Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Feb. 28, 2014 | Jun. 30, 2013 | |
Document and Entity Information [Abstract] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Entity Registrant Name | 'FIRST UNITED CORP/MD/ | ' | ' |
Entity Central Index Key | '0000763907 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Filer Category | 'Smaller Reporting Company | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 6,210,587 | ' |
Entity Public Float | ' | ' | $41,686,471 |
Consolidated_Statements_of_Fin
Consolidated Statements of Financial Condition (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Assets | ' | ' |
Cash and due from banks | $32,895 | $71,290 |
Interest bearing deposits in banks | 10,168 | 11,778 |
Cash and cash equivalents | 43,063 | 83,068 |
Investment securities - available-for-sale (at fair value) | 336,589 | 223,273 |
Investment securities - held to maturity (fair value $3,590 at December 31, 2013 and $4,347 at December 31, 2012, respectively) | 3,900 | 4,040 |
Restricted investment in bank stock, at cost | 7,913 | 8,349 |
Loans | 810,240 | 874,829 |
Allowance for loan losses | -13,594 | -16,047 |
Net loans | 796,646 | 858,782 |
Premises and equipment, net | 26,905 | 29,455 |
Goodwill | 11,004 | 11,004 |
Bank owned life insurance | 32,413 | 31,407 |
Deferred tax assets | 29,209 | 28,882 |
Other real estate owned | 17,031 | 17,513 |
Accrued interest receivable and other assets | 28,830 | 25,010 |
Total Assets | 1,333,503 | 1,320,783 |
Liabilities: | ' | ' |
Non-interest bearing deposits | 189,500 | 161,500 |
Interest bearing deposits | 787,903 | 815,384 |
Total deposits | 977,403 | 976,884 |
Short-term borrowings | 43,676 | 39,257 |
Long-term borrowings | 182,672 | 182,735 |
Accrued interest payable and other liabilities | 28,412 | 23,002 |
Total Liabilities | 1,232,163 | 1,221,878 |
Shareholders' Equity: | ' | ' |
Preferred stock - no par value; Authorized 2,000 shares of which 30 shares of Series A, $1,000 per share liquidation preference, 5% cumulative increasing to 9% cumulative on February 15, 2014, were issued and outstanding on December 31, 2013 and December 31, 2012 (discount of $6 and $75, respectively) | 29,994 | 29,925 |
Common Stock - par value $.01 per share; Authorized 25,000 shares; issued and outstanding 6,211 shares at December 31, 2013 and 6,199 share at December 31, 2012 | 62 | 62 |
Surplus | 21,661 | 21,573 |
Retained earnings | 73,836 | 69,168 |
Accumulated other comprehensive loss | -24,213 | -21,823 |
Total Shareholders' Equity | 101,340 | 98,905 |
Total Liabilities and Shareholders' Equity | $1,333,503 | $1,320,783 |
Consolidated_Statements_of_Fin1
Consolidated Statements of Financial Condition (parenthetical) (USD $) | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Held-to-maturity Securities, Fair Value | $3,590 | $4,347 |
Preferred Stock, Par or Stated Value Per Share | $0 | $0 |
Preferred Stock, Shares Authorized | 2,000,000 | 2,000,000 |
Preferred Stock, Liquidation Preference Per Share | $1,000 | $1,000 |
Preferred Stock, Shares Issued | 30,000 | 30,000 |
Preferred Stock, Shares Outstanding | 30,000 | 30,000 |
Preferred Stock, Discount on Shares | $6 | $75 |
Preferred Stock, Dividend Rate, Percentage | 5.00% | 5.00% |
Common Stock, Par or Stated Value Per Share | $0.01 | $0.01 |
Common Stock, Shares Authorized | 25,000,000 | 25,000,000 |
Common Stock, Shares, Issued | 6,211,000 | 6,199,000 |
Common Stock, Shares, Outstanding | 6,211,000 | 6,199,000 |
Scenario, Forecast [Member] | ' | ' |
Preferred Stock, Dividend Rate, Percentage | 9.00% | ' |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Interest income | ' | ' |
Interest and fees on loans | $42,258 | $46,690 |
Interest on investment securities: Taxable | 5,557 | 4,307 |
Interest on investment securities: Exempt from federal income tax | 1,756 | 1,805 |
Total investment income | 7,313 | 6,112 |
Other | 343 | 309 |
Total interest income | 49,914 | 53,111 |
Interest expense | ' | ' |
Interest on deposits | 5,076 | 6,559 |
Interest on short-term borrowings | 62 | 133 |
Interest on long-term borrowings | 6,594 | 7,273 |
Total interest expense | 11,732 | 13,965 |
Net interest income | 38,182 | 39,146 |
Provision for loan losses | 380 | 9,390 |
Net interest income after provision for loan losses | 37,802 | 29,756 |
Other operating income | ' | ' |
Changes in fair value on impaired securities | 4,173 | 850 |
Portion of gain recognized in other comprehensive income (before taxes) | -4,173 | -850 |
Net securities impairment losses recognized in operations | 0 | 0 |
Net gains - other | 229 | 1,708 |
Total net gains | 229 | 1,708 |
Service charges | 3,416 | 3,639 |
Trust department | 5,007 | 4,608 |
Debit card income | 1,954 | 2,010 |
Bank owned life insurance | 1,006 | 1,778 |
Brokerage commissions | 806 | 778 |
Other | 853 | 817 |
Total other income | 13,042 | 13,630 |
Total other operating income | 13,271 | 15,338 |
Other operating expenses | ' | ' |
Salaries and employee benefits | 19,946 | 19,481 |
FDIC premiums | 1,875 | 1,985 |
Equipment | 2,595 | 2,624 |
