Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Mar. 05, 2020 | Jun. 30, 2019 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Transition Report | false | ||
Entity File Number | 02-26486 | ||
Entity registrant name | Auburn National Bancorporation, Inc | ||
Entity incorporatoin state | DE | ||
Entity tax identification number | 63-0885779 | ||
Entity Address Line 1 | 100 N. Gay Street | ||
Entity Address city | Auburn | ||
Entity Address State | AL | ||
Entity Address Postal Zip Code | 36830 | ||
City Area Code | 334 | ||
Local Phone Number | 821-9200 | ||
Entity current reporting status | Yes | ||
Entity filer category | Accelerated Filer | ||
Entity Interactive Data Status Current | Yes | ||
entity small business | true | ||
Entity Emerging Growth | false | ||
Entity Shell Company | false | ||
Entity common stock shares outstanding | 3,593,463 | ||
Entity public float | $ 76,043,895 | ||
Entity central index key | 0000750574 | ||
Current fiscal year end date | --12-31 | ||
Document Year Focus | 2019 | ||
Document Period Focus | FY | ||
Amendment flag | false | ||
Entity well known seasoned issuer | No | ||
Entity voluntary filers | No |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Assets: | ||
Cash And Due From Banks | $ 15,172 | $ 13,043 |
Federal funds sold | 25,944 | 26,918 |
Interest bearing bank deposits | 51,327 | 25,115 |
Cash and cash equivalents | 92,443 | 65,076 |
Securities available-for-sale | 235,902 | 239,801 |
Loans held for sale | 2,202 | 383 |
Loans, net of unearned income | 460,901 | 476,908 |
Allowance for loan losses | (4,386) | (4,790) |
Loans, net | 456,515 | 472,118 |
Premises and equipment, net | 14,743 | 13,596 |
Bank-owned life insurance | 19,202 | 18,765 |
Other assets | 6,872 | 8,338 |
Total assets | 827,879 | 818,077 |
Deposits: | ||
Noninterest-bearing | 196,218 | 201,648 |
Interest-bearing | 527,934 | 522,545 |
Total deposits | 724,152 | 724,193 |
Federal funds purchased and securities sold under agreements to repurchase | 1,069 | 2,300 |
Accrued expenses and other liabilities | 4,330 | 2,529 |
Total liabilities | 729,551 | 729,022 |
Stockholders' equity: | ||
Preferred stock | 0 | 0 |
Common stock | 39 | 39 |
Additional paid-in capital | 3,784 | 3,779 |
Retained earnings | 101,801 | 95,635 |
Accumulated other comprehensive income (loss), net | 2,059 | (3,763) |
Less treasury stock, at cost | (9,355) | (6,635) |
Total stockholders' equity | 98,328 | 89,055 |
Total liabilities and stockholders' equity | $ 827,879 | $ 818,077 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares | Dec. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Preferred stock par value | $ 0.01 | $ 0.01 |
Authorized shares, preferred | 200,000 | 200,000 |
Issued shares, preferred | 0 | 0 |
Common stock par value | $ 0.01 | $ 0.01 |
Authorized shares, common | 8,500,000 | 8,500,000 |
Issued shares, common | 3,957,135 | 3,957,135 |
Treasury stock, shares held | 390,989 | 313,267 |
Consolidated Statements of Earn
Consolidated Statements of Earnings - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Interest income: | ||
Loans, including fees | $ 22,930 | $ 21,766 |
Securities - Taxable | 4,000 | 4,051 |
Securities - Tax-exempt | 2,099 | 2,308 |
Federal funds sold and interest bearing bank deposits | 1,218 | 1,121 |
Total interest income | 30,247 | 29,246 |
Interest expense: | ||
Deposits | 4,176 | 3,612 |
Short-term borrowings | 7 | 18 |
Long-term debt interest expense | 0 | 46 |
Total interest expense | 4,183 | 3,676 |
Net interest income | 26,064 | 25,570 |
Provision for loan losses | (250) | 0 |
Net interest income after provision for loan losses | 26,314 | 25,570 |
Noninterest income: | ||
Service charge on deposit accounts | 717 | 749 |
Mortgage lending | 866 | 655 |
Bank-owned life insurance income | 437 | 435 |
Gain From Loan Guarantee Program | 1,717 | 0 |
Other noninterest income | 1,880 | 1,486 |
Securities losses, net | (123) | 0 |
Total noninterest income | 5,494 | 3,325 |
Noninterest expense: | ||
Salaries and benefits | 11,931 | 10,653 |
Net occupancy and equipment | 1,907 | 1,465 |
Professional fees | 1,014 | 902 |
FDIC and other regulatory assessments | 181 | 310 |
Other noninterest expense | 4,664 | 4,544 |
Total noninterest expense | 19,697 | 17,874 |
Earnings before income taxes | 12,111 | 11,021 |
Income tax expense | 2,370 | 2,187 |
Net earnings | $ 9,741 | $ 8,834 |
Net earnings per share: | ||
Basic and diluted earnings per share | $ 2.72 | $ 2.42 |
Weighted average shares outstanding: | ||
Basic and diluted weighted average shares outstanding | 3,581,476 | 3,643,780 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Statements of Comprehensive Income [Abstract] | ||
Net earnings | $ 9,741 | $ 8,834 |
Other comprehensive income (loss), net of tax: | ||
Unrealized net holding gain (loss) on securities | 5,730 | (3,197) |
Reclassification adjustment for net loss on securities recognized in net earnings | 92 | 0 |
Other comprehensive income (loss) | 5,822 | (3,197) |
Comprehensive income | $ 15,563 | $ 5,637 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock Member | Additional Paid In Capital Member | Retained Earnings Member | Accumulated Other Comprehensive Income Member | Treasury Stock Member |
Balance, shares at Dec. 31, 2017 | 3,643,668 | |||||
Balance, Beg at Dec. 31, 2017 | $ 86,906 | $ 39 | $ 3,771 | $ 90,299 | $ (566) | $ (6,637) |
Net earnings | 8,834 | 0 | 0 | 8,834 | 0 | 0 |
Other comprehensive (loss) | (3,197) | 0 | 0 | 0 | (3,197) | 0 |
Cash dividends paid | (3,498) | 0 | 0 | (3,498) | 0 | 0 |
Treasury Stock, acquired | 0 | 0 | 0 | 0 | 0 | 0 |
Sale of treasury stock | 10 | $ 0 | 8 | 0 | 0 | 2 |
Sale of treasury stock shares | 200 | |||||
Balance, End at Dec. 31, 2018 | $ 89,055 | $ 39 | 3,779 | 95,635 | (3,763) | (6,635) |
Balance, shares at Dec. 31, 2018 | 3,643,868 | |||||
Net earnings | $ 9,741 | 0 | 0 | 9,741 | 0 | 0 |
Other comprehensive (loss) | 5,822 | 0 | 0 | 0 | 5,822 | 0 |
Cash dividends paid | (3,575) | 0 | 0 | (3,575) | 0 | 0 |
Treasury Stock, acquired | 2,721 | $ 0 | 0 | 0 | 0 | 2,721 |
Treasury Stock, acquired shares | 77,907 | |||||
Sale of treasury stock | 6 | $ 0 | 5 | 0 | 0 | 1 |
Sale of treasury stock shares | 185 | |||||
Balance, End at Dec. 31, 2019 | $ 98,328 | $ 39 | $ 3,784 | $ 101,801 | $ 2,059 | $ (9,355) |
Balance, shares at Dec. 31, 2019 | 3,566,146 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parentheticals) - $ / shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Statement of Stockholders' Equity (Parentheticals) | ||
Cash dividends paid per share | $ 1 | $ 0.96 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities: | ||
Net earnings | $ 9,741 | $ 8,834 |
Adjustments to reconcile net earnings to net cash provided by operating activties: | ||
Provision for loan losses | (250) | 0 |
Depreciation and amortization | 1,157 | 938 |
Premium amortization and discount accretion, net | 1,853 | 2,025 |
Deferred income tax (benefit) expense | (153) | 71 |
Net gain on securities available for sale | 123 | 0 |
Net gain on sale of loans held for sale | (545) | (311) |
Net gain on other real estate owned | (59) | 0 |
Loans originated for sale | (30,407) | (27,681) |
Proceeds from sale of loans | 28,892 | 29,323 |
Increase in cash surrender value of bank owned life insurance | (437) | (435) |
Net increase in other assets | (872) | (221) |
Net increase (decrease) in accrued expenses and other liabilities | 1,807 | (402) |
Net cash provided by operating activities | 10,850 | 12,141 |
Cash flows from investing activities: | ||
Proceeds from sales of securities available-for-sale | 36,462 | 8,770 |
Proceeds from prepayments and maturities of securities available-for-sale | 55,078 | 22,673 |
Purchase of securities available-for-sale | (81,843) | (19,841) |
Decrease (increase) in loans, net | 15,771 | (24,749) |
Net purchases of premises and equipment | (1,809) | (240) |
Decrease (increase) in FHLB stock | 32 | (20) |
Proceeds from sale of other real estate owned | 394 | 1,353 |
Net cash provided by (used in) investing activities | 24,085 | (12,054) |
Cash flows from financing activities: | ||
Net (decrease) increase in noninterest-bearing deposits | (5,430) | 7,731 |
Net increase (decrease) in interest-bearing deposits | 5,389 | (41,197) |
Net decrease in federal funds purchased and securities sold under agreements to repurchase | (1,231) | (358) |
Repayments or retirement of long-term debt | 0 | (3,217) |
Stock repurchases | (2,721) | 0 |
Dividends paid | (3,575) | (3,498) |
Net cash used in financing activities | (7,568) | (40,539) |
Net change in cash and cash equivalents | 27,367 | (40,452) |
Cash and cash equivalents at beginning of period | 65,076 | 105,528 |
Cash and cash equivalents at end of period | 92,443 | 65,076 |
Cash paid (received) during period for: | ||
Interest | 4,092 | 3,616 |
Income taxes | 2,295 | 2,688 |
Gain From Loan Guarantee Program | (1,717) | 0 |
Supplemental disclosure of non-cash transactions: | ||
Initial recognition of operating lease right-of-use assets | 891 | |
Initial recognition of operating lease liabilities | 889 | |
Real estate acquired through foreclosure | $ 82 | $ 1,525 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Summary of Signficant Accounting Policies | |
Basis of Presentation | AUBURN NATIONAL BANCORPORATION, INC. AND SUBSIDIARIES Notes to Consolidated Financial Statements NOTE 1 : SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Business Auburn National Bancorporation, Inc. (the “Company”) is a bank holding company whose primary business is conducted by its wholly-owned subsidiary, AuburnBank (the “Bank”). AuburnBank is a commercial bank located in Auburn, Alabama. The Bank provides a full range of banking services in its primary market area, Lee County, which includ es the Auburn-Opelika Metropolitan Statistical Area. Basis of Presentation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiar ies. Auburn National Bancorporation Capital Trust I was an affiliate of th e Company and was included in these consolidated financial statements pursuant to the equity method of accounting. On April 27, 2018, the Trust was dissolved. Significant intercompany transactions and accounts are eliminated in consolidation. Revenue R ecognition On January 1, 2018, the Company implemented ASU 2014-09, Revenue from Contracts with Customers , codified at ASC 606. The Company adopted ASC 606 using the modified retrospective transition method. The majority of the Company’s revenue stream i s generated from interest income on loans and deposits which are outside the scope of ASC 606. The Company’s sources of income that fall within the scope of ASC 606 include service charges on deposits, investment services, interchange fees and gains and l osses on sales of other real estate, all of which are presented as components of noninterest income. The following is a summary of the revenue streams that fall within the scope of ASC 606: Service charges on deposits, investment services, ATM and interch ange fees – Fees from these services are either transaction-based, for which the performance obligations are satisfied when the individual transaction is processed, or set periodic service charges, for which the performance obligations are satisfied over t he period the service is provided. Transaction-based fees are recognized at the time the transaction is processed, and periodic service charges are recognized over the service period. Gains on sales of other real estate – A gain on sale should be recogniz ed when a contract for sale exists and control of the asset has been transferred to the buyer. ASC 606 lists several criteria required to conclude that a contract for sale exists, including a determination that the institution will collect substantially al l of the consideration to which it is entitled. In addition to the loan-to-value, the analysis is based on various other factors, including the credit quality of the borrower, the structure of the loan, and any other factors that may affect collectability. Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities as of the balance sheet date and the reported amounts of income and expense during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to signifi cant change in the near term include the determination of the allowance for loan losses , fair value measurements , valuation of other real estate owned, and valuation of deferred tax assets. Change in Accounting Estimate During the fourth quarter of 2019, the Company reassessed its estimate of the useful lives of certa in fixed assets. The Company revised its ori ginal useful life estimate for certain land improvements, buildings and improvements and furniture, fixtures and equipment, with a carrying value o f $0.5 million at December 31, 2019, to correspond with estimated demolition dates planned as part of the redevelopment project for our main campus. This is considered a change in accounting estimate, per ASC 250-10, where adjustments should b e made prosp ectively. The effects of this change in accoun ting estimate on the 2019 consolidated financial statements was a decrease in net earnings of $0.2 million, or $0.04 per share. Reclassifications Certain amounts reported in the prior period have b een reclassified to conform to the current-period presentation. These reclassifications had no impact on the Company’s previously reported net earnings or total stockholders’ equity. Subsequent Events The Company has evaluated the effects of events or transactions through the date of this filing that have occurred subsequent to December 31, 2019 . The Company does not believe there are any material subsequent events that would require further recognit ion or disclosure . Acco unting Standards Adopted in 2019 In 2019 , the Company adopted new guidance related to the following Accounting Standards Update (“Update” or “ASU ”): ASU 2016-02, Leases; and ASU 2017-02, Targeted Improvements to Accounting for Hedging Activities. Information about these pronouncements is described in more detail below. ASU 2016-02, Leases , requires lessees to recognize the assets and liabilities that arise from leases on the balance sheet. A lessee should recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. In July 2018, the FASB issued ASU 2018-10 and 2018-11, which are de signed to make targeted improvements to and clarifications regarding ASU 2016-02. The Company adopted ASU No. 2016-02 on January 1, 2019. ASU No. 2016-02 did not have a material impact on the Company’s consolidated financial statements due to the fact th e Company does not have any material leases. ASU 2017-12, Targeted Improvements to Accounting for Hedging Activities, improves the transparency and understandability of information conveyed to financial statement users about an entity’s risk management activities by better aligning the entity’s financial reporting for hedging relationships with those risk management activities and reduces the complexity of and simplifies the application of hedge accounting by preparers. The Company adopted ASU No. 2017- 12 on January 1, 2019. ASU No. 2017-12 did not have a material impact on the Company’s consolidated financial statements. Cash Equivalents Cash equivalents include c ash on hand, cash items in process of collection, amounts due from banks, including int erest bearing deposits with other banks, and federal funds sold. Securities Securities are classified based on management’s intention at the date of purchase. At December 31, 2019 , all of the Company’s securities were classified as available-for-sal e. Securities available-for-sale are used as part of the Company’s interest rate risk management strategy, and they may be sold in response to changes in interest rates, changes in prepayment risks or other factors. All securities classified as available-f or-sale are recorded at fair value with any unrealized gains and losses reported in accu mulated other comprehensive income (loss) , net of the deferred income tax effects. Interest and dividends on securities, including the amortization of premiums and accr etion of discounts are recognized in interest income over the estimated life of the security using the effective interest method. Realized gains and losses from the sale of securities are determined using the specific identification method. On a quarter ly basis, management makes an assessment to determine whether there have been events or economic circumstances to indicate that a security on which there is an unrealized loss is other-than-temporarily impaired. For debt securities with an unrealized los s, an other-than-temporary impairment write-down is triggered when (1) the Company has the intent to sell a debt security, (2) it is more likely than not that the Company will be required to sell the debt security before recovery of its amortized cost basi s, or (3) the Company does not expect to recover the entire amortized cost basis of the debt security. If the Company has the intent to sell a debt security or if it is more likely than not that it will be required to sell the debt security before recovery, the other-than-temporary write-down is equal to the entire difference between the debt security’s amortized cost and its fair value. If the Company does not intend to sell the security or it is not more likely than not that it will be required t o sell the security before recovery, the other-than-temporary impairment write-down is separated into the amount that is credit related (credit loss component) and the amount due to all other factors. The credit loss component is recognized in earnings, a s a realized loss in securities gains (losses), and is the difference between the security’s amortized cost basis and the present value of its expected future cash flows. The remaining difference between the security’s fair value and the present value of future expected cash flows is due to factors that are not credit related and is recognized in other comprehensive income, net of applicable taxes. Loans held for sale Loans originated and intended for sale in the secondary market are carried at the lowe r of cost or estimated fair value in the aggregate . Loan sales are recognized when the transaction closes, the proceeds are collected, and ownership is transferred. Continuing involvement, through the sales agreement, consists of the right to service the loan for a fee for the life of the loan, if applicable. Gains on the sale of loans held for sale are recorded net of related costs, such as commissions, and reflected as a component of mortgage lending income in the consolidated statements of earnings. In the course of conducting the Bank’s mortgage lending activities of originating mortgage loans and selling those loans in the secondary market, the Bank makes various representations and warranties to the purchaser of the mortgage loans. Every loan closed by the Bank’s mortgage center is run through a government agency automated underwriting system. Any exceptions noted during this process are remedied prior to sale. These representations and warranties also apply to underwriting the real estate ap praisal opinion of value for the collateral securing these loans. Failure by the Company to comply with the underwriting and/or appraisal standards could result in the Company being required to repurchase the mortgage loan or to reimburse the investor for losses incurred (make whole requests) if such failure cannot be cured by the Company within the specified period following discovery. Loans Loans are reported at their outstanding principal balances, net of any unearned income , charge-offs, and any d eferred fees or costs on originated loans. Interest income is accrued based on the principal balance outstanding. Loan origination fees, net of certain loan origination costs, are deferred and recognized in interest income over the contractual life of th e loan using the effective interest method. Loan commitment fees are generally deferred and amortized on a straight-line basis over the commitment period , which results in a recorded amount that approximates fair value . The accrual of interest on loans i s discontinued when there is a significant deterioration in the financial condition of the borrower and full repayment of principal and interest is not expected or the principal or interest is more than 90 days past due, unless the loan is both well-collat eralized and in the process of collection. Generally, all interest accrued but not collected for loans that are placed on nonaccrual status is reversed against current interest income. Interest collections on non accrual loans are generally applied as princ ipal reductions. The Company determines past due or delinquency status of a loan based on contractual payment terms. A loan is considered impaired when it is probable the Company will be unable to collect all principal and interest payments due acco rding to the contractual terms of the loan agreement. Individually identified impaired loans are measured based on the present value of expected payments using the loan’s original effective rate as the discount rate, the loan’s observable market price, or the fair value of the collateral if the loan is collateral dependent. If the recorded investment in the impaired loan exceeds the measure of fair value, a valuation allowance may be established as part of the allowance for loan losses. Changes to the valua tion allowance are recorded as a component of the provision for loan losses. Impaired loans also include troubled debt restructurings (“TDRs”). In the normal course of business, management may grant concessions to borrowers who are experiencing financial difficulty. The concessions granted most frequently for TDRs involve reductions or delays in required payments of principal and interest for a specified time, the rescheduling of payments in accordance with a bankruptcy plan or the charge-off of a portion of the loan. In most cases, the conditions of the credit also warrant nonaccrual st atus, even after the restructuring occurs. As part of the credit approval process, the restructured loans are evaluated for adequate collateral protection in determining th e appropriate accrual s tatus at the time of restructuring . TDR loans may be returned to accrual status if there has been at least a six-month sustained period of repayment performance by the borrower. Allowance for Loan Losses The allowance for loan lo sses is maintained at a level that management believes is adequate to absorb probable losses inherent in the loan portfolio. Loan losses are charged against the allowance when they are known. Subsequent recoveries are credited to the allowance. Management’ s determination of the adequacy of the allowance is based on an evaluation of the portfolio, current economic conditions, growth, composition of the loan portfolio, homogeneous pools of loans, risk ratings of specific loans, historical loan loss factors, i dentified impaired loans and other factors related to the portfolio. This evaluation is performed quarterly and is inherently subjective, as it requires various material estimates that are susceptible to significant change, including the amounts and timing of future cash flows expected to be received on any impaired loans. In addition, regulatory agencies, as an integral part of their examination process, will periodically review the Company’s allowance for loan losses, and may require the Company to record additions to the allowance based on their judgment about information available to them at the time of their examinations. Premises and Equipment Land is carried at cost. Land improvements, b uildings and improvements, and furniture, fixtures, and equip ment are carried at cost, less accumulated depreciation computed on a straight-line method over the useful lives of the assets or the expected terms of the leases, if shorter. Expected terms include lease option periods to the extent that the exercise of s uch options is reasonably assured. Nonmarketable equity investments Nonmarketable equity investments include equity securities that are not publicly traded and securities acquired for various purposes . The Bank is required to maintain certain minimum levels of equity investments with certain regulatory and other entities in which the Bank has an ongoing business relationship based on the Bank’s common stock and surplus (with regard to the relationship with the Federal Reserve Bank) or outstanding borro wings (with regard to the relationship with the Federal Home Loan Bank of Atlanta). These nonmarketable equity securities are accounted for at cost which equals par or redemption value. These securities do not have a readily determinable fair value as thei r ownership is restricted and there is no market for these securities. These securities can only be redeemed or sold at their par value and only to the respective issuing government supported institution or to another member institution. The Company record s these nonmarketable equity securities as a component of other assets, which are periodically evaluated for impairment. Management considers these nonmarketable equity securities to be long-term investments. Accordingly, when evaluating these securities f or impairment, management considers the ultimate recoverability of the par value rather than by recognizing temporary declines in value. Transfers of Financial Assets Transfers of an entire financial asset (i.e. loan sales), a group of entire financial assets, or a participating interest in an entire financial asset (i.e. loan participations sold) are accounted for as sales when control over the assets have been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferr ed assets through an agreement to repurchase them before their maturity. Mortgage