - (1,122 ) - (1,122 ) Assets and Liabilities Required to be Measured and Reported at Fair Value on a Nonrecurring Basis Assets measured at fair value on a nonrecurring basis as of June 30, 2021 and December 31, 2020 are included in the table below (in thousands) June 30 2021 Level I Level II Level III Total Impaired Loans $ - $ - $ 3,146 $ 3,146 Other real estate owned - - 1,132 1,132 December 31, 2020 Level I Level II Level III Total Impaired Loans $ - $ - $ 3,243 $ 3,243 Other real estate owned - - 1,700 1,700 • Impaired Loans - June 30, 2021 and December 31, 2020, respectively • Other Real Estate Owned (OREO) – The following table provides a listing of the significant unobservable inputs used in the fair value measurement process for items valued utilizing Level III techniques (dollars in thousands). June 30 2021 Fair Value Valuation Technique(s) Unobservable input Range Weighted average Impaired Loans $ 3,146 Appraised Collateral Values Discount for time since appraisal 0-100 % 16.69 % Selling costs 5%-11 % 9.64 % Holding period 0 - 12 months 11.91 months Other real estate owned 1,132 Appraised Collateral Values Discount for time since appraisal 20-37 % 33.12 % December 31, 2020 Fair Value Valuation Technique(s) Unobservable input Range Weighted average Impaired Loans 3,243 Appraised Collateral Values Discount for time since appraisal 0-100 % 20.61 % Selling costs 5%-10 % 9.51 % Holding period 6 - 12 months 11.65 months Other real estate owned 1,700 Appraised Collateral Values Discount for time since appraisal 20-31 % 28.67 % Financial Instruments Not Required to be Measured or Reported at Fair Value The carrying amount and fair value of the Company’s financial instruments that are not required to be measured or reported at fair value on a recurring basis are as follows (in thousands): June 30, 2021 Carrying Amount Fair Value Level I Level II Level III Financial assets: Interest bearing time deposits with other banks $ 12,266 $ 12,266 $ - $ - $ 12,266 Loans held for sale 5,282 5,282 - - 5,282 Net loans 1,398,178 1,404,869 - - 1,404,869 Financial liabilities: Deposits 1,682,387 1,691,801 1,342,815 - 348,986 Borrowed funds 97,830 98,675 - - 98,675 December 31, 2020 Financial assets: Interest bearing time deposits with other banks $ 13,758 $ 13,758 $ - $ - $ 13,758 Loans held for sale 14,640 14,640 - - 14,640 Net loans 1,389,466 1,404,166 - - 1,404,166 Financial liabilities: Deposits 1,588,858 1,593,738 1,207,666 - 386,075 Borrowed funds 88,838 88,263 - - 88,263 The carrying amounts for cash and due from banks, bank owned life insurance, regulatory stock, accrued interest receivable and payable approximate fair value and are considered Level I measurements. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2021 | |
Recent Accounting Pronouncements [Abstract] | |
Recent Accounting Pronouncements | Note 10 – Recent Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial Instruments Financial Instruments ‒ Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) In January 2017, the FASB issued ASU 2017-04, Simplifying the Test for Goodwill Impairment Financial Instruments ‒ Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) Intangibles – Goodwill and Other In April 2019, the FASB issued ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments, Topic 326, Financial Instruments – Credit Losses Topic 815, Derivatives and Hedging Topic 825, Financial Instruments Financial Instruments ‒ Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) In May 2019, the FASB issued ASU 2019-05, Financial Instruments – Credit Losses, Topic 326 Financial Instruments ‒ Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) In November 2019, the FASB issued ASU 2019-11, Codification Improvements to Topic 326, Financial Instruments – Credit Losses In January 2020, the FASB issued ASU 2020-1, Investments – Equity Securities (Topic 321), Investments – Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) In March 2020, the FASB issued ASU 2020-3 , Codification Improvements to Financial Instruments. Financial Instruments In March 2020, the FASB issued ASU 2020-4, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, March 2020 In August 2020, the FASB issued ASU 2020-6, Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815-40) s beginning after December 15, 2020, and interim periods within those fiscal years. This Update is not expected to have a significant impact on the Company’s financial statements. In Codification Improvements In January 2021, the FASB issued ASU 2021-01, Reference Rate Reform (Topic 848) In May 2021, the FASB issued ASU 2021-04, Earnings Per Share (Topic 260), Debt – Modifications and Extinguishments (Subtopic 470-50), Compensation – Stock Compensation (Topic 718), and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815-40), including adoption in an interim period. If an entity elects to early adopt the amendments in this Update in an interim period, the guidance should be applied as of the beginning of the fiscal year that includes that interim period. This Update is not expected to have a significant impact on the Company’s financial statements. In July 2021, the FASB issued ASU 2021-05, Leases (Topic 842), |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Basis of Presentation [Abstract] | |
Basis of Presentation | Citizens Financial Services, Inc. (individually and collectively with its direct and indirect subsidiaries, the “Company”) is a Pennsylvania corporation and the holding company of its wholly owned subsidiary, First Citizens Community Bank (the “Bank”), and of the Bank’s wholly owned subsidiaries, First Citizens Insurance Agency, Inc. (“First Citizens Insurance”) and 1 st Realty of PA LLC (“Realty”). The accompanying consolidated financial statements have been prepared pursuant to rules and regulations of the Securities and Exchange Commission (“SEC”) and in conformity with U.S. generally accepted accounting principles. Because this report is based on an interim period, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles have been condensed or omitted. Certain of the prior year amounts have been reclassified to conform with the current year presentation. Such reclassifications had no effect on net income or stockholders’ equity. All material inter‑company balances and transactions have been eliminated in consolidation. In the opinion of management of the Company, the accompanying interim consolidated financial statements at June 30, 2021 and for the periods ended June 30, 2021 and 2020 include all adjustments, consisting of only normal recurring adjustments, necessary for a fair presentation of the financial condition and the results of operations at the dates and for the periods presented. In preparing the consolidated financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the balance sheet and of revenues and expenses for the periods covered by the Consolidated Statement of Income. The financial performance reported for the Company for the three and six month periods ended June 30, 2021 is not necessarily indicative of the results to be expected for the full year. This information should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2020. |
Revenue Recognition (Policies)
Revenue Recognition (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Revenue Recognition [Abstract] | |
Revenue Recognition | In accordance with ASC 606, Management determined that the primary sources of revenue emanating from interest and dividend income on loans and investments along with noninterest revenue resulting from investment security gains, loan servicing, gains on loans sold and earnings on bank owned life insurances are not within the scope of ASC 606. The main types of noninterest income within the scope of the standard are as follows: • Service charges on deposit accounts – The Company has contracts with its deposit customers where fees are charged if certain parameters are not met. These agreements can be cancelled at any time by either the Company or the deposit customer. Revenue from these transactions is recognized on a monthly basis as the Company has an unconditional right to the fee consideration. The Company also has transaction fees related to specific transactions or activities resulting from a customer request or activity that include overdraft fees, online banking fees, interchange fees, ATM fees and other transaction fees. All of these fees are attributable to specific performance obligations of the Company where the revenue is recognized at a defined point in time upon the completion of the requested service/transaction. • Trust fees – Typical contracts for trust services are based on a fixed percentage of the assets earned ratably over a defined period and billed on a monthly basis. Fees charged to customers’ accounts are recognized as revenue over the period during which the Company fulfills its performance obligation under the contract (i.e., holding client asset in a managed fiduciary trust account). For these accounts, the performance obligation of the Company is typically satisfied by holding and managing the customer’s assets over time. Other fees related to specific customer requests are attributable to specific performance obligations of the Company where the revenue is recognized at a defined point in time, upon completion of the requested service/transaction. • Gains and losses on sale of other real estate owned – Gains and losses are recognized at the completion of the property sale when the buyer obtains control of the real estate and all of the performance obligations of the Company have been satisfied. Evidence of the buyer obtaining control of the asset include transfer of the property title, physical possession of the asset, and the buyer obtaining control of the risks and rewards related to the asset. In situations where the Company agrees to provide financing to facilitate the sale, additional analysis is performed to ensure that the contract for sale identifies the buyer and seller, the asset to be transferred, payment terms, and that the contract has a true commercial substance and that collection of amounts due from the buyer are reasonable. In situations where financing terms are not reflective of current market terms, the transaction price is discounted impacting the gain/loss and the carrying value of the asset. • Brokerage and insurance – Fees includes commissions from the sales of investments and insurance products recognized on a trade date basis as the performance obligation is satisfied at the point in time in which the trade is processed. Additional fees are based on a percentage of the market value of customer accounts and billed on a monthly or quarterly basis. The Company’s performance obligation under the contracts with certain customers is generally satisfied through the passage of time as the Company monitors and manages the assets in the customer’s portfolio and is not dependent on certain return or performance level of the customer’s portfolio. Fees for these services are billed monthly and are recorded as revenue at the end of the month for which the wealth management service has been performed. Other performance obligations (such as the delivery of account statements to customers) are generally considered immaterial to the overall transaction price. |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Recent Accounting Pronouncements [Abstract] | |
Recent Accounting Pronouncements | In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial Instruments Financial Instruments ‒ Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) In January 2017, the FASB issued ASU 2017-04, Simplifying the Test for Goodwill Impairment Financial Instruments ‒ Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) Intangibles – Goodwill and Other In April 2019, the FASB issued ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments, Topic 326, Financial Instruments – Credit Losses Topic 815, Derivatives and Hedging Topic 825, Financial Instruments Financial Instruments ‒ Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) In May 2019, the FASB issued ASU 2019-05, Financial Instruments – Credit Losses, Topic 326 Financial Instruments ‒ Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) In November 2019, the FASB issued ASU 2019-11, Codification Improvements to Topic 326, Financial Instruments – Credit Losses In January 2020, the FASB issued ASU 2020-1, Investments – Equity Securities (Topic 321), Investments – Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) In March 2020, the FASB issued ASU 2020-3 , Codification Improvements to Financial Instruments. Financial Instruments In March 2020, the FASB issued ASU 2020-4, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, March 2020 In August 2020, the FASB issued ASU 2020-6, Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815-40) s beginning after December 15, 2020, and interim periods within those fiscal years. This Update is not expected to have a significant impact on the Company’s financial statements. In Codification Improvements In January 2021, the FASB issued ASU 2021-01, Reference Rate Reform (Topic 848) In May 2021, the FASB issued ASU 2021-04, Earnings Per Share (Topic 260), Debt – Modifications and Extinguishments (Subtopic 470-50), Compensation – Stock Compensation (Topic 718), and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815-40), including adoption in an interim period. If an entity elects to early adopt the amendments in this Update in an interim period, the guidance should be applied as of the beginning of the fiscal year that includes that interim period. This Update is not expected to have a significant impact on the Company’s financial statements. In July 2021, the FASB issued ASU 2021-05, Leases (Topic 842), |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Revenue Recognition [Abstract] | |
Disaggregation of Revenue Derived from Contracts with Customers | The following table depicts the disaggregation of revenue derived from contracts with customers to depict the nature, amount, timing, and uncertainty of revenue and cash flows for the three and six months ended June 30, 2021 and 2020 (in thousands). All revenue in the table below relates to goods and services transferred at a point in time. Three Months Ended Six June 30, June 30 Revenue stream 2021 2020 2021 2020 Service charges on deposit accounts Overdraft fees $ 247 206 $ 505 $ 565 Statement fees 56 50 112 106 Interchange revenue 704 555 1,343 1,077 ATM income 101 59 199 142 Other service charges 55 44 110 105 Total Service Charges 1,163 914 2,269 1,995 Trust 185 145 492 343 Brokerage and insurance 406 249 782 589 Other 119 138 228 245 Total $ 1,873 $ 1,446 $ 3,771 $ 3,172 |