Occupancy | 2,628 | 2,719 |
Data processing | 3,069 | 2,886 |
Professional services | 1,495 | 1,292 |
Other real estate owned expenses | 2,909 | 890 |
Miscellaneous loan fees | 505 | 580 |
Other | 7,383 | 7,061 |
Total other operating expenses | 42,405 | 39,518 |
Income before income tax expense | 8,668 | 5,576 |
Applicable income tax expense | 2,222 | 913 |
Net Income | 6,446 | 4,663 |
Accumulated preferred stock dividends and discount accretion | -1,778 | -1,691 |
Net Income Available to Common Shareholders | $4,668 | $2,972 |
Basic and diluted net income per common share | $0.75 | $0.48 |
Weighted average number of basic and diluted shares outstanding | 6,206,819 | 6,193,774 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (Loss) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Consolidated Statements of Comprehensive Income/(Loss) [Abstract] | ' | ' |
Net Income | $6,446 | $4,663 |
Other comprehensive income/(loss), net of tax and reclassification adjustments: | ' | ' |
Net unrealized gains on investments with OTTI | 2,413 | 536 |
Net unrealized losses on all other AFS securities | -8,326 | -333 |
Net unrealized gains on cash flow hedges | 233 | 109 |
Net unrealized gains/(losses) on pension plan liability | 3,174 | -1,317 |
Net unrealized gains on SERP liability | 116 | 144 |
Other comprehensive loss, net of tax | -2,390 | -861 |
Comprehensive income | $4,056 | $3,802 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Shareholders' Equity (USD $) | Preferred Stock [Member] | Common Stock [Member] | Surplus [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Loss [Member] | Total |
In Thousands | ||||||
Balance at Dec. 31, 2011 | $29,860 | $62 | $21,500 | $66,196 | ($20,962) | $96,656 |
Net income | ' | ' | ' | 4,663 | ' | 4,663 |
Other comprehensive loss | ' | ' | ' | ' | -861 | -861 |
Stock based compensation | ' | ' | 73 | ' | ' | 73 |
Discount accretion on preferred stock | 65 | ' | ' | -65 | ' | 0 |
Preferred stock dividends deferred | ' | ' | ' | -1,626 | ' | -1,626 |
Balance at Dec. 31, 2012 | 29,925 | 62 | 21,573 | 69,168 | -21,823 | 98,905 |
Net income | ' | ' | ' | 6,446 | ' | 6,446 |
Other comprehensive loss | ' | ' | ' | ' | -2,390 | -2,390 |
Stock based compensation | ' | ' | 88 | ' | ' | 88 |
Discount accretion on preferred stock | 69 | ' | ' | -69 | ' | 0 |
Preferred stock dividends deferred | ' | ' | ' | -1,709 | ' | -1,709 |
Balance at Dec. 31, 2013 | $29,994 | $62 | $21,661 | $73,836 | ($24,213) | $101,340 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Operating activities | ' | ' |
Net Income | $6,446 | $4,663 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Provision for loan losses | 380 | 9,390 |
Depreciation | 2,043 | 1,992 |
Stock compensation | 88 | 73 |
Gain on sales of Insurance assets | 0 | -88 |
Gain on sales of other real estate owned | -205 | -995 |
Write-downs of other real estate owned | 3,079 | 1,489 |
Gain on loan sales | -176 | -167 |
Loss on disposal of fixed assets | 25 | 92 |
Net amortization of investment securities discounts and premiums | 1,561 | 1,565 |
Gain on sales of investment securities - available-for-sale | -78 | -1,545 |
Amortization of deferred Loan Fees | -542 | -629 |
Decrease in accrued interest receivable and other assets | 1,488 | 1,785 |
Deferred tax expense | 1,288 | 400 |
Increase/(decrease) in accrued interest payable and other liabilities | 4,285 | -1,042 |
Earnings on bank owned life insurance | -1,006 | -1,778 |
Net cash provided by operating activities | 18,676 | 15,205 |
Investing activities | ' | ' |
Proceeds from maturities/calls of investment securities available-for-sale | 35,891 | 70,562 |
Proceeds from maturities/calls of investment securities held-to-maturity | 140 | 0 |
Proceeds from sales of investment securities available-for-sale | 44,496 | 46,220 |
Purchases of investment securities available-for-sale | -205,083 | -98,787 |
Proceeds from sales of other real estate owned | 4,478 | 5,982 |
Proceeds from loan sales | 23,100 | 25,392 |
Proceeds from disposal of fixed assets | 1,423 | 567 |
Proceeds from sale of insurance assets | 0 | 3,604 |
Proceeds from BOLI death benefit | 0 | 1,806 |
Net decrease in FHLB stock | 436 | 2,377 |
Net decrease in loans | 32,504 | 19,133 |
Purchases of premises and equipment | -941 | -1,280 |
Net cash (used in)/provided by investing activities | -63,556 | 75,576 |
Financing activities | ' | ' |
Net increase/(decrease) in deposits | 519 | -50,900 |
Net increase in short-term borrowings | 4,419 | 2,389 |
Proceeds from long-term borrowings | 0 | 20,000 |
Payments on long-term borrowings | -63 | -44,309 |
Net cash provided by/(used in) financing activities | 4,875 | -72,820 |
(Decrease)/increase in cash and cash equivalents | -40,005 | 17,961 |
Cash and cash equivalents at beginning of the year | 83,068 | 65,107 |
Cash and cash equivalents at end of period | 43,063 | 83,068 |
Supplemental information | ' | ' |
Interest paid | 9,500 | 12,062 |
Income Taxes Paid, Net | 1,035 | 620 |
Non-cash investing activities: | ' | ' |