Servicing Rights The Company recognizes as assets the rights to service mortgage loans for others, known as MSRs. The Company determines the fair value of MSRs at the date the loan is transferred. An estimate of the Company’s MSRs is determined using assumptions that market participants would use in estimating future net servicing income, including estimates of pre p ayment speeds, discount rate, default rates, cost to servi ce, escrow account earnings, contractual servicing fee income, ancillary income, and late fees. Subsequent to the date of transfer, the Company has elected to measure its MSRs under the amortization method. Under the amortization method, MSRs are amort ized in proportion to, and over the period of, estimated net servicing income. The amortization of MSRs is analyzed monthly and is adjusted to reflect changes in prepayment speeds, as well as other factors. MSRs are evaluated for impairment based on the fair value of those assets. Impairment is determined by stratifying MSRs into groupings based on predominant risk characteristics, such as interest rate and loan type. If, by individual stratum, the carrying amount of the MSRs exceeds fair value, a valua tion allowance is established through a charge to earnings. The valuation allowance is adjusted as the fair value changes. MSRs are included in the other assets category in the accompanying consolidated balance sheet s . Securities sold under agreements t o repurchase Securities sold under agreements to repurchase generally mature less than one year from the transaction date. Securities sold under agreements to repurchase are reflected as a secured borrowing in the accompanying consolidated balance sheets at the amount of cash received in connection with each transaction. Income Taxes Deferred tax assets and liabilities are the expected future tax amounts for the temporary differences between carrying amounts and tax bases of assets and liabilities, co mputed using enacted tax rates. A valuation allowance, if needed, reduces deferred tax assets to the amount expected to be realized. The net deferred tax asset is reflected as a component of other assets in the accompanying consolidated balance sheets. I ncome tax expense or benefit for the year is allocated among continuing operations and other comprehensive income (loss), as applicable. The amount allocated to continuing operations is the income tax effect of the pretax income or loss from continuing ope rations that occurred during the year, plus or minus income tax effects of ( 1 ) changes in certain circumstances that cause a change in judgment about the realization of deferred tax assets in future years, ( 2 ) changes in income tax laws or rates, and ( 3 ) c hanges in income tax status, subject to certain exceptions. The amount allocated to other comprehensive income (loss) is related solely to changes in the valuation allowance on items that are normally accounted for in other comprehensive income (loss) suc h as unrealized gains or losses on available-for-sale securities. In accordance with ASC 740, Income Taxes , a tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is record ed. It is the Company’s policy to recognize interest and penalties related to income tax matters in income tax expense. The Company and its wholly-owned subsidiaries file a consolidated income tax return. Fair Value Measurements ASC 820 , Fair Value Mea surements, which defines fair value, establishes a framework for measuring fair value in U.S. generally accepted accounting principles and expands disclosures about fair value measurements. ASC 820 applies only to fair-value measurements that are already r equired or permitted by other accounting standards. The definition of fair value focuses on the exit price, i.e., the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at t he measurement date, not the entry price, i.e., the price that would be paid to acquire the asset or received to assume the liability at the measurement date. The statement emphasizes that fair value is a market-based measurement; not an entity-specific me asurement. Therefore, the fair value measurement should be determined based on the assumptions that market participants would use in pricing the asset or liability. For more information related to fair value measurements, please refer to Note 15 , Fair Value. |
Basic and Diluted Earnings Per
Basic and Diluted Earnings Per Share | 12 Months Ended |
Dec. 31, 2019 | |
Basic and Diluted Earnings Per Share [Abstract] | |
Basic and Diluted Earnings Per Share Text Block | NOTE 2 : BASIC AND DILUTED NET EARNINGS PER SHARE Basic net earnings per share is computed by dividing net earnings by the weighted average common shares outstanding for the year. Diluted net earnings per share reflect the potential dilution that could occur upon exercise of securities or other rights for, or convertible into, shares of the Company’s common stock. As of December 31, 2019 and 2018 , respectively, the Company had no such securities or other rights issued or outstanding, and the refore, no dilutive effect to consider for the diluted net earnings per share calculation. The basic and diluted net earnings per share computations for the respective years are presented below. Year ended December 31 (Dollars in thousands, except share and per share data) 2019 2018 Basic and diluted: Net earnings $ 9,741 $ 8,834 Weighted average common shares outstanding 3,581,476 3,643,780 Net earnings per share $ 2.72 $ 2.42 |
Restricted Cash Balances
Restricted Cash Balances | 12 Months Ended |
Dec. 31, 2019 | |
Restricted Cash Balances | |
Restricted Cash Balances Text Block | NOTE 3 : RESTRICTED CASH BALANCES Regulation D of the Federal Reserve Act requires that banks maintain reserve balances with the Federal Reserve Bank based principally on the type and amount of their deposits. As of December 31, 2019 and 2018 , the Bank did not have a required reserve balance at the Federal Reserve Bank. |
Securities
Securities | 12 Months Ended |
Dec. 31, 2019 | |
Investments debt and equity securities [Abstract] | |
Investments In Debt And Marketable Equity Securities And Certain Trading Assets Disclosure Text Block | NOTE 4 : SECURITIES At December 31, 2019 and 2018 , respectively, all securities within the scope of ASC 320, Investments – Debt and Equity Securities were classified as available-for-sale. The fair value and amortized cost for securities available-for-sale by contractual maturity at December 31, 2019 and 2018 , respectively, are presented below. 1 year 1 to 5 5 to 10 After 10 Fair Gross Unrealized Amortized (Dollars in thousands) or less years years years Value Gains Losses Cost December 31, 2019 Agency obligations (a) $ 4,993 27,245 18,470 — 50,708 215 98 $ 50,591 Agency RMBS (a) — 560 4,510 118,207 123,277 798 261 122,740 State and political subdivisions — 1,355 6,166 54,396 61,917 2,104 9 59,822 Total available-for-sale $ 4,993 29,160 29,146 172,603 235,902 3,117 368 $ 233,153 December 31, 2018 Agency obligations (a) $ 14,437 19,865 16,869 — 51,171 25 1,200 $ 52,346 Agency RMBS (a) — — 8,368 110,230 118,598 65 3,738 $ 122,271 State and political subdivisions — 3,682 7,726 58,624 70,032 518 692 $ 70,206 Total available-for-sale $ 14,437 23,547 32,963 168,854 239,801 608 5,630 $ 244,823 (a) Includes securities issued by U.S. government agencies or government sponsored entities. Expected maturities of these securities may differ from contractual maturities because issues may have the right to call or repay obligations with or without prepayment penalties. Securities with aggregate fair values of $147.8 million and $133.1 million at December 31, 2019 and 2018 , respectively, were pledged to secure public deposits, securities sold under agreements to repurchase, Federal Home Loan Bank (“FHLB”) advances, and for other purposes required or permitted by law. Included in other assets on the accompanying consolida ted balance sheets are nonmarketable equity investments. The carrying amounts of nonmarketable equity investments were $1.4 million at December 31, 2019 and 2018 , respectively. Nonmarketable equity investments include FHLB of Atlanta stock, Federal Reserve Bank (“FRB”) stock, and stock in a privately held financial institution . Gross Unrealized Losses and Fair Value The fair values and gross unrealized losses on securities at December 31, 2019 and 2018 , respectively, segregated by those securities that have been in an unrealized lo ss position for less than 12 months and 12 months or more are presented below. Less than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized (Dollars in thousands) Value Losses Value Losses Value Losses December 31, 2019: Agency obligations $ 24,734 97 4,993 1 29,727 $ 98 Agency RMBS 40,126 98 21,477 163 61,603 261 State and political subdivisions 2,741 9 — — 2,741 9 Total $ 67,601 204 26,470 164 94,071 $ 368 December 31, 2018: Agency obligations $ 4,724 28 44,307 1,172 49,031 $ 1,200 Agency RMBS 12,325 238 99,184 3,500 111,509 3,738 State and political subdivisions 14,840 181 14,384 511 29,224 692 Total $ 31,889 447 157,875 5,183 189,764 $ 5,630 For the securities in the previous table, the Company does not have the intent to sell and has determined it is not more likely than not that the Company will be required to sell the security before recovery of the amortized cost basis, which may be maturity. On a quarterly basis, the Company assesses each security for credit impairment. For debt securities, the Company evaluates, where necessary, whether credit impairment exists by comparing the present value of the expected cash flows to the securit ies’ amortized cost basis. In determining whether a loss is temporary, the Company considers all relevant information including: the length of time and the extent to which the fair value has been less than the amortized cost basis; adverse conditions specifically related to the security, an industry, or a geographic area (for example, changes in the financial condition of the issuer of the security, or in the case of an asset-backed debt security, in the financial condition of the underlying loan oblig ors, including changes in technology or the discontinuance of a segment of the business that may affect the future earnings potential of the issuer or underlying loan obligors of the security or changes in the quality of the credit enhancement); the histor ical and implied volatility of the fair value of the security; the payment structure of the debt security and the likelihood of the issuer being able to make payments that increase in the future; failure of the issuer of the security to make scheduled in terest or principal payments; any changes to the rating of the security by a rating agency; and recoveries or additional declines in fair value subsequent to the balance sheet date. Agency obligations The unrealized losses associated with agency obliga tions were primarily driven by changes in interest rates and not due to the credit quality of the securities. These securities were issued by U.S. government agencies or government-sponsored entities and did not have any credit losses given the explicit go vernment guarantee or other government support. Agency residential mortgage-backed securities (“RMBS”) The unrealized losses associated with agency RMBS were primarily driven by changes in interest rates and not due to the credit quality of the securiti es. These securities were issued by U.S. government agencies or government-sponsored entities and did not have any credit losses given the explicit government guarantee or other government support . Securities of U.S. states and political subdivisions T he unrealized losses associated with securities of U.S. states and political subdivisions were primarily driven by changes in interest rates and were not due to the credit quality of the securities. Some of these securities are guaranteed by a bond insurer , but management did not rely on the guarantee in making its investment decision. These securities will continue to be monitored as part of the Company’s quarterly impairment analysis, but are expected to perform even if the rating agencies reduce the cred it rating of the bond insurers. As a result, the Company expects to recover the entire amortized cost basis of these securities. The carrying values of the Company’s investment securities could decline in the future if the financial condition of an issue r deteriorates and the Company determines it is probable that it will not recover the entire amortized cost basis for the security. As a result, there is a risk that o ther-than-temporary impairment charges may occur in the future. Other-Than-Temporarily Impaired Securities Credit-impaired debt securities are debt securities where the Company has written down the amortized cost basis of a security for other-than-temporary impairment and the credit component of the loss is recognized in earnings. At December 31, 2019 and 2018 , respectively, the Company had no credit-impaired debt securities and there were no additions or reductions in the credit loss component of credit-impaired debt securities during the years ended D ecember 31, 2019 and 2018 , respectively. Realized Gains and Losses The following table presents the gross realized gains and losses on sales related to securities. Year ended December 31 (Dollars in thousands) 2019 2018 Gross realized gains $ 120 — Gross realized losses (243) — Realized losses, net $ (123) — |
Loan and Allowance for Loan Los
Loan and Allowance for Loan Losses | 12 Months Ended |
Dec. 31, 2019 | |
Loans And Leases Receivable Disclosure [Abstract] | |
Loans and leases receivable disclosure [Text Block] | NOTE 5 : LOANS AND ALLOWANCE FOR LOAN LOSSES December 31 (In thousands) 2019 2018 Commercial and industrial $ 56,782 $ 63,467 Construction and land development 32,841 40,222 Commercial real estate: Owner occupied 60,893 56,413 Multifamily 44,839 40,455 Other 164,586 165,028 Total commercial real estate 270,318 261,896 Residential real estate: Consumer mortgage 48,923 56,223 Investment property 43,652 46,374 Total residential real estate 92,575 102,597 Consumer installment 8,866 9,295 Total loans 461,382 477,477 Less: unearned income (481) (569) Loans, net of unearned income $ 460,901 $ 476,908 Loans secured by real estate were approximately 85.8% of the total loan portfolio at December 31, 2019 . At December 31, 2019 , the Company’s geographic loan distribution was concentrated primarily in Lee County, Alabama and surrounding areas. In accordance with ASC 310, Receivables , a portfolio segment is defined as the level at which an entity develops and documents a systematic method for determining its allowance for loan losses. As part of the Company’s quarterly assessment of the allowance , the loan portfolio is disaggregated into the following portfolio segments: commercial and industrial, construction and land development, commercial real estate, residential real estate and consumer installment. Where appropriate, the Company’s loan port folio segments are further disaggregated into classes. A class is generally determined based on the initial measurement attribute, risk characteristics of the loan, and an entity’s method for monitoring and determining credit risk. The following describe the risk characteristics relevant to each of the portfolio segments. Commercial and industrial (“C&I”) — includes loans to finance business operations, equipment purchases, or other needs for small and medium-sized commercial customers. Also included in t his category are loans to finance agricultural production. Generally the primary source of repayment is the cash flow from business operations and activities of the borrower. Construction and land development (“C&D”) — includes both loans and credit line s for the purpose of purchasing, carrying and developing land into commercial developments or residential subdivisions. Also included are loans and lines for construction of residential, multi-family and commercial buildings. Generally the primary source o f repayment is dependent upon the sale or refinance of the real estate collateral. Commercial real estate (“CRE”) — includes loans disaggregated into three classes: (1) owner occupied (2) multi-family and (3) other. Owner occupied – includes loans secur ed by business facilities to finance business operations, equipment and owner-occupied facilities primarily for small and medium-sized commercial customers. Generally the primary source of repayment is the cash flow from business operations and activities of the borrower, who owns the property. Multi family – primarily includes loans to finance income-producing multi-family properties. Loans in this class include loans for 5 or more unit residential property and apartments leased to residents. Generally, the primary source of repayment is dependent upon income generated from the real estate collateral. The underwriting of these loans takes into consideration the occupancy and rental rates, as well as the financial health of the borrower. Other – primarily includes loans to finance income-producing commercial properties. Loans in this class include loans for neighborhood retail centers, hotels, medical and professional offices, single retail stores, industrial buildings, and warehouses leased generally to local businesses and residents. Generally the primary source of repayment is dependent upon income generated from the real estate collateral. The underwriting of these loans takes into consideration the occupancy and rental rates as well as the financial h ealth of the borrower. Residential real estate (“RRE”) — includes loans disaggregated into two classes: (1) consumer mortgage and (2) investment property. Consumer mortgage – primarily include s first or second lien mortgages and home equity lines to con sumers that are secured by a primary residence or second home. These loans are underwritten in accordance with the Bank’s general loan policies and procedures which require, among other things, proper documentation of each borrower’s financial condition, s atisfactory cre dit history and property value. Investment property – primarily includes loans to finance income-producing 1-4 family residential properties. Generally the primary source of repayment is dependent upon income generated from leasing the prop erty securing the loan. The underwriting of these loans takes into consideration the rental rates as well as the fi nancial health of the borrower. Consumer installment — includes loans to individuals both secured by personal property and unsecured. Loans include personal lines of credit, automobile loans, and other retail loans. These loans are underwritten in accordance with the Bank’s general loan policies and procedures which require, among other things, proper documentation of each borrower’s financi al condition, satisfactory credit history, and if applicable, property value. The following is a summary of current, accruing past due and nonaccrual loans by portfolio class as of December 31, 2019 and 2018 . Accruing Accruing Total 30-89 Days Greater than Accruing Non- Total (In thousands) Current Past Due 90 days Loans Accrual Loans December 31, 2019: Commercial and industrial $ 56,758 24 — 56,782 — $ 56,782 Construction and land development 32,385 456 — 32,841 — 32,841 Commercial real estate: Owner occupied 60,893 — — 60,893 — 60,893 Multifamily 44,839 — — 44,839 — 44,839 Other 164,586 — — 164,586 — 164,586 Total commercial real estate 270,318 — — 270,318 — 270,318 Residential real estate: Consumer mortgage 47,151 1,585 — 48,736 187 48,923 Investment property 43,629 23 — 43,652 — 43,652 Total residential real estate 90,780 1,608 — 92,388 187 92,575 Consumer installment 8,802 64 — 8,866 — 8,866 Total $ 459,043 2,152 — 461,195 187 $ 461,382 December 31, 2018: Commercial and industrial $ 63,367 100 — 63,467 — $ 63,467 Construction and land development 39,997 225 — 40,222 — 40,222 Commercial real estate: Owner occupied 56,413 — — 56,413 — 56,413 Multifamily 40,455 — — 40,455 — 40,455 Other 165,028 — — 165,028 — 165,028 Total commercial real estate 261,896 — — 261,896 — 261,896 Residential real estate: Consumer mortgage 54,446 1,599 — 56,045 178 56,223 Investment property 46,233 141 — 46,374 — 46,374 Total residential real estate 100,679 1,740 — 102,419 178 102,597 Consumer installment 9,254 41 — 9,295 — 9,295 Total $ 475,193 2,106 — 477,299 178 $ 477,477 The gross interest income which would have been recorded under the original terms of those nonaccrual loans had they been accruing interest, amounted to approximately $9 thousand and $12 thousand for the years ended December 31, 2019 and 2018 , respectively. Allowance for Loan Losses The allowance for loan losses as of and for the years ended December 31, 2019 and 2018 , is presented below. Year ended December 31 (In thousands) 2019 2018 Beginning balance $ 4,790 $ 4,757 Charged-off loans (408) (168) Recovery of previously charged-off loans 254 201 Net (charge-offs) recoveries (154) 33 Provision for loan losses (250) — Ending balance $ 4,386 $ 4,790 The Company assesses the adequacy of its allowance for loan losses prior to the end of each calendar quarter. The level of the allowance is based upon management’s evaluation of the loan portfolio, past loan loss experience, current asset quality trends, known and inherent risks in the portfolio, adverse situations that may affect a borrower’s ability to repay (including the timing of future payment), the estimated value of any underlying collateral, composition of the loan portfolio, economic conditions, industry and peer bank loan loss rates and other pertinent factors, including regulatory recommendations. This evaluation is inherently subjective as it requires material estimates including the amounts and timing of future cash flows expected to be receiv ed on impaired loans that may be susceptible to significant change. Loans are charged off, in whole or in part, when management believes that the full collectability of the loan is unlikely. A loan may be partially charged-off after a “confirming event” ha s occurred which serves to validate that full repayment pursuant to the terms of the loan is unlikely. The Company deems loans impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts du e according to the contractual terms of the loan agreement. Collection of all amounts due according to the contractual terms means that both the interest and principal payments of a loan will be collected as scheduled in the loan agreement. An impairment allowance is recognized if the fair value of the loan is less than the recorded investment in the loan. The impairment is recognized through the allowance. Loans that are impaired are recorded at the present value of expected future cash flows discounted at the loan’s effective interest rate, or if the loan is collateral dependent, impairment measurement is based on the fair value of the collateral, less estimated disposal costs. The level of allowance maintained is believed by management to be adequate to absorb probable losses inherent in the portfolio at the balance sheet date. The allowance is increased by provisions charged to expense and decreased by charge-offs, net of recoveries of amounts previously charged-off. In assessing the adequacy of the allowance, the Company also considers the results of its ongoing internal, independent loan review process. The Company’s loan review process assists in determining whether there are loans in the portfolio whose credit quality has weakened over time and e valuating the risk characteristics of the entire loan portfolio. The Company’s loan review process includes the judgment of management, the input from our independent loan reviewers, and reviews that may have been conducted by bank regulatory agencies as p art of their examination process. The Company incorporates loan review results in the determination of whether or not it is probable that it will be able to collect all amounts due according to the contractual terms of a loan. As part of the Company’s qu arterly assessment of the allowance, management divides the loan portfolio into five segments: commercial and industrial, construction and land development, commercial real estate, residential real estate, and consumer installment loans. The Company analyz es each segment and estimates an allowance allocation for each loan segment. The allocation of the allowance for loan losses begins with a process of estimating the probable losses inherent for these types of loans. The estimates for these loans are esta blished by category and based on the Company’s internal system of credit risk ratings and historical loss data. The estimated loan loss allocation rate for the Company’s internal system of credit risk grades is based on its experience with similarly graded loans. For loan segments where the Company believes it does not have sufficient historical loss data, the Company may make adjustments based, in part, on loss rates of peer bank groups. At December 31, 2019 and 2018 , and for the years then ended, th e Company adjusted its historical loss rates for the commercial real estate portfolio segment based, in part, on loss rates of peer bank groups. The estimated loan loss allocation for all five loan portfolio segments is then adjusted for management’s esti mate of probable losses for several “qualitative and environmental” factors. The allocation for qualitative and environmental factors is particularly subjective and does not lend itself to exact mathematical calculation. This amount represents estimated pr obable inherent credit losses which exist, but have not yet been identified, as of the balance sheet date, and are based upon quarterly trend assessments in delinquent and nonaccrual loans, credit concentration