Earnings per Share (Tables)
Earnings per Share (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Earnings per Share [Abstract] | |
Computation of Earnings per Share | The following table sets forth the computation of earnings per share. Three months ended Six June 30, June 30 2021 2020 2021 2020 Net income applicable to common stock $ 6,647 $ 5,338 $ 15,110 $ 9,869 Basic earnings per share computation Weighted average common shares outstanding 3,944,488 3,883,734 3,946,184 3,737,759 Earnings per share - basic $ 1.69 $ 1.37 $ 3.83 $ 2.64 Diluted earnings per share computation Weighted average common shares outstanding for basic earnings per share 3,944,488 3,883,734 3,946,184 3,737,759 Add: Dilutive effects of restricted stock 72 1,029 35 514 Weighted average common shares outstanding for dilutive earnings per share 3,944,560 3,884,763 3,946,219 3,738,273 Earnings per share - diluted $ 1.69 $ 1.37 $ 3.83 $ 2.64 |
Investments (Tables)
Investments (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Investments [Abstract] | |
Amortized Cost and Fair Value of Investment Securities | The amortized cost, gross unrealized gains and losses, and fair value of investment securities at June 30, 2021 and December 31, 2020 were as follows (in thousands): June 30 2021 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Available-for-sale securities: U.S. agency securities $ 83,329 $ 1,727 $ (545 ) $ 84,511 U.S. treasury securities 69,408 404 (127 ) 69,685 Obligations of state and political subdivisions 106,369 2,858 (72 ) 109,155 Corporate obligations 10,892 67 (4 ) 10,955 Mortgage-backed securities in government sponsored entities 94,038 1,210 (552 ) 94,696 Total available-for-sale securities $ 364,036 $ 6,266 $ (1,300 ) $ 369,002 December 31 2020 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Available-for-sale securities: U.S. agency securities $ 79,065 $ 2,403 $ (52 ) $ 81,416 U.S. treasury securities 27,442 601 - 28,043 Obligations of state and political subdivisions 100,089 2,938 (55 ) 102,972 Corporate obligations 6,413 96 - 6,509 Mortgage-backed securities in government sponsored entities 74,512 1,874 (137 ) 76,249 Total available-for-sale securities $ 287,521 $ 7,912 $ (244 ) $ 295,189 |
Unrealized Losses and Fair Value of Investments | The following table shows the Company’s gross unrealized losses and fair value of the Company’s investments with unrealized losses that are not deemed to be other-than-temporarily impaired, aggregated by investment category and length of time, which individual securities have been in a continuous unrealized loss position, at June 30, 2021 and December 31, 2020 (in thousands). As of June 30, 2021, the Company owned 77 securities whose fair value was less than their cost basis. June 30 2021 Less than Twelve Months Twelve Months or Greater Total Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses U.S. agency securities $ 32,225 $ (545 ) $ - $ - $ 32,225 $ (545 ) U.S. treasury securities 28,482 (127 ) - - 28,482 (127 ) Obligations of state and political subdivisions 8,651 (35 ) 3,239 (37 ) 11,890 (72 ) Corporate obligations 496 (4 ) - - 496 (4 ) Mortgage-backed securities in government sponsored entities 43,942 (526 ) 2,111 (26 ) 46,053 (552 ) Total securities $ 113,796 $ (1,237 ) $ 5,350 $ (63 ) $ 119,146 $ (1,300 ) December 31 2020 Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses U.S. agency securities $ 13,720 $ (52 ) $ - $ - $ 13,720 $ (52 ) Obligations of states and political subdivisions 5,407 (55 ) - - 5,407 (55 ) Mortgage-backed securities in government sponsored entities 14,600 (99 ) 5,633 (38 ) 20,233 (137 ) Total securities $ 33,727 $ (206 ) $ 5,633 $ (38 ) $ 39,360 $ (244 ) |
Gross Gains and Losses on Available-for-sale Securities | Proceeds from sales of securities available-for-sale for the six months ended June 30, 2021 and 2020 were , respectively. There were sales of available-for-sale securities during the three months ended June 30, 2021. Proceeds from sales of securities available-for-sale for the three months ended June 30, 2020 were $ . The gross gains and losses were as follows (in s): Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 Gross gains on available for sale securities $ - $ 117 $ 50 $ 117 Gross losses on available for sale securities - - - - Net gains $ - $ 117 $ 50 $ 117 |
Unrealized Gains (Losses) Related to Equity Securities | The following table presents the net gains (losses) on the Company’s equity investments recognized in earnings during the three and six month periods ended June 30, 2021 and 2020, and the portion of unrealized gains for the period that relates to equity investments held at June 30, 2021 and 2020 (in thousands): Three Months Ended June 30, Six June 30 Equity securities 2021 2020 2021 2020 Net gains (losses) recognized in equity securities during the period $ 29 $ 11 $ 216 $ (243 ) Less: Net gains realized on the sale of equity securities during the period - - - - Net unrealized gains (losses) $ 29 $ 11 $ 216 $ (243 ) |
Amortized Cost and Fair Value of Debt Securities by Contractual Maturity | Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. The amortized cost and fair value of debt securities (excludes equity securities) at June 30, 2021, by contractual maturity, are shown below (in thousands): Amortized Cost Fair Value Available-for-sale debt securities: Due in one year or less $ 23,487 $ 23,744 Due after one year through five years 77,822 79,805 Due after five years through ten years 110,884 111,619 Due after ten years 151,843 153,834 Total $ 364,036 $ 369,002 |
Loans (Tables)
Loans (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Loans [Abstract] | |
Loan Portfolio and Allowance for Loan Losses | The Company grants loans primarily to customers throughout north central, central and south central Pennsylvania and the southern tier of New York. The recently completed MidCoast acquisition has expanded our lending market into Wilmington and Dover, Delaware. Although the Company had a diversified loan portfolio at and , a substantial portion of its debtors’ ability to honor their contracts is dependent on the economic conditions within these regions. The following table summarizes the primary segments of the loan portfolio and how those segments are analyzed within the allowance for loan losses as of and June 30 2021 Total Loans Individually evaluated for impairment Loans acquired with deteriorated credit quality Collectively evaluated for impairment Real estate loans: Residential $ 202,171 $ 708 $ 19 $ 201,444 Commercial 641,633 8,844 2,235 630,554 Agricultural 310,274 4,490 1,647 304,137 Construction 63,065 - - 63,065 Consumer 8,684 - - 8,684 Other commercial loans 104,349 933 43 103,373 Other agricultural loans 33,720 1,047 - 32,673 State and political subdivision loans 51,213 - - 51,213 Total 1,415,109 16,022 3,944 1,395,143 Allowance for loan losses 16,931 269 - 16,662 Net loans $ 1,398,178 $ 15,753 $ 3,944 $ 1,378,481 December 31, 2020 Total Loans Individually evaluated for impairment Loans acquired with deteriorated credit quality Collectively evaluated for impairment Real estate loans: Residential $ 201,911 $ 990 $ 20 $ 200,901 Commercial 596,255 9,183 2,937 584,135 Agricultural 315,158 4,645 1,686 308,827 Construction 35,404 - - 35,404 Consumer 30,277 2 - 30,275 Other commercial loans 114,169 1,335 232 112,602 Other agricultural loans 48,779 1,122 - 47,657 State and political subdivision loans 63,328 - - 63,328 Total 1,405,281 17,277 4,875 1,383,129 Allowance for loan losses 15,815 510 - 15,305 Net loans $ 1,389,466 $ 16,767 $ 4,875 $ 1,367,824 |
Purchase Accounting Adjustments Related to Purchased Impaired Loans Acquired | The table below presents the components of the purchase accounting adjustments related to the purchased impaired loans acquired in the MidCoast Acquisition as of (in thousands): April 17, 2020 Contractually required principal and interest at acquisition $ 8,801 Non-accretable discount (2,966 ) Expected cash flows 5,835 Accretable discount $ (966 ) Estimated fair value $ 4,869 |
Accretable Yield for Purchased Credit Impaired Loans | Changes in the accretable yield for PCI loans were as follows for the three and six months ended June 30, 2021 and 2020 (in thousands): Three months ended June 30, Six June 30 2021 2020 2021 2020 Balance at beginning of period $ 688 $ 88 $ 788 $ 89 Acquisition of Midcoast - 966 - 966 Accretion (104 ) (67 ) (204 ) (68 ) Balance at end of period $ 584 $ 987 $ 584 $ 987 |
Loans Acquired with Specific Evidence of Deterioration in Credit Quality | The following table presents additional information regarding loans acquired with specific evidence of deterioration in credit quality under ASC 310-30 (in thousands): June 30, 2021 December 31, 2020 Outstanding balance $ 7,092 $ 8,958 Carrying amount 3,944 4,875 |
Impaired Loan Receivables with Associated Allowance Amount | The following table includes the recorded investment and unpaid principal balances for impaired loan receivables by class, excluding PCI loans, with the associated allowance amount, if applicable (in thousands): June 30 2021 Unpaid Principal Balance Recorded Investment With No Allowance Recorded Investment With Allowance Total Recorded Investment Related Allowance Real estate loans: Mortgages $ 766 $ 574 $ 48 $ 622 $ 9 Home Equity 103 40 46 86 7 Commercial 9,691 7,941 903 8,844 97 Agricultural 4,742 2,756 1,734 4,490 12 Consumer - - - - - Other commercial loans 1,572 832 101 933 35 Other agricultural loans 1,247 15 1,032 1,047 109 Total $ 18,121 $ 12,158 $ 3,864 $ 16,022 $ 269 December 31, 2020 Real estate loans: Mortgages $ 1,070 $ 740 $ 123 $ 863 $ 9 Home Equity 150 70 57 127 9 Commercial 9,847 8,323 860 9,183 95 Agricultural 4,811 2,799 1,846 4,645 83 Consumer 2 2 - 2 - Other commercial loans 1,908 1,094 241 1,335 170 Other agricultural loans 1,262 19 1,103 1,122 144 Total $ 19,050 $ 13,047 $ 4,230 $ 17,277 $ 510 The following tables includes the average balance of impaired loan receivables by class and the income recognized on these receivables for the three and six month periods ended June 30, 2021 and 2020 (in thousands): For the Six Months Ended June 30, 2021 June 30, 2020 Average Recorded Investment Interest Income Recognized Interest Income Recognized Cash Basis Average Recorded Investment Interest Income Recognized Interest Income Recognized Cash Basis Real estate loans: Mortgages $ 784 $ 8 $ - $ 1,047 $ 10 $ - Home Equity 117 3 - 144 3 - Commercial 9,009 134 15 11,529 219 2 Agricultural 4,543 43 - 3,761 40 - Consumer 1 - - 3 - - Other commercial loans 1,072 1 - 1,822 2 - Other agricultural loans 1,093 3 - 1,283 4 - Total $ 16,619 $ 192 $ 15 $ 19,589 $ 278 $ 2 For the Three Months Ended June 30, 2021 June 30, 2020 Average Recorded Investment Interest Income Recognized Interest Income Recognized Cash Basis Average Recorded Investment Interest Income Recognized Interest Income Recognized Cash Basis Real estate loans: Mortgages $ 718 $ 3 $ - $ 1,062 $ 5 $ - Home Equity 109 2 - 142 1 - Commercial 8,781 67 8 11,572 115 - Agricultural 4,497 21 - 3,746 19 - Consumer - - - 2 - - Other commercial loans 1,023 - - 1,805 1 - Other agricultural loans 1,082 1 - 1,290 2 - Total $ 16,210 $ 94 $ 8 $ 19,619 $ 143 $ - |
Financing Receivable Credit Exposures by Internally Assigned Grades | The following tables represent credit exposures by internally assigned grades as of June 30, 2021 and December 31, 2020 (in thousands): June 30 2021 Pass Special Mention Substandard Doubtful Loss Ending Balance Real estate loans: Commercial $ 610,776 $ 24,148 $ 6,709 $ - $ - $ 641,633 Agricultural 290,149 10,068 10,057 - - 310,274 Construction 63,065 - - - - 63,065 Other commercial loans 97,731 3,038 3,528 52 - 104,349 Other agricultural loans 31,594 923 1,203 - - 33,720 State and political subdivision loans 46,602 4,372 239 - - 51,213 Total $ 1,139,917 $ 42,549 $ 21,736 $ 52 $ - $ 1,204,254 December 31, 2020 Pass Special Mention Substandard Doubtful Loss Ending Balance Real estate loans: Commercial $ 563,121 $ 24,329 $ 8,805 $ - $ - $ 596,255 Agricultural 289,216 14,307 11,635 - - 315,158 Construction 35,404 - - - - 35,404 Other commercial loans 106,604 3,808 3,672 85 - 114,169 Other agricultural loans 45,758 1,431 1,590 - - 48,779 State and political subdivision loans 58,649 4,372 307 - - 63,328 Total $ 1,098,752 $ 48,247 $ 26,009 $ 85 $ - $ 1,173,093 For residential real estate mortgages, home equity and consumer loans, credit quality is monitored based on whether the loan is performing or non-performing, which is typically based on the aging status of the loan and payment activity, unless a specific action, such as bankruptcy, repossession, death or significant delay in payment occurs to raise awareness of a possible credit event. Non-performing loans include those loans that are considered nonaccrual, described in more detail below, and all loans past due 90 or more days and still accruing. The following table presents the recorded investment in those loan classes based on payment activity as of June 30, 2021 and December 31, 2020 (in thousands): June 30 2021 Performing Non-performing PCI Total Real estate loans: Mortgages $ 149,149 $ 579 $ 19 $ 149,747 Home Equity 52,403 21 - 52,424 Consumer 8,684 - - 8,684 Total $ 210,236 $ 600 $ 19 $ 210,855 December 31, 2020 Performing Non-performing PCI Total Real estate loans: Mortgages $ 145,843 $ 1,039 $ 20 $ 146,902 Home Equity 54,961 48 - 55,009 Consumer 30,247 30 - 30,277 Total $ 231,051 $ 1,117 $ 20 $ 232,188 |