Transfers from loans to other real estate owned | 6,870 | 7,313 |
Transfers from securities available for sale to held-to-maturity | $0 | $4,040 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Summary of Significant Accounting Policies [Abstract] | ' | |||
Summary of Significant Accounting Policies | ' | |||
First United Corporation and Subsidiaries | ||||
Notes to Consolidated Financial Statements | ||||
1 | Summary of Significant Accounting Policies | |||
Business | ||||
First United Corporation is a Maryland corporation chartered in 1985 and a financial holding company registered under the federal Bank Holding Company Act of 1956, as amended. First United Corporation’s primary business is serving as the parent company of First United Bank & Trust, a Maryland trust company (the “Bank”), First United Statutory Trust I (“Trust I”) and First United Statutory Trust II (“Trust II”), both Connecticut statutory business trusts, and First United Statutory Trust III, a Delaware statutory business trust (“Trust III” and together with Trust I and Trust II, the “Trusts”). The Bank provides a complete range of retail and commercial banking services to a customer base serviced by a network of 25 offices and 28 automated teller machines. The Trusts were formed for the purpose of selling trust preferred securities that qualified as Tier 1 capital. First United Corporation is also the parent company of First United Insurance Group, LLC, a Maryland limited liability company (the “Insurance Agency”) that, through the close of business on December 31, 2011, operated as a full service insurance agency. Effective on January 1, 2012, the Insurance Agency sold substantially all of its assets, net of cash, to a third-party and is no longer an active subsidiary. The Bank has three wholly-owned subsidiaries: OakFirst Loan Center, Inc., a West Virginia finance company; OakFirst Loan Center, LLC, a Maryland finance company (collectively, the “OakFirst Loan Centers”); and First OREO Trust, a Maryland statutory trust formed for the purposes of servicing and disposing of the real estate that the Bank acquires through foreclosure or by deed in lieu of foreclosure. The Bank also owns 99.9% of the limited partnership interests in Liberty Mews Limited Partnership, a Maryland limited partnership (the “Partnership”) formed for the purpose of acquiring, developing and operating low-income housing units in Garrett County, Maryland. Until March 27, 2013 when he entity was terminated, the Bank also owned a majority interest in Cumberland Liquidation Trust, a Maryland statutory trust formed for the purposes of servicing and disposing of real estate that secured a loan made by another bank and in which the Bank held a participation interest. | ||||
First United Corporation and its subsidiaries operate principally in four counties in Western Maryland and three counties in West Virginia. | ||||
As used in these Notes, unless the context requires otherwise, the terms “the Corporation”, “we”, “us”, “our” and words of similar import refer collectively to the Corporation and its direct and indirect subsidiaries. | ||||
Basis of Presentation | ||||
The accompanying consolidated financial statements of the Corporation have been prepared in accordance with United States generally accepted accounting principles (“GAAP”) as required by the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) that require management to make estimates and assumptions that affect the reported amounts of certain assets and liabilities at the date of the financial statements as well as the reported amount of revenues and expenses during the reporting period. Actual results could differ from these estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the assessment of other-than-temporary impairment (“OTTI”) pertaining to investment securities, potential impairment of goodwill, and the valuation of deferred tax assets. For purposes of comparability, certain prior period amounts have been reclassified to conform to the 2013 presentation. Such reclassifications had no impact on net income or equity. | ||||
The Corporation has evaluated events and transactions occurring subsequent to the statement of financial condition date of December 31, 2013 for items that should potentially be recognized or disclosed in these financial statements as prescribed by ASC Topic 855, Subsequent Events. | ||||
Principles of Consolidation | ||||
The consolidated financial statements of the Corporation include the accounts of First United Corporation, the Insurance Group, OakFirst Loan Center, Inc., OakFirst Loan Center, LLC, First OREO Trust and Cumberland Liquidation. All significant inter-company accounts and transactions have been eliminated. | ||||