changes, prevailing economic conditions, chan ges in lending personnel experience, changes in lending policies or procedures and other influencing factors. These qualitative and environmental factors are considered for each of the five loan segments and the allowance allocation, as determined by the p rocesses noted above, is increased or decreased based on the incremental assessment of these factors. The Company regularly re-evaluates its practices in determining the allowance for loan losses. Since the fourth quarter of 2016, the Company has increase d its look-back period each quarter to incorporate the effects of at least one economic downturn in its loss history. The Company believes the extension of its look-back period is appropriate due to the risks inherent in the loan portfolio. Absent this ext ension, the early cycle periods in which the Company experienced significant losses would be excluded from the determination of the allowance for loan losses and its balance would decrease. For the year ended December 31, 2019 , the Company increased its look-back period to 43 quarters to continue to include losses incurred by the Company beginning with the first quarter of 2009. The Company will likely continue to increase its look-back period to incorporate the effects of at least one economic downturn in its loss history. Other than expanding the look-back period each quarter, the Company has not made any material changes to its methodology that would impact the calculation of the allowance for loan losses or provision for loan losses for the periods in cluded in the accompanying consolidated balance sheets and statements of earnings. The following table details the changes in the allowance for loan losses by portfolio segment for the years ended December 31, 2019 and 2018 . (in thousands) Commercial and industrial Construction and land Development Commercial Real Estate Residential Real Estate Consumer Installment Total Balance, December 31, 2017 $ 653 734 2,126 1,071 173 $ 4,757 Charge-offs (52) — (38) (26) (52) (168) Recoveries 70 — 19 79 33 201 Net recoveries (charge-offs) 18 — (19) 53 (19) 33 Provision 107 (34) 111 (178) (6) — Balance, December 31, 2018 $ 778 700 2,218 946 148 $ 4,790 Charge-offs (364) — — (6) (38) (408) Recoveries 117 — 1 109 27 254 Net (charge-offs) recoveries (247) — 1 103 (11) (154) Provision 46 (131) 70 (236) 1 (250) Balance, December 31, 2019 $ 577 569 2,289 813 138 $ 4,386 The following table presents an analysis of the allowance for loan losses and recorded investment in loans by portfolio segment and impairment methodology as of December 31, 2019 and 2018 . Collectively evaluated (1) Individually evaluated (2) Total Allowance Recorded Allowance Recorded Allowance Recorded for loan investment for loan investment for loan investment (In thousands) losses in loans losses in loans losses in loans December 31, 2019: Commercial and industrial $ 577 56,683 — 99 577 56,782 Construction and land development 569 32,841 — — 569 32,841 Commercial real estate 2,289 270,318 — — 2,289 270,318 Residential real estate 813 92,575 — — 813 92,575 Consumer installment 138 8,866 — — 138 8,866 Total $ 4,386 461,283 — 99 4,386 461,382 December 31, 2018: Commercial and industrial $ 778 63,467 — — 778 63,467 Construction and land development 700 40,222 — — 700 40,222 Commercial real estate 2,218 261,739 — 157 2,218 261,896 Residential real estate 946 102,597 — — 946 102,597 Consumer installment 148 9,295 — — 148 9,295 Total $ 4,790 477,320 — 157 4,790 477,477 (1) Represents loans collectively evaluated for impairment in accordance with ASC 450-20, Loss Contingencies (formerly FAS 5), and pursuant to amendments by ASU 2010-20 regarding allowance for unimpaired loans. (2) Represents loans individually evaluated for impairment in accordance with ASC 310-30, Receivables (formerly FAS 114), and pursuant to amendments by ASU 2010-20 regarding allowance for impaired loans. Credit Quality Indicators The credit quality of the loan portfolio is summarized no less frequently than quarterly using categories similar to the standard asset classification system used by the federal banking agencies. The following table presents credit quality indicators for the loan portfolio segments and classes. These categories are utilized to develop the associated allowance for loan losses using historical losses adjusted for qualitative and environmental factors and are defined as follows: Pass – loans which are well protected by the current net worth and paying capacity of the obligor (or guarantors, if any) or by the fair value, less cost to acquire and sell, of any underlying collateral. Special Mention – loans with potential weakness that may, if not reversed or corrected, weaken the credit or inadequately protect the Company’s position at some future date. These loans are not adversely classified and do not expose an institution to sufficient risk to warrant an adverse classification. Substandard Accruing – loa ns that exhibit a well-defined weakness which presently jeopardizes debt repayment, even though they are currently performing. These loans are characterized by the distinct possibility that the Company may incur a loss in the future if these weaknesses are not corrected. Nonaccrual – includes loans where management has determined that full payment of principal and interest is in doubt. (In thousands) Pass Special Mention Substandard Accruing Nonaccrual Total loans December 31, 2019 Commercial and industrial $ 54,340 2,176 266 — $ 56,782 Construction and land development 31,798 — 1,043 — 32,841 Commercial real estate: Owner occupied 59,898 917 78 — 60,893 Multifamily 44,839 — — — 44,839 Other 163,716 849 21 — 164,586 Total commercial real estate 268,453 1,766 99 — 270,318 Residential real estate: Consumer mortgage 45,247 962 2,527 187 48,923 Investment property 42,331 949 372 — 43,652 Total residential real estate 87,578 1,911 2,899 187 92,575 Consumer installment 8,742 60 64 — 8,866 Total $ 450,911 5,913 4,371 187 $ 461,382 December 31, 2018 Commercial and industrial $ 61,568 1,377 522 — $ 63,467 Construction and land development 39,481 — 741 — 40,222 Commercial real estate: Owner occupied 55,942 154 317 — 56,413 Multifamily 40,455 — — — 40,455 Other 163,449 1,208 371 — 165,028 Total commercial real estate 259,846 1,362 688 — 261,896 Residential real estate: Consumer mortgage 50,903 1,374 3,768 178 56,223 Investment property 45,463 173 738 — 46,374 Total residential real estate 96,366 1,547 4,506 178 102,597 Consumer installment 9,149 75 71 — 9,295 Total $ 466,410 4,361 6,528 178 $ 477,477 During the fourth quarter of 2019, the Company recognized a gain of $1.7 million resulting from the termination of a Loan Guarantee Program (the “Program”) operated by the State of Alabama. The payment of $1.7 million received by the Company in October 2019 was recorded as a gain and included in noninterest income on the accompanying consolidated statements of earnings. The Program required a 1% fee on the commitment balance at origination and in return the Company received a guarantee of up to 50% of losses in the event of the borrower's default. As of December 31, 2019, the Company had 5 loans outstanding totaling $10.2 million that were enrolled in the Program prior to its termination by the State of Alabama. Despite being enrolled in the Program, these loans would have met the Company's normal loan underwriting criteria at origination. At December 31, 2019, all of these loans were categorized as Pass within the Company's credit quality asset classification. Impaired loans The following table presents details related to the Company’s impaired loans. Loans which have been fully charged-off do not appear in the following table. The related allowance generally represents the following components which correspond to impaired loans: Individually evaluated impaired loans equal to or greater than $500 thousand secured by real estate (nonaccrual construction and land development, commercial real estate, and residential real estate). Individually evaluated impaired loans equal to or greater than $250 thousand not secured by real estate (nonaccrual commercial and industrial and consumer loans). The following table sets forth certain information regarding the Company’s impaired loans that were individually evaluated for impairment at December 31, 2019 and 2018 . December 31, 2019 (In thousands) Unpaid principal balance (1) Charge-offs and payments applied (2) Recorded investment (3) Related allowance With no allowance recorded: Commercial and industrial $ 335 (236) $ 99 Total impaired loans $ 335 (236) $ 99 $ — (1) Unpaid principal balance represents the contractual obligation due from the customer. (2) Charge-offs and payments applied represents cumulative charge-offs taken, as well as interest payments that have been applied against the outstanding principal balance. (3) Recorded investment represents the unpaid principal balance less charge-offs and payments applied; it is shown before any related allowance for loan losses. December 31, 2018 (In thousands) Unpaid principal balance (1) Charge-offs and payments applied (2) Recorded investment (3) Related allowance With no allowance recorded: Commercial real estate: Owner occupied $ 157 — $ 157 Total commercial real estate 157 — 157 Total impaired loans $ 157 — $ 157 $ — (1) Unpaid principal balance represents the contractual obligation due from the customer. (2) Charge-offs and payments applied represents cumulative charge-offs taken, as well as interest payments that have been applied against the outstanding principal balance. (3) Recorded investment represents the unpaid principal balance less charge-offs and payments applied; it is shown before any related allowance for loan losses. The following table provides the average recorded investment in impaired loans and the amount of interest income recognized on impaired loans after impairment by portfolio segment and class. Year ended December 31, 2019 Year ended December 31, 2018 Average Total interest Average Total interest recorded income recorded income (In thousands) investment recognized investment recognized Impaired loans: Commercial and industrial $ 8 — $ 9 — Commercial real estate: Owner occupied 24 9 166 9 Other — — 1,145 — Total commercial real estate 24 9 1,311 9 Total $ 32 9 $ 1,320 9 Troubled Debt Restructurings Impaired loans also include troubled debt restructurings (“TDRs”). In the normal course of business, management may grant concessions to borrowers who are experiencing financial difficulty. A concession may include, but is not limited to, delays in required payments of principal and interest for a specified period, reduction of the stated interest rate of the loan, reduction of accrued interest, extension of the maturity date or reduction of the face amount or maturity amou nt of the debt. A concession has been granted when, as a result of the restructuring, the Bank does not expect to collect all amounts due, including interest at the original stated rate. A concession may have also been granted if the debtor is not able t o access funds elsewhere at a market rate for debt with similar risk characteristics as the restructured debt. In determining whether a loan modification is a TDR, the Company considers the individual facts and circumstances surrounding each modification. In determining the appropriate accrual status at the time of restructure, the Company evaluates whether a restructured loan has adequate collateral protection, among other factors. Similar to other impaired loans, TDRs are measured for impairment bas ed on the present value of expected payments using the loan’s original effective interest rate as the discount rate, or the fair value of the collateral, less selling costs if the loan is collateral dependent. If the recorded investment in the loan exceeds the measure of fair value, impairment is recognized by establishing a valuation allowance as part of the allowance for loan losses or a charge-off to the allowance for loan losses. In periods subsequent to the modification, all TDRs are evaluated individ ually, including those that have payment defaults, for possible impairment. At December 31, 2019 the Company had no TDRs. The following is a summary of accruing and nonaccrual TDRs and the related loan losses, by portfolio segment and class at December 31, 2018 . TDRs Related (In thousands) Accruing Nonaccrual Total Allowance December 31, 2019 Commercial real estate: TDRs Related (In thousands) Accruing Nonaccrual Total Allowance December 31, 2018 Commercial real estate: Owner occupied $ 157 — 157 $ — Total commercial real estate 157 — 157 — Total $ 157 — 157 $ — At December 31, 2019 , there were no significant outstanding commitments to advance additional funds to customers whose loans had been restructured. There were no loans modified in a TDR during the year ended December 31, 2019. The following table summarizes loans modified in a TDR during the year ended December 31, 2018 both before and after modification. Pre- Post- modification modification outstanding outstanding Number of recorded recorded ($ in thousands) contracts investment investment December 31, 2018 Commercial real estate: Other 2 $ 1,447 1,447 Total commercial real estate 2 1,447 1,447 Total 2 $ 1,447 1,447 Two loans were modified in a TDR during the year ended December 31, 2018. The only concessions granted by the Company were related to either a delay in the required payment of principal and/or interest or the interest rate at renewal was considered to be less than a market rate. During the year ended December 31, 2019, the Company had no loans modified in a TDR within the previous 12 months for which there was a payment default. The following table summarizes the recorded investment in loans mo dified in a TDR within the previous twelve months for which there was a payment default (defined as 90 days or more past due) during the year ended December 31, 2018. Number of Recorded ($ in thousands) Contracts investment (1) December 31, 2018 Commercial real estate: Other 1 $ 1,259 Total commercial real estate 1 1,259 Total 1 $ 1,259 (1) Amount as of applicable month end during the respective year for which there was a payment default. |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2019 | |
Premises and Equipment [Abstract] | |
Premises and Equipment Text Block | NOTE 6 : PREMISES AND EQUIPMENT Premises and equipment at December 31, 2019 and 2018 is presented below December 31 (Dollars in thousands) 2019 2018 Land and improvements $ 9,874 8,444 Buildings and improvements 10,094 9,871 Furniture, fixtures, and equipment 3,109 2,953 Total premises and equipment 23,077 21,268 Less: accumulated depreciation (8,334) (7,672) Premises and equipment, net $ 14,743 13,596 Depreciation expense was approximately $66 2 thousand and $435 thousand for the years ended December 31, 2019 and 2018 , respectively , and is a component of net occupancy and equipment expense in the consolidated statements of earnin gs . |
Mortgage Servicing Rights, Net
Mortgage Servicing Rights, Net | 12 Months Ended |
Dec. 31, 2019 | |
Mortgage Servicing [Abstract] | |
Transfers and Servicing of Financial Assets [Text Block] | NOTE 7 : MORTGAGE SERVICING RIGHTS, NET MSRs are recognized based on the fair value of the servicing rights on the date the corresponding mortgage loans are sold. An estimate of the Company’s MSRs is determined using assumptions that market participants would use in estimating future net servicing income, including estimates of prepayment speeds, discount rate, default rates, cost to service, escrow account earnings, contractual servicing fee income, ancillary income, and late fees. Subsequent to the date of transfer, the Company has elected to measure its MSRs under the amortization method. Under the a mortization method, MSRs are amortized in proportion to, and over the period of, estimated net servicing income. Ser vicing fee income is recorded net of related amortization expense and recognized in earnings as part of mortgage lending income. The Company has recorded MSRs related to loans sold without recourse to Fannie Mae. The Company generally sells conforming, fixed-rate, closed-end, residential mortgages to Fannie Mae. MSRs are included in other assets on the accompanying consolidated balance sheets. The Company evaluates MSRs for impairment on a quarterly basis. Impairment is determined by stratifying MSR s into groupings based on predominant risk characteristics, such as interest rate and loan type. If, by individual stratum, the carrying amount of the MSRs exceeds fair value, a valuation allowance is established. The valuation allowance is adjusted as t he fair value changes. Changes in the valuation allowance are recognized in earnings as a component of mortgage lending income. The following table details the changes in amortized MSRs and the related valuation allowance for the years ended December 31 , 2019 and 2018 . Year ended December 31 (Dollars in thousands) 2019 2018 Beginning balance $ 1,441 1,644 Additions, net 241 . 208 Amortization expense (383) (411) Ending balance $ 1,299 1,441 Valuation allowance included in MSRs, net: Beginning of period $ — — End of period — — Fair value of amortized MSRs: Beginning of period $ 2,697 2,528 End of period 2,111 2,697 Data an d assumptions used in the fair value calculation related to MSRs at December 31, 2019 and 2018 , respectively, are presented below. December 31 (Dollars in thousands) 2019 2018 Unpaid principal balance $ 274,227 289,981 Weighted average prepayment speed (CPR) 11.6 % 8.3 Discount rate (annual percentage) 10.0 % 10.0 Weighted average coupon interest rate 3.9 % 3.9 Weighted average remaining maturity (months) 255 250 Weighted average servicing fee (basis points) 25.0 25.0 At December 31 , 2019 , the weighted average amortization period for MSRs was 5.5 years. Estimated amortization expense for each of the next five years is presented below. (Dollars in thousands) December 31, 2019 2020 $ 220 2021 182 2022 151 2023 126 2024 105 |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2019 | |
Deposits: | |
Deposits Text Block | NOTE 8 : DEPOSITS At December 31, 2019 , the scheduled maturities of certificates of deposit and other time deposits are presented below. (Dollars in thousands) December 31, 2019 2020 $ 92,740 2021 25,432 2022 36,643 2023 5,812 2024 6,572 Total certificates of deposit and other time deposits $ 167,199 Additionally, at December 31, 2019 and 2018 , approximately $57.4 million and $59.4 million, respectively, of certificates of deposit and other time deposits were issued in denominations greater than $250 thousand . At December 31, 2019 and 2018 , the amount of deposit accounts in overdraft status that were reclassified to loans on the accompanying consolidated balance sheets was not material. |
Short-term Borrowings
Short-term Borrowings | 12 Months Ended |
Dec. 31, 2019 | |
Short-term Debt: | |
Short-term Debt Text Block | NOTE 9 : SHORT-TERM BORROWINGS At December 31, 2019 and 2018 , the composition of short-term borrowings is presented below. 2019 2018 Weighted Weighted (Dollars in thousands) Amount Avg. Rate Amount Avg. Rate Federal funds purchased: As of December 31 $ — — $ — — Average during the year 1 2.58 % 2 2.50 % Maximum outstanding at any month-end — — Securities sold under agreements to repurchase: As of December 31 $ 1,069 0.50 % $ 2,300 0.50 % Average during the year 1,442 0.50 % 2,632 0.50 % Maximum outstanding at any month-end 2,261 3,241 Federal funds purchased represent unsecured overnight borrowings from other financial institutions by the Bank. The Bank had available federal fund lines totaling $41.0 million with none outstanding at December 31, 2019 . Securities sold under agreements to repurchase represent short-term borrowings with maturities less than one year collateralized by a portion of the Company’s securities portfolio. Securities with an aggregate carrying value of $2.6 million and $5.6 million at December 31, 2019 and 2018 , respectively, were pledged to secure securities sold under agreements to repurchase. |
Lease Commitment
Lease Commitment | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Lessee Operating Leases [Text Block] | NOTE 10 : LEASE COMMITMENTS We lease certain office facilities and office equipment under operating leases. Rent expense for al l operating leases totaled $0.2 million for both the years ended December 31, 2019 and 2018 . On January 1, 2019, we adopted a new accounting standard which required the recognition of certain operating leases on our balance sheet as lease right of use assets (reported as component of other assets) and related lease liabilities (reported as a component of accrued expenses and othe r liabilities). At December 31, 2019 , aggregate lease right of use assets and lease liabilities amounted to $785 thousand and $788 thousand, respectively. Rent expense includes amounts related to items that are not included in the determination of lease right of use a ssets including expenses related to short-term leases totaling $ 0.1 million for the year ended December 31, 2019 . Lease payments under operating leases that were applied to our operating lease liability totaled $129 thousand during the year ended December 31, 2019 . The fol lowing table reconciles future undiscounted lease payments due under non-cancelable operating leases (those amounts subject to recognition) to the aggregate operating lease liability as of December 31, 2019 : (Dollars in thousands) payments 2020 $ 106 2021 93 2022 93 2023 93 2024 93 Thereafter 416 Total undiscounted operating lease liabilities $ 894 Imputed interest 106 Total operating lease liabilities included in the accompanying balance sheet $ 788 Weighted-average lease terms in years 8.89 Weighted-average discount rate 3.40 % |
Other Comprehensive Income
Other Comprehensive Income | 12 Months Ended |
Dec. 31, 2019 | |
Other Comprehensive Income Loss [Abstract] | |
Other Comprehensive Income (Loss) [Text Block] | NOTE 11 : OTHER COMPREHENSIVE INCOME (LOSS) Comprehensive income is defined as the change in equity from all transactions other than those with stockholders, and it includes net earnings and other comprehensive income (loss). Other comprehensive income (loss) for the years ended December 31, 2019 and 2018 , is presented below. Pre-tax Tax benefit Net of (Dollars in thousands) amount (expense) tax amount 2019: Unrealized net holding gain on securities $ 7,651 (1,921) 5,730 Reclassification adjustment for net loss on securities recognized in net earnings 123 (31) 92 Other comprehensive income $ 7,774 (1,952) 5,822 2018: Unrealized net holding loss on securities $ (4,269) 1,072 (3,197) Other comprehensive loss $ (4,269) 1,072 (3,197) |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Taxes | |
Income Taxes Text Block | NOTE 12 : INCOME TAXES For the years ended December 31, 2019 and 2018 the components of income tax expense from continuing operations are presented below. Year ended December 31 (Dollars in thousands) 2019 2018 Current income tax expense: Federal $ 1,939 1,685 State 584 431 Total current income tax expense 2,523 2,116 Deferred income tax (benefit) expense: Federal (136) 56 State (17) 15 Total deferred income tax (benefit) expense (153) 71 Total income tax expense $ 2,370 2,187 Total income tax expense differs from the amounts computed by applying the statutory federal income tax rate of 21% to earnings before income taxes. A reconciliation of the differences for the years ended December 31, 2019 and 2018 , is presented below. 2019 2018 Percent of Percent of pre-tax pre-tax (Dollars in thousands) Amount earnings Amount earnings Earnings before income taxes $ 12,111 11,021 Income taxes at statutory rate 2,543 21.0 % 2,315 21.0 % Tax-exempt interest (508) (4.1) (515) (4.7) State income taxes, net of federal tax effect 440 3.6 361 3.3 Bank-owned life insurance (92) (0.8) (92) (0.8) Other (13) (0.1) 118 1.0 Total income tax expense $ 2,370 19.6 % 2,187 19.8 % The Company had a net deferred tax liability of $9 thousand included in other liabilities and a net deferred tax asset of $1.8 million included in other assets on the consolidated balance sheets at December 31, 2019 and 2018, respectively. The tax effects of temporary d ifferences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2019 and 2018 are presented below: December 31 (Dollars in thousands) 2019 2018 Deferred tax assets: Allowance for loan losses $ 1,102 1,203 Unrealized loss on securities — 1,262 Accrued bonus 296 8 Right of use liability 198 — Other 88 127 Total deferred tax assets 1,684 2,600 Deferred tax liabilities: Premises and equipment 315 280 Unrealized gain on securities 690 — Originated mortgage servicing rights 326 362 Right of use asset 197 — Other 165 168 Total deferred tax liabilities 1,693 810 Net deferred tax (liability) asset $ (9) 1,790 A valuation allowance is recognized for a deferred tax asset if, based on the weight of available evidence, it is more-likely-than-not that some portion of the entire deferred tax asset will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax pl anning strategies in making this assessment. Based upon the level of historical taxable income and projection for future taxable income over the periods which the temporary differences resulting in the remaining deferred tax assets are deductible, manageme nt believes it is more-likely-than-not that the Company will realize the benefits of these deductible differences at December 31, 2019 . The amount of the deferred tax assets considered realizable, however, could be reduced in the near term if estimates of future taxable income are reduced. The change in the net deferred tax asset for the years ended December 31, 2019 and 2018 , is presented below. Year ended December 31 (Dollars in thousands) 2019 2018 Net deferred tax (liability) asset: Balance, beginning of year $ 1,790 789 Deferred tax benefit (expense) related to continuing operations 153 (71) Stockholders' equity, for accumulated other comprehensive (income) loss (1,952) 1,072 Balance, end of year $ (9) 1,790 ASC 740, Income Taxes, defines the threshold for recognizing the benefits of tax return positions in the financial statements as “more-likely-than-not” to be sustained by the taxing authority. This section also provides guidance on the de-recognition, measurement, and classifi cation of income tax uncertainties in interim periods. As of December 31, 2019 , the Company had no unrecognized tax benefits related to federal or state income tax matters. The Company does not anticipate any material increase or decrease in unrecognized tax benefits during 2020 relative to any tax positions taken prior to December 31, 2019 . As of December 31, 2019 , the Company has accrued no interest and no penalties related to uncertain tax positions. It is the Company’s policy to recognize i nterest and penalties related to income tax matters in income tax expense. The Company and its subsidiaries file consolidated U.S. federal and State of Alabama income tax returns. The Company is currently open to audit under the statute of limitations by the Internal Revenue Service and the State of Alabama for the years ended December 31, 2016 through 2019 . |