Aging Analysis of Past Due Loan Receivables | Management further monitors the performance and credit quality of the loan portfolio by analyzing the age of the portfolio as determined by the length of time a recorded payment is past due. The following table includes an aging analysis of the recorded investment of past due loan receivables as of June 30, 2021 and December 31, 2020 (in thousands): June 30 2021 30-59 Days Past Due 60-89 Days Past Due 90 Days Or Greater Total Past Due Current PCI Total Loans Receivables 90 Days or Greater and Accruing Real estate loans: Mortgages $ 415 $ 30 $ 207 $ 652 $ 149,076 $ 19 $ 149,747 $ 37 Home Equity 81 9 8 98 52,326 - 52,424 2 Commercial 667 1,340 1,269 3,276 636,122 2,235 641,633 10 Agricultural 329 43 1,180 1,552 307,075 1,647 310,274 - Construction - - - - 63,065 - 63,065 - Consumer 159 3 - 162 8,522 - 8,684 - Other commercial loans - 832 - 832 103,474 43 104,349 - Other agricultural loans - 4 - 4 33,716 - 33,720 - State and political subdivision loans - - - - 51,213 - 51,213 - Total $ 1,651 $ 2,261 $ 2,664 $ 6,576 $ 1,404,589 $ 3,944 $ 1,415,109 $ 49 Loans considered non-accrual $ 426 $ 1,992 $ 2,615 $ 5,033 $ 4,049 $ - $ 9,082 Loans still accruing 1,225 269 49 1,543 1,400,540 3,944 1,406,027 Total $ 1,651 $ 2,261 $ 2,664 $ 6,576 $ 1,404,589 $ 3,944 $ 1,415,109 December 31, 2020 30-59 Days Past Due 60-89 Days Past Due 90 Days Or Greater Total Past Due Current PCI Total Loans Receivables 90 Days or Greater and Accruing Real estate loans: Mortgages $ 864 $ 414 $ 518 $ 1,796 $ 145,086 $ 20 $ 146,902 $ 252 Home Equity 152 62 34 248 54,761 - 55,009 23 Commercial 836 439 1,822 3,097 590,221 2,937 596,255 70 Agricultural 2,283 - 1,329 3,612 309,860 1,686 315,158 150 Construction - - - - 35,404 - 35,404 - Consumer 147 9 30 186 30,091 - 30,277 30 Other commercial loans 930 - 133 1,063 112,874 232 114,169 - Other agricultural loans 1,044 - - 1,044 47,735 - 48,779 - State and political subdivision loans - - - - 63,328 - 63,328 - Total $ 6,256 $ 924 $ 3,866 $ 11,046 $ 1,389,360 $ 4,875 $ 1,405,281 $ 525 Loans considered non-accrual $ 3,032 $ 28 $ 3,341 $ 6,401 $ 4,331 $ - $ 10,732 Loans still accruing 3,224 896 525 4,645 1,385,029 4,875 1,394,549 Total $ 6,256 $ 924 $ 3,866 $ 11,046 $ 1,389,360 $ 4,875 $ 1,405,281 |
Loan Receivables on Nonaccrual Status | The following table reflects the loan receivables, excluding PCI loans, on non-accrual status as of June 30, 2021 and December 31, 2020, respectively. The balances are presented by class of loan receivable (in thousands): June 30, 2021 December 31, 2020 Real estate loans: Mortgages $ 542 $ 787 Home Equity 19 25 Commercial 3,699 4,529 Agricultural 3,039 3,133 Other commercial loans 884 1,284 Other agricultural loans 899 974 $ 9,082 $ 10,732 |
Loan Modifications Related to COVID-19 | The Company has elected to follow the loan modification guidance under Section 4013 of the CARES Act with regard to COVID-19 modifications made between March 1, 2020 and the earlier of either January 1, 2022 or the 60th day after the end of the COVID-19 national emergency. Under section 4013 of the CARES Act, loans less than 30 days past due as of December 31, 2019 will be considered current for COVID-19 modifications. A financial institution can then suspend the requirements under GAAP for loan modifications related to COVID-19 that would otherwise be categorized as a TDR, and suspend any determination of a loan modified as a result of COVID-19 as being a TDR, including the requirement to determine impairment for accounting purposes. Similarly, the Financial Accounting Standards Board has confirmed that short-term modifications made on a good-faith basis in response to COVID-19 to loan customers who were current prior to any relief are not TDRs. A modification of six months or less is considered to be a short-term loan modification. In response to the COVID-19 pandemic, the Company has prudently executed loan modifications for existing loan customers, which includes deferrals of interest and in certain cases deferrals of principal and interest. The following table presents information regarding loans which were subject to a loan modification related to COVID-19 during 2021 , with balances as of December 31, 2020 and June 30, 2021 , as well as the balance by modification type as of June 30, 2021 (dollars in thousands) Number of loans Balance as of December 31, 2020 Number of loans Balance as of June 30, 2021 Principal and Interest Deferral Principal Deferral % of loans as of June 30, 2021 Real estate loans: Mortgages 1 $ 209 - $ - $ - $ - 0.00 % Home Equity 1 49 - - - - 0.00 % Commercial 12 26,039 1 6,205 6,205 - 0.97 % Agricultural 3 181 - - - - 0.00 % Construction - - - - - - 0.00 % Consumer - - - - - - 0.00 % Other commercial loans 2 249 - - - - 0.00 % Other agricultural loans - - - - - - 0.00 % Total 19 $ 26,727 1 $ 6,205 $ 6,205 $ - 0.44 % |
Troubled Debt Restructurings on Financing Receivables | Loan modifications that are considered TDRs completed during the three and six months ended June 30, 2021 and 2020 were as follows (dollars in thousands): For the Three Months Ended June 30, 2021 Number of contracts Pre-modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Interest Modification Term Modification Interest Modification Term Modification Interest Modification Term Modification Real estate loans: Commercial - 1 $ - $ 1,117 $ - $ 1,117 Total - 1 $ - $ 1,117 $ - $ 1,117 For the Six Months Ended June 30, 2021 Number of contracts Pre-modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Interest Modification Term Modification Interest Modification Term Modification Interest Modification Term Modification Real estate loans: Commercial - 3 - 1,407 - 1,407 Total - 3 $ - $ 1,407 $ - $ 1,407 For the Three Months Ended June 30, 2020 Number of contracts Pre-modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Interest Modification Term Modification Interest Modification Term Modification Interest Modification Term Modification Real estate loans: Commercial - 2 $ - $ 406 $ - $ 406 Total - 2 $ - $ 406 $ - $ 406 For the Six Months Ended June 30, 2020 Number of contracts Pre-modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Interest Modification Term Modification Interest Modification Term Modification Interest Modification Term Modification Real estate loans: Commercial - 2 $ - $ 406 $ - $ 406 Agricultural - 1 - 150 - 150 Total - 3 $ - $ 556 $ - $ 556 |
Allowance for Loan Losses by Impairment Method | The following table segregates the allowance for loan losses (ALLL) into the amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment as of June 30, 2021 and December 31, 2020, respectively (in thousands): June 30, 2021 December 31, 2020 Individually evaluated for impairment Collectively evaluated for impairment Total Individually evaluated for impairment Collectively evaluated for impairment Total Real estate loans: Residential $ 16 $ 1,158 $ 1,174 $ 18 $ 1,156 $ 1,174 Commercial 97 7,009 7,106 95 6,121 6,216 Agricultural 12 4,694 4,706 83 4,870 4,953 Construction - 496 496 - 122 122 Consumer - 85 85 - 321 321 Other commercial loans 35 1,293 1,328 170 1,056 1,226 Other agricultural loans 109 474 583 144 720 864 State and political subdivision loans - 404 404 - 479 479 Unallocated - 1,049 1,049 - 460 460 Total $ 269 $ 16,662 $ 16,931 $ 510 $ 15,305 $ 15,815 |
Roll forward of Allowance for Loan Losses by Portfolio Segment | The following tables roll forward the balance of the ALLL by portfolio segment for the three and six months ended June 30, 2021 and 2020, respectively (in thousands): For the three months ended June 30, 2021 Balance at March 31, 2021 Charge-offs Recoveries Provision Balance at June 30, 2021 Real estate loans: Residential $ 1,167 $ - $ - $ 7 $ 1,174 Commercial 6,683 - - 423 7,106 Agricultural 4,917 - - (211 ) 4,706 Construction 151 - - 345 496 Consumer 237 (5 ) 6 (153 ) 85 Other commercial loans 1,504 (133 ) 3 (46 ) 1,328 Other agricultural loans 789 - - (206 ) 583 State and political subdivision loans 470 - - (66 ) 404 Unallocated 642 - - 407 1,049 Total $ 16,560 $ (138 ) $ 9 $ 500 $ 16,931 For the three months ended June 30, 2020 Balance at March 31, 2020 Charge-offs Recoveries Provision Balance at June 30, 2020 Real estate loans: Residential $ 1,154 $ - $ - $ 52 $ 1,206 Commercial 4,729 - 33 182 4,944 Agricultural 4,878 - - 183 5,061 Construction 56 - - 25 81 Consumer 117 (10 ) 4 251 362 Other commercial loans 1,297 - 3 (99 ) 1,201 Other agricultural loans 835 - - (14 ) 821 State and political subdivision loans 558 - - (11 ) 547 Unallocated 623 - - (19 ) 604 Total $ 14,247 $ (10 ) $ 40 $ 550 $ 14,827 For the six months ended June 30, 2021 Balance at December 31, 2020 Charge-offs Recoveries Provision Balance at June 30, 2021 Real estate loans: Residential $ 1,174 $ - $ - $ - $ 1,174 Commercial 6,216 - 89 801 7,106 Agricultural 4,953 - - (247 ) 4,706 Construction 122 - - 374 496 Consumer 321 (9 ) 12 (239 ) 85 Other commercial loans 1,226 (133 ) 7 228 1,328 Other agricultural loans 864 - - (281 ) 583 State and political subdivision loans 479 - - (75 ) 404 Unallocated 460 - - 589 1,049 Total $ 15,815 $ (142 ) $ 108 $ 1,150 $ 16,931 For the six months ended June 30, 2020 Balance at December 31, 2019 Charge-offs Recoveries Provision Balance at June 30, 2020 Real estate loans: Residential $ 1,114 $ - $ - $ 92 $ 1,206 Commercial 4,549 (1 ) 34 362 4,944 Agricultural 5,022 - - 39 5,061 Construction 43 - - 38 81 Consumer 112 (18 ) 12 256 362 Other commercial loans 1,255 - 5 (59 ) 1,201 Other agricultural loans 961 - - (140 ) 821 State and political subdivision loans 536 - - 11 547 Unallocated 253 - - 351 604 Total $ 13,845 $ (19 ) $ 51 $ 950 $ 14,827 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill and Other Intangible Assets [Abstract] | |
Gross Carrying Value and Accumulated Amortization of Intangible Assets | The following table provides the gross carrying value and accumulated amortization of intangible assets as of June 30, 2021 and December 31, 2020 (in thousands): June 30, 2021 December 31, 2020 Gross carrying value Accumulated amortization Net carrying value Gross carrying value Accumulated amortization Net carrying value Amortized intangible assets (1): MSRs $ 2,427 $ (1,270 ) $ 1,157 $ 2,153 $ (1,131 ) $ 1,022 Core deposit intangibles 1,943 (1,395 ) 548 1,943 (1,297 ) 646 Total amortized intangible assets $ 4,370 $ (2,665 ) $ 1,705 $ 4,096 $ (2,428 ) $ 1,668 Unamortized intangible assets: Goodwill $ 31,376 $ 31,376 ( ) Excludes fully amortized intangible assets |
Future Amortization Expense for Amortized Intangible Assets | The following table provides the current year and estimated future amortization expense for amortized intangible assets for the next five years (in thousands). We based our projections of amortization expense shown below on existing asset balances at June 30, 2021. Future amortization expense may vary from these projections: MSRs Core deposit intangibles Total Three months ended June 30 2021 $ 67 $ 49 $ 116 Six June 30 2021 139 98 237 Three months ended June 30 2020 49 55 104 Six June 30 2020 97 105 202 Estimate for year ending December 31, Remaining 2021 157 94 251 2022 268 156 424 2023 213 121 334 2024 166 85 251 2025 125 50 175 Thereafter 228 42 270 Total $ 1,157 $ 548 $ 1,705 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Employee Benefit Plans [Abstract] | |
Components of Net Periodic Benefit Costs | The following sets forth the components of net periodic benefit costs of the Pension Plan and the line item on the Consolidated Statement of Income where such amounts are included, for the three and six months ended June Three Months Ended June 30, Six June 30 2021 2020 2021 2020 Affected line item on the Consolidated Statement of Income Service cost $ 115 $ 82 $ 225 $ 165 Salary and Employee Benefits Interest cost 78 79 160 166 Other Expenses Expected return on plan assets (252 ) (206 ) (504 ) (431 ) Other Expenses Partial Settlement - 307 - 307 Other Expenses Net amortization and deferral 82 55 173 117 Other Expenses Net periodic benefit cost $ 23 $ 317 $ 54 $ 324 |
Restricted Stock Activity | The following table details the vesting, awarding and forfeiting of restricted stock during the three and six months ended June Three months Six Unvested Shares Weighted Average Market Price Unvested Shares Weighted Average Market Price Outstanding, beginning of period 10,198 $ 55.94 10,202 $ 55.93 Granted 3,531 60.30 3,619 60.21 Forfeited - - (60 ) (54.07 ) Vested (7,107 ) (56.43 ) (7,139 ) (56.44 ) Outstanding, end of period 6,622 $ 57.74 6,622 $ 57.74 |
Accumulated Comprehensive Inc_2
Accumulated Comprehensive Income (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Accumulated Comprehensive Income [Abstract] | |
Changes in Accumulated Other Comprehensive Loss by Component, Net of Tax | The following tables present the changes in accumulated other comprehensive income by component, net of tax, for the three and six months ended June 30, 2021 and 2020 (in thousands): Six months ended June 30, 2021 Unrealized gain (loss) on available for sale securities (a) Defined Benefit Pension Items (a) Unrealized gain (loss) on interest rate swap (a) Total Balance as of December 31, 2020 $ 6,058 $ (3,462 ) $ (9 ) $ 2,587 Other comprehensive (loss) income before reclassifications (net of tax) (2,096 ) - 1,022 (1,074 ) Amounts reclassified from accumulated other comprehensive (loss) income (net of tax) (39 ) 136 - 97 Net current period other comprehensive (loss) income (2,135 ) 136 1,022 (977 ) Balance as of June 30 2021 $ 3,923 $ (3,326 ) $ 1,013 $ 1,610 Six months ended June 30, 2020 Unrealized gain (loss) on available for sale securities (a ) Defined Benefit Pension Items (a) Unrealized loss on interest rate swap (a) Total Balance as of December 31, 2019 $ 2,290 $ (2,919 ) $ - $ (629 ) Other comprehensive income (loss) before reclassifications (net of tax) 3,740 - (446 ) 3,294 Amounts reclassified from accumulated other comprehensive (loss) income (net of tax) (92 ) 334 - 242 Net current period other comprehensive income (loss) 3,648 334 (446 ) 3,536 Balance as of June 30 2020 $ 5,938 $ (2,585 ) $ (446 ) $ 2,907 Three months ended June 30, 2021 Unrealized gain on available for sale securities (a) Defined Benefit Pension Items (a) Unrealized gain (loss) on interest rate swap (a) Total Balance as of March 31, 2021 $ 2,784 $ (3,390 ) $ 1,608 $ 1,002 Other comprehensive income (loss) before reclassifications (net of tax) 1,139 - (595 ) 544 Amounts reclassified from accumulated other comprehensive income (net of tax) - 64 - 64 Net current period other comprehensive income (loss) 1,139 64 (595 ) 608 Balance as of June 30, 2021 $ 3,923 $ (3,326 ) $ 1,013 $ 1,610 Three months ended June 30, 2020 Unrealized gain (loss) on available for sale securities (a) Defined Benefit Pension Items (a) Unrealized loss on interest rate swap (a) Total Balance as of March 31, 2020 $ 5,714 $ (2,796 ) $ - $ 2,918 Other comprehensive income (loss) before reclassifications (net of tax) 316 - (446 ) (130 ) Amounts reclassified from accumulated other comprehensive (loss) income (net of tax) (92 ) 211 - 119 Net current period other comprehensive income (loss) 224 211 (446 ) (11 ) Balance as of June 30 2020 $ 5,938 $ (2,585 ) $ (446 ) $ 2,907 (a) Amounts in parentheses indicate debits on the Consolidated Balance Sheet. |