Employee Benefits
Employee Benefits | 12 Months Ended |
Dec. 31, 2019 | |
Defined Contribution Pension and Other Postretirement Plans Disclosure [Abstract] | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | NOTE 13 : EMPLOYEE BENEFIT PLAN The Company sponsors a qualified defined contribution retirement plan, the Auburn National Bancorporation, Inc. 401(k) Plan (the "Plan"). Effective January 1, 2019, the Plan was amended and restated. As part of this amendment and restatement, eligible employees may contribute up to 100% of eligible compensation, subject to statutory limits upon completion of 2 months of service. Furthermore, the Company now allows employer Safe Harbor contributions. Participants are immediately vested in employer Safe Harbor contributions. Effective January 1, 2019, the Company's matching contributions on behalf of participants were equal to $1.00 for each $1.00 contributed by participants, up to 3% of the participants' eligible compensation, and $0.50 for every $1.00 contributed by participants, up to 5% of the participants' eligible compensation, for a maximum matching contribution of 4% of the participants' eligible compensation. Prior to January 1, 2019, the Company made matching contributions on behalf of participants equal to $0.50 for each $1.00 contributed by participants, up to 6% of the participant's eligible compensation, for a maximum matching contribution of 3% of the participants' eligible compensation. Company matching contributions to the Plan were $264 thousand and $131 thousand for the years ended December 31, 2019 and 2018, respectively, and are included in salaries and benefits expense . |
Commitments and Contigent Liabi
Commitments and Contigent Liabilities | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | NOTE 14 : COMMITMENT S AND CONTINGEN T LIABILITIES Credit-Related Financial Instruments The Company is party to credit related financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. Such commitments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the consolidated bala nce sheets. The Company’s exposure to credit loss is represented by the contractual amount of these commitments. The Company follows the same credit policies in making commitments as it does for on-balance sheet instruments. At December 31, 2019 and 2018 , the following financial instruments were outstanding whose contract amount represents credit risk: December 31 (Dollars in thousands) 2019 2018 Commitments to extend credit $ 60,564 $ 61,889 Standby letters of credit 1,921 7,026 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the agreement. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. The commitments for lines of credit may expire without being drawn upon. Therefore, total commitment amounts do not necessarily represent future cash requirements. The amount of collateral obtained, if it is deemed necessary by the Company, is base d on management’s credit evaluation of the customer. Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. The credit risk involved in issuing letters of credit is essenti ally the same as that involved in extending loan facilities to customers. The Company holds various assets as collateral, including accounts receivable, inventory, equipment, marketable securities, and property to support those commitments for which colla teral is deemed necessary. The Company has recorded a liability for the estimated fair value of these standby letters of credit in the amount of $39 thousand and $73 thousand at December 31, 2019 and 2018 , respectively. Contingent Liabilities The Company and the Bank are involved in various legal proceedings, arising in connection with their business. In the opinion of management, based upon consultation with legal counsel, the ultimate re solution of these proceeding will not have a material adverse effect upon the consolidated financial condition or results of operations of the Company and the Bank. |
Fair Value Disclosures
Fair Value Disclosures | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures Text Block | NOTE 15 : FAIR VALUE Fair Value Hierarchy “Fair value” is defined by ASC 820, Fair Value Measurements and Disclosures , as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction occurring in the principal market (or most advantageous market in the absence of a principal market) for an asset or liability at the measurement date. GAAP establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows: Level 1—inputs to the valuation methodology are quoted prices, unadjusted, for identical assets or liabilities in active markets. Level 2—inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, or inputs that are observable fo r the asset or liability, either directly or indirectly. Level 3—inputs to the valuation methodology are unobservable and reflect the Company’s own assumptions about the inputs market participants would use in pricing the asset or liability. Level ch anges in fair value measurements Transfers between levels of the fair value hierarchy are generally recognized at the end of the reporting period. The Company monitors the valuation techniques utilized for each category of financial assets and liabiliti es to ascertain when transfers between levels have been affected. The nature of the Company’s financial assets and liabilities generally is such that transfers in and out of any level are expected to be infrequent. For the years ended December 31, 2019 and 2018 , there were no transfers between levels and no changes in valuation techniques for the Company’s financial assets and liabilities. Assets and liabilities measured at fair value on a recurring basis Securities available-for-sale Fair values of securitie s available for sale were primarily measured using Level 2 inputs. For these securities, the Company obtains pricing from third party pricing services. These third party pricing services consider observable data that may include broker/dealer quotes, mar ket spreads, cash flows, market consensus prepayment speeds, benchmark yields, reported trades for similar securities, credit information and the securities’ terms and conditions. On a quarterly basis, management reviews the pricing received from the thir d party pricing services for reasonableness given current market conditions. As part of its review, management may obtain non-binding third party broker quotes to validate the fair value measurements. In addition, management will periodically submit pric ing provided by the third party pricing services to another independent valuation firm on a sample basis. This independent valuation firm will compare the price provided by the third- party pricing service with its own price and will review the significant assumptions and valuation methodologies used with management. The following table presents the balances of the assets and liabilities measured at fair value on a recurring as of December 31, 2019 and 2018 , respectively, by caption, on the accompanying consolidated balance sheets by ASC 820 valuation hierarchy (as described above). Quoted Prices in Significant Active Markets Other Significant for Observable Unobservable Identical Assets Inputs Inputs (Dollars in thousands) Amount (Level 1) (Level 2) (Level 3) December 31, 2019: Securities available-for-sale: Agency obligations $ 50,708 — 50,708 — Agency RMBS 123,277 — 123,277 — State and political subdivisions 61,917 — 61,917 — Total securities available-for-sale 235,902 — 235,902 — Total assets at fair value $ 235,902 — 235,902 — December 31, 2018: Securities available-for-sale: Agency obligations $ 51,171 — 51,171 — Agency RMBS 118,598 — 118,598 — State and political subdivisions 70,032 — 70,032 — Total securities available-for-sale 239,801 — 239,801 — Total assets at fair value $ 239,801 — 239,801 — Assets and liabilities measured at fair value on a nonrecurring basis Loans held for sale Loans held for sale are carried at the lower of cost or fair value. Fair values of loans held for sale are determined using quoted market secondary market prices for similar loans. Loans held for sale are classified within Level 2 of the fair value hierarchy. Impaired Loans Loans considered impaired under ASC 310-10-35, Receivables , are loans for which, based on current information and events, it is probable tha t the Company will be unable to collect all principal and interest payments due in accordance with the contractual terms of the loan agreement. Impaired loans can be measured based on the present value of expected payments using the loan’s original effect ive rate as the discount rate, the loan’s observable market price, or the fair value of the collateral less selling costs if the loan is collateral dependent. The fair value of impaired loans were primarily measured based on the value of the collateral securing these loans. Impaired loans are classified within Level 3 of the fair value hierarchy. Collateral may be real estate and/or business assets including equipment, inventory, and/or accounts receivable. The Company determines the value of the coll ateral based on independent appraisals performed by qualified licensed appraisers. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Appraised values are discounted for costs to sell and may be discounted further based on management’s historical knowledge, changes in market conditions from the date of the most recent appraisal, and/or management’s expertise and knowledge of the customer and the customer’s business. Such discounts by management are subjective and are typically significant unobservable inputs for determining fair value. Impaired loans are reviewed and evaluated on at least a quarterly basis for additional impairment and adjusted accordingly, based on the same factors discussed above. Other real estate owned Other real estate owned, consisting of properties obtained through foreclosure or in satisfaction of loans, are initially recorded at the lower of the loan’s carrying amount or the fair value less costs to sell upon transfer of the loans to other real estate. Subsequently, other real estate is carried at the lower of carrying value or fair value less costs to sell. Fair values are generally based on third party appraisals of the property and are classified within Level 3 of the fair value hierarchy. The appraisals are sometimes further discounted based on management’s historical knowledge, and/or changes in market conditions from the date of the most recent appraisal, and/or management’s expe rtise and knowledge of the customer and the customer’s business. Such discounts are typically significant unobservable inputs for determining fair value. In cases where the carrying amount exceeds the fair value, less costs to sell, a loss is recognized in noninterest expense. Mortgage servicing rights, net Mortgage servicing rights, net, included in other assets on the accompanying consolidated balance sheets, are carried at the lower of cost or estimated fair value. MSRs do not trade in an active m arket with readily observable prices. To determine the fair value of MSRs, the Company engages an independent third party. The independent third party’s valuation model calculates the present value of estimated future net servicing income using assumptio ns that market participants would use in estimating future net servicing income, including estimates of prepayment speeds, discount rate, default rates, cost to service, escrow account earnings, contractual servicing fee income, ancillary income, and late fees. Periodically, the Company will review broker surveys and other market research to validate significant assumptions used in the model. The significant unobservable inputs include prepayment speeds or the constant prepayment rate (“CPR”) and the weig hted average discount rate. Because the valuation of MSRs requires the use of significant unobservable inputs, all of the Company’s MSRs are classified within Level 3 of the valuation hierarchy. The following table presents the balances of the assets and liabilities measured at fair value on a nonrecurring basis as of December 31, 2019 and 2018 , respectively, by caption, on the accompanying consolidated balance sheets and by ASC 820 valuation hierarchy (as described above): Quoted Prices in Active Markets Other Significant for Observable Unobservable Identical Assets Inputs Inputs (Dollars in thousands) Amount (Level 1) (Level 2) (Level 3) December 31, 2019: Loans held for sale $ 2,202 — 2,202 — Loans, net (1) 99 — — 99 Other assets (2) 1,299 — — 1,299 Total assets at fair value $ 3,600 — 2,202 1,398 December 31, 2018: Loans held for sale $ 383 — 383 — Loans, net (1) 157 — — 157 Other real estate owned 172 — — 172 Other assets (2) 1,441 — — 1,441 Total assets at fair value $ 2,153 — 383 1,770 (1) Loans considered impaired under ASC 310-10-35 Receivables. This amount reflects the recorded investment in impaired loans, net of any related allowance for loan losses. (2) Represents other real estate owned and MSRs, net, both of which are carried at lower of cost or estimated fair value. At December 31, 2019 a nd 2018 and for the years then ended, the Company had no Level 3 assets measured at fair value on a recurring basis. For Level 3 assets measured at fair value on a non-recurring basis as of December 31, 2019 , the significant unobservable inputs used in the fair value measurements are presented below. Weighted Carrying Average (Dollars in thousands) Amount Valuation Technique Significant Unobservable Input of Input December 31, 2019: Nonrecurring: Impaired loans $ 99 Appraisal Appraisal discounts (%) 10.0 % Mortgage servicing rights, net 1,299 Discounted cash flow Prepayment speed or CPR (%) 11.6 % Discount rate (%) 10.0 % December 31, 2018: Nonrecurring: Impaired loans $ 157 Appraisal Appraisal discounts (%) 10.0 % Other real estate owned 172 Appraisal Appraisal discounts (%) 10.0 % Mortgage servicing rights, net 1,441 Discounted cash flow Prepayment speed or CPR (%) 8.3 % Discount rate (%) 10.0 % Fair Value of Financial Instruments ASC 825, Financial Instruments , requires disclosure of fair value information about financial instruments, whether or not recognized on the face of the balance sheet, for which it is practicable to estimate that value. The assumptions used in the estimation of the fair value of the Company’s financial instruments are explained below. Where quoted market prices are not available, fair values are based on estimates using discounted cash flow analyses. Discounted cash flows can be significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. The following fair value estima tes cannot be substantiated by comparison to independent markets and should not be considered representative of the liquidation value of the Company’s financial instruments, but rather are a good-faith estimate of the fair value of financial instruments he ld by the Company. ASC 825 excludes certain financial instruments and all nonfinancial instruments from its disclosure requirements. The following methods and assumptions were used by the Company in estimating the fair value of its financial instrument s: Loans, net Fair values for loans were calculated using discounted cash flows. The discount rates reflected current rates at which similar loans would be made for the same remaining maturities. Expected future cash flows were projected based on contr actual cash flows, adju sted for estimated prepayments. The fair value of loans was measured using an exit price notion. Loans held for sale Fair values of loans held for sale are determined using quoted market secondary market prices for similar loans . Time Deposits Fair values for time deposits were estimated using discounted cash flows. The discount rates were based on rates currently offered for deposits with similar remaining maturities. Fair Value Hierarchy Carrying Estimated Level 1 Level 2 Level 3 (Dollars in thousands) amount fair value inputs inputs Inputs December 31, 2019: Financial Assets: Loans, net (1) $ 456,515 $ 453,705 $ — $ — $ 453,705 Loans held for sale 2,202 2,251 — 2,251 — Financial Liabilities: Time Deposits $ 167,199 $ 168,316 $ — $ 168,316 $ — December 31, 2018: Financial Assets: Loans, net (1) $ 472,118 $ 465,456 $ — $ — $ 465,456 Loans held for sale 383 397 — 397 — Financial Liabilities: Time Deposits $ 181,237 $ 181,168 $ — $ 181,168 $ — (1) Represents loans, net of unearned income and the allowance for loan losses. The fair value of loans was measured using an exit price notion. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Related Party Transactions Disclosure [Text Block] | NOTE 15 : RELATED PARTY TRANSACTIONS The Bank has made, and expects in the future to continue to make in the ordinary course of business, loans to directors and executive officers of the Company, the Bank, and their affiliates. In management’s opinion, these loans were made in the ordinary course of business at normal credit terms, including interest rate and collateral requirements, and do not represent more than normal credit risk. An analysis of such outstanding loans is presented below. (Dollars in thousands) Amount Loans outstanding at December 31, 2018 $ 8,207 New loans/advances 1,559 Repayments (6,617) Loans outstanding at December 31, 2019 $ 3,149 During 2019 and 2018 , certain ex ecutive officers and directors of the Company and the Bank, including companies with which they are affiliated, were deposit customers of the bank. Total deposits for these persons at December 31, 2019 and 2018 amounted to $19.1 million and $19.8 million, respectively . |
Regulatory Restrictions and Cap
Regulatory Restrictions and Capital Ratios | 12 Months Ended |
Dec. 31, 2019 | |
Regulatory Capital Requirements [Abstract] | |
Regulatory Capital Requirements under Banking Regulations [Text Block] | NOTE 17 : REGULATORY RESTRICTIONS AND CAPITAL RATIOS As required by the Economic Growth, Regulatory Relief, and Consumer Protection Act in August 2018, the Federal Reserve Board issued an interim final rule that expanded applicability of the Board’s small bank holding company policy statement. The interim final rule raised the policy statement’s asset threshold from $1 billion to $3 billion in total consolidated assets for a bank holding company or savings and loan holding company that: (1) is not eng aged in significant nonbanking activities; (2) does not conduct significant off-balance sheet activities; and (3) does not have a material amount of debt or equity securities, other than trust-preferred securities, outstanding. The interim final rule provi des that, if warranted for supervisory purposes, the Federal Reserve may exclude a company from the threshold increase. Management believes the Company meets the conditions of the Federal Reserve’s small bank holding company policy statement and is therefo re excluded from consolidated capital requirements at December 31, 2019 . The Bank remains subject to regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory - and possibly additional discretionary - actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, th e Bank must meet specific capital guidelines that involve quantitative measures of their assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. As of December 31, 2019 , the Bank is “well capitalized” under the regulatory framework for prompt corrective action. To be categorized as “well capitalized,” the Bank must maintain minimum common equity Tier 1, total risk-based, Tier 1 risk-based, and Tier 1 leverage ratios as set forth in the table. Management has not received any notification from the Bank's regulators that changes the Bank’s regulatory capit al status. The actual capital amounts and ratios and the aforementioned minimums as of December 31, 2019 and 2018 are presented below. Minimum for capital Minimum to be Actual adequacy purposes well capitalized (Dollars in thousands) Amount Ratio Amount Ratio Amount Ratio At December 31, 2019: Tier 1 Leverage Capital $ 92,778 11.23 % $ 33,043 4.00 % $ 41,303 5.00 % Common Equity Tier 1 Capital $ 92,778 17.28 % $ 24,162 4.50 % $ 34,901 6.50 % Tier 1 Risk-Based Capital $ 92,778 17.28 % $ 32,216 6.00 % $ 42,955 8.00 % Total Risk-Based Capital $ 97,291 18.12 % $ 42,955 8.00 % $ 53,693 10.00 % At December 31, 2018: Tier 1 Leverage Capital $ 91,719 11.33 % $ 32,368 4.00 % $ 40,461 5.00 % Common Equity Tier 1 Capital $ 91,719 16.49 % $ 25,031 4.50 % $ 36,156 6.50 % Tier 1 Risk-Based Capital $ 91,719 16.49 % $ 33,375 6.00 % $ 44,500 8.00 % Total Risk-Based Capital $ 96,661 17.38 % $ 44,500 8.00 % $ 55,625 10.00 % Dividends paid by the Bank are a principal source of funds available to the Company for payment of dividends to its stockholders and for other needs. Applicable federal and state statutes and regulations impose restrictions on the amounts of dividends that may be declared by the subsidiary bank. State law and Federal Reserve policy restrict the Bank from declaring dividends in excess of the sum of the current year’s earnings plus the retained net earnings from the preceding two years without prior appro val. In addition to the formal statutes and regulations, regulatory authorities also consider the adequacy of the Bank’s total capital in relation to its assets, deposits, and other such items. Capital adequacy considerations could further limit the availa bility of dividends from the Bank. At December 31, 2019 , the Bank could have declared additional dividends of approximately $8.0 million without prior approval of regulatory authorities. As a result of this limitation, approximately $86.8 million of th e Company’s investment in the Bank was restricted from transfer in the form of dividends. |
Auburn National Bancorporation
Auburn National Bancorporation - Parent Company Financials | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Financial Information of Parent Company Only Disclosure [Text Block] | NOTE 17 : AUBURN NATIONAL BANCORPORATION (PARENT COMPANY) The Parent Company’s condensed balance sheets and related condensed statements of earnings and cash flows are as follows: CONDENSED BALANCE SHEETS December 31 (Dollars in thousands) 2019 2018 Assets: Cash and due from banks $ 4,119 1,941 Investment in bank subsidiary 94,837 87,956 Other assets 625 626 Total assets $ 99,581 90,523 Liabilities: Accrued expenses and other liabilities $ 1,253 1,468 Total liabilities 1,253 1,468 Stockholders' equity 98,328 89,055 Total liabilities and stockholders' equity $ 99,581 90,523 CONDENSED STATEMENTS OF EARNINGS Year ended December 31 (Dollars in thousands) 2019 2018 Income: Dividends from bank subsidiary $ 8,574 6,533 Noninterest income 346 149 Total income 8,920 6,682 Expense: Interest expense — 51 Noninterest expense 212 237 Total expense 212 288 Earnings before income tax expense (benefit) and equity in undistributed earnings of bank subsidiary 8,708 6,394 Income tax expense (benefit) 26 (28) Earnings before equity in undistributed earnings of bank subsidiary 8,682 6,422 Equity in undistributed earnings of bank subsidiary 1,059 2,412 Net earnings $ 9,741 8,834 CONDENSED STATEMENTS OF CASH FLOWS Year ended December 31 (Dollars in thousands) 2019 2018 Cash flows from operating activities: Net earnings $ 9,741 8,834 Adjustments to reconcile net earnings to net cash provided by operating activities: Net decrease in other assets 7 1,134 Net decrease in other liabilities (215) (70) Equity in undistributed earnings of bank subsidiary (1,059) (2,412) Net cash provided by operating activities 8,474 7,486 Cash flows from financing activities: Repayments or retirement of long-term debt — (3,217) Dividends paid (3,575) (3,498) Stock repurchases (2,721) — Net cash used in financing activities (6,296) (6,715) Net change in cash and cash equivalents 2,178 771 Cash and cash equivalents at beginning of period 1,941 1,170 Cash and cash equivalents at end of period $ 4,119 1,941 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Summary of Signficant Accounting Policies | |
Nature of Business Policy | NOTE 1 : SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Business Auburn National Bancorporation, Inc. (the “Company”) is a bank holding company whose primary business is conducted by its wholly-owned subsidiary, AuburnBank (the “Bank”). AuburnBank is a commercial bank located in Auburn, Alabama. The Bank provides a full range of banking services in its primary market area, Lee County, which includ es the Auburn-Opelika Metropolitan Statistical Area. |