Significant Amounts Reclassified Out of Each Component of Accumulated Other Comprehensive Income | The following table presents the significant amounts reclassified out of each component of accumulated other comprehensive income (loss) for the three and six months ended June 30, 2021 and 2020 (in thousands): Details about accumulated other comprehensive income (loss) Amount reclassified from accumulated comprehensive income (loss) (a) Affected line item in the Consolidated Statement of Income Three Months Ended June 30, 2021 2020 Unrealized gains and losses on available for sale securities $ - $ 117 Available for sale securities gains, net - (25 ) Provision for income taxes $ - $ 92 Net of tax Defined benefit pension items $ (82 ) $ (267 ) Other expenses 18 56 Provision for income taxes $ (64 ) $ (211 ) Net of tax Total reclassifications $ (64 ) $ (119 ) Six Months Ended June 30, 2021 2020 Unrealized gains and losses on available for sale securities $ 50 $ 117 Available for sale securities gains, net (11 ) (25 ) Provision for income taxes $ 39 $ 92 Net of tax Defined benefit pension items $ (173 ) $ (423 ) Other expenses 37 89 Provision for income taxes $ (136 ) $ (334 ) Net of tax Total reclassifications $ (97 ) $ (242 ) (a) Amounts in parentheses indicate expenses and other amounts indicate income on the Consolidated Statement of Income |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Measurements [Abstract] | |
Assets Measured at Fair Value on a Recurring Basis | The following tables present the assets and liabilities reported on the Consolidated Balance Sheet at their fair value on a recurring basis as of June 30, 2021 and December 31, 2020 by level within the fair value hierarchy (in thousands). Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. June 30 2021 Level I Level II Level III Total Fair value measurements on a recurring basis: Assets: Equity securities $ 2,148 $ - $ - $ 2,148 Available for sale securities: U.S. Agency securities - 84,511 - 84,511 U.S. Treasury securities 69,685 - - 69,685 Obligations of state and political subdivisions - 109,155 - 109,155 Corporate obligations - 10,955 - 10,955 Mortgage-backed securities in government sponsored entities - 94,696 - 94,696 Derivative instruments - 2,934 - 2,934 Liabilities: Derivative instruments - (1,651 ) - (1,651 ) December 31, 2020 Level I Level II Level III Total Fair value measurements on a recurring basis: Assets: Equity securities $ 1,931 $ - $ - $ 1,931 Available for sale securities: U.S. Agency securities - 81,416 - 81,416 U.S. Treasuries securities 28,043 - - 28,043 Obligations of state and political subdivisions - 102,972 - 102,972 Corporate obligations - 6,509 - 6,509 Mortgage-backed securities in government sponsored entities - 76,249 - 76,249 Derivative instruments - 1,111 - 1,111 Liabilities: Derivative instruments - (1,122 ) - (1,122 ) |
Assets Measured at Fair Value on Non-recurring Basis | Assets measured at fair value on a nonrecurring basis as of June 30, 2021 and December 31, 2020 are included in the table below (in thousands) June 30 2021 Level I Level II Level III Total Impaired Loans $ - $ - $ 3,146 $ 3,146 Other real estate owned - - 1,132 1,132 December 31, 2020 Level I Level II Level III Total Impaired Loans $ - $ - $ 3,243 $ 3,243 Other real estate owned - - 1,700 1,700 |
Significant Unobservable Inputs Used in Fair Value Measurement Process | The following table provides a listing of the significant unobservable inputs used in the fair value measurement process for items valued utilizing Level III techniques (dollars in thousands). June 30 2021 Fair Value Valuation Technique(s) Unobservable input Range Weighted average Impaired Loans $ 3,146 Appraised Collateral Values Discount for time since appraisal 0-100 % 16.69 % Selling costs 5%-11 % 9.64 % Holding period 0 - 12 months 11.91 months Other real estate owned 1,132 Appraised Collateral Values Discount for time since appraisal 20-37 % 33.12 % December 31, 2020 Fair Value Valuation Technique(s) Unobservable input Range Weighted average Impaired Loans 3,243 Appraised Collateral Values Discount for time since appraisal 0-100 % 20.61 % Selling costs 5%-10 % 9.51 % Holding period 6 - 12 months 11.65 months Other real estate owned 1,700 Appraised Collateral Values Discount for time since appraisal 20-31 % 28.67 % |
Carrying Amount and Fair Value of Financial Instruments | The carrying amount and fair value of the Company’s financial instruments that are not required to be measured or reported at fair value on a recurring basis are as follows (in thousands): June 30, 2021 Carrying Amount Fair Value Level I Level II Level III Financial assets: Interest bearing time deposits with other banks $ 12,266 $ 12,266 $ - $ - $ 12,266 Loans held for sale 5,282 5,282 - - 5,282 Net loans 1,398,178 1,404,869 - - 1,404,869 Financial liabilities: Deposits 1,682,387 1,691,801 1,342,815 - 348,986 Borrowed funds 97,830 98,675 - - 98,675 December 31, 2020 Financial assets: Interest bearing time deposits with other banks $ 13,758 $ 13,758 $ - $ - $ 13,758 Loans held for sale 14,640 14,640 - - 14,640 Net loans 1,389,466 1,404,166 - - 1,404,166 Financial liabilities: Deposits 1,588,858 1,593,738 1,207,666 - 386,075 Borrowed funds 88,838 88,263 - - 88,263 |
Revenue Recognition (Details)
Revenue Recognition (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Revenue from Customers [Abstract] | ||||
Service charges | $ 1,163 | $ 914 | $ 2,269 | $ 1,995 |
Trust | 185 | 145 | 492 | 343 |
Brokerage and insurance | 406 | 249 | 782 | 589 |
Other | 119 | 138 | 228 | 245 |
Revenue from customers | 1,873 | 1,446 | 3,771 | 3,172 |
Service Charges [Member] | ||||
Revenue from Customers [Abstract] | ||||
Service charges | 1,163 | 914 | 2,269 | 1,995 |
Overdraft Fees [Member] | ||||
Revenue from Customers [Abstract] | ||||
Service charges | 247 | 206 | 505 | 565 |
Statement Fees [Member] | ||||
Revenue from Customers [Abstract] | ||||
Service charges | 56 | 50 | 112 | 106 |
Interchange Revenue [Member] | ||||
Revenue from Customers [Abstract] | ||||
Service charges | 704 | 555 | 1,343 | 1,077 |
ATM Income [Member] | ||||
Revenue from Customers [Abstract] | ||||
Service charges | 101 | 59 | 199 | 142 |
Other Service Charges [Member] | ||||
Revenue from Customers [Abstract] | ||||
Service charges | $ 55 | $ 44 | $ 110 | $ 105 |
Earnings per Share (Details)
Earnings per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Earnings per share basic and diluted [Abstract] | ||||
Net income applicable to common stock | $ 6,647 | $ 5,338 | $ 15,110 | $ 9,869 |
Basic earnings per share computation [Abstract] | ||||
Weighted average common shares outstanding (in shares) | 3,944,488 | 3,883,734 | 3,946,184 | 3,737,759 |
Earnings per share - basic (in dollars per share) | $ 1.69 | $ 1.37 | $ 3.83 | $ 2.64 |
Diluted earnings per share computation [Abstract] | ||||
Weighted average common shares outstanding for basic earnings per share (in shares) | 3,944,488 | 3,883,734 | 3,946,184 | 3,737,759 |
Add: Dilutive effects of restricted stock (in shares) | 72 | 1,029 | 35 | 514 |
Weighted average common shares outstanding for dilutive earnings per share (in shares) | 3,944,560 | 3,884,763 | 3,946,219 | 3,738,273 |
Earnings per share - diluted (in dollars per share) | $ 1.69 | $ 1.37 | $ 3.83 | $ 2.64 |
Restricted Stock [Member] | ||||
Antidilutive Securities [Abstract] | ||||
Antidilutive restricted stock excluded from net income per share calculations (in shares) | 2,479 | 6,304 | 2,401 | 6,304 |
Restricted Stock [Member] | Minimum [Member] | ||||
Antidilutive Securities [Abstract] | ||||
Antidilutive stock share price range (in dollars per share) | $ 51.14 | $ 59.24 | $ 51.14 | $ 59.24 |
Restricted Stock [Member] | Maximum [Member] | ||||
Antidilutive Securities [Abstract] | ||||
Antidilutive stock share price range (in dollars per share) | $ 62.33 | $ 62.93 | $ 62.33 | $ 62.93 |
Investments, Amortized Cost, Gr
Investments, Amortized Cost, Gross Unrealized Gains and Losses and Fair Value of Investment (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Debt Securities [Abstract] | ||
Amortized cost | $ 364,036 | $ 287,521 |
Gross unrealized gains | 6,266 | 7,912 |
Gross unrealized losses | (1,300) | (244) |
Fair value | 369,002 | 295,189 |
U.S. Agency Securities [Member] | ||
Debt Securities [Abstract] | ||
Amortized cost | 83,329 | 79,065 |
Gross unrealized gains | 1,727 | 2,403 |
Gross unrealized losses | (545) | (52) |
Fair value | 84,511 | 81,416 |
U.S. Treasury Securities [Member] | ||
Debt Securities [Abstract] | ||
Amortized cost | 69,408 | 27,442 |
Gross unrealized gains | 404 | 601 |
Gross unrealized losses | (127) | 0 |
Fair value | 69,685 | 28,043 |
Obligations of State and Political Subdivisions [Member] | ||
Debt Securities [Abstract] | ||
Amortized cost | 106,369 | 100,089 |
Gross unrealized gains | 2,858 | 2,938 |
Gross unrealized losses | (72) | (55) |
Fair value | 109,155 | 102,972 |
Corporate Obligations [Member] | ||
Debt Securities [Abstract] | ||
Amortized cost | 10,892 | 6,413 |
Gross unrealized gains | 67 | 96 |
Gross unrealized losses | (4) | 0 |
Fair value | 10,955 | 6,509 |
Mortgage-backed Securities in Government Sponsored Entities [Member] | ||
Debt Securities [Abstract] | ||
Amortized cost | 94,038 | 74,512 |
Gross unrealized gains | 1,210 | 1,874 |
Gross unrealized losses | (552) | (137) |
Fair value | $ 94,696 | $ 76,249 |
Investments, Gross Unrealized L
Investments, Gross Unrealized Losses and Fair Value and Net Unrealized Gains (Losses) (Details) $ in Thousands | Jun. 30, 2021USD ($)Security | Dec. 31, 2020USD ($) |
Available-for-sale, Debt Securities, Fair Value and Gross Unrealized Losses [Abstract] | ||
Less than twelve months, Fair value | $ 113,796 | $ 33,727 |
Twelve months or greater, Fair value | 5,350 | 5,633 |
Total, Fair value | 119,146 | 39,360 |
Less than twelve months, Gross unrealized losses | (1,237) | (206) |
Twelve months or greater, Gross unrealized losses | (63) | (38) |
Total, Gross Unrealized Losses | $ (1,300) | (244) |
Number of securities owned with fair value less than cost | Security | 77 | |
U.S. Agency Securities [Member] | ||
Available-for-sale, Debt Securities, Fair Value and Gross Unrealized Losses [Abstract] | ||
Less than twelve months, Fair value | $ 32,225 | 13,720 |
Twelve months or greater, Fair value | 0 | 0 |
Total, Fair value | 32,225 | 13,720 |
Less than twelve months, Gross unrealized losses | (545) | (52) |
Twelve months or greater, Gross unrealized losses | 0 | 0 |
Total, Gross Unrealized Losses | (545) | (52) |
U.S. Treasury Securities [Member] | ||
Available-for-sale, Debt Securities, Fair Value and Gross Unrealized Losses [Abstract] | ||
Less than twelve months, Fair value | 28,482 | |
Twelve months or greater, Fair value | 0 | |
Total, Fair value | 28,482 | |
Less than twelve months, Gross unrealized losses | (127) | |
Twelve months or greater, Gross unrealized losses | 0 | |
Total, Gross Unrealized Losses | (127) | |
Obligations of State and Political Subdivisions [Member] | ||
Available-for-sale, Debt Securities, Fair Value and Gross Unrealized Losses [Abstract] | ||
Less than twelve months, Fair value | 8,651 | 5,407 |
Twelve months or greater, Fair value | 3,239 | 0 |
Total, Fair value | 11,890 | 5,407 |
Less than twelve months, Gross unrealized losses | (35) | (55) |
Twelve months or greater, Gross unrealized losses | (37) | 0 |
Total, Gross Unrealized Losses | (72) | (55) |
Corporate Obligations [Member] | ||
Available-for-sale, Debt Securities, Fair Value and Gross Unrealized Losses [Abstract] | ||
Less than twelve months, Fair value | 496 | |
Twelve months or greater, Fair value | 0 | |
Total, Fair value | 496 | |
Less than twelve months, Gross unrealized losses | (4) | |
Twelve months or greater, Gross unrealized losses | 0 | |
Total, Gross Unrealized Losses | (4) | |
Mortgage-backed Securities in Government Sponsored Entities [Member] | ||
Available-for-sale, Debt Securities, Fair Value and Gross Unrealized Losses [Abstract] | ||
Less than twelve months, Fair value | 43,942 | 14,600 |
Twelve months or greater, Fair value | 2,111 | 5,633 |
Total, Fair value | 46,053 | 20,233 |
Less than twelve months, Gross unrealized losses | (526) | (99) |
Twelve months or greater, Gross unrealized losses | (26) | (38) |
Total, Gross Unrealized Losses | $ (552) | $ (137) |
Investments, Gross Gains and Lo
Investments, Gross Gains and Losses, Available for Sale Securities (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Investments [Abstract] | |||||
Proceeds from sale of securities available-for-sale | $ 0 | $ 5,476,000 | $ 5,045,000 | $ 5,476,000 | |
Gross gains and losses on available-for-sale securities [Abstract] | |||||
Gross gains on available for sale securities | 0 | 117,000 | 50,000 | 117,000 | |
Gross losses on available for sale securities | 0 | 0 | 0 | 0 | |
Net gains | 0 | 117,000 | 50,000 | 117,000 | |
Equity securities [Abstract] | |||||
Net gains (losses) recognized in equity securities during the period | 29,000 | 11,000 | 216,000 | (243,000) | |
Less: Net gains realized on the sale of equity securities during the period | 0 | 0 | 0 | 0 | |
Net unrealized gains (losses) | 29,000 | $ 11,000 | 216,000 | $ (243,000) | |
Investment securities pledged as collateral | $ 263,500,000 | $ 263,500,000 | $ 245,400,000 |
Investments, Debt Securities, A
Investments, Debt Securities, Amortized Cost and Fair Value by Maturity (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Available-for-Sale Debt Securities, Amortized Cost [Abstract] | ||
Due in one year or less | $ 23,487 | |
Due after one year through five years | 77,822 | |
Due after five years through ten years | 110,884 | |
Due after ten years | 151,843 | |
Amortized cost | 364,036 | $ 287,521 |
Available-for-Sale Debt Securities, Fair Value [Abstract] | ||
Due in one year or less | 23,744 | |
Due after one year through five years | 79,805 | |
Due after five years through ten years | 111,619 | |
Due after ten years | 153,834 | |
Fair value | $ 369,002 | $ 295,189 |
Loans, Primary Segments Portfol
Loans, Primary Segments Portfolio and Accretable Yield for PCI Loans (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | Apr. 17, 2020 | |
Segments of loan portfolio and allowance for loan losses [Abstract] | ||||||
Total financing receivables | $ 1,415,109,000 | $ 1,415,109,000 | $ 1,405,281,000 | |||
Individually evaluated for impairment | 16,022,000 | 16,022,000 | 17,277,000 | |||
Loans acquired with deteriorated credit quality | 3,944,000 | 3,944,000 | 4,875,000 | |||
Collectively evaluated for impairment | 1,395,143,000 | 1,395,143,000 | 1,383,129,000 | |||
Loans And Leases Receivable, Allowance For Loan Losses [Abstract] | ||||||
Allowance for loan losses | 16,931,000 | 16,931,000 | 15,815,000 | |||
Individually evaluated for impairment | 269,000 | 269,000 | 510,000 | |||
Allowance for loan losses related to loans acquired with deteriorated credit quality | 0 | 0 | 0 | |||