Basis of Presentation Policy | Basis of Presentation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiar ies. Auburn National Bancorporation Capital Trust I was an affiliate of th e Company and was included in these consolidated financial statements pursuant to the equity method of accounting. On April 27, 2018, the Trust was dissolved. Significant intercompany transactions and accounts are eliminated in consolidation. |
Revenue Recognition Policy | Revenue R ecognition On January 1, 2018, the Company implemented ASU 2014-09, Revenue from Contracts with Customers , codified at ASC 606. The Company adopted ASC 606 using the modified retrospective transition method. The majority of the Company’s revenue stream i s generated from interest income on loans and deposits which are outside the scope of ASC 606. The Company’s sources of income that fall within the scope of ASC 606 include service charges on deposits, investment services, interchange fees and gains and l osses on sales of other real estate, all of which are presented as components of noninterest income. The following is a summary of the revenue streams that fall within the scope of ASC 606: Service charges on deposits, investment services, ATM and interch ange fees – Fees from these services are either transaction-based, for which the performance obligations are satisfied when the individual transaction is processed, or set periodic service charges, for which the performance obligations are satisfied over t he period the service is provided. Transaction-based fees are recognized at the time the transaction is processed, and periodic service charges are recognized over the service period. Gains on sales of other real estate – A gain on sale should be recogniz ed when a contract for sale exists and control of the asset has been transferred to the buyer. ASC 606 lists several criteria required to conclude that a contract for sale exists, including a determination that the institution will collect substantially al l of the consideration to which it is entitled. In addition to the loan-to-value, the analysis is based on various other factors, including the credit quality of the borrower, the structure of the loan, and any other factors that may affect collectability. |
Use of Estimates Policy | Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities as of the balance sheet date and the reported amounts of income and expense during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to signifi cant change in the near term include the determination of the allowance for loan losses , fair value measurements , valuation of other real estate owned, and valuation of deferred tax assets. |
Change in Accounting Estimate | Change in Accounting Estimate During the fourth quarter of 2019, the Company reassessed its estimate of the useful lives of certa in fixed assets. The Company revised its ori ginal useful life estimate for certain land improvements, buildings and improvements and furniture, fixtures and equipment, with a carrying value o f $0.5 million at December 31, 2019, to correspond with estimated demolition dates planned as part of the redevelopment project for our main campus. This is considered a change in accounting estimate, per ASC 250-10, where adjustments should b e made prosp ectively. The effects of this change in accoun ting estimate on the 2019 consolidated financial statements was a decrease in net earnings of $0.2 million, or $0.04 per share. |
Reclassifications Policy | Reclassifications Certain amounts reported in the prior period have b een reclassified to conform to the current-period presentation. These reclassifications had no impact on the Company’s previously reported net earnings or total stockholders’ equity. |
Accounting Standards Adopted in 2019 | Acco unting Standards Adopted in 2019 In 2019 , the Company adopted new guidance related to the following Accounting Standards Update (“Update” or “ASU ”): ASU 2016-02, Leases; and ASU 2017-02, Targeted Improvements to Accounting for Hedging Activities. Information about these pronouncements is described in more detail below. ASU 2016-02, Leases , requires lessees to recognize the assets and liabilities that arise from leases on the balance sheet. A lessee should recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. In July 2018, the FASB issued ASU 2018-10 and 2018-11, which are de signed to make targeted improvements to and clarifications regarding ASU 2016-02. The Company adopted ASU No. 2016-02 on January 1, 2019. ASU No. 2016-02 did not have a material impact on the Company’s consolidated financial statements due to the fact th e Company does not have any material leases. ASU 2017-12, Targeted Improvements to Accounting for Hedging Activities, improves the transparency and understandability of information conveyed to financial statement users about an entity’s risk management activities by better aligning the entity’s financial reporting for hedging relationships with those risk management activities and reduces the complexity of and simplifies the application of hedge accounting by preparers. The Company adopted ASU No. 2017- 12 on January 1, 2019. ASU No. 2017-12 did not have a material impact on the Company’s consolidated financial statements. |
Cash Equivalents Policy | Cash Equivalents Cash equivalents include c ash on hand, cash items in process of collection, amounts due from banks, including int erest bearing deposits with other banks, and federal funds sold. |
Marketable Securities, Policy | Securities Securities are classified based on management’s intention at the date of purchase. At December 31, 2019 , all of the Company’s securities were classified as available-for-sal e. Securities available-for-sale are used as part of the Company’s interest rate risk management strategy, and they may be sold in response to changes in interest rates, changes in prepayment risks or other factors. All securities classified as available-f or-sale are recorded at fair value with any unrealized gains and losses reported in accu mulated other comprehensive income (loss) , net of the deferred income tax effects. Interest and dividends on securities, including the amortization of premiums and accr etion of discounts are recognized in interest income over the estimated life of the security using the effective interest method. Realized gains and losses from the sale of securities are determined using the specific identification method. On a quarter ly basis, management makes an assessment to determine whether there have been events or economic circumstances to indicate that a security on which there is an unrealized loss is other-than-temporarily impaired. For debt securities with an unrealized los s, an other-than-temporary impairment write-down is triggered when (1) the Company has the intent to sell a debt security, (2) it is more likely than not that the Company will be required to sell the debt security before recovery of its amortized cost basi s, or (3) the Company does not expect to recover the entire amortized cost basis of the debt security. If the Company has the intent to sell a debt security or if it is more likely than not that it will be required to sell the debt security before recovery, the other-than-temporary write-down is equal to the entire difference between the debt security’s amortized cost and its fair value. If the Company does not intend to sell the security or it is not more likely than not that it will be required t o sell the security before recovery, the other-than-temporary impairment write-down is separated into the amount that is credit related (credit loss component) and the amount due to all other factors. The credit loss component is recognized in earnings, a s a realized loss in securities gains (losses), and is the difference between the security’s amortized cost basis and the present value of its expected future cash flows. The remaining difference between the security’s fair value and the present value of future expected cash flows is due to factors that are not credit related and is recognized in other comprehensive income, net of applicable taxes. |
Loans Held for Sale Policy | Loans held for sale Loans originated and intended for sale in the secondary market are carried at the lowe r of cost or estimated fair value in the aggregate . Loan sales are recognized when the transaction closes, the proceeds are collected, and ownership is transferred. Continuing involvement, through the sales agreement, consists of the right to service the loan for a fee for the life of the loan, if applicable. Gains on the sale of loans held for sale are recorded net of related costs, such as commissions, and reflected as a component of mortgage lending income in the consolidated statements of earnings. In the course of conducting the Bank’s mortgage lending activities of originating mortgage loans and selling those loans in the secondary market, the Bank makes various representations and warranties to the purchaser of the mortgage loans. Every loan closed by the Bank’s mortgage center is run through a government agency automated underwriting system. Any exceptions noted during this process are remedied prior to sale. These representations and warranties also apply to underwriting the real estate ap praisal opinion of value for the collateral securing these loans. Failure by the Company to comply with the underwriting and/or appraisal standards could result in the Company being required to repurchase the mortgage loan or to reimburse the investor for losses incurred (make whole requests) if such failure cannot be cured by the Company within the specified period following discovery. |
Loans Policy | Loans Loans are reported at their outstanding principal balances, net of any unearned income , charge-offs, and any d eferred fees or costs on originated loans. Interest income is accrued based on the principal balance outstanding. Loan origination fees, net of certain loan origination costs, are deferred and recognized in interest income over the contractual life of th e loan using the effective interest method. Loan commitment fees are generally deferred and amortized on a straight-line basis over the commitment period , which results in a recorded amount that approximates fair value . The accrual of interest on loans i s discontinued when there is a significant deterioration in the financial condition of the borrower and full repayment of principal and interest is not expected or the principal or interest is more than 90 days past due, unless the loan is both well-collat eralized and in the process of collection. Generally, all interest accrued but not collected for loans that are placed on nonaccrual status is reversed against current interest income. Interest collections on non accrual loans are generally applied as princ ipal reductions. The Company determines past due or delinquency status of a loan based on contractual payment terms. A loan is considered impaired when it is probable the Company will be unable to collect all principal and interest payments due acco rding to the contractual terms of the loan agreement. Individually identified impaired loans are measured based on the present value of expected payments using the loan’s original effective rate as the discount rate, the loan’s observable market price, or the fair value of the collateral if the loan is collateral dependent. If the recorded investment in the impaired loan exceeds the measure of fair value, a valuation allowance may be established as part of the allowance for loan losses. Changes to the valua tion allowance are recorded as a component of the provision for loan losses. Impaired loans also include troubled debt restructurings (“TDRs”). In the normal course of business, management may grant concessions to borrowers who are experiencing financial difficulty. The concessions granted most frequently for TDRs involve reductions or delays in required payments of principal and interest for a specified time, the rescheduling of payments in accordance with a bankruptcy plan or the charge-off of a portion of the loan. In most cases, the conditions of the credit also warrant nonaccrual st atus, even after the restructuring occurs. As part of the credit approval process, the restructured loans are evaluated for adequate collateral protection in determining th e appropriate accrual s tatus at the time of restructuring . TDR loans may be returned to accrual status if there has been at least a six-month sustained period of repayment performance by the borrower. |
Loans, Origination Fees Policy | Loan origination fees, net of certain loan origination costs, are deferred and recognized in interest income over the contractual life of th e loan using the effective interest method. Loan commitment fees are generally deferred and amortized on a straight-line basis over the commitment period , which results in a recorded amount that approximates fair value . |
Loans, Nonacrrual Policy | The accrual of interest on loans i s discontinued when there is a significant deterioration in the financial condition of the borrower and full repayment of principal and interest is not expected or the principal or interest is more than 90 days past due, unless the loan is both well-collat eralized and in the process of collection. Generally, all interest accrued but not collected for loans that are placed on nonaccrual status is reversed against current interest income. Interest collections on non accrual loans are generally applied as princ ipal reductions. The Company determines past due or delinquency status of a loan based on contractual payment terms. |
Loans, Impaired Policy | A loan is considered impaired when it is probable the Company will be unable to collect all principal and interest payments due acco rding to the contractual terms of the loan agreement. Individually identified impaired loans are measured based on the present value of expected payments using the loan’s original effective rate as the discount rate, the loan’s observable market price, or the fair value of the collateral if the loan is collateral dependent. If the recorded investment in the impaired loan exceeds the measure of fair value, a valuation allowance may be established as part of the allowance for loan losses. Changes to the valua tion allowance are recorded as a component of the provision for loan losses. |
Loans, Troubled Debt Restructuring Policy | Impaired loans also include troubled debt restructurings (“TDRs”). In the normal course of business, management may grant concessions to borrowers who are experiencing financial difficulty. The concessions granted most frequently for TDRs involve reductions or delays in required payments of principal and interest for a specified time, the rescheduling of payments in accordance with a bankruptcy plan or the charge-off of a portion of the loan. In most cases, the conditions of the credit also warrant nonaccrual st atus, even after the restructuring occurs. As part of the credit approval process, the restructured loans are evaluated for adequate collateral protection in determining th e appropriate accrual s tatus at the time of restructuring . TDR loans may be returned to accrual status if there has been at least a six-month sustained period of repayment performance by the borrower. |
Allowance for Loan Losses Policy | Allowance for Loan Losses The allowance for loan lo sses is maintained at a level that management believes is adequate to absorb probable losses inherent in the loan portfolio. Loan losses are charged against the allowance when they are known. Subsequent recoveries are credited to the allowance. Management’ s determination of the adequacy of the allowance is based on an evaluation of the portfolio, current economic conditions, growth, composition of the loan portfolio, homogeneous pools of loans, risk ratings of specific loans, historical loan loss factors, i dentified impaired loans and other factors related to the portfolio. This evaluation is performed quarterly and is inherently subjective, as it requires various material estimates that are susceptible to significant change, including the amounts and timing of future cash flows expected to be received on any impaired loans. In addition, regulatory agencies, as an integral part of their examination process, will periodically review the Company’s allowance for loan losses, and may require the Company to record additions to the allowance based on their judgment about information available to them at the time of their examinations. |
Premises and Equipment Policy | Premises and Equipment Land is carried at cost. Land improvements, b uildings and improvements, and furniture, fixtures, and equip ment are carried at cost, less accumulated depreciation computed on a straight-line method over the useful lives of the assets or the expected terms of the leases, if shorter. Expected terms include lease option periods to the extent that the exercise of s uch options is reasonably assured. |
Nonmarketable Equity Investments Policy | Nonmarketable equity investments Nonmarketable equity investments include equity securities that are not publicly traded and securities acquired for various purposes . The Bank is required to maintain certain minimum levels of equity investments with certain regulatory and other entities in which the Bank has an ongoing business relationship based on the Bank’s common stock and surplus (with regard to the relationship with the Federal Reserve Bank) or outstanding borro wings (with regard to the relationship with the Federal Home Loan Bank of Atlanta). These nonmarketable equity securities are accounted for at cost which equals par or redemption value. These securities do not have a readily determinable fair value as thei r ownership is restricted and there is no market for these securities. These securities can only be redeemed or sold at their par value and only to the respective issuing government supported institution or to another member institution. The Company record s these nonmarketable equity securities as a component of other assets, which are periodically evaluated for impairment. Management considers these nonmarketable equity securities to be long-term investments. Accordingly, when evaluating these securities f or impairment, management considers the ultimate recoverability of the par value rather than by recognizing temporary declines in value. |
Transfers and Servicing of Financial Assets, Policy | Transfers of Financial Assets Transfers of an entire financial asset (i.e. loan sales), a group of entire financial assets, or a participating interest in an entire financial asset (i.e. loan participations sold) are accounted for as sales when control over the assets have been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferr ed assets through an agreement to repurchase them before their maturity. |
Mortgage Servicing Rights Policy | Mortgage Servicing Rights The Company recognizes as assets the rights to service mortgage loans for others, known as MSRs. The Company determines the fair value of MSRs at the date the loan is transferred. An estimate of the Company’s MSRs is determined using assumptions that market participants would use in estimating future net servicing income, including estimates of pre p ayment speeds, discount rate, default rates, cost to servi ce, escrow account earnings, contractual servicing fee income, ancillary income, and late fees. Subsequent to the date of transfer, the Company has elected to measure its MSRs under the amortization method. Under the amortization method, MSRs are amort ized in proportion to, and over the period of, estimated net servicing income. The amortization of MSRs is analyzed monthly and is adjusted to reflect changes in prepayment speeds, as well as other factors. MSRs are evaluated for impairment based on the fair value of those assets. Impairment is determined by stratifying MSRs into groupings based on predominant risk characteristics, such as interest rate and loan type. If, by individual stratum, the carrying amount of the MSRs exceeds fair value, a valua tion allowance is established through a charge to earnings. The valuation allowance is adjusted as the fair value changes. MSRs are included in the other assets category in the accompanying consolidated balance sheet s . |
Securities Sold Under Agreements to Repurchase Policy | Securities sold under agreements t o repurchase Securities sold under agreements to repurchase generally mature less than one year from the transaction date. Securities sold under agreements to repurchase are reflected as a secured borrowing in the accompanying consolidated balance sheets at the amount of cash received in connection with each transaction. |
Income Taxes Policy | Income Taxes Deferred tax assets and liabilities are the expected future tax amounts for the temporary differences between carrying amounts and tax bases of assets and liabilities, co mputed using enacted tax rates. A valuation allowance, if needed, reduces deferred tax assets to the amount expected to be realized. The net deferred tax asset is reflected as a component of other assets in the accompanying consolidated balance sheets. I ncome tax expense or benefit for the year is allocated among continuing operations and other comprehensive income (loss), as applicable. The amount allocated to continuing operations is the income tax effect of the pretax income or loss from continuing ope rations that occurred during the year, plus or minus income tax effects of ( 1 ) changes in certain circumstances that cause a change in judgment about the realization of deferred tax assets in future years, ( 2 ) changes in income tax laws or rates, and ( 3 ) c hanges in income tax status, subject to certain exceptions. The amount allocated to other comprehensive income (loss) is related solely to changes in the valuation allowance on items that are normally accounted for in other comprehensive income (loss) suc h as unrealized gains or losses on available-for-sale securities. In accordance with ASC 740, Income Taxes , a tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is record ed. It is the Company’s policy to recognize interest and penalties related to income tax matters in income tax expense. The Company and its wholly-owned subsidiaries file a consolidated income tax return. |
Income Taxes, Uncertainties Policy | In accordance with ASC 740, Income Taxes , a tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is record ed. It is the Company’s policy to recognize interest and penalties related to income tax matters in income tax expense. The Company and its wholly-owned subsidiaries file a consolidated income tax return. |
Fair Value Measurements Policy | Fair Value Measurements ASC 820 , Fair Value Mea surements, which defines fair value, establishes a framework for measuring fair value in U.S. generally accepted accounting principles and expands disclosures about fair value measurements. ASC 820 applies only to fair-value measurements that are already r equired or permitted by other accounting standards. The definition of fair value focuses on the exit price, i.e., the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at t he measurement date, not the entry price, i.e., the price that would be paid to acquire the asset or received to assume the liability at the measurement date. The statement emphasizes that fair value is a market-based measurement; not an entity-specific me asurement. Therefore, the fair value measurement should be determined based on the assumptions that market participants would use in pricing the asset or liability. For more information related to fair value measurements, please refer to Note 15 , Fair Value. |
Subsequent Events Policy | Subsequent Events The Company has evaluated the effects of events or transactions through the date of this filing that have occurred subsequent to December 31, 2019 . The Company does not believe there are any material subsequent events that wo uld require further recognition or disclosure . |
Basic and Diluted Earnings Pe_2
Basic and Diluted Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Basic and Diluted Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Year ended December 31 (Dollars in thousands, except share and per share data) 2019 2018 Basic and diluted: Net earnings $ 9,741 $ 8,834 Weighted average common shares outstanding 3,581,476 3,643,780 Net earnings per share $ 2.72 $ 2.42 |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Investments debt and equity securities [Abstract] | |
Available-for-sale Securities [Table Text Block] | 1 year 1 to 5 5 to 10 After 10 Fair Gross Unrealized Amortized (Dollars in thousands) or less years years years Value Gains Losses Cost December 31, 2019 Agency obligations (a) $ 4,993 27,245 18,470 — 50,708 215 98 $ 50,591 Agency RMBS (a) — 560 4,510 118,207 123,277 798 261 122,740 State and political subdivisions — 1,355 6,166 54,396 61,917 2,104 9 59,822 Total available-for-sale $ 4,993 29,160 29,146 172,603 235,902 3,117 368 $ 233,153 December 31, 2018 Agency obligations (a) $ 14,437 19,865 16,869 — 51,171 25 1,200 $ 52,346 Agency RMBS (a) — — 8,368 110,230 118,598 65 3,738 $ 122,271 State and political subdivisions — 3,682 7,726 58,624 70,032 518 692 $ 70,206 Total available-for-sale $ 14,437 23,547 32,963 168,854 239,801 608 5,630 $ 244,823 (a) Includes securities issued by U.S. government agencies or government sponsored entities. Expected maturities of these securities may differ from contractual maturities because issues may have the right to call or repay obligations with or without prepayment penalties. |