Collectively evaluated for impairment | 16,662,000 | 16,662,000 | 15,305,000 | |||
Loans and Leases Receivable, Net Amount [Abstract] | ||||||
Net loans | 1,398,178,000 | 1,398,178,000 | 1,389,466,000 | |||
Net loans, individually evaluated for impairment | 15,753,000 | 15,753,000 | 16,767,000 | |||
Net loans, loans acquired with deteriorated credit quality | 3,944,000 | 3,944,000 | 4,875,000 | |||
Net loans, collectively evaluated for impairment | 1,378,481,000 | 1,378,481,000 | 1,367,824,000 | |||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | ||||||
Unpaid principal balance | 18,121,000 | 18,121,000 | 19,050,000 | |||
Changes in the accretable yield for purchased credit-impaired loans [Roll Forward] | ||||||
Balance at beginning of period | 688,000 | $ 88,000 | 788,000 | $ 89,000 | ||
Acquisition of Midcoast | 0 | 966,000 | 0 | 966,000 | ||
Accretion | (104,000) | (67,000) | (204,000) | (68,000) | ||
Balance at end of period | 584,000 | $ 987,000 | 584,000 | $ 987,000 | ||
Loans acquired with specific evidence of deterioration in credit quality [Abstract] | ||||||
Outstanding balance | 7,092,000 | 7,092,000 | 8,958,000 | |||
Carrying amount | 3,944,000 | 3,944,000 | 4,875,000 | |||
COVID-19 [Member] | ||||||
Loans and Leases Receivable, Net Amount [Abstract] | ||||||
Outstanding principal balances | 27,100,000 | 27,100,000 | 37,200,000 | |||
Loans originated | 24,300,000 | |||||
Loans outstanding | 23,200,000 | |||||
Maximum amount of loan forgiven by guidance from SBA | 150,000 | |||||
Proceeds from loans receivable | 1,600,000 | 1,600,000 | ||||
Deferred fees | 1,400,000 | $ 1,400,000 | ||||
Minimum [Member] | ||||||
Loans and Leases Receivable, Net Amount [Abstract] | ||||||
Number of days past for loan to be considered impaired, Minimum | 90 days | |||||
First Mortgage [Member] | Minimum [Member] | ||||||
Loans and Leases Receivable, Net Amount [Abstract] | ||||||
Period of mortgage on real estate | 15 years | |||||
First Mortgage [Member] | Maximum [Member] | ||||||
Loans and Leases Receivable, Net Amount [Abstract] | ||||||
Period of mortgage on real estate | 30 years | |||||
Second Mortgage [Member] | Maximum [Member] | ||||||
Loans and Leases Receivable, Net Amount [Abstract] | ||||||
Period of mortgage on real estate | 15 years | |||||
Real Estate Loans [Member] | Residential [Member] | ||||||
Segments of loan portfolio and allowance for loan losses [Abstract] | ||||||
Total financing receivables | 202,171,000 | $ 202,171,000 | 201,911,000 | |||
Individually evaluated for impairment | 708,000 | 708,000 | 990,000 | |||
Loans acquired with deteriorated credit quality | 19,000 | 19,000 | 20,000 | |||
Collectively evaluated for impairment | 201,444,000 | 201,444,000 | 200,901,000 | |||
Loans And Leases Receivable, Allowance For Loan Losses [Abstract] | ||||||
Individually evaluated for impairment | 16,000 | 16,000 | 18,000 | |||
Collectively evaluated for impairment | 1,158,000 | 1,158,000 | 1,156,000 | |||
Real Estate Loans [Member] | Commercial [Member] | ||||||
Segments of loan portfolio and allowance for loan losses [Abstract] | ||||||
Total financing receivables | 641,633,000 | 641,633,000 | 596,255,000 | |||
Individually evaluated for impairment | 8,844,000 | 8,844,000 | 9,183,000 | |||
Loans acquired with deteriorated credit quality | 2,235,000 | 2,235,000 | 2,937,000 | |||
Collectively evaluated for impairment | 630,554,000 | 630,554,000 | 584,135,000 | |||
Loans And Leases Receivable, Allowance For Loan Losses [Abstract] | ||||||
Individually evaluated for impairment | 97,000 | 97,000 | 95,000 | |||
Collectively evaluated for impairment | 7,009,000 | 7,009,000 | 6,121,000 | |||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | ||||||
Unpaid principal balance | 9,691,000 | 9,691,000 | 9,847,000 | |||
Real Estate Loans [Member] | Agricultural [Member] | ||||||
Segments of loan portfolio and allowance for loan losses [Abstract] | ||||||
Total financing receivables | 310,274,000 | 310,274,000 | 315,158,000 | |||
Individually evaluated for impairment | 4,490,000 | 4,490,000 | 4,645,000 | |||
Loans acquired with deteriorated credit quality | 1,647,000 | 1,647,000 | 1,686,000 | |||
Collectively evaluated for impairment | 304,137,000 | 304,137,000 | 308,827,000 | |||
Loans And Leases Receivable, Allowance For Loan Losses [Abstract] | ||||||
Individually evaluated for impairment | 12,000 | 12,000 | 83,000 | |||
Collectively evaluated for impairment | 4,694,000 | 4,694,000 | 4,870,000 | |||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | ||||||
Unpaid principal balance | 4,742,000 | 4,742,000 | 4,811,000 | |||
Real Estate Loans [Member] | Construction [Member] | ||||||
Segments of loan portfolio and allowance for loan losses [Abstract] | ||||||
Total financing receivables | 63,065,000 | 63,065,000 | 35,404,000 | |||
Individually evaluated for impairment | 0 | 0 | 0 | |||
Loans acquired with deteriorated credit quality | 0 | 0 | 0 | |||
Collectively evaluated for impairment | 63,065,000 | 63,065,000 | 35,404,000 | |||
Loans And Leases Receivable, Allowance For Loan Losses [Abstract] | ||||||
Individually evaluated for impairment | 0 | 0 | 0 | |||
Collectively evaluated for impairment | 496,000 | 496,000 | 122,000 | |||
Consumer [Member] | ||||||
Segments of loan portfolio and allowance for loan losses [Abstract] | ||||||
Total financing receivables | 8,684,000 | 8,684,000 | 30,277,000 | |||
Individually evaluated for impairment | 0 | 0 | 2,000 | |||
Loans acquired with deteriorated credit quality | 0 | 0 | 0 | |||
Collectively evaluated for impairment | 8,684,000 | 8,684,000 | 30,275,000 | |||
Loans And Leases Receivable, Allowance For Loan Losses [Abstract] | ||||||
Individually evaluated for impairment | 0 | 0 | 0 | |||
Collectively evaluated for impairment | 85,000 | 85,000 | 321,000 | |||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | ||||||
Unpaid principal balance | 0 | 0 | 2,000 | |||
Other Commercial Loans [Member] | ||||||
Segments of loan portfolio and allowance for loan losses [Abstract] | ||||||
Total financing receivables | 104,349,000 | 104,349,000 | 114,169,000 | |||
Individually evaluated for impairment | 933,000 | 933,000 | 1,335,000 | |||
Loans acquired with deteriorated credit quality | 43,000 | 43,000 | 232,000 | |||
Collectively evaluated for impairment | 103,373,000 | 103,373,000 | 112,602,000 | |||
Loans And Leases Receivable, Allowance For Loan Losses [Abstract] | ||||||
Individually evaluated for impairment | 35,000 | 35,000 | 170,000 | |||
Collectively evaluated for impairment | 1,293,000 | 1,293,000 | 1,056,000 | |||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | ||||||
Unpaid principal balance | 1,572,000 | 1,572,000 | 1,908,000 | |||
Other Agricultural Loans [Member] | ||||||
Segments of loan portfolio and allowance for loan losses [Abstract] | ||||||
Total financing receivables | 33,720,000 | 33,720,000 | 48,779,000 | |||
Individually evaluated for impairment | 1,047,000 | 1,047,000 | 1,122,000 | |||
Loans acquired with deteriorated credit quality | 0 | 0 | 0 | |||
Collectively evaluated for impairment | 32,673,000 | 32,673,000 | 47,657,000 | |||
Loans And Leases Receivable, Allowance For Loan Losses [Abstract] | ||||||
Individually evaluated for impairment | 109,000 | 109,000 | 144,000 | |||
Collectively evaluated for impairment | 474,000 | 474,000 | 720,000 | |||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | ||||||
Unpaid principal balance | 1,247,000 | 1,247,000 | 1,262,000 | |||
State and Political Subdivision Loans [Member] | ||||||
Segments of loan portfolio and allowance for loan losses [Abstract] | ||||||
Total financing receivables | 51,213,000 | 51,213,000 | 63,328,000 | |||
Individually evaluated for impairment | 0 | 0 | 0 | |||
Loans acquired with deteriorated credit quality | 0 | 0 | 0 | |||
Collectively evaluated for impairment | 51,213,000 | 51,213,000 | 63,328,000 | |||
Loans And Leases Receivable, Allowance For Loan Losses [Abstract] | ||||||
Individually evaluated for impairment | 0 | 0 | 0 | |||
Collectively evaluated for impairment | 404,000 | 404,000 | $ 479,000 | |||
MidCoast Community Bancorp, Inc [Member] | ||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | ||||||
Unpaid principal balance | $ 8,005,000 | |||||
Purchase accounting adjustments related to purchased impaired loans [Abstract] | ||||||
Contractually required principal and interest at acquisition | 8,801,000 | |||||
Non-accretable discount | (2,966,000) | |||||
Expected cash flows | 5,835,000 | |||||
Accretable discount | (966,000) | |||||
Estimated fair value | $ 4,869,000 | |||||
Loans acquired with specific evidence of deterioration in credit quality [Abstract] | ||||||
Carrying amount | $ 3,630,000 | $ 3,630,000 |
Loans, Impaired Financing Recei
Loans, Impaired Financing Receivable (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Impaired Financing Receivable [Abstract] | |||||
Unpaid Principal Balance | $ 18,121 | $ 18,121 | $ 19,050 | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | |||||
Recorded Investment With No Allowance | 12,158 | 12,158 | 13,047 | ||
Recorded Investment With Allowance | 3,864 | 3,864 | 4,230 | ||
Total Recorded Investment | 16,022 | 16,022 | 17,277 | ||
Related Allowance | 269 | 269 | 510 | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||||
Average Recorded Investment | 16,210 | $ 19,619 | 16,619 | $ 19,589 | |
Interest Income Recognized | 94 | 143 | 192 | 278 | |
Interest Income Recognized Cash Basis | 8 | 0 | 15 | 2 | |
Real Estate Loans [Member] | Mortgages [Member] | |||||
Impaired Financing Receivable [Abstract] | |||||
Unpaid Principal Balance | 766 | 766 | 1,070 | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | |||||
Recorded Investment With No Allowance | 574 | 574 | 740 | ||
Recorded Investment With Allowance | 48 | 48 | 123 | ||
Total Recorded Investment | 622 | 622 | 863 | ||
Related Allowance | 9 | 9 | 9 | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||||
Average Recorded Investment | 718 | 1,062 | 784 | 1,047 | |
Interest Income Recognized | 3 | 5 | 8 | 10 | |
Interest Income Recognized Cash Basis | 0 | 0 | 0 | 0 | |
Real Estate Loans [Member] | Home Equity [Member] | |||||
Impaired Financing Receivable [Abstract] | |||||
Unpaid Principal Balance | 103 | 103 | 150 | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | |||||
Recorded Investment With No Allowance | 40 | 40 | 70 | ||
Recorded Investment With Allowance | 46 | 46 | 57 | ||
Total Recorded Investment | 86 | 86 | 127 | ||
Related Allowance | 7 | 7 | 9 | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||||
Average Recorded Investment | 109 | 142 | 117 | 144 | |
Interest Income Recognized | 2 | 1 | 3 | 3 | |
Interest Income Recognized Cash Basis | 0 | 0 | 0 | 0 | |
Real Estate Loans [Member] | Commercial [Member] | |||||
Impaired Financing Receivable [Abstract] | |||||
Unpaid Principal Balance | 9,691 | 9,691 | 9,847 | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | |||||
Recorded Investment With No Allowance | 7,941 | 7,941 | 8,323 | ||
Recorded Investment With Allowance | 903 | 903 | 860 | ||
Total Recorded Investment | 8,844 | 8,844 | 9,183 | ||
Related Allowance | 97 | 97 | 95 | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||||
Average Recorded Investment | 8,781 | 11,572 | 9,009 | 11,529 | |
Interest Income Recognized | 67 | 115 | 134 | 219 | |
Interest Income Recognized Cash Basis | 8 | 0 | 15 | 2 | |
Real Estate Loans [Member] | Agricultural [Member] | |||||
Impaired Financing Receivable [Abstract] | |||||
Unpaid Principal Balance | 4,742 | 4,742 | 4,811 | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | |||||
Recorded Investment With No Allowance | 2,756 | 2,756 | 2,799 | ||
Recorded Investment With Allowance | 1,734 | 1,734 | 1,846 | ||
Total Recorded Investment | 4,490 | 4,490 | 4,645 | ||
Related Allowance | 12 | 12 | 83 | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||||
Average Recorded Investment | 4,497 | 3,746 | 4,543 | 3,761 | |
Interest Income Recognized | 21 | 19 | 43 | 40 | |
Interest Income Recognized Cash Basis | 0 | 0 | 0 | 0 | |
Consumer [Member] | |||||
Impaired Financing Receivable [Abstract] | |||||
Unpaid Principal Balance | 0 | 0 | 2 | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | |||||
Recorded Investment With No Allowance | 0 | 0 | 2 | ||
Recorded Investment With Allowance | 0 | 0 | 0 | ||
Total Recorded Investment | 0 | 0 | 2 | ||
Related Allowance | 0 | 0 | 0 | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||||
Average Recorded Investment | 0 | 2 | 1 | 3 | |
Interest Income Recognized | 0 | 0 | 0 | 0 | |
Interest Income Recognized Cash Basis | 0 | 0 | 0 | 0 | |
Other Commercial Loans [Member] | |||||
Impaired Financing Receivable [Abstract] | |||||
Unpaid Principal Balance | 1,572 | 1,572 | 1,908 | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | |||||
Recorded Investment With No Allowance | 832 | 832 | 1,094 | ||
Recorded Investment With Allowance | 101 | 101 | 241 | ||
Total Recorded Investment | 933 | 933 | 1,335 | ||
Related Allowance | 35 | 35 | 170 | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||||
Average Recorded Investment | 1,023 | 1,805 | 1,072 | 1,822 | |
Interest Income Recognized | 0 | 1 | 1 | 2 | |
Interest Income Recognized Cash Basis | 0 | 0 | 0 | 0 | |
Other Agricultural Loans [Member] | |||||
Impaired Financing Receivable [Abstract] | |||||
Unpaid Principal Balance | 1,247 | 1,247 | 1,262 | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | |||||
Recorded Investment With No Allowance | 15 | 15 | 19 | ||
Recorded Investment With Allowance | 1,032 | 1,032 | 1,103 | ||
Total Recorded Investment | 1,047 | 1,047 | 1,122 | ||
Related Allowance | 109 | 109 | $ 144 | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||||
Average Recorded Investment | 1,082 | 1,290 | 1,093 | 1,283 | |
Interest Income Recognized | 1 | 2 | 3 | 4 | |
Interest Income Recognized Cash Basis | $ 0 | $ 0 | $ 0 | $ 0 |
Loans, Credit Quality Indicator
Loans, Credit Quality Indicator (Details) - USD ($) | 6 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | |
Financing Receivable by credit exposure [Abstract] | ||
Total | $ 210,855,000 | $ 232,188,000 |
Minimum [Member] | ||
Financing Receivable [Abstract] | ||
Amount over which all relationships to be reviewed, minimum | $ 500,000 | |
Percentage of dollar volume of commercial loan portfolio to be reviewed | 50.00% | |
Amount over which all new loans to be reviewed | $ 1,000,000 | |
Amount over which all relationships to be reviewed | 1,000,000 | |
Amount which is 30 days past due to be reviewed for all aggregate loan relationships | 750,000 | |
Real Estate Loans [Member] | Commercial [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 641,633,000 | 596,255,000 |
Real Estate Loans [Member] | Agricultural [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 310,274,000 | 315,158,000 |
Real Estate Loans [Member] | Construction [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 63,065,000 | 35,404,000 |
Real Estate Loans [Member] | Mortgages [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 149,747,000 | 146,902,000 |
Real Estate Loans [Member] | Home Equity [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 52,424,000 | 55,009,000 |
Consumer [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 8,684,000 | 30,277,000 |
Other Commercial Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 104,349,000 | 114,169,000 |
Other Agricultural Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 33,720,000 | 48,779,000 |
State and Political Subdivision Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 51,213,000 | 63,328,000 |
Pass [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 1,139,917,000 | 1,098,752,000 |
Pass [Member] | Real Estate Loans [Member] | Commercial [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 610,776,000 | 563,121,000 |
Pass [Member] | Real Estate Loans [Member] | Agricultural [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 290,149,000 | 289,216,000 |
Pass [Member] | Real Estate Loans [Member] | Construction [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 63,065,000 | 35,404,000 |
Pass [Member] | Other Commercial Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 97,731,000 | 106,604,000 |
Pass [Member] | Other Agricultural Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 31,594,000 | 45,758,000 |
Pass [Member] | State and Political Subdivision Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 46,602,000 | 58,649,000 |
Special Mention [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 42,549,000 | 48,247,000 |
Special Mention [Member] | Real Estate Loans [Member] | Commercial [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 24,148,000 | 24,329,000 |
Special Mention [Member] | Real Estate Loans [Member] | Agricultural [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 10,068,000 | 14,307,000 |
Special Mention [Member] | Real Estate Loans [Member] | Construction [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
Special Mention [Member] | Other Commercial Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 3,038,000 | 3,808,000 |
Special Mention [Member] | Other Agricultural Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 923,000 | 1,431,000 |
Special Mention [Member] | State and Political Subdivision Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 4,372,000 | 4,372,000 |
Substandard [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 21,736,000 | 26,009,000 |
Substandard [Member] | Real Estate Loans [Member] | Commercial [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 6,709,000 | 8,805,000 |
Substandard [Member] | Real Estate Loans [Member] | Agricultural [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 10,057,000 | 11,635,000 |
Substandard [Member] | Real Estate Loans [Member] | Construction [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
Substandard [Member] | Other Commercial Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 3,528,000 | 3,672,000 |
Substandard [Member] | Other Agricultural Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 1,203,000 | 1,590,000 |
Substandard [Member] | State and Political Subdivision Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 239,000 | 307,000 |
Doubtful [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 52,000 | 85,000 |
Doubtful [Member] | Real Estate Loans [Member] | Commercial [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
Doubtful [Member] | Real Estate Loans [Member] | Agricultural [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
Doubtful [Member] | Real Estate Loans [Member] | Construction [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
Doubtful [Member] | Other Commercial Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 52,000 | 85,000 |
Doubtful [Member] | Other Agricultural Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
Doubtful [Member] | State and Political Subdivision Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
Loss [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
Loss [Member] | Real Estate Loans [Member] | Commercial [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
Loss [Member] | Real Estate Loans [Member] | Agricultural [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
Loss [Member] | Real Estate Loans [Member] | Construction [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
Loss [Member] | Other Commercial Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
Loss [Member] | Other Agricultural Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
Loss [Member] | State and Political Subdivision Loans [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
Internally Assigned Grade [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 1,204,254,000 | 1,173,093,000 |
Performing [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 210,236,000 | 231,051,000 |
Performing [Member] | Real Estate Loans [Member] | Mortgages [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 149,149,000 | 145,843,000 |
Performing [Member] | Real Estate Loans [Member] | Home Equity [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 52,403,000 | 54,961,000 |
Performing [Member] | Consumer [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 8,684,000 | 30,247,000 |
Nonperforming [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 600,000 | 1,117,000 |
Nonperforming [Member] | Real Estate Loans [Member] | Mortgages [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 579,000 | 1,039,000 |
Nonperforming [Member] | Real Estate Loans [Member] | Home Equity [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 21,000 | 48,000 |
Nonperforming [Member] | Consumer [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 30,000 |
PCI [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 19,000 | 20,000 |
PCI [Member] | Real Estate Loans [Member] | Mortgages [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 19,000 | 20,000 |
PCI [Member] | Real Estate Loans [Member] | Home Equity [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | 0 | 0 |
PCI [Member] | Consumer [Member] | ||
Financing Receivable by credit exposure [Abstract] | ||
Total | $ 0 | $ 0 |
Loans, Past Due (Details)
Loans, Past Due (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | |
Recorded investment of past due [Abstract] | ||
PCI | $ 3,944 | $ 4,875 |
Total financing receivables | 1,415,109 | 1,405,281 |
90 Days or greater and accruing | 49 | 525 |
Financing receivables on nonaccrual status [Abstract] | ||
Total past due and non-accrual | 5,033 | 6,401 |
Current and non-accrual | 4,049 | 4,331 |
PCI Loans considered non accrual | 0 | 0 |
Financing receivable nonaccrual status | 9,082 | 10,732 |
Financing receivables on accrual status [Abstract] | ||
Total past due and still accruing | 1,543 | 4,645 |
Current and still accruing | 1,400,540 | 1,385,029 |
PCI Loans still accruing | 3,944 | 4,875 |
Total financing receivables and still accruing | $ 1,406,027 | 1,394,549 |
Minimum [Member] | ||
Financing receivables on nonaccrual status [Abstract] | ||
Period of past due after which loans considered as non accrual | 90 days | |
Total Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | $ 6,576 | 11,046 |
30 to 59 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 1,651 | 6,256 |
Financing receivables on nonaccrual status [Abstract] | ||
Total past due and non-accrual | 426 | 3,032 |
Financing receivables on accrual status [Abstract] | ||
Total past due and still accruing | 1,225 | 3,224 |
60 to 89 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 2,261 | 924 |
Financing receivables on nonaccrual status [Abstract] | ||
Total past due and non-accrual | 1,992 | 28 |
Financing receivables on accrual status [Abstract] | ||
Total past due and still accruing | 269 | 896 |
90 Days Or Greater [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 2,664 | 3,866 |
Financing receivables on nonaccrual status [Abstract] | ||
Total past due and non-accrual | 2,615 | 3,341 |
Financing receivables on accrual status [Abstract] | ||
Total past due and still accruing | 49 | 525 |
Current [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 1,404,589 | 1,389,360 |
Real Estate Loans [Member] | Mortgages [Member] | ||
Recorded investment of past due [Abstract] | ||
PCI | 19 | 20 |
Total financing receivables | 149,747 | 146,902 |
90 Days or greater and accruing | 37 | 252 |
Financing receivables on nonaccrual status [Abstract] | ||
Financing receivable nonaccrual status | 542 | 787 |
Real Estate Loans [Member] | Mortgages [Member] | Total Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 652 | 1,796 |
Real Estate Loans [Member] | Mortgages [Member] | 30 to 59 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 415 | 864 |
Real Estate Loans [Member] | Mortgages [Member] | 60 to 89 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 30 | 414 |
Real Estate Loans [Member] | Mortgages [Member] | 90 Days Or Greater [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 207 | 518 |
Real Estate Loans [Member] | Mortgages [Member] | Current [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 149,076 | 145,086 |
Real Estate Loans [Member] | Home Equity [Member] | ||
Recorded investment of past due [Abstract] | ||
PCI | 0 | 0 |
Total financing receivables | 52,424 | 55,009 |
90 Days or greater and accruing | 2 | 23 |
Financing receivables on nonaccrual status [Abstract] | ||
Financing receivable nonaccrual status | 19 | 25 |
Real Estate Loans [Member] | Home Equity [Member] | Total Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 98 | 248 |
Real Estate Loans [Member] | Home Equity [Member] | 30 to 59 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 81 | 152 |
Real Estate Loans [Member] | Home Equity [Member] | 60 to 89 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 9 | 62 |
Real Estate Loans [Member] | Home Equity [Member] | 90 Days Or Greater [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 8 | 34 |
Real Estate Loans [Member] | Home Equity [Member] | Current [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 52,326 | 54,761 |
Real Estate Loans [Member] | Commercial [Member] | ||
Recorded investment of past due [Abstract] | ||
PCI | 2,235 | 2,937 |
Total financing receivables | 641,633 | 596,255 |
90 Days or greater and accruing | 10 | 70 |
Financing receivables on nonaccrual status [Abstract] | ||
Financing receivable nonaccrual status | 3,699 | 4,529 |
Real Estate Loans [Member] | Commercial [Member] | Total Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 3,276 | 3,097 |
Real Estate Loans [Member] | Commercial [Member] | 30 to 59 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 667 | 836 |
Real Estate Loans [Member] | Commercial [Member] | 60 to 89 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 1,340 | 439 |
Real Estate Loans [Member] | Commercial [Member] | 90 Days Or Greater [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 1,269 | 1,822 |
Real Estate Loans [Member] | Commercial [Member] | Current [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 636,122 | 590,221 |
Real Estate Loans [Member] | Agricultural [Member] | ||
Recorded investment of past due [Abstract] | ||
PCI | 1,647 | 1,686 |
Total financing receivables | 310,274 | 315,158 |
90 Days or greater and accruing | 0 | 150 |
Financing receivables on nonaccrual status [Abstract] | ||
Financing receivable nonaccrual status | 3,039 | 3,133 |
Real Estate Loans [Member] | Agricultural [Member] | Total Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 1,552 | 3,612 |
Real Estate Loans [Member] | Agricultural [Member] | 30 to 59 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 329 | 2,283 |
Real Estate Loans [Member] | Agricultural [Member] | 60 to 89 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 43 | 0 |
Real Estate Loans [Member] | Agricultural [Member] | 90 Days Or Greater [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 1,180 | 1,329 |
Real Estate Loans [Member] | Agricultural [Member] | Current [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 307,075 | 309,860 |
Real Estate Loans [Member] | Construction [Member] | ||
Recorded investment of past due [Abstract] | ||
PCI | 0 | 0 |
Total financing receivables | 63,065 | 35,404 |
90 Days or greater and accruing | 0 | 0 |
Real Estate Loans [Member] | Construction [Member] | Total Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 0 | 0 |
Real Estate Loans [Member] | Construction [Member] | 30 to 59 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 0 | 0 |
Real Estate Loans [Member] | Construction [Member] | 60 to 89 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 0 | 0 |
Real Estate Loans [Member] | Construction [Member] | 90 Days Or Greater [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 0 | 0 |
Real Estate Loans [Member] | Construction [Member] | Current [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 63,065 | 35,404 |
Consumer [Member] | ||
Recorded investment of past due [Abstract] | ||
PCI | 0 | 0 |
Total financing receivables | 8,684 | 30,277 |
90 Days or greater and accruing | 0 | 30 |
Consumer [Member] | Total Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 162 | 186 |
Consumer [Member] | 30 to 59 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 159 | 147 |
Consumer [Member] | 60 to 89 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 3 | 9 |
Consumer [Member] | 90 Days Or Greater [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 0 | 30 |
Consumer [Member] | Current [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 8,522 | 30,091 |
Other Commercial Loans [Member] | ||
Recorded investment of past due [Abstract] | ||
PCI | 43 | 232 |
Total financing receivables | 104,349 | 114,169 |
90 Days or greater and accruing | 0 | 0 |
Financing receivables on nonaccrual status [Abstract] | ||
Financing receivable nonaccrual status | 884 | 1,284 |
Other Commercial Loans [Member] | Total Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 832 | 1,063 |
Other Commercial Loans [Member] | 30 to 59 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 0 | 930 |
Other Commercial Loans [Member] | 60 to 89 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 832 | 0 |
Other Commercial Loans [Member] | 90 Days Or Greater [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 0 | 133 |