Available-for-sale Securities, Continuous Unrealized Loss Position [Table Text Block] | Less than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized (Dollars in thousands) Value Losses Value Losses Value Losses December 31, 2019: Agency obligations $ 24,734 97 4,993 1 29,727 $ 98 Agency RMBS 40,126 98 21,477 163 61,603 261 State and political subdivisions 2,741 9 — — 2,741 9 Total $ 67,601 204 26,470 164 94,071 $ 368 December 31, 2018: Agency obligations $ 4,724 28 44,307 1,172 49,031 $ 1,200 Agency RMBS 12,325 238 99,184 3,500 111,509 3,738 State and political subdivisions 14,840 181 14,384 511 29,224 692 Total $ 31,889 447 157,875 5,183 189,764 $ 5,630 |
Schedule of Realized Gain (Loss) [Table Text Block] | Realized Gains and Losses The following table presents the gross realized gains and losses on sales related to securities. Year ended December 31 (Dollars in thousands) 2019 2018 Gross realized gains $ 120 — Gross realized losses (243) — Realized losses, net $ (123) — |
Loan and Allowance for Loan L_2
Loan and Allowance for Loan Losses (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Loans And Leases Receivable Disclosure [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | December 31 (In thousands) 2019 2018 Commercial and industrial $ 56,782 $ 63,467 Construction and land development 32,841 40,222 Commercial real estate: Owner occupied 60,893 56,413 Multifamily 44,839 40,455 Other 164,586 165,028 Total commercial real estate 270,318 261,896 Residential real estate: Consumer mortgage 48,923 56,223 Investment property 43,652 46,374 Total residential real estate 92,575 102,597 Consumer installment 8,866 9,295 Total loans 461,382 477,477 Less: unearned income (481) (569) Loans, net of unearned income $ 460,901 $ 476,908 |
Past Due Financing Receivables [Table Text Block] | Accruing Accruing Total 30-89 Days Greater than Accruing Non- Total (In thousands) Current Past Due 90 days Loans Accrual Loans December 31, 2019: Commercial and industrial $ 56,758 24 — 56,782 — $ 56,782 Construction and land development 32,385 456 — 32,841 — 32,841 Commercial real estate: Owner occupied 60,893 — — 60,893 — 60,893 Multifamily 44,839 — — 44,839 — 44,839 Other 164,586 — — 164,586 — 164,586 Total commercial real estate 270,318 — — 270,318 — 270,318 Residential real estate: Consumer mortgage 47,151 1,585 — 48,736 187 48,923 Investment property 43,629 23 — 43,652 — 43,652 Total residential real estate 90,780 1,608 — 92,388 187 92,575 Consumer installment 8,802 64 — 8,866 — 8,866 Total $ 459,043 2,152 — 461,195 187 $ 461,382 December 31, 2018: Commercial and industrial $ 63,367 100 — 63,467 — $ 63,467 Construction and land development 39,997 225 — 40,222 — 40,222 Commercial real estate: Owner occupied 56,413 — — 56,413 — 56,413 Multifamily 40,455 — — 40,455 — 40,455 Other 165,028 — — 165,028 — 165,028 Total commercial real estate 261,896 — — 261,896 — 261,896 Residential real estate: Consumer mortgage 54,446 1,599 — 56,045 178 56,223 Investment property 46,233 141 — 46,374 — 46,374 Total residential real estate 100,679 1,740 — 102,419 178 102,597 Consumer installment 9,254 41 — 9,295 — 9,295 Total $ 475,193 2,106 — 477,299 178 $ 477,477 |
Allowance for Credit Losses on Financing Receivables [Table Text Block] | Year ended December 31 (In thousands) 2019 2018 Beginning balance $ 4,790 $ 4,757 Charged-off loans (408) (168) Recovery of previously charged-off loans 254 201 Net (charge-offs) recoveries (154) 33 Provision for loan losses (250) — Ending balance $ 4,386 $ 4,790 (in thousands) Commercial and industrial Construction and land Development Commercial Real Estate Residential Real Estate Consumer Installment Total Balance, December 31, 2017 $ 653 734 2,126 1,071 173 $ 4,757 Charge-offs (52) — (38) (26) (52) (168) Recoveries 70 — 19 79 33 201 Net recoveries (charge-offs) 18 — (19) 53 (19) 33 Provision 107 (34) 111 (178) (6) — Balance, December 31, 2018 $ 778 700 2,218 946 148 $ 4,790 Charge-offs (364) — — (6) (38) (408) Recoveries 117 — 1 109 27 254 Net (charge-offs) recoveries (247) — 1 103 (11) (154) Provision 46 (131) 70 (236) 1 (250) Balance, December 31, 2019 $ 577 569 2,289 813 138 $ 4,386 |
Financing Receivable Allowance for Credit Loss Additional Information [Table Text Block] | Collectively evaluated (1) Individually evaluated (2) Total Allowance Recorded Allowance Recorded Allowance Recorded for loan investment for loan investment for loan investment (In thousands) losses in loans losses in loans losses in loans December 31, 2019: Commercial and industrial $ 577 56,683 — 99 577 56,782 Construction and land development 569 32,841 — — 569 32,841 Commercial real estate 2,289 270,318 — — 2,289 270,318 Residential real estate 813 92,575 — — 813 92,575 Consumer installment 138 8,866 — — 138 8,866 Total $ 4,386 461,283 — 99 4,386 461,382 December 31, 2018: Commercial and industrial $ 778 63,467 — — 778 63,467 Construction and land development 700 40,222 — — 700 40,222 Commercial real estate 2,218 261,739 — 157 2,218 261,896 Residential real estate 946 102,597 — — 946 102,597 Consumer installment 148 9,295 — — 148 9,295 Total $ 4,790 477,320 — 157 4,790 477,477 (1) Represents loans collectively evaluated for impairment in accordance with ASC 450-20, Loss Contingencies (formerly FAS 5), and pursuant to amendments by ASU 2010-20 regarding allowance for unimpaired loans. (2) Represents loans individually evaluated for impairment in accordance with ASC 310-30, Receivables (formerly FAS 114), and pursuant to amendments by ASU 2010-20 regarding allowance for impaired loans. |
Financing Receivable Credit Quality Indicators [Table Text Block] | (In thousands) Pass Special Mention Substandard Accruing Nonaccrual Total loans December 31, 2019 Commercial and industrial $ 54,340 2,176 266 — $ 56,782 Construction and land development 31,798 — 1,043 — 32,841 Commercial real estate: Owner occupied 59,898 917 78 — 60,893 Multifamily 44,839 — — — 44,839 Other 163,716 849 21 — 164,586 Total commercial real estate 268,453 1,766 99 — 270,318 Residential real estate: Consumer mortgage 45,247 962 2,527 187 48,923 Investment property 42,331 949 372 — 43,652 Total residential real estate 87,578 1,911 2,899 187 92,575 Consumer installment 8,742 60 64 — 8,866 Total $ 450,911 5,913 4,371 187 $ 461,382 December 31, 2018 Commercial and industrial $ 61,568 1,377 522 — $ 63,467 Construction and land development 39,481 — 741 — 40,222 Commercial real estate: Owner occupied 55,942 154 317 — 56,413 Multifamily 40,455 — — — 40,455 Other 163,449 1,208 371 — 165,028 Total commercial real estate 259,846 1,362 688 — 261,896 Residential real estate: Consumer mortgage 50,903 1,374 3,768 178 56,223 Investment property 45,463 173 738 — 46,374 Total residential real estate 96,366 1,547 4,506 178 102,597 Consumer installment 9,149 75 71 — 9,295 Total $ 466,410 4,361 6,528 178 $ 477,477 |
Impaired Financing Receivables [Table Text Block] | December 31, 2019 (In thousands) Unpaid principal balance (1) Charge-offs and payments applied (2) Recorded investment (3) Related allowance With no allowance recorded: Commercial and industrial $ 335 (236) $ 99 Total impaired loans $ 335 (236) $ 99 $ — (1) Unpaid principal balance represents the contractual obligation due from the customer. (2) Charge-offs and payments applied represents cumulative charge-offs taken, as well as interest payments that have been applied against the outstanding principal balance. (3) Recorded investment represents the unpaid principal balance less charge-offs and payments applied; it is shown before any related allowance for loan losses. December 31, 2018 (In thousands) Unpaid principal balance (1) Charge-offs and payments applied (2) Recorded investment (3) Related allowance With no allowance recorded: Commercial real estate: Owner occupied $ 157 — $ 157 Total commercial real estate 157 — 157 Total impaired loans $ 157 — $ 157 $ — (1) Unpaid principal balance represents the contractual obligation due from the customer. (2) Charge-offs and payments applied represents cumulative charge-offs taken, as well as interest payments that have been applied against the outstanding principal balance. (3) Recorded investment represents the unpaid principal balance less charge-offs and payments applied; it is shown before any related allowance for loan losses. |
Schedule Of Average Impaired Financing Receivable [Table Text Block] | Year ended December 31, 2019 Year ended December 31, 2018 Average Total interest Average Total interest recorded income recorded income (In thousands) investment recognized investment recognized Impaired loans: Commercial and industrial $ 8 — $ 9 — Commercial real estate: Owner occupied 24 9 166 9 Other — — 1,145 — Total commercial real estate 24 9 1,311 9 Total $ 32 9 $ 1,320 9 |
Troubled Debt Restructurings on Financing Receivables, Accrual Status [Table Text Block] | TDRs Related (In thousands) Accruing Nonaccrual Total Allowance December 31, 2019 Commercial real estate: TDRs Related (In thousands) Accruing Nonaccrual Total Allowance December 31, 2018 Commercial real estate: Owner occupied $ 157 — 157 $ — Total commercial real estate 157 — 157 — Total $ 157 — 157 $ — |
Troubled Debt Restructuring Modifications [Table Text Block] | Pre- Post- modification modification outstanding outstanding Number of recorded recorded ($ in thousands) contracts investment investment December 31, 2018 Commercial real estate: Other 2 $ 1,447 1,447 Total commercial real estate 2 1,447 1,447 Total 2 $ 1,447 1,447 |
Schedule Of Debtor Troubled Debt Restructuring, Subsequent Defaults [Table Text Block] | Number of Recorded ($ in thousands) Contracts investment (1) December 31, 2018 Commercial real estate: Other 1 $ 1,259 Total commercial real estate 1 1,259 Total 1 $ 1,259 (1) Amount as of applicable month end during the respective year for which there was a payment default. |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Premises and Equipment [Abstract] | |
Premises and Equipment [Table Text Block] | December 31 (Dollars in thousands) 2019 2018 Land and improvements $ 9,874 8,444 Buildings and improvements 10,094 9,871 Furniture, fixtures, and equipment 3,109 2,953 Total premises and equipment 23,077 21,268 Less: accumulated depreciation (8,334) (7,672) Premises and equipment, net $ 14,743 13,596 |
Mortgage Servicing Rights, Net
Mortgage Servicing Rights, Net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Mortgage Servicing [Abstract] | |
Schedule Of Servicing Assets At Fair Value [Table Text Block] | Year ended December 31 (Dollars in thousands) 2019 2018 Beginning balance $ 1,441 1,644 Additions, net 241 . 208 Amortization expense (383) (411) Ending balance $ 1,299 1,441 Valuation allowance included in MSRs, net: Beginning of period $ — — End of period — — Fair value of amortized MSRs: Beginning of period $ 2,697 2,528 End of period 2,111 2,697 |
Data And Assumptions Used In Fair Value Calculation Of MSRs [Table Text Block] | December 31 (Dollars in thousands) 2019 2018 Unpaid principal balance $ 274,227 289,981 Weighted average prepayment speed (CPR) 11.6 % 8.3 Discount rate (annual percentage) 10.0 % 10.0 Weighted average coupon interest rate 3.9 % 3.9 Weighted average remaining maturity (months) 255 250 Weighted average servicing fee (basis points) 25.0 25.0 |
Estimated Amortization Expense Of MSRs For Five Years [Table Text Block] | (Dollars in thousands) December 31, 2019 2020 $ 220 2021 182 2022 151 2023 126 2024 105 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Deposits: | |
Maturities Of Certificates Of Deposit And Other Time Deposits [Table Text Block] | (Dollars in thousands) December 31, 2019 2020 $ 92,740 2021 25,432 2022 36,643 2023 5,812 2024 6,572 Total certificates of deposit and other time deposits $ 167,199 |
Short Term Borrowings (Tables)
Short Term Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Short-term Debt: | |
Schedule of Short-term Debt [Table Text Block] | 2019 2018 Weighted Weighted (Dollars in thousands) Amount Avg. Rate Amount Avg. Rate Federal funds purchased: As of December 31 $ — — $ — — Average during the year 1 2.58 % 2 2.50 % Maximum outstanding at any month-end — — Securities sold under agreements to repurchase: As of December 31 $ 1,069 0.50 % $ 2,300 0.50 % Average during the year 1,442 0.50 % 2,632 0.50 % Maximum outstanding at any month-end 2,261 3,241 |
Lease Commitments (Tables)
Lease Commitments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Lessee Operating Lease Liability Maturity [Table Text Block] | (Dollars in thousands) payments 2020 $ 106 2021 93 2022 93 2023 93 2024 93 Thereafter 416 Total undiscounted operating lease liabilities $ 894 Imputed interest 106 Total operating lease liabilities included in the accompanying balance sheet $ 788 Weighted-average lease terms in years 8.89 Weighted-average discount rate 3.40 % |
Other Comprehensive Income (Tab
Other Comprehensive Income (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Comprehensive Income Loss [Abstract] | |
Schedule Of Other Comprehensive Income Loss [Table Text Block] | Pre-tax Tax benefit Net of (Dollars in thousands) amount (expense) tax amount 2019: Unrealized net holding gain on securities $ 7,651 (1,921) 5,730 Reclassification adjustment for net loss on securities recognized in net earnings 123 (31) 92 Other comprehensive income $ 7,774 (1,952) 5,822 2018: Unrealized net holding loss on securities $ (4,269) 1,072 (3,197) Other comprehensive loss $ (4,269) 1,072 (3,197) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Taxes | |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | Year ended December 31 (Dollars in thousands) 2019 2018 Current income tax expense: Federal $ 1,939 1,685 State 584 431 Total current income tax expense 2,523 2,116 Deferred income tax (benefit) expense: Federal (136) 56 State (17) 15 Total deferred income tax (benefit) expense (153) 71 Total income tax expense $ 2,370 2,187 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | 2019 2018 Percent of Percent of pre-tax pre-tax (Dollars in thousands) Amount earnings Amount earnings Earnings before income taxes $ 12,111 11,021 Income taxes at statutory rate 2,543 21.0 % 2,315 21.0 % Tax-exempt interest (508) (4.1) (515) (4.7) State income taxes, net of federal tax effect 440 3.6 361 3.3 Bank-owned life insurance (92) (0.8) (92) (0.8) Other (13) (0.1) 118 1.0 Total income tax expense $ 2,370 19.6 % 2,187 19.8 % |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | December 31 (Dollars in thousands) 2019 2018 Deferred tax assets: Allowance for loan losses $ 1,102 1,203 Unrealized loss on securities — 1,262 Accrued bonus 296 8 Right of use liability 198 — Other 88 127 Total deferred tax assets 1,684 2,600 Deferred tax liabilities: Premises and equipment 315 280 Unrealized gain on securities 690 — Originated mortgage servicing rights 326 362 Right of use asset 197 — Other 165 168 Total deferred tax liabilities 1,693 810 Net deferred tax (liability) asset $ (9) 1,790 |
Schedule of Deferred Tax Asset Rollforward [Table Text Block] | Year ended December 31 (Dollars in thousands) 2019 2018 Net deferred tax (liability) asset: Balance, beginning of year $ 1,790 789 Deferred tax benefit (expense) related to continuing operations 153 (71) Stockholders' equity, for accumulated other comprehensive (income) loss (1,952) 1,072 Balance, end of year $ (9) 1,790 |
Commitment and Contigent Liabil
Commitment and Contigent Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule Of Commitments To Extend Credit [Table Text Block] | December 31 (Dollars in thousands) 2019 2018 Commitments to extend credit $ 60,564 $ 61,889 Standby letters of credit 1,921 7,026 |
Fair Value (Tables)
Fair Value (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Quoted Prices in Significant Active Markets Other Significant for Observable Unobservable Identical Assets Inputs Inputs (Dollars in thousands) Amount (Level 1) (Level 2) (Level 3) December 31, 2019: Securities available-for-sale: Agency obligations $ 50,708 — 50,708 — Agency RMBS 123,277 — 123,277 — State and political subdivisions 61,917 — 61,917 — Total securities available-for-sale 235,902 — 235,902 — Total assets at fair value $ 235,902 — 235,902 — December 31, 2018: Securities available-for-sale: Agency obligations $ 51,171 — 51,171 — Agency RMBS 118,598 — 118,598 — State and political subdivisions 70,032 — 70,032 — Total securities available-for-sale 239,801 — 239,801 — Total assets at fair value $ 239,801 — 239,801 — |
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Table Text Block] | Quoted Prices in Active Markets Other Significant for Observable Unobservable Identical Assets Inputs Inputs (Dollars in thousands) Amount (Level 1) (Level 2) (Level 3) December 31, 2019: Loans held for sale $ 2,202 — 2,202 — Loans, net (1) 99 — — 99 Other assets (2) 1,299 — — 1,299 Total assets at fair value $ 3,600 — 2,202 1,398 December 31, 2018: Loans held for sale $ 383 — 383 — Loans, net (1) 157 — — 157 Other real estate owned 172 — — 172 Other assets (2) 1,441 — — 1,441 Total assets at fair value $ 2,153 — 383 1,770 (1) Loans considered impaired under ASC 310-10-35 Receivables. This amount reflects the recorded investment in impaired loans, net of any related allowance for loan losses. (2) Represents other real estate owned and MSRs, net, both of which are carried at lower of cost or estimated fair value. |
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques [Table Text Block] | Weighted Carrying Average (Dollars in thousands) Amount Valuation Technique Significant Unobservable Input of Input December 31, 2019: Nonrecurring: Impaired loans $ 99 Appraisal Appraisal discounts (%) 10.0 % Mortgage servicing rights, net 1,299 Discounted cash flow Prepayment speed or CPR (%) 11.6 % Discount rate (%) 10.0 % December 31, 2018: Nonrecurring: Impaired loans $ 157 Appraisal Appraisal discounts (%) 10.0 % Other real estate owned 172 Appraisal Appraisal discounts (%) 10.0 % Mortgage servicing rights, net 1,441 Discounted cash flow Prepayment speed or CPR (%) 8.3 % Discount rate (%) 10.0 % |
Financial Instruments [Table Text Block] | Fair Value Hierarchy Carrying Estimated Level 1 Level 2 Level 3 (Dollars in thousands) amount fair value inputs inputs Inputs December 31, 2019: Financial Assets: Loans, net (1) $ 456,515 $ 453,705 $ — $ — $ 453,705 Loans held for sale 2,202 2,251 — 2,251 — Financial Liabilities: Time Deposits $ 167,199 $ 168,316 $ — $ 168,316 $ — December 31, 2018: Financial Assets: Loans, net (1) $ 472,118 $ 465,456 $ — $ — $ 465,456 Loans held for sale 383 397 — 397 — Financial Liabilities: Time Deposits $ 181,237 $ 181,168 $ — $ 181,168 $ — (1) Represents loans, net of unearned income and the allowance for loan losses. The fair value of loans was measured using an exit price notion. |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Schedule of Related Party Transactions [Table Text Block] | (Dollars in thousands) Amount Loans outstanding at December 31, 2018 $ 8,207 New loans/advances 1,559 Repayments (6,617) Loans outstanding at December 31, 2019 $ 3,149 |
Regulatory Restrictions and C_2
Regulatory Restrictions and Capital Ratios (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Regulatory Capital Requirements [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations [Table Text Block] | Minimum for capital Minimum to be Actual adequacy purposes well capitalized (Dollars in thousands) Amount Ratio Amount Ratio Amount Ratio At December 31, 2019: Tier 1 Leverage Capital $ 92,778 11.23 % $ 33,043 4.00 % $ 41,303 5.00 % Common Equity Tier 1 Capital $ 92,778 17.28 % $ 24,162 4.50 % $ 34,901 6.50 % Tier 1 Risk-Based Capital $ 92,778 17.28 % $ 32,216 6.00 % $ 42,955 8.00 % Total Risk-Based Capital $ 97,291 18.12 % $ 42,955 8.00 % $ 53,693 10.00 % At December 31, 2018: Tier 1 Leverage Capital $ 91,719 11.33 % $ 32,368 4.00 % $ 40,461 5.00 % Common Equity Tier 1 Capital $ 91,719 16.49 % $ 25,031 4.50 % $ 36,156 6.50 % Tier 1 Risk-Based Capital $ 91,719 16.49 % $ 33,375 6.00 % $ 44,500 8.00 % Total Risk-Based Capital $ 96,661 17.38 % $ 44,500 8.00 % $ 55,625 10.00 % |
Auburn National Bancorporatio_2
Auburn National Bancorporation - Parent Company (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Schedule of Condensed Balance Sheet [Table Text Block] | CONDENSED BALANCE SHEETS December 31 (Dollars in thousands) 2019 2018 Assets: Cash and due from banks $ 4,119 1,941 Investment in bank subsidiary 94,837 87,956 Other assets 625 626 Total assets $ 99,581 90,523 Liabilities: Accrued expenses and other liabilities $ 1,253 1,468 Total liabilities 1,253 1,468 Stockholders' equity 98,328 89,055 Total liabilities and stockholders' equity $ 99,581 90,523 |
Schedule of Condensed Income Statement [Table Text Block] | CONDENSED STATEMENTS OF EARNINGS Year ended December 31 (Dollars in thousands) 2019 2018 Income: Dividends from bank subsidiary $ 8,574 6,533 Noninterest income 346 149 Total income 8,920 6,682 Expense: Interest expense — 51 Noninterest expense 212 237 Total expense 212 288 Earnings before income tax expense (benefit) and equity in undistributed earnings of bank subsidiary 8,708 6,394 Income tax expense (benefit) 26 (28) Earnings before equity in undistributed earnings of bank subsidiary 8,682 6,422 Equity in undistributed earnings of bank subsidiary 1,059 2,412 Net earnings $ 9,741 8,834 |
Schedule of Condensed Cash Flow Statement [Table Text Block] | CONDENSED STATEMENTS OF CASH FLOWS Year ended December 31 (Dollars in thousands) 2019 2018 Cash flows from operating activities: Net earnings $ 9,741 8,834 Adjustments to reconcile net earnings to net cash provided by operating activities: Net decrease in other assets 7 1,134 Net decrease in other liabilities (215) (70) Equity in undistributed earnings of bank subsidiary (1,059) (2,412) Net cash provided by operating activities 8,474 7,486 Cash flows from financing activities: Repayments or retirement of long-term debt — (3,217) Dividends paid (3,575) (3,498) Stock repurchases (2,721) — Net cash used in financing activities (6,296) (6,715) Net change in cash and cash equivalents 2,178 771 Cash and cash equivalents at beginning of period 1,941 1,170 Cash and cash equivalents at end of period $ 4,119 1,941 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies Textuals (Details) $ / shares in Units, $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($)$ / shares | |
Change in Accounting Estitmate | |
Carrying Value Of Assets Identified For Change In Useful Life Esitmate | $ 0.5 |
Change In Depreciation For Change In Estimated Useful Life | $ 0.2 |
Accounting Estimate Change Effect Of Change On Basic And Diluted Eanrings Per Share | $ / shares | $ 0.04 |
Basic and Diluted Earnings Pe_3
Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Basic and Diluted Earnings Per Share [Abstract] | ||
Net earnings | $ 9,741 | $ 8,834 |
Basic and diluted weighted average shares outstanding | 3,581,476 | 3,643,780 |
Basic and diluted earnings per share | $ 2.72 | $ 2.42 |
Security Types (Details)
Security Types (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Debt Maturities, within One Year, Fair Value | $ 4,993 | $ 14,437 |
Available-for-sale Securities, Debt Maturities, after One Through Five Years, Fair Value | 29,160 | 23,547 |
Available-for-sale Securities, Debt Maturities, after Five Through Ten Years, Fair Value | 29,146 | 32,963 |
Available-for-sale Securities, Debt Maturities, after Ten Years, Fair Value | 172,603 | 168,854 |
Available-for-sale Securities, Fair Value, Total | 235,902 | 239,801 |
Available For Sale Securities, Gross Unrealized Gains | 3,117 | 608 |
Available For Sale Securities, Gross Unrealized Losses | 368 | 5,630 |
Available-for-sale Securities, Amortized Cost Basis | 233,153 | 244,823 |
US Government and Government Agencies and Authorities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Debt Maturities, within One Year, Fair Value | 4,993 | 14,437 |
Available-for-sale Securities, Debt Maturities, after One Through Five Years, Fair Value | 27,245 | 19,865 |
Available-for-sale Securities, Debt Maturities, after Five Through Ten Years, Fair Value | 18,470 | 16,869 |
Available-for-sale Securities, Debt Maturities, after Ten Years, Fair Value | 0 | 0 |
Available-for-sale Securities, Fair Value, Total | 50,708 | 51,171 |
Available For Sale Securities, Gross Unrealized Gains | 215 | 25 |
Available For Sale Securities, Gross Unrealized Losses | 98 | 1,200 |
Available-for-sale Securities, Amortized Cost Basis | 50,591 | 52,346 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Debt Maturities, within One Year, Fair Value | 0 | 0 |
Available-for-sale Securities, Debt Maturities, after One Through Five Years, Fair Value | 560 | 0 |
Available-for-sale Securities, Debt Maturities, after Five Through Ten Years, Fair Value | 4,510 | 8,368 |
Available-for-sale Securities, Debt Maturities, after Ten Years, Fair Value | 118,207 | 110,230 |
Available-for-sale Securities, Fair Value, Total | 123,277 | 118,598 |
Available For Sale Securities, Gross Unrealized Gains | 798 | 65 |
Available For Sale Securities, Gross Unrealized Losses | 261 | 3,738 |
Available-for-sale Securities, Amortized Cost Basis | 122,740 | 122,271 |
US States and Political Subdivisions Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Debt Maturities, within One Year, Fair Value | 0 | 0 |
Available-for-sale Securities, Debt Maturities, after One Through Five Years, Fair Value | 1,355 | 3,682 |
Available-for-sale Securities, Debt Maturities, after Five Through Ten Years, Fair Value | 6,166 | 7,726 |
Available-for-sale Securities, Debt Maturities, after Ten Years, Fair Value | 54,396 | 58,624 |
Available-for-sale Securities, Fair Value, Total | 61,917 | 70,032 |
Available For Sale Securities, Gross Unrealized Gains | 2,104 | 518 |
Available For Sale Securities, Gross Unrealized Losses | 9 | 692 |
Available-for-sale Securities, Amortized Cost Basis | $ 59,822 | $ 70,206 |
Securities Continuous Unrealize
Securities Continuous Unrealized Loss (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | $ 67,601 | $ 31,889 |
Available-for-sale Securities Continuous Unrealized Loss Position Less Than 12 Months Accumulated Loss | 204 | 447 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 26,470 | 157,875 |
Available-for-sale Securities Continuous Unrealized Loss Position 12 Months Or Longer Accumulated Loss | 164 | 5,183 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 94,071 | 189,764 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Losses | 368 | 5,630 |
US Government and Government Agencies and Authorities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 24,734 | 4,724 |
Available-for-sale Securities Continuous Unrealized Loss Position Less Than 12 Months Accumulated Loss | 97 | 28 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 4,993 | 44,307 |
Available-for-sale Securities Continuous Unrealized Loss Position 12 Months Or Longer Accumulated Loss | 1 | 1,172 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 29,727 | 49,031 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Losses | 98 | 1,200 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 40,126 | 12,325 |
Available-for-sale Securities Continuous Unrealized Loss Position Less Than 12 Months Accumulated Loss | 98 | 238 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 21,477 | 99,184 |
Available-for-sale Securities Continuous Unrealized Loss Position 12 Months Or Longer Accumulated Loss | 163 | 3,500 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 61,603 | 111,509 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Losses | 261 | 3,738 |
US States and Political Subdivisions Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 2,741 | 14,840 |
Available-for-sale Securities Continuous Unrealized Loss Position Less Than 12 Months Accumulated Loss | 9 | 181 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | 14,384 |
Available-for-sale Securities Continuous Unrealized Loss Position 12 Months Or Longer Accumulated Loss | 0 | 511 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 2,741 | 29,224 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Losses | $ 9 | $ 692 |
Securities Gross Realized Gain
Securities Gross Realized Gain Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Available-for-sale Securities, Gross Realized Gain (Loss) [Abstract] | ||
Available-for-sale Securities, Gross Realized Gains | $ 120 | $ 0 |
Available-for-sale Securities, Gross Realized Losses | (243) | 0 |
Available-for-sale Securities, Gross Realized Gain (Loss), Net | $ (123) | $ 0 |
Securities Textuals (Details)
Securities Textuals (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Securities (Textuals) [Abstract] | ||
Available-for-sale Securities Pledged as Collateral | $ 147.8 | $ 133.1 |
Cost-method Investments, Aggregate Carrying Amount | $ 1.4 | $ 1.4 |
Loans (Details)
Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Loans And Leases Receivable Disclosure [Abstract] | ||
Commercial and Industrial Loans | $ 56,782 | $ 63,467 |
Construction And Land Development Loans | 32,841 | 40,222 |
Commericial Real Estate Loans [Abstract] | ||
Commercial Real Estate Owner Occupied Loans | 60,893 | 56,413 |
Commercial Real Estate Multifamily | 44,839 | 40,455 |
Commerical Real Estate Other Loans | 164,586 | 165,028 |
Total Commercial Real Estate Loans | 270,318 | 261,896 |
Residential Real Estate Loans [Abstract] | ||
Consumer Mortgage Loans | 48,923 | 56,223 |
Residential Real Estate Investment Property Loans | 43,652 | 46,374 |
Total Residential Real Estate Loans | 92,575 | 102,597 |
Consumer Installment And Revolving Loans | 8,866 | 9,295 |
Loans and Leases Receivable, Gross, Carrying Amount | 461,382 | 477,477 |
Loans and Leases Receivable Deferred Income | (481) | (569) |
Loans, net of unearned income | $ 460,901 | $ 476,908 |
Loans Past Due Analysis (Detail
Loans Past Due Analysis (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Current | $ 459,043 | $ 475,193 |
Financing Receivable, Recorded Investment, 30 To 89 Days Past Due | 2,152 | 2,106 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Financing Receivable, Recorded Investment, Total Still Accruing | 461,195 | 477,299 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 187 | 178 |
Loans and Leases Receivable, Gross, Carrying Amount | 461,382 | 477,477 |
Commercial and Industrial Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Current | 56,758 | 63,367 |
Financing Receivable, Recorded Investment, 30 To 89 Days Past Due | 24 | 100 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Financing Receivable, Recorded Investment, Total Still Accruing | 56,782 | 63,467 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | 56,782 | 63,467 |
Construction And Land Development Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Current | 32,385 | 39,997 |
Financing Receivable, Recorded Investment, 30 To 89 Days Past Due | 456 | 225 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Financing Receivable, Recorded Investment, Total Still Accruing | 32,841 | 40,222 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | 32,841 | 40,222 |
Commercial Real Estate Owner Occupied Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Current | 60,893 | 56,413 |
Financing Receivable, Recorded Investment, 30 To 89 Days Past Due | 0 | 0 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Financing Receivable, Recorded Investment, Total Still Accruing | 60,893 | 56,413 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | 60,893 | 56,413 |
Commercial Real Estate Multifamily [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Current | 44,839 | 40,455 |
Financing Receivable, Recorded Investment, 30 To 89 Days Past Due | 0 | 0 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Financing Receivable, Recorded Investment, Total Still Accruing | 44,839 | 40,455 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | 44,839 | 40,455 |
Commercial Real Estate Other Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Current | 164,586 | 165,028 |
Financing Receivable, Recorded Investment, 30 To 89 Days Past Due | 0 | 0 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Financing Receivable, Recorded Investment, Total Still Accruing | 164,586 | 165,028 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | 164,586 | 165,028 |
Commercial Real Estate Loans, Total [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Current | 270,318 | 261,896 |
Financing Receivable, Recorded Investment, 30 To 89 Days Past Due | 0 | 0 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Financing Receivable, Recorded Investment, Total Still Accruing | 270,318 | 261,896 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | 270,318 | 261,896 |
Residential Real Estate Consumer Mortgage Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Current | 47,151 | 54,446 |
Financing Receivable, Recorded Investment, 30 To 89 Days Past Due | 1,585 | 1,599 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Financing Receivable, Recorded Investment, Total Still Accruing | 48,736 | 56,045 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 187 | 178 |
Loans and Leases Receivable, Gross, Carrying Amount | 48,923 | 56,223 |
Residential Real Estate Investment Property Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Current | 43,629 | 46,233 |
Financing Receivable, Recorded Investment, 30 To 89 Days Past Due | 23 | 141 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Financing Receivable, Recorded Investment, Total Still Accruing | 43,652 | 46,374 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | 43,652 | 46,374 |
Residential Real Estate Loans, Total [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Current | 90,780 | 100,679 |
Financing Receivable, Recorded Investment, 30 To 89 Days Past Due | 1,608 | 1,740 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Financing Receivable, Recorded Investment, Total Still Accruing | 92,388 | 102,419 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 187 | 178 |
Loans and Leases Receivable, Gross, Carrying Amount | 92,575 | 102,597 |
Consumer Installment and Revolving Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Current | 8,802 | 9,254 |
Financing Receivable, Recorded Investment, 30 To 89 Days Past Due | 64 | 41 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Financing Receivable, Recorded Investment, Total Still Accruing | 8,866 | 9,295 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | $ 8,866 | $ 9,295 |
Allowance for Loan Loss (Detail
Allowance for Loan Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Financing Receivable, Allowance for Credit Losses | $ 4,790 | $ 4,757 |
Financing Receivable, Allowance for Credit Losses, Charge-offs | (408) | (168) |
Financing Receivable, Allowance for Credit Losses, Recoveries | 254 | 201 |
Financing Receivable Allowance For Credit Losses Net Chargeoffs Recoveries | (154) | 33 |
Provision for loan losses | (250) | 0 |
Financing Receivable, Allowance for Credit Losses | 4,386 | 4,790 |
Commercial and Industrial Loans [Member] | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Financing Receivable, Allowance for Credit Losses | 778 | 653 |
Financing Receivable, Allowance for Credit Losses, Charge-offs | (364) | (52) |
Financing Receivable, Allowance for Credit Losses, Recoveries | 117 | 70 |
Financing Receivable Allowance For Credit Losses Net Chargeoffs Recoveries | (247) | 18 |
Provision for loan losses | 46 | 107 |
Financing Receivable, Allowance for Credit Losses | 577 | 778 |
Construction And Land Development Loans [Member] | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Financing Receivable, Allowance for Credit Losses | 700 | 734 |
Financing Receivable, Allowance for Credit Losses, Charge-offs | 0 | 0 |
Financing Receivable, Allowance for Credit Losses, Recoveries | 0 | 0 |
Financing Receivable Allowance For Credit Losses Net Chargeoffs Recoveries | 0 | 0 |
Provision for loan losses | (131) | (34) |
Financing Receivable, Allowance for Credit Losses | 569 | 700 |
Commercial Real Estate Loans, Total [Member] | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Financing Receivable, Allowance for Credit Losses | 2,218 | 2,126 |
Financing Receivable, Allowance for Credit Losses, Charge-offs | 0 | (38) |
Financing Receivable, Allowance for Credit Losses, Recoveries | 1 | 19 |
Financing Receivable Allowance For Credit Losses Net Chargeoffs Recoveries | 1 | (19) |
Provision for loan losses | 70 | 111 |
Financing Receivable, Allowance for Credit Losses | 2,289 | 2,218 |
Residential Real Estate Loans, Total [Member] | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Financing Receivable, Allowance for Credit Losses | 946 | 1,071 |
Financing Receivable, Allowance for Credit Losses, Charge-offs | (6) | (26) |
Financing Receivable, Allowance for Credit Losses, Recoveries | 109 | 79 |
Financing Receivable Allowance For Credit Losses Net Chargeoffs Recoveries | 103 | 53 |
Provision for loan losses | (236) | (178) |
Financing Receivable, Allowance for Credit Losses | 813 | 946 |
Consumer Installment and Revolving Loans [Member] | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Financing Receivable, Allowance for Credit Losses | 148 | 173 |
Financing Receivable, Allowance for Credit Losses, Charge-offs | (38) | (52) |
Financing Receivable, Allowance for Credit Losses, Recoveries | 27 | 33 |
Financing Receivable Allowance For Credit Losses Net Chargeoffs Recoveries | (11) | (19) |
Provision for loan losses | 1 | (6) |
Financing Receivable, Allowance for Credit Losses | $ 138 | $ 148 |
Allowance For Loan Loss Additio
Allowance For Loan Loss Additional Information (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable Allowance For Credit Loss Additional Information [Line Items] | ||
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | $ 4,386 | $ 4,790 |
Financing Receivable, Collectively Evaluated for Impairment | 461,283 | 477,320 |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 0 | 0 |
Financing Receivable, Individually Evaluated for Impairment | 99 | 157 |
Allowance for loan losses | 4,386 | 4,790 |
Loans and Leases Receivable, Gross, Carrying Amount | 461,382 | 477,477 |
Commercial and Industrial Loans [Member] | ||
Financing Receivable Allowance For Credit Loss Additional Information [Line Items] | ||
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 577 | 778 |
Financing Receivable, Collectively Evaluated for Impairment | 56,683 | 63,467 |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 0 | 0 |
Financing Receivable, Individually Evaluated for Impairment | 99 | 0 |
Allowance for loan losses | 577 | 778 |
Loans and Leases Receivable, Gross, Carrying Amount | 56,782 | 63,467 |
Construction And Land Development Loans [Member] | ||
Financing Receivable Allowance For Credit Loss Additional Information [Line Items] | ||
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 569 | 700 |
Financing Receivable, Collectively Evaluated for Impairment | 32,841 | 40,222 |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 0 | 0 |
Financing Receivable, Individually Evaluated for Impairment | 0 | 0 |
Allowance for loan losses | 569 | 700 |
Loans and Leases Receivable, Gross, Carrying Amount | 32,841 | 40,222 |
Commercial Real Estate Loans, Total [Member] | ||
Financing Receivable Allowance For Credit Loss Additional Information [Line Items] | ||
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 2,289 | 2,218 |
Financing Receivable, Collectively Evaluated for Impairment | 270,318 | 261,739 |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 0 | 0 |
Financing Receivable, Individually Evaluated for Impairment | 0 | 157 |
Allowance for loan losses | 2,289 | 2,218 |
Loans and Leases Receivable, Gross, Carrying Amount | 270,318 | 261,896 |
Residential Real Estate Loans, Total [Member] | ||
Financing Receivable Allowance For Credit Loss Additional Information [Line Items] | ||
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 813 | 946 |
Financing Receivable, Collectively Evaluated for Impairment | 92,575 | 102,597 |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 0 | 0 |
Financing Receivable, Individually Evaluated for Impairment | 0 | 0 |
Allowance for loan losses | 813 | 946 |
Loans and Leases Receivable, Gross, Carrying Amount | 92,575 | 102,597 |
Consumer Installment and Revolving Loans [Member] | ||
Financing Receivable Allowance For Credit Loss Additional Information [Line Items] | ||
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 138 | 148 |
Financing Receivable, Collectively Evaluated for Impairment | 8,866 | 9,295 |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 0 | 0 |
Financing Receivable, Individually Evaluated for Impairment | 0 | 0 |
Allowance for loan losses | 138 | 148 |
Loans and Leases Receivable, Gross, Carrying Amount | $ 8,866 | $ 9,295 |
Loan Credit Quality Analysis (D
Loan Credit Quality Analysis (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable, Recorded Investment, Pass | $ 450,911 | $ 466,410 |
Financing Receivable, Recorded Investment, Special Mention | 5,913 | 4,361 |
Financing Receivable Recorded Investment, Substandard Accruing | 4,371 | 6,528 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 187 | 178 |
Loans and Leases Receivable, Gross, Carrying Amount | 461,382 | 477,477 |
Commercial and Industrial Loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable, Recorded Investment, Pass | 54,340 | 61,568 |
Financing Receivable, Recorded Investment, Special Mention | 2,176 | 1,377 |
Financing Receivable Recorded Investment, Substandard Accruing | 266 | 522 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | 56,782 | 63,467 |
Construction And Land Development Loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable, Recorded Investment, Pass | 31,798 | 39,481 |
Financing Receivable, Recorded Investment, Special Mention | 0 | 0 |
Financing Receivable Recorded Investment, Substandard Accruing | 1,043 | 741 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | 32,841 | 40,222 |
Commercial Real Estate Owner Occupied Loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable, Recorded Investment, Pass | 59,898 | 55,942 |
Financing Receivable, Recorded Investment, Special Mention | 917 | 154 |
Financing Receivable Recorded Investment, Substandard Accruing | 78 | 317 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | 60,893 | 56,413 |
Commercial Real Estate Multifamily [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable, Recorded Investment, Pass | 44,839 | 40,455 |
Financing Receivable, Recorded Investment, Special Mention | 0 | 0 |
Financing Receivable Recorded Investment, Substandard Accruing | 0 | 0 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | 44,839 | 40,455 |
Commercial Real Estate Other Loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable, Recorded Investment, Pass | 163,716 | 163,449 |
Financing Receivable, Recorded Investment, Special Mention | 849 | 1,208 |
Financing Receivable Recorded Investment, Substandard Accruing | 21 | 371 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | 164,586 | 165,028 |
Commercial Real Estate Loans, Total [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable, Recorded Investment, Pass | 268,453 | 259,846 |
Financing Receivable, Recorded Investment, Special Mention | 1,766 | 1,362 |
Financing Receivable Recorded Investment, Substandard Accruing | 99 | 688 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | 270,318 | 261,896 |
Residential Real Estate Consumer Mortgage Loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable, Recorded Investment, Pass | 45,247 | 50,903 |
Financing Receivable, Recorded Investment, Special Mention | 962 | 1,374 |
Financing Receivable Recorded Investment, Substandard Accruing | 2,527 | 3,768 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 187 | 178 |
Loans and Leases Receivable, Gross, Carrying Amount | 48,923 | 56,223 |
Residential Real Estate Investment Property Loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable, Recorded Investment, Pass | 42,331 | 45,463 |
Financing Receivable, Recorded Investment, Special Mention | 949 | 173 |
Financing Receivable Recorded Investment, Substandard Accruing | 372 | 738 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | 43,652 | 46,374 |
Residential Real Estate Loans, Total [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable, Recorded Investment, Pass | 87,578 | 96,366 |
Financing Receivable, Recorded Investment, Special Mention | 1,911 | 1,547 |
Financing Receivable Recorded Investment, Substandard Accruing | 2,899 | 4,506 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 187 | 178 |
Loans and Leases Receivable, Gross, Carrying Amount | 92,575 | 102,597 |
Consumer Installment and Revolving Loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable, Recorded Investment, Pass | 8,742 | 9,149 |
Financing Receivable, Recorded Investment, Special Mention | 60 | 75 |
Financing Receivable Recorded Investment, Substandard Accruing | 64 | 71 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Loans and Leases Receivable, Gross, Carrying Amount | $ 8,866 | $ 9,295 |
Impaired Loans (Details)
Impaired Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, Unpaid Principal Balance | $ 335 | $ 157 |
Impaired Financing Receivable, Charge-off And Payments Applied | (236) | 0 |
Impaired Financing Receivable, Recorded Investment | 99 | 157 |
Commercial and Industrial Loans [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | 335 | |
Impaired Financing Receivable, with No Related Allowance, Charge-off And Payments Applied | (236) | |
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | $ 99 | |
Commercial Real Estate Owner Occupied Loans [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | 157 | |
Impaired Financing Receivable, with No Related Allowance, Charge-off And Payments Applied | 0 | |
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 157 | |
Commercial Real Estate Loans, Total [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | 157 | |
Impaired Financing Receivable, with No Related Allowance, Charge-off And Payments Applied | 0 | |
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | $ 157 |
Impaired Loans Averages (Detail
Impaired Loans Averages (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Impaired Financing Receivable, Average Recorded Investment [Line Items] | ||
Impaired Financing Receivable, Average Recorded Investment | $ 32 | $ 1,320 |
Impaired Financing Receivable, Interest Income, Accrual Method | 9 | 9 |
Commercial and Industrial Loans [Member] | ||
Impaired Financing Receivable, Average Recorded Investment [Line Items] | ||
Impaired Financing Receivable, Average Recorded Investment | 8 | 9 |
Impaired Financing Receivable, Interest Income, Accrual Method | 0 | 0 |
Commercial Real Estate Owner Occupied Loans [Member] | ||
Impaired Financing Receivable, Average Recorded Investment [Line Items] | ||
Impaired Financing Receivable, Average Recorded Investment | 24 | 166 |
Impaired Financing Receivable, Interest Income, Accrual Method | 9 | 9 |
Commercial Real Estate Other Loans [Member] | ||
Impaired Financing Receivable, Average Recorded Investment [Line Items] | ||
Impaired Financing Receivable, Average Recorded Investment | 1,145 | |
Impaired Financing Receivable, Interest Income, Accrual Method | 0 | |
Commercial Real Estate Loans, Total [Member] | ||
Impaired Financing Receivable, Average Recorded Investment [Line Items] | ||
Impaired Financing Receivable, Average Recorded Investment | 24 | 1,311 |
Impaired Financing Receivable, Interest Income, Accrual Method | $ 9 | $ 9 |
Troubled Debt Restructuring (De
Troubled Debt Restructuring (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Impaired Financing Receivable And Troubled Debt Restructing [Line Items] | |
Impaired Financing Receivable, Troubled Debt Restructuring, Still Accruing | $ 157 |
Impaired Financing Receivable, Troubled Debt Restructuring, Nonaccrual | 0 |
Impaired Financing Receivable, Trouble Debt Structuring, Total | 157 |
Impaired Financing Receivable, Troubled Debt Restructuring, Allowance for Credit Losses | 0 |
Commercial Real Estate Owner Occupied Loans [Member] | |
Impaired Financing Receivable And Troubled Debt Restructing [Line Items] | |
Impaired Financing Receivable, Troubled Debt Restructuring, Still Accruing | 157 |
Impaired Financing Receivable, Troubled Debt Restructuring, Nonaccrual | 0 |
Impaired Financing Receivable, Trouble Debt Structuring, Total | 157 |
Impaired Financing Receivable, Troubled Debt Restructuring, Allowance for Credit Losses | 0 |
Commercial Real Estate Loans, Total [Member] | |
Impaired Financing Receivable And Troubled Debt Restructing [Line Items] | |
Impaired Financing Receivable, Troubled Debt Restructuring, Still Accruing | 157 |
Impaired Financing Receivable, Troubled Debt Restructuring, Nonaccrual | 0 |
Impaired Financing Receivable, Trouble Debt Structuring, Total | 157 |
Impaired Financing Receivable, Troubled Debt Restructuring, Allowance for Credit Losses | $ 0 |
Troubled Debt Restructing Modif
Troubled Debt Restructing Modifications (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Financing Receivable, Modifications [Line Items] | |
Financing Receivable, Modification, Number of Contracts | 2 |
Financing Receivable, Modification, Pre-Modification Recorded Investment | $ 1,447 |
Financing Receivable, Modifications, Post-Modifications Recorded Investment | $ 1,447 |
Commercial Real Estate Other Loans [Member] | |
Financing Receivable, Modifications [Line Items] | |
Financing Receivable, Modification, Number of Contracts | 2 |
Financing Receivable, Modification, Pre-Modification Recorded Investment | $ 1,447 |
Financing Receivable, Modifications, Post-Modifications Recorded Investment | $ 1,447 |
Commercial Real Estate Loans, Total [Member] | |
Financing Receivable, Modifications [Line Items] | |
Financing Receivable, Modification, Number of Contracts | 2 |
Financing Receivable, Modification, Pre-Modification Recorded Investment | $ 1,447 |
Financing Receivable, Modifications, Post-Modifications Recorded Investment | $ 1,447 |
Troubled Debt Restructing Defau
Troubled Debt Restructing Defaults (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Financing Receivable, Modifications, Subsequent Default [Line Items] | |
Financing Receivable, Modifications, Subsequent Default, Number of Contracts | 1 |
Financing Receivable, Modifications, Subsequent Default, Recorded Investment | $ 1,259 |
Commercial Real Estate Other Loans [Member] | |
Financing Receivable, Modifications, Subsequent Default [Line Items] | |
Financing Receivable, Modifications, Subsequent Default, Number of Contracts | 1 |
Financing Receivable, Modifications, Subsequent Default, Recorded Investment | $ 1,259 |
Commercial Real Estate Loans, Total [Member] | |
Financing Receivable, Modifications, Subsequent Default [Line Items] | |
Financing Receivable, Modifications, Subsequent Default, Number of Contracts | 1 |
Financing Receivable, Modifications, Subsequent Default, Recorded Investment | $ 1,259 |
Loans Textuals (Details)
Loans Textuals (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Loan and Lease Disclosure (Textuals) [Abstract] | ||
Percentage Of Loans Secured By Real Estate | 85.80% | |
LoansAndLeasesReceivableImpairedInterestLostOnNonaccrualLoans | $ 9 | $ 12 |
Gain From Loan Guarantee Program | $ 1,717 | $ 0 |
Number Of Loan Outstanding For Loan Guarantee | 5 | |
Amount Of Loan Outstanding For Loan Guarantee | $ 10,200 |
Premises and Equipment (Details
Premises and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Property, Plant and Equipment, Net, by Type [Abstract] | ||