Other Commercial Loans [Member] | Current [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 103,474 | 112,874 |
Other Agricultural Loans [Member] | ||
Recorded investment of past due [Abstract] | ||
PCI | 0 | 0 |
Total financing receivables | 33,720 | 48,779 |
90 Days or greater and accruing | 0 | 0 |
Financing receivables on nonaccrual status [Abstract] | ||
Financing receivable nonaccrual status | 899 | 974 |
Other Agricultural Loans [Member] | Total Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 4 | 1,044 |
Other Agricultural Loans [Member] | 30 to 59 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 0 | 1,044 |
Other Agricultural Loans [Member] | 60 to 89 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 4 | 0 |
Other Agricultural Loans [Member] | 90 Days Or Greater [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 0 | 0 |
Other Agricultural Loans [Member] | Current [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 33,716 | 47,735 |
State and Political Subdivision Loans [Member] | ||
Recorded investment of past due [Abstract] | ||
PCI | 0 | 0 |
Total financing receivables | 51,213 | 63,328 |
90 Days or greater and accruing | 0 | 0 |
State and Political Subdivision Loans [Member] | Total Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 0 | 0 |
State and Political Subdivision Loans [Member] | 30 to 59 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 0 | 0 |
State and Political Subdivision Loans [Member] | 60 to 89 Days Past Due [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 0 | 0 |
State and Political Subdivision Loans [Member] | 90 Days Or Greater [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | 0 | 0 |
State and Political Subdivision Loans [Member] | Current [Member] | ||
Recorded investment of past due [Abstract] | ||
Past due | $ 51,213 | $ 63,328 |
Loans, Loan Modifications Relat
Loans, Loan Modifications Related to COVID-19 (Details) - COVID-19 [Member] $ in Thousands | 6 Months Ended |
Jun. 30, 2021USD ($)Loan | |
Loan Modifications Related to COVID-19 [Abstract] | |
Number of loans | Loan | 19 |
Balance as of Modification date | $ 26,727 |
Number of loans | Loan | 1 |
Balance | $ 6,205 |
Principal and Interest Deferral | 6,205 |
Principal Deferral | $ 0 |
Balance | 0.44% |
Real Estate Loans [Member] | Mortgages [Member] | |
Loan Modifications Related to COVID-19 [Abstract] | |
Number of loans | Loan | 1 |
Balance as of Modification date | $ 209 |
Number of loans | Loan | 0 |
Balance | $ 0 |
Principal and Interest Deferral | 0 |
Principal Deferral | $ 0 |
Balance | 0.00% |
Real Estate Loans [Member] | Home Equity [Member] | |
Loan Modifications Related to COVID-19 [Abstract] | |
Number of loans | Loan | 1 |
Balance as of Modification date | $ 49 |
Number of loans | Loan | 0 |
Balance | $ 0 |
Principal and Interest Deferral | 0 |
Principal Deferral | $ 0 |
Balance | 0.00% |
Real Estate Loans [Member] | Commercial [Member] | |
Loan Modifications Related to COVID-19 [Abstract] | |
Number of loans | Loan | 12 |
Balance as of Modification date | $ 26,039 |
Number of loans | Loan | 1 |
Balance | $ 6,205 |
Principal and Interest Deferral | 6,205 |
Principal Deferral | $ 0 |
Balance | 0.97% |
Real Estate Loans [Member] | Agricultural [Member] | |
Loan Modifications Related to COVID-19 [Abstract] | |
Number of loans | Loan | 3 |
Balance as of Modification date | $ 181 |
Number of loans | Loan | 0 |
Balance | $ 0 |
Principal and Interest Deferral | 0 |
Principal Deferral | $ 0 |
Balance | 0.00% |
Real Estate Loans [Member] | Construction [Member] | |
Loan Modifications Related to COVID-19 [Abstract] | |
Number of loans | Loan | 0 |
Balance as of Modification date | $ 0 |
Number of loans | Loan | 0 |
Balance | $ 0 |
Principal and Interest Deferral | 0 |
Principal Deferral | $ 0 |
Balance | 0.00% |
Consumer [Member] | |
Loan Modifications Related to COVID-19 [Abstract] | |
Number of loans | Loan | 0 |
Balance as of Modification date | $ 0 |
Number of loans | Loan | 0 |
Balance | $ 0 |
Principal and Interest Deferral | 0 |
Principal Deferral | $ 0 |
Balance | 0.00% |
Other Commercial Loans [Member] | |
Loan Modifications Related to COVID-19 [Abstract] | |
Number of loans | Loan | 2 |
Balance as of Modification date | $ 249 |
Number of loans | Loan | 0 |
Balance | $ 0 |
Principal and Interest Deferral | 0 |
Principal Deferral | $ 0 |
Balance | 0.00% |
Other Agricultural Loans [Member] | |
Loan Modifications Related to COVID-19 [Abstract] | |
Number of loans | Loan | 0 |
Balance as of Modification date | $ 0 |
Number of loans | Loan | 0 |
Balance | $ 0 |
Principal and Interest Deferral | 0 |
Principal Deferral | $ 0 |
Balance | 0.00% |
Loans, Trouble Debt Restructuri
Loans, Trouble Debt Restructuring (Details) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021USD ($)Contract | Jun. 30, 2020USD ($)Contract | Jun. 30, 2021USD ($)Contract | Jun. 30, 2020USD ($)Contract | Dec. 31, 2020USD ($) | |
Loans [Abstract] | |||||
Reserves of allowance for loan losses | $ 147,000 | $ 147,000 | $ 257,000 | ||
Interest Modification [Member] | |||||
Financing receivable modifications [Abstract] | |||||
Number of contracts | Contract | 0 | 0 | 0 | 0 | |
Pre-modification outstanding recorded investment | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-modification outstanding recorded investment | $ 0 | $ 0 | $ 0 | $ 0 | |
Term Modification [Member] | |||||
Financing receivable modifications [Abstract] | |||||
Number of contracts | Contract | 1 | 2 | 3 | 3 | |
Pre-modification outstanding recorded investment | $ 1,117,000 | $ 406,000 | $ 1,407,000 | $ 556,000 | |
Post-modification outstanding recorded investment | $ 1,117,000 | $ 406,000 | $ 1,407,000 | $ 556,000 | |
Real Estate Loans [Member] | Commercial [Member] | Interest Modification [Member] | |||||
Financing receivable modifications [Abstract] | |||||
Number of contracts | Contract | 0 | 0 | 0 | 0 | |
Pre-modification outstanding recorded investment | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-modification outstanding recorded investment | $ 0 | $ 0 | $ 0 | $ 0 | |
Real Estate Loans [Member] | Commercial [Member] | Term Modification [Member] | |||||
Financing receivable modifications [Abstract] | |||||
Number of contracts | Contract | 1 | 2 | 3 | 2 | |
Pre-modification outstanding recorded investment | $ 1,117,000 | $ 406,000 | $ 1,407,000 | $ 406,000 | |
Post-modification outstanding recorded investment | $ 1,117,000 | $ 406,000 | $ 1,407,000 | $ 406,000 | |
Real Estate Loans [Member] | Agricultural [Member] | Interest Modification [Member] | |||||
Financing receivable modifications [Abstract] | |||||
Number of contracts | Contract | 0 | ||||
Pre-modification outstanding recorded investment | $ 0 | ||||
Post-modification outstanding recorded investment | $ 0 | ||||
Real Estate Loans [Member] | Agricultural [Member] | Term Modification [Member] | |||||
Financing receivable modifications [Abstract] | |||||
Number of contracts | Contract | 1 | ||||
Pre-modification outstanding recorded investment | $ 150,000 | ||||
Post-modification outstanding recorded investment | $ 150,000 |
Loans, Allowance for Loan Losse
Loans, Allowance for Loan Losses (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 |
Summary of allowance for loan losses into amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment [Abstract] | ||||||
Individually evaluated for impairment | $ 269 | $ 510 | ||||
Collectively evaluated for impairment | 16,662 | 15,305 | ||||
Total | 16,931 | $ 16,560 | 15,815 | $ 14,827 | $ 14,247 | $ 13,845 |
Real Estate Loans [Member] | Residential [Member] | ||||||
Summary of allowance for loan losses into amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment [Abstract] | ||||||
Individually evaluated for impairment | 16 | 18 | ||||
Collectively evaluated for impairment | 1,158 | 1,156 | ||||
Total | 1,174 | 1,167 | 1,174 | 1,206 | 1,154 | 1,114 |
Real Estate Loans [Member] | Commercial [Member] | ||||||
Summary of allowance for loan losses into amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment [Abstract] | ||||||
Individually evaluated for impairment | 97 | 95 | ||||
Collectively evaluated for impairment | 7,009 | 6,121 | ||||
Total | 7,106 | 6,683 | 6,216 | 4,944 | 4,729 | 4,549 |
Real Estate Loans [Member] | Agricultural [Member] | ||||||
Summary of allowance for loan losses into amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment [Abstract] | ||||||
Individually evaluated for impairment | 12 | 83 | ||||
Collectively evaluated for impairment | 4,694 | 4,870 | ||||
Total | 4,706 | 4,917 | 4,953 | 5,061 | 4,878 | 5,022 |
Real Estate Loans [Member] | Construction [Member] | ||||||
Summary of allowance for loan losses into amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment [Abstract] | ||||||
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 496 | 122 | ||||
Total | 496 | 151 | 122 | 81 | 56 | 43 |
Consumer [Member] | ||||||
Summary of allowance for loan losses into amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment [Abstract] | ||||||
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 85 | 321 | ||||
Total | 85 | 237 | 321 | 362 | 117 | 112 |
Other Commercial Loans [Member] | ||||||
Summary of allowance for loan losses into amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment [Abstract] | ||||||
Individually evaluated for impairment | 35 | 170 | ||||
Collectively evaluated for impairment | 1,293 | 1,056 | ||||
Total | 1,328 | 1,504 | 1,226 | 1,201 | 1,297 | 1,255 |
Other Agricultural Loans [Member] | ||||||
Summary of allowance for loan losses into amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment [Abstract] | ||||||
Individually evaluated for impairment | 109 | 144 | ||||
Collectively evaluated for impairment | 474 | 720 | ||||
Total | 583 | 789 | 864 | 821 | 835 | 961 |
State and Political Subdivision Loans [Member] | ||||||
Summary of allowance for loan losses into amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment [Abstract] | ||||||
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 404 | 479 | ||||
Total | 404 | 470 | 479 | 547 | 558 | 536 |
Unallocated [Member] | ||||||
Summary of allowance for loan losses into amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment [Abstract] | ||||||
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 1,049 | 460 | ||||
Total | $ 1,049 | $ 642 | $ 460 | $ 604 | $ 623 | $ 253 |
Loans, Allowance for Loan Los_2
Loans, Allowance for Loan Losses by Portfolio Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Balance at beginning of period | $ 16,560 | $ 14,247 | $ 15,815 | $ 13,845 |
Charge-offs | (138) | (10) | (142) | (19) |
Recoveries | 9 | 40 | 108 | 51 |
Provision | 500 | 550 | 1,150 | 950 |
Balance at end of period | 16,931 | 14,827 | 16,931 | 14,827 |
Real Estate Loans [Member] | Residential [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Balance at beginning of period | 1,167 | 1,154 | 1,174 | 1,114 |
Charge-offs | 0 | 0 | 0 | |
Recoveries | 0 | 0 | 0 | 0 |
Provision | 7 | 52 | 0 | 92 |
Balance at end of period | 1,174 | 1,206 | 1,174 | 1,206 |
Real Estate Loans [Member] | Commercial [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Balance at beginning of period | 6,683 | 4,729 | 6,216 | 4,549 |
Charge-offs | 0 | 0 | 0 | (1) |
Recoveries | 0 | 33 | 89 | 34 |
Provision | 423 | 182 | 801 | 362 |
Balance at end of period | 7,106 | 4,944 | 7,106 | 4,944 |
Real Estate Loans [Member] | Agricultural [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Balance at beginning of period | 4,917 | 4,878 | 4,953 | 5,022 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provision | (211) | 183 | (247) | 39 |
Balance at end of period | 4,706 | 5,061 | 4,706 | 5,061 |
Real Estate Loans [Member] | Construction [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Balance at beginning of period | 151 | 56 | 122 | 43 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provision | 345 | 25 | 374 | 38 |
Balance at end of period | 496 | 81 | 496 | 81 |
Consumer [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Balance at beginning of period | 237 | 117 | 321 | 112 |
Charge-offs | (5) | (10) | (9) | (18) |
Recoveries | 6 | 4 | 12 | 12 |
Provision | (153) | 251 | (239) | 256 |
Balance at end of period | 85 | 362 | 85 | 362 |
Other Commercial Loans [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Balance at beginning of period | 1,504 | 1,297 | 1,226 | 1,255 |
Charge-offs | (133) | 0 | (133) | 0 |
Recoveries | 3 | 3 | 7 | 5 |
Provision | (46) | (99) | 228 | (59) |
Balance at end of period | 1,328 | 1,201 | 1,328 | 1,201 |
Other Agricultural Loans [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Balance at beginning of period | 789 | 835 | 864 | 961 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provision | (206) | (14) | (281) | (140) |
Balance at end of period | 583 | 821 | 583 | 821 |
State and Political Subdivision Loans [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Balance at beginning of period | 470 | 558 | 479 | 536 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provision | (66) | (11) | (75) | 11 |
Balance at end of period | 404 | 547 | 404 | 547 |
Unallocated [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Balance at beginning of period | 642 | 623 | 460 | 253 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provision | 407 | (19) | 589 | 351 |
Balance at end of period | $ 1,049 | $ 604 | $ 1,049 | $ 604 |
Loans, Foreclosed Assets Held f
Loans, Foreclosed Assets Held for Sale (Details) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Foreclosed assets held for sale [Abstract] | ||
Foreclosed assets held for sale | $ 1,811,000 | $ 1,836,000 |
Consumer Residential Mortgages [Member] | ||
Foreclosed assets held for sale [Abstract] | ||
Foreclosed assets held for sale | 481,000 | |
Formal foreclosure proceedings on potential foreclosure assets | $ 263,000 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | ||
Amortized intangible assets [Abstract] | ||||||
Gross carrying value | [1] | $ 4,370 | $ 4,370 | $ 4,096 | ||
Accumulated amortization | [1] | (2,665) | (2,665) | (2,428) | ||
Net carrying value | [1] | 1,705 | 1,705 | 1,668 | ||
Unamortized intangible assets [Abstract] | ||||||
Goodwill | [1] | 31,376 | 31,376 | 31,376 | ||
Actual and Estimated Future Amortization Expense [Abstract] | ||||||
Amortization expense | 116 | $ 104 | 237 | $ 202 | ||
Estimated Amortization Expense [Abstract] | ||||||
Remaining 2021 | 251 | 251 | ||||
2022 | 424 | 424 | ||||
2023 | 334 | 334 | ||||
2024 | 251 | 251 | ||||
2025 | 175 | 175 | ||||
Thereafter | 270 | 270 | ||||
Mortgage Servicing Rights (MSRs) [Member] | ||||||
Amortized intangible assets [Abstract] | ||||||
Gross carrying value | [1] | 2,427 | 2,427 | 2,153 | ||
Accumulated amortization | [1] | (1,270) | (1,270) | (1,131) | ||
Net carrying value | [1] | 1,157 | 1,157 | 1,022 | ||
Actual and Estimated Future Amortization Expense [Abstract] | ||||||
Amortization expense | 67 | 49 | 139 | 97 | ||
Estimated Amortization Expense [Abstract] | ||||||
Remaining 2021 | 157 | 157 | ||||
2022 | 268 | 268 | ||||
2023 | 213 | 213 | ||||
2024 | 166 | 166 | ||||
2025 | 125 | 125 | ||||
Thereafter | 228 | 228 | ||||
Core Deposit Intangibles [Member] | ||||||
Amortized intangible assets [Abstract] | ||||||
Gross carrying value | [1] | 1,943 | 1,943 | 1,943 | ||
Accumulated amortization | [1] | (1,395) | (1,395) | (1,297) | ||
Net carrying value | [1] | 548 | 548 | $ 646 | ||
Actual and Estimated Future Amortization Expense [Abstract] | ||||||
Amortization expense | 49 | $ 55 | 98 | $ 105 | ||
Estimated Amortization Expense [Abstract] | ||||||
Remaining 2021 | 94 | 94 | ||||
2022 | 156 | 156 | ||||
2023 | 121 | 121 | ||||
2024 | 85 | 85 | ||||
2025 | 50 | 50 | ||||
Thereafter | $ 42 | $ 42 | ||||
[1] | Excludes fully amortized intangible assets |
Employee Benefit Plans, Noncont
Employee Benefit Plans, Noncontributory Defined Benefit Pension Plan (Details) - Pension Plan [Member] - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Components of net periodic benefit cost [Abstract] | ||||
Service cost | $ 115 | $ 82 | $ 225 | $ 165 |
Interest cost | 78 | 79 | 160 | 166 |
Expected return on plan assets | (252) | (206) | (504) | (431) |
Partial settlement | 0 | 307 | 0 | 307 |
Net amortization and deferral | 82 | 55 | 173 | 117 |
Net periodic benefit cost | 23 | $ 317 | 54 | $ 324 |
Expected employer contribution to pension plan | $ 0 | $ 0 |
Employee Benefit Plans, Restric
Employee Benefit Plans, Restricted Stock Plan (Details) - Restricted Stock [Member] - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Deferred Compensation Arrangements [Abstract] | ||||
Number of shares authorized (in shares) | 150,000 | 150,000 | ||
Number of shares available for grant (in shares) | 120,432 | 120,432 | ||
Unvested Shares [Roll Forward] | ||||
Outstanding, beginning of period (in shares) | 10,198 | 10,202 | ||
Granted (in shares) | 3,531 | 3,619 | ||
Forfeited (in shares) | 0 | (60) | ||
Vested (in shares) | (7,107) | (7,139) | ||
Outstanding, end of period (in shares) | 6,622 | 6,622 | ||
Weighted Average Market Price [Roll Forward] | ||||
Outstanding, beginning of period (in dollars per share) | $ 55.94 | $ 55.93 | ||
Granted (in dollars per share) | 60.30 | 60.21 | ||
Forfeited (in dollars per share) | 0 | (54.07) | ||
Vested (in dollars per share) | (56.43) | (56.44) | ||
Outstanding, end of period (in dollars per share) | $ 57.74 | $ 57.74 | ||
Additional General Disclosures [Abstract] | ||||
Share-based compensation expense | $ 76,000 | $ 83,000 | $ 160,000 | $ 165,000 |
Compensation cost related to nonvested awards that has not yet been recognized | $ 382,000 | $ 382,000 | ||
Period over which compensation cost is expected to be recognized | 3 years |
Accumulated Comprehensive Inc_3
Accumulated Comprehensive Income, By Component (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Balance | $ 198,807 | $ 159,923 | $ 194,259 | $ 154,774 | |
Other comprehensive income (loss) before reclassifications (net of tax) | 544 | (130) | (1,074) | 3,294 | |
Amounts reclassified from accumulated other comprehensive (loss) income (net of tax) | 64 | 119 | 97 | 242 | |
Other comprehensive income (loss), net of tax | 608 | (11) | (977) | 3,536 | |
Balance | 204,419 | 183,095 | 204,419 | 183,095 | |
Accumulated Other Comprehensive Loss [Member] | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Balance | 1,002 | 2,918 | 2,587 | (629) | |
Other comprehensive income (loss), net of tax | 608 | (11) | (977) | 3,536 | |
Balance | 1,610 | 2,907 | 1,610 | 2,907 | |
Unrealized Gain (Loss) on Available for Sale Securities [Member] | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Balance | [1] | 2,784 | 5,714 | 6,058 | 2,290 |
Other comprehensive income (loss) before reclassifications (net of tax) | [1] | 1,139 | 316 | (2,096) | 3,740 |
Amounts reclassified from accumulated other comprehensive (loss) income (net of tax) | [1] | 0 | (92) | (39) | (92) |
Other comprehensive income (loss), net of tax | [1] | 1,139 | 224 | (2,135) | 3,648 |
Balance | [1] | 3,923 | 5,938 | 3,923 | 5,938 |
Defined Benefit Pension Items [Member] | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Balance | [1] | (3,390) | (2,796) | (3,462) | (2,919) |
Other comprehensive income (loss) before reclassifications (net of tax) | [1] | 0 | 0 | 0 | 0 |
Amounts reclassified from accumulated other comprehensive (loss) income (net of tax) | [1] | 64 | 211 | 136 | 334 |
Other comprehensive income (loss), net of tax | [1] | 64 | 211 | 136 | 334 |
Balance | [1] | (3,326) | (2,585) | (3,326) | (2,585) |
Unrealized Loss on Interest Rate Swap [Member] | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Balance | [1] | 1,608 | 0 | (9) | 0 |
Other comprehensive income (loss) before reclassifications (net of tax) | [1] | (595) | (446) | 1,022 | (446) |
Amounts reclassified from accumulated other comprehensive (loss) income (net of tax) | [1] | 0 | 0 | 0 | 0 |
Other comprehensive income (loss), net of tax | [1] | (595) | (446) | 1,022 | (446) |
Balance | [1] | $ 1,013 | $ (446) | $ 1,013 | $ (446) |
[1] | Amounts in parentheses indicate debits on the Consolidated Balance Sheet. |
Accumulated Comprehensive Inc_4
Accumulated Comprehensive Income, Reclassification (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | ||
AOCI Attributable to Parent [Abstract] | |||||
Available for sale security gains, net | $ 266 | $ (126) | |||
Provision for income taxes | $ (1,451) | $ (1,054) | (3,067) | (1,943) | |
NET INCOME | 6,647 | 5,338 | 15,110 | 9,869 | |
Amount Reclassified from Accumulated Comprehensive Income (Loss) [Member] | |||||
AOCI Attributable to Parent [Abstract] | |||||
NET INCOME | [1] | (64) | (119) | (97) | (242) |
Unrealized Gains and Losses on Available for Sale Securities [Member] | Amount Reclassified from Accumulated Comprehensive Income (Loss) [Member] | |||||
AOCI Attributable to Parent [Abstract] | |||||
Available for sale security gains, net | [1] | 0 | 117 | 50 | 117 |
Provision for income taxes | [1] | 0 | (25) | (11) | (25) |
NET INCOME | [1] | 0 | 92 | 39 | 92 |
Defined Benefit Pension Items [Member] | Amount Reclassified from Accumulated Comprehensive Income (Loss) [Member] | |||||
AOCI Attributable to Parent [Abstract] | |||||
Other expenses | [1] | (82) | (267) | (173) | (423) |
Provision for income taxes | [1] | 18 | 56 | 37 | 89 |
NET INCOME | [1] | $ (64) | $ (211) | $ (136) | $ (334) |
[1] | Amounts in parentheses indicate expenses and other amounts indicate income on the Consolidated Statement of Income |
Fair Value Measurements, Measur
Fair Value Measurements, Measured On A Recurring And Nonrecurring Basis (Details) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Fair value assets and liabilities measured on non-recurring basis [Abstract] | ||
Impaired loans, estimated selling cost | $ 328,000 | $ 356,000 |
Recurring [Member] | ||
Assets [Abstract] | ||
Equity securities | 2,148,000 | 1,931,000 |
Available for sale securities [Abstract] | ||
U.S. Agency Securities | 84,511,000 | 81,416,000 |
U.S. Treasury securities | 69,685,000 | 28,043,000 |
Obligations of state and political subdivisions | 109,155,000 | 102,972,000 |
Corporate obligations | 10,955,000 | 6,509,000 |
Mortgage-backed securities in government sponsored entities | 94,696,000 | 76,249,000 |
Derivative instruments | 2,934,000 | 1,111,000 |
Liabilities [Abstract] | ||
Derivative instruments | (1,651,000) | (1,122,000) |
Recurring [Member] | Level I [Member] | ||
Assets [Abstract] | ||
Equity securities | 2,148,000 | 1,931,000 |
Available for sale securities [Abstract] | ||
U.S. Agency Securities | 0 | 0 |
U.S. Treasury securities | 69,685,000 | 28,043,000 |
Obligations of state and political subdivisions | 0 | 0 |
Corporate obligations | 0 | 0 |
Mortgage-backed securities in government sponsored entities | 0 | 0 |
Derivative instruments | 0 | 0 |
Liabilities [Abstract] | ||
Derivative instruments | 0 | 0 |
Recurring [Member] | Level II [Member] | ||
Assets [Abstract] | ||
Equity securities | 0 | 0 |
Available for sale securities [Abstract] | ||
U.S. Agency Securities | 84,511,000 | 81,416,000 |
U.S. Treasury securities | 0 | 0 |
Obligations of state and political subdivisions | 109,155,000 | 102,972,000 |
Corporate obligations | 10,955,000 | 6,509,000 |
Mortgage-backed securities in government sponsored entities | 94,696,000 | 76,249,000 |
Derivative instruments | 2,934,000 | 1,111,000 |
Liabilities [Abstract] | ||
Derivative instruments | (1,651,000) | (1,122,000) |
Recurring [Member] | Level III [Member] | ||
Assets [Abstract] | ||
Equity securities | 0 | 0 |
Available for sale securities [Abstract] | ||
U.S. Agency Securities | 0 | 0 |
U.S. Treasury securities | 0 | 0 |
Obligations of state and political subdivisions | 0 | 0 |
Corporate obligations | 0 | 0 |
Mortgage-backed securities in government sponsored entities | 0 | 0 |
Derivative instruments | 0 | 0 |
Liabilities [Abstract] | ||
Derivative instruments | 0 | 0 |
Nonrecurring [Member] | ||
Fair value assets and liabilities measured on non-recurring basis [Abstract] | ||
Impaired Loans | 3,146,000 | 3,243,000 |
Other real estate owned | 1,132,000 | 1,700,000 |
Nonrecurring [Member] | Level I [Member] | ||
Fair value assets and liabilities measured on non-recurring basis [Abstract] | ||
Impaired Loans | 0 | 0 |
Other real estate owned | 0 | 0 |
Nonrecurring [Member] | Level II [Member] | ||
Fair value assets and liabilities measured on non-recurring basis [Abstract] | ||
Impaired Loans | 0 | 0 |
Other real estate owned | 0 | 0 |
Nonrecurring [Member] | Level III [Member] | ||
Fair value assets and liabilities measured on non-recurring basis [Abstract] | ||
Impaired Loans | 3,146,000 | 3,243,000 |
Other real estate owned | $ 1,132,000 | $ 1,700,000 |
Fair Value Measurements, Quanti
Fair Value Measurements, Quantitative Information (Details) - Appraised Collateral Values [Member] $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021USD ($) | Dec. 31, 2020USD ($) | |
Impaired Loans [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Abstract] | ||
Impaired Loans | $ 3,146 | $ 3,243 |
Impaired Loans [Member] | Minimum [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Abstract] | ||
Holding period | 0 months | 6 months |
Impaired Loans [Member] | Maximum [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Abstract] | ||
Holding period | 12 months | 12 months |
Impaired Loans [Member] | Weighted Average [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Abstract] | ||
Holding period | 11 months 27 days | 11 months 19 days |
Impaired Loans [Member] | Discount for Time Since Appraisal [Member] | Minimum [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Abstract] | ||
Impaired loans, Measurement input | 0 | 0 |
Impaired Loans [Member] | Discount for Time Since Appraisal [Member] | Maximum [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Abstract] | ||
Impaired loans, Measurement input | 1 | 1 |
Impaired Loans [Member] | Discount for Time Since Appraisal [Member] | Weighted Average [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Abstract] | ||
Impaired loans, Measurement input | 0.1669 | 0.2061 |
Impaired Loans [Member] | Selling Costs [Member] | Minimum [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Abstract] | ||
Impaired loans, Measurement input | 0.05 | 0.05 |
Impaired Loans [Member] | Selling Costs [Member] | Maximum [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Abstract] | ||
Impaired loans, Measurement input | 0.11 | 0.10 |
Impaired Loans [Member] | Selling Costs [Member] | Weighted Average [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Abstract] | ||
Impaired loans, Measurement input | 0.0964 | 0.0951 |
Other Real Estate Owned [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Abstract] | ||
Impaired Loans | $ 1,132 | $ 1,700 |
Other Real Estate Owned [Member] | Discount for Time Since Appraisal [Member] | Minimum [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Abstract] | ||
Other real estate owned, Measurement input | 0.20 | 0.20 |
Other Real Estate Owned [Member] | Discount for Time Since Appraisal [Member] | Maximum [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Abstract] | ||
Other real estate owned, Measurement input | 0.37 | 0.31 |
Other Real Estate Owned [Member] | Discount for Time Since Appraisal [Member] | Weighted Average [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Abstract] | ||
Other real estate owned, Measurement input | 0.3312 | 0.2867 |
Fair Value Measurements, By Bal
Fair Value Measurements, By Balance Sheet Grouping (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Financial assets [Abstract] | ||
Interest bearing time deposits with other banks | $ 12,266 | $ 13,758 |
Level I [Member] | Recurring [Member] | ||
Financial assets [Abstract] | ||
Interest bearing time deposits with other banks | 0 | 0 |
Loans held for sale | 0 | 0 |
Net loans | 0 | 0 |
Financial liabilities [Abstract] | ||
Deposits | 1,342,815 | 1,207,666 |
Borrowed funds | 0 | 0 |
Level II [Member] | Recurring [Member] | ||
Financial assets [Abstract] | ||
Interest bearing time deposits with other banks | 0 | 0 |
Loans held for sale | 0 | 0 |
Net loans | 0 | 0 |
Financial liabilities [Abstract] | ||
Deposits | 0 | 0 |
Borrowed funds | 0 | 0 |
Level III [Member] | Recurring [Member] | ||
Financial assets [Abstract] | ||
Interest bearing time deposits with other banks | 12,266 | 13,758 |
Loans held for sale | 5,282 | 14,640 |
Net loans | 1,404,869 | 1,404,166 |
Financial liabilities [Abstract] | ||
Deposits | 348,986 | 386,075 |
Borrowed funds | 98,675 | 88,263 |
Carrying Amount [Member] | Recurring [Member] | ||
Financial assets [Abstract] | ||
Interest bearing time deposits with other banks | 12,266 | 13,758 |
Loans held for sale | 5,282 | 14,640 |
Net loans | 1,398,178 | 1,389,466 |
Financial liabilities [Abstract] | ||
Deposits | 1,682,387 | 1,588,858 |
Borrowed funds | 97,830 | 88,838 |
Fair Value [Member] | Recurring [Member] | ||
Financial assets [Abstract] | ||
Interest bearing time deposits with other banks | 12,266 | 13,758 |
Loans held for sale | 5,282 | 14,640 |
Net loans | 1,404,869 | 1,404,166 |
Financial liabilities [Abstract] | ||
Deposits | 1,691,801 | 1,593,738 |
Borrowed funds | $ 98,675 | $ 88,263 |