Land | $ 9,874 | $ 8,444 |
Buildings and Improvements | 10,094 | 9,871 |
Furniture, Fixtures, And Equipment | 3,109 | 2,953 |
Total Premises and Equipment | 23,077 | 21,268 |
Less: Accumulated Depreciation and Equipment | (8,334) | (7,672) |
Premises and equipment, net | $ 14,743 | $ 13,596 |
Property, Plant Equipment Textu
Property, Plant Equipment Textuals (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Property, Plant and Equipment, Net, by Type [Abstract] | ||
Depreciation Expense | $ 662 | $ 435 |
Mortgage Servicing Rights, Ne_2
Mortgage Servicing Rights, Net (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Servicing Asset at Amortized Value, Balance [Roll Forward] | ||
Servicing Asset at Amortized Cost, Beginning | $ 1,441 | $ 1,644 |
Servicing Asset at Amortized Value, Additions | 241 | 208 |
Servicing Asset at Amortized Value, Amortization | (383) | (411) |
Servicing Asset at Amortized Value, Valuation Allowance | 0 | 0 |
Servicing Asset at Amortized Cost, Ending | 1,299 | 1,441 |
Valuation Allowance for Impairment of Recognized Servicing Assets, Balance [Abstract] | ||
Valuation Allowance for Impairment of Recognized Servicing Assets, Beginning Balance | 0 | 0 |
Valuation Allowance for Impairment of Recognized Servicing Assets, Ending Balance | 0 | 0 |
Servicing Asset at Amortized Value, Fair Value [Abstract] | ||
Servicing Asset at Amortized Value, Fair Value, Beginning | 2,697 | 2,528 |
Servicing Asset at Amortized Value, Fair Value, Ending | $ 2,111 | $ 2,697 |
Mortgage Servicing Rights, ne_3
Mortgage Servicing Rights, net Data and Assumptions for Fair Value Calculation (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value [Abstract] | ||
Servicing Assets And Servicing Liabilities At Fair Value, Assumptions Used To Estimate Fair Value, Unpaid Principal Balance | $ 274,227 | $ 289,981 |
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Prepayment Speed | 11.56% | 8.30% |
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Discount Rate | 10.00% | 10.00% |
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Weighted Average Coupon Interest Rate | 3.90% | 3.90% |
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Weighted Average Life | 21 years 3 months | 20 years 10 months |
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Weighted Average Servicing Fee | 0.25% | 0.25% |
Mortgage Servicing Rights, ne_4
Mortgage Servicing Rights, net Estimated Amortization Expense For Future Periods (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months | $ 220 |
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 182 |
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 151 |
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 126 |
Finite-Lived Intangible Assets, Amortization Expense, Year Five | $ 105 |
Mortgage Servicing Rights Textu
Mortgage Servicing Rights Textuals (Details) | Dec. 31, 2019 |
Mortgage Servicing [Abstract] | |
Weighted Average Amortization In Years | 5.5 |
Deposits Time Deposit Maturitie
Deposits Time Deposit Maturities (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Time Deposits, Fiscal Year Maturity [Abstract] | |
Time Deposit Maturities, Next Twelve Months | $ 92,740 |
Time Deposit Maturities, Year Two | 25,432 |
Time Deposit Maturities, Year Three | 36,643 |
Time Deposit Maturities, Year Four | 5,812 |
Time Deposit Maturities, Year Five | 6,572 |
Time Deposit Maturities, after Year Five | 0 |
Time Deposits, Total | $ 167,199 |
Deposits Textuals (Details)
Deposits Textuals (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Time Deposits [Abstract] | ||
Time Deposits, $250,000 or More | $ 57.4 | $ 59.4 |
Short-term Borrowings (Details)
Short-term Borrowings (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Federal Funds Purchased [Member] | ||
Short-term Debt [Line Items] | ||
Short-term Debt | $ 0 | $ 0 |
Short-term Debt, Weighted Average Interest Rate | 0.00% | 0.00% |
Short-term Debt, Average Outstanding Amount | $ 1 | $ 2 |
Short-term Debt, Weighted Average Interest Rate During Year | 2.58% | 2.50% |
Short-term Debt, Maximum Month-end Outstanding Amount | $ 0 | $ 0 |
Securities Sold under Agreements to Repurchase [Member] | ||
Short-term Debt [Line Items] | ||
Short-term Debt | $ 1,069 | $ 2,300 |
Short-term Debt, Weighted Average Interest Rate | 0.50% | 0.50% |
Short-term Debt, Average Outstanding Amount | $ 1,442 | $ 2,632 |
Short-term Debt, Weighted Average Interest Rate During Year | 0.50% | 0.50% |
Short-term Debt, Maximum Month-end Outstanding Amount | $ 2,261 | $ 3,241 |
Short-term Borrowings Textuals
Short-term Borrowings Textuals (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Short-term Debt: | ||
Federal Funds, Borrowing Capacity | $ 41 | |
Available For Sale Securities Pledged As Collateral For Securities Sold Under Agreements to Repurchase | $ 2.6 | $ 5.6 |
Lease Commitment (Details)
Lease Commitment (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Jan. 01, 2019 |
Operating Lease Liabilities Payments Due [Abstract] | ||
2020 | $ 106 | |
2021 | 93 | |
2022 | 93 | |
2023 | 93 | |
2024 | 93 | |
Thereafter | 416 | |
Total Undiscounted operating lease liablitiies | 894 | |
LesseeOperatingLeaseLiabilityUndiscountedExcess | 106 | |
Operating lease liabilities | $ 788 | $ 889 |
OperatingLeaseWeightedAverageRemainingLeaseTerm | 8 years 10 months 24 days | |
OperatingLeaseWeightedAverageDiscountRatePerce | 3.40% |
Lease Commiment Textuals (Detai
Lease Commiment Textuals (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2019 | |
Leases [Abstract] | |||
Rent Expense | $ 200 | $ 200 | |
Operating lease right-of-use assets | 785 | ||
Operating lease liabilities | 788 | $ 889 | |
Rent Expense Excluded From Right Of Use Asset | 100 | ||
Rent Expense Included In Lease Liablilty | $ 129 |
Other Comprehensive Income (Det
Other Comprehensive Income (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Pre-Tax Amount [Member] | ||
Schedule Of Other Comprehesive Income [Line Items] | ||
Unrealized Net Holding Gain (Loss) On All Other Securitiies | $ 7,651 | $ (4,269) |
Reclassification adjustment for loss (gain) on securities recognized in earnings | 123 | 0 |
Other Comprehensive Income (Loss) | 7,774 | (4,269) |
Tax Benefit (Expense) [Member] | ||
Schedule Of Other Comprehesive Income [Line Items] | ||
Unrealized Net Holding Gain (Loss) On All Other Securitiies | (1,921) | 1,072 |
Reclassification adjustment for loss (gain) on securities recognized in earnings | (31) | 0 |
Other Comprehensive Income (Loss) | (1,952) | 1,072 |
Net Of Tax Amount [Member] | ||
Schedule Of Other Comprehesive Income [Line Items] | ||
Unrealized Net Holding Gain (Loss) On All Other Securitiies | 5,730 | (3,197) |
Reclassification adjustment for loss (gain) on securities recognized in earnings | 92 | 0 |
Other Comprehensive Income (Loss) | $ 5,822 | $ (3,197) |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Current Income Tax Expense (Benefit), Continuing Operations [Abstract] | ||
Current Federal Tax Expense (Benefit) | $ 1,939 | $ 1,685 |
Current State and Local Tax Expense (Benefit) | 584 | 431 |
Current Income Tax Expense (Benefit), Total | 2,523 | 2,116 |
Deferred Income Tax Expense (Benefit), Continuing Operations [Abstract] | ||
Deferred Federal Income Tax Expense (Benefit) | (136) | 56 |
Deferred State and Local Income Tax Expense (Benefit) | (17) | 15 |
Deferred Income Tax Expense (Benefit), Total | (153) | 71 |
Income Tax Expense (Benefit), Continuing Operations, Total | $ 2,370 | $ 2,187 |
Income Tax Expense Reconciliati
Income Tax Expense Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation [Abstract] | ||
Earnings before income taxes | $ 12,111 | $ 11,021 |
Income Tax Reconciliation, Income Tax Expense (Benefit), at Federal Statutory Income Tax Rate | $ 2,543 | $ 2,315 |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate | 21.00% | 21.00% |
Income Tax Reconciliation, Tax Exempt Income | $ (508) | $ (515) |
Effective Income Tax Rate Reconciliation, Tax Exempt Income | (4.10%) | (4.70%) |
Income Tax Reconciliation, State and Local Income Taxes | $ 440 | $ 361 |
Effective Income Tax Rate Reconciliation, State and Local Income Taxes | 3.60% | 3.30% |
Income Tax Reconciliation, Bank Owned Life Insurance | $ (92) | $ (92) |
Effective Income Tax Rate Reconciliation, Bank Owned Life Insurance | (0.80%) | (0.80%) |
Income Tax Reconciliation, Federal Tax Reform Impact | $ 0 | |
Effective Income Tax Rate Reconciliation, Federal Tax Reform Impact | 0.00% | |
Income Tax Reconciliation, Other Adjustments | $ (13) | $ 118 |
Effective Income Tax Rate Reconciliation, Other Adjustments | (0.10%) | 1.00% |
Income Tax Expense (Benefit), Continuing Operations, Total | $ 2,370 | $ 2,187 |
Effective Income Tax Rate, Continuing Operations | 19.60% | 19.80% |
Income Tax, Components of Defer
Income Tax, Components of Deferred Tax Asset and Liability (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred Tax Assets, Gross [Abstract] | |||
Deferred Tax Asset, Allowance For Loan Loss | $ 1,102 | $ 1,203 | |
Deferred Tax Assets, Unrealized Losses on Available-for-Sale Securities, Gross | 0 | 1,262 | |
Deferred Tax Asset, Bonus | 296 | 8 | |
Deferred Tax Asset Right Of Use Liability | 198 | 0 | |
Deferred Tax Assets, Other | 88 | 127 | |
Deferred Tax Assets, Gross | 1,684 | 2,600 | |
Deferred Tax Liabilities [Abstract] | |||
Deferred Tax Liabilities, Property, Plant and Equipment | 315 | 280 | |
Deferred Tax Liabilities, Unrealized Gains on Available-for-Sale Securities, Gross | 690 | 0 | |
Deferred Tax Liabilities, Originated Mortgage Servicing Rights | 326 | 362 | |
Deferred Tax Liabilities, Right Of Use Asset | 197 | 0 | |
Deferred Tax Liabilities, Other | 165 | 168 | |
Deferred Income Tax Liabilities, Gross, Total | 1,693 | 810 | |
Deferred Tax Assets (Liabilities), Net | $ (9) | $ 1,790 | $ 789 |
Change in Net Deferred Tax Asse
Change in Net Deferred Tax Asset (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Change In Net Deferred Tax Asset (Liability) [Rollforward] | ||
Deferred Tax Assets (Liabilities), Net | $ 1,790 | $ 789 |
Deferred Tax (Expense) Benefit Related To Continuing Operations | 153 | (71) |
Deferred Taxes, Stockholders' Equity For Change In Accumulated Other Comprehensive (Income) Loss | (1,952) | 1,072 |
Deferred Tax Assets (Liabilities), Net | $ (9) | $ 1,790 |
Employee Benefits Textuals (Det
Employee Benefits Textuals (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Defined Contribution Pension and Other Postretirement Plans Disclosure [Abstract] | ||
401k Employer Matching Contribution | $ 264 | $ 131 |
Commitment and Contingencies (D
Commitment and Contingencies (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Commitments to Extend Credit [Member] | ||
Loss Contingencies [Line Items] | ||
Amount of Commitment | $ 60,564 | $ 61,889 |
Financial Standby Letter of Credit [Member] | ||
Loss Contingencies [Line Items] | ||
Amount of Commitment | $ 1,921 | $ 7,026 |
Commitments and Contingencies T
Commitments and Contingencies Textuals (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Liabilty Recorded For Stanby Letter of Credit [Abstract] | ||
Liability Recorded For Standy Letters Of Credit | $ 39 | $ 73 |
Fair Value (Details)
Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value, Measurements, Recurring [Member] | ||
Fair Value Disclosure, Securities Available-for-Sale [Abstract] | ||
Fair Value Disclosure, Agency Obligations | $ 50,708 | $ 51,171 |
Fair Value Disclosure, Agency RMBS | 123,277 | 118,598 |
Fair Value Disclosure, State and Political Subdivisions | 61,917 | 70,032 |
Fair Value Disclosure, Securities Available-for-Sale, Total | 235,902 | 239,801 |
Other Assets, Fair Value Disclosure | 0 | 0 |
Assets, Fair Value Disclosure, Recurring | 235,902 | 239,801 |
Liabilities Fair Value Disclosure [Abstract] | ||
Other Liabilities, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value Disclosure, Securities Available-for-Sale [Abstract] | ||
Fair Value Disclosure, Agency Obligations | 0 | 0 |
Fair Value Disclosure, Agency RMBS | 0 | 0 |
Fair Value Disclosure, State and Political Subdivisions | 0 | 0 |
Fair Value Disclosure, Securities Available-for-Sale, Total | 0 | 0 |
Other Assets, Fair Value Disclosure | 0 | 0 |
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Liabilities Fair Value Disclosure [Abstract] | ||
Other Liabilities, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value Disclosure, Securities Available-for-Sale [Abstract] | ||
Fair Value Disclosure, Agency Obligations | 50,708 | 51,171 |
Fair Value Disclosure, Agency RMBS | 123,277 | 118,598 |
Fair Value Disclosure, State and Political Subdivisions | 61,917 | 70,032 |
Fair Value Disclosure, Securities Available-for-Sale, Total | 235,902 | 239,801 |
Other Assets, Fair Value Disclosure | 0 | 0 |
Assets, Fair Value Disclosure, Recurring | 235,902 | 239,801 |
Liabilities Fair Value Disclosure [Abstract] | ||
Other Liabilities, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value Disclosure, Securities Available-for-Sale [Abstract] | ||
Fair Value Disclosure, Agency Obligations | 0 | 0 |
Fair Value Disclosure, Agency RMBS | 0 | 0 |
Fair Value Disclosure, State and Political Subdivisions | 0 | 0 |
Fair Value Disclosure, Securities Available-for-Sale, Total | 0 | 0 |
Other Assets, Fair Value Disclosure | 0 | 0 |
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Liabilities Fair Value Disclosure [Abstract] | ||
Other Liabilities, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Nonrecurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Abstract] | ||
Loans Held-for-sale, Fair Value Disclosure | 2,202 | 383 |
Impaired Loans, Fair Value Disclosure | 99 | 157 |
Other Real Esate Owned, Fair Value Disclosure | 0 | 172 |
Servicing Asset at Fair Value, Amount | 1,299 | 1,441 |
Assets, Fair Value Disclosure, NonRecurring | 3,600 | 2,153 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Abstract] | ||
Loans Held-for-sale, Fair Value Disclosure | 0 | 0 |
Impaired Loans, Fair Value Disclosure | 0 | 0 |
Other Real Esate Owned, Fair Value Disclosure | 0 | 0 |
Servicing Asset at Fair Value, Amount | 0 | 0 |
Assets, Fair Value Disclosure, NonRecurring | 0 | 0 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Abstract] | ||
Loans Held-for-sale, Fair Value Disclosure | 2,202 | 383 |
Impaired Loans, Fair Value Disclosure | 0 | 0 |
Other Real Esate Owned, Fair Value Disclosure | 0 | 0 |
Servicing Asset at Fair Value, Amount | 0 | 0 |
Assets, Fair Value Disclosure, NonRecurring | 2,202 | 383 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Abstract] | ||
Loans Held-for-sale, Fair Value Disclosure | 0 | 0 |
Impaired Loans, Fair Value Disclosure | 99 | 157 |
Other Real Esate Owned, Fair Value Disclosure | 0 | 172 |
Servicing Asset at Fair Value, Amount | 1,299 | 1,441 |
Assets, Fair Value Disclosure, NonRecurring | $ 1,398 | $ 1,770 |
Fair Value Unobservable Inputs
Fair Value Unobservable Inputs (Details) - Fair Value, Measurements, Nonrecurring [Member] - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Impaired Loans [Member] | ||
Schedule Of Fair Value Significant Unobservable Inputs Used [Line Items] | ||
Assets, Fair Value Disclosure | $ 99 | $ 157 |
Impaired Loans [Member] | Appraisal, Appraisal Discount [Member] | ||
Schedule Of Fair Value Significant Unobservable Inputs Used [Line Items] | ||
Unobservable Input, Weighted Average of Input Percent | 10.00% | 10.00% |
Other Real Estate Owned [Member] | ||
Schedule Of Fair Value Significant Unobservable Inputs Used [Line Items] | ||
Assets, Fair Value Disclosure | $ 172 | |
Other Real Estate Owned [Member] | Appraisal, Appraisal Discount [Member] | ||
Schedule Of Fair Value Significant Unobservable Inputs Used [Line Items] | ||
Unobservable Input, Weighted Average of Input Percent | 10.00% | |
Mortgage Servicing Rights [Member] | ||
Schedule Of Fair Value Significant Unobservable Inputs Used [Line Items] | ||
Assets, Fair Value Disclosure | $ 1,299 | $ 1,441 |
Mortgage Servicing Rights [Member] | Discounted Cash Flow, Prepayment Speed [Member] | ||
Schedule Of Fair Value Significant Unobservable Inputs Used [Line Items] | ||
Unobservable Inputs, Weighted Average Of Input Credit Spreads | 0.083 | |
Unobservable Input, Weighted Average of Input Percent | 11.60% | |
Mortgage Servicing Rights [Member] | Discounted Cash Flow, Discount Rate [Member] | ||
Schedule Of Fair Value Significant Unobservable Inputs Used [Line Items] | ||
Unobservable Input, Weighted Average of Input Percent | 10.00% | 10.00% |
Fair Value Financial Instrument
Fair Value Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Carrying (Reported) Amount, Fair Value Disclosure [Member] | ||
Fair Value, Financial Assets: [Abstract] | ||
Fair Value, Financial Instruments, Loans, Net | $ 456,515 | $ 472,118 |
Fair Value, Financial Instruments, Loans Held For Sale | 2,202 | 383 |
Fair Value, Financial Liabilities: [Abstract] | ||
Fair Value, Financial Instruments, Time Deposits | 167,199 | 181,237 |
Fair Value, Financial Instruments, Long-term Debt | 0 | 0 |
Estimate of Fair Value, Fair Value Disclosure [Member] | ||
Fair Value, Financial Assets: [Abstract] | ||
Fair Value, Financial Instruments, Loans, Net | 453,705 | 465,456 |
Fair Value, Financial Instruments, Loans Held For Sale | 2,251 | 397 |
Fair Value, Financial Liabilities: [Abstract] | ||
Fair Value, Financial Instruments, Time Deposits | 168,316 | 181,168 |
Fair Value, Financial Instruments, Long-term Debt | 0 | 0 |
Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Financial Assets: [Abstract] | ||
Fair Value, Financial Instruments, Loans, Net | 0 | 0 |
Fair Value, Financial Instruments, Loans Held For Sale | 0 | 0 |
Fair Value, Financial Liabilities: [Abstract] | ||
Fair Value, Financial Instruments, Time Deposits | 0 | 0 |
Fair Value, Financial Instruments, Long-term Debt | 0 | 0 |
Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Financial Assets: [Abstract] | ||
Fair Value, Financial Instruments, Loans, Net | 0 | 0 |
Fair Value, Financial Instruments, Loans Held For Sale | 2,251 | 397 |
Fair Value, Financial Liabilities: [Abstract] | ||
Fair Value, Financial Instruments, Time Deposits | 168,316 | 181,168 |
Fair Value, Financial Instruments, Long-term Debt | 0 | 0 |
Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Financial Assets: [Abstract] | ||
Fair Value, Financial Instruments, Loans, Net | 453,705 | 465,456 |
Fair Value, Financial Instruments, Loans Held For Sale | 0 | 0 |
Fair Value, Financial Liabilities: [Abstract] | ||
Fair Value, Financial Instruments, Time Deposits | 0 | 0 |
Fair Value, Financial Instruments, Long-term Debt | $ 0 | $ 0 |
Related Party Transactions (Det
Related Party Transactions (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Loans and Leases Receivable, Related Parties [Roll Forward] | |
Loans and Leases Receivable, Related Parties | $ 8,207 |
Loans and Leases Receivable, Related Parties, Additions | 1,559 |
Loans and Leases Receivable, Related Parties, Payments | (6,617) |
Loans and Leases Receivable, Related Parties | $ 3,149 |
Related Party Transactions Text
Related Party Transactions Textuals (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Related Party Transactions [Abstract] | ||
Related Party Deposit Liabilities | $ 19,100 | $ 19,800 |
Regulatory Capital (Details)
Regulatory Capital (Details) - AuburnBank [Member] - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Tier One Leverage Capital [Abstract] | ||
Tier One Leverage Capital | $ 92,778 | $ 91,719 |
Tier One Leverage Capital to Average Assets | 11.23% | 11.33% |
Tier One Leverage Capital Required for Capital Adequacy | $ 33,043 | $ 32,368 |
Tier One Leverage Capital Required for Capital Adequacy to Average Assets | 4.00% | 4.00% |
Tier One Leverage Capital Required to be Well Capitalized | $ 41,303 | $ 40,461 |
Tier One Leverage Capital Required to be Well Capitalized to Average Assets | 5.00% | 5.00% |
Common Equity Tier One Capital [Abstract] | ||
Common Equity Tier One Capital Amount | $ 92,778 | $ 91,719 |
Common Equity Tier One Captial To Risk Weighted Assets | 17.28% | 16.49% |
Common Equity Tier One Captial Required For Capital Adequacy | $ 24,162 | $ 25,031 |
Common Equity Tier One Captial Required for Capital Adequacy To Risk Weighted Assets | 4.50% | 4.50% |
Common Equity Tier One Captial Required For Well Capitalized | $ 34,901 | $ 36,156 |
Common Equity Tier One Captial Required For Well Capitalized To Risk Weighted Assets | 6.50% | 6.50% |
Tier One Risk Based Capital [Abstract] | ||
Tier One Risk Based Capital | $ 92,778 | $ 91,719 |
Tier One Risk Based Capital to Risk Weighted Assets | 17.28% | 16.49% |
Tier One Risk Based Capital Required for Capital Adequacy | $ 32,216 | $ 33,375 |
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 6.00% | 6.00% |
Tier One Risk Based Capital Required to be Well Capitalized | $ 42,955 | $ 44,500 |
Tier One Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | 8.00% | 8.00% |
Total Risk-Based Capital [Abstract] | ||
Total Risk Based Capital | $ 97,291 | $ 96,661 |
Total Risk Based Capital to Risk Weighted Assets | 18.12% | 17.38% |
Total Risk Based Capital Required for Capital Adequacy | $ 42,955 | $ 44,500 |
Total Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 8.00% | 8.00% |
Total Risk Based Capital Required to be Well Capitalized | $ 53,693 | $ 55,625 |
Total Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | 10.00% | 10.00% |
Regulatory Capital Textuals (De
Regulatory Capital Textuals (Details) $ in Millions | Dec. 31, 2019USD ($) |
Regulatory Capital Requirements [Abstract] | |
Regulatory Capital, Dividends Without Approval Of Regulators | $ 8 |
Regulatory Capital, Restricted Investment From Dividends | $ 86.8 |
Auburn National Bancorporatio_3
Auburn National Bancorporation - Parent Only, Balance Sheet (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Assets: | |||
Cash And Due From Banks | $ 15,172 | $ 13,043 | |
Premises and equipment, net | 14,743 | 13,596 | |
Other assets | 6,872 | 8,338 | |
Total assets | 827,879 | 818,077 | |
Liabilities: | |||
Accrued expenses and other liabilities | 4,330 | 2,529 | |
Total liabilities | 729,551 | 729,022 | |
Stockholders' equity: | |||
Total stockholders' equity | 98,328 | 89,055 | $ 86,906 |
Total liabilities and stockholders' equity | 827,879 | 818,077 | |
Parent Company [Member] | |||
Assets: | |||
Cash And Due From Banks | 4,119 | 1,941 | |
Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures | 94,837 | 87,956 | |
Other assets | 625 | 626 | |
Total assets | 99,581 | 90,523 | |
Liabilities: | |||
Accrued expenses and other liabilities | 1,253 | 1,468 | |
Total liabilities | 1,253 | 1,468 | |
Stockholders' equity: | |||
Total stockholders' equity | 98,328 | 89,055 | |
Total liabilities and stockholders' equity | $ 99,581 | $ 90,523 |
Auburn National Bancorporatio_4
Auburn National Bancorporation - Parent Only, Statement of Earnings (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Income: | ||
Other noninterest income | $ 1,880 | $ 1,486 |
Other Expenses [Abstract] | ||
Total interest expense | 4,183 | 3,676 |
Total noninterest expense | 19,697 | 17,874 |
Income Tax Expense (Benefit) | 2,370 | 2,187 |
Net earnings | 9,741 | 8,834 |
Parent Company [Member] | ||
Income: | ||
Dividends from bank subsidiary | 8,574 | 6,533 |
Other noninterest income | 346 | 149 |
Total income | 8,920 | 6,682 |
Other Expenses [Abstract] | ||
Total interest expense | 0 | 51 |
Total noninterest expense | 212 | 237 |
Operating Expenses | 212 | 288 |
Earnings Before Income Tax Expense (Benefit) And Equity In Undistributed Earnings Of Bank Subsidary | 8,708 | 6,394 |
Income Tax Expense (Benefit) | 26 | (28) |
Earnings Before Equity In Undistributed Earnings Of Bank Subsidary | 8,682 | 6,422 |
Equity In Undistributed Earnings Of Bank Subsidary | 1,059 | 2,412 |
Net earnings | $ 9,741 | $ 8,834 |
Auburn National Bancorporatio_5
Auburn National Bancorporation - Parent Only, Statement of Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities: | ||
Net earnings | $ 9,741 | $ 8,834 |
Adjustments to reconcile net earnings to net cash provided by operating activties: | ||
Depreciation and amortization | 1,157 | 938 |
Net increase in other assets | (872) | (221) |
Net increase in accrued expenses and other liabilities | 1,807 | (402) |
Net cash provided by operating activities | 10,850 | 12,141 |
Cash flows from investing activities: | ||
Net cash used in investing activities | 24,085 | (12,054) |
Cash flows from financing activities: | ||
Stock repurchases | (2,721) | 0 |
Repayments or retirement of long-term debt | 0 | (3,217) |
Dividends paid | (3,575) | (3,498) |
Net cash provided by (used in) financing activities | (7,568) | (40,539) |
Net change in cash and cash equivalents | 27,367 | (40,452) |
Cash and cash equivalents at beginning of period | 65,076 | 105,528 |
Cash and cash equivalents at end of period | 92,443 | 65,076 |
Parent Company [Member] | ||
Cash flows from operating activities: | ||
Net earnings | 9,741 | 8,834 |
Adjustments to reconcile net earnings to net cash provided by operating activties: | ||
Net increase in other assets | 7 | 1,134 |
Net increase in accrued expenses and other liabilities | (215) | (70) |
Equity In Distributed (Undistributed) Earnings Of Bank Subsidary | 1,059 | 2,412 |
Net cash provided by operating activities | 8,474 | 7,486 |
Cash flows from financing activities: | ||
Stock repurchases | (2,721) | 0 |
Repayments or retirement of long-term debt | 0 | (3,217) |
Dividends paid | (3,575) | (3,498) |
Net cash provided by (used in) financing activities | (6,296) | (6,715) |
Net change in cash and cash equivalents | 2,178 | 771 |
Cash and cash equivalents at beginning of period | 1,941 | 1,170 |
Cash and cash equivalents at end of period | $ 4,119 | $ 1,941 |