First United Corporation determines whether it has a controlling financial interest in an entity by first evaluating whether the entity is a voting interest entity or a variable interest entity (“VIE”) in accordance with GAAP. Voting interest entities are entities in which the total equity investment at risk is sufficient to enable the entity to finance itself independently and provides the equity holders with the obligation to absorb losses, the right to receive residual returns and the right to make financial and operating decisions. The Corporation consolidates voting interest entities in which it has 100%, or at least a majority, of the voting interest. As defined in applicable accounting standards, a VIE is an entity that either (i) does not have equity investors with voting rights or (ii) has equity investors that do not provide sufficient financial resources for the entity to support its activities. A controlling financial interest in an entity exists when an enterprise has a variable interest, or a combination of variable interests that will absorb a majority of an entity’s expected losses, receive a majority of an entity’s expected residual returns, or both. The enterprise with a controlling financial interest, known as the primary beneficiary, consolidates the VIE. | ||||
The Corporation accounts for its investment in the Partnership, utilizing the effective yield method under guidance that applies specifically to investments in limited partnerships that operate qualified affordable housing projects. Under the effective yield method, the investor recognizes tax credits as they are allocated and amortizes the initial cost of the investment to provide a constant effective yield over the period that tax credits are allocated to the investor. The effective yield is the internal rate of return on the investment, based on the cost of the investment and the guaranteed tax credits allocated to the investor. The tax credit allocated, net of the amortization of the investment in the limited partnership, is recognized in the income statement as a component of income taxes attributable to continuing operations. | ||||
Significant Concentrations of Credit Risk | ||||
Most of the Corporation’s relationships are with customers located in Western Maryland and Northeastern West Virginia. At December 31, 2013, approximately 13%, or $107 million, of total loans were secured by real estate acquisition, construction and development projects, with $96 million performing according to their contractual terms and $11 million considered to be impaired based on management’s concerns about the borrowers’ ability to comply with present repayment terms. Of the $11 million in impaired loans, $5 million were classified as troubled debt restructurings (“TDRs”) performing according to their modified terms, $1 million were classified as performing impaired loans, and $5 million were classified as non-performing loans at December 31, 2013. Additionally, commercial rental properties represent 11% of the total loan portfolio as of December 31, 2013. Note 6 discusses the types of securities in which the Corporation invests and Note 7 discusses the Corporation’s lending activities. | ||||
Investments | ||||
The investment portfolio is classified and accounted for based on the guidance of ASC Topic 320, Investments – Debt and Equity Securities. Securities bought and held principally for the purpose of selling them in the near term are classified as trading account securities and reported at fair value with unrealized gains and losses included in net gains/losses in other operating income. Securities purchased with the intent and ability to hold the securities to maturity are classified as held-to-maturity securities and are recorded at amortized cost. All other investment securities are classified as available-for-sale. These securities are held for an indefinite period of time and may be sold in response to changing market and interest rate conditions or for liquidity purposes as part of our overall asset/liability management strategy. Available-for-sale securities are reported at market value, with unrealized gains and losses excluded from earnings and reported as a separate component of other comprehensive income included in consolidated statement of comprehensive income, net of applicable income taxes. | ||||
The amortized cost of debt securities is adjusted for the amortization of premiums to the first call date, if applicable, or to maturity, and for the accretion of discounts to maturity, or, in the case of mortgage-backed securities, over the estimated life of the security. Such amortization and accretion is included in interest income from investments. Interest and dividends are included in interest income from investments. Gains and losses on the sale of securities are recorded using the specific identification method. | ||||
Restricted Investment in Bank Stock | ||||
Restricted stock, which represents required investments in the common stock of the Federal Home Loan Bank (“FHLB”) of Atlanta, Atlantic Community Bankers Bank (“ACBB”) and Community Bankers Bank (“CBB”), is carried at cost and is considered a long-term investment. | ||||
Management evaluates the restricted stock for impairment in accordance with ASC Industry Topic 942, Financial Services – Depository and Lending, (ASC Section 942-325-35). Management’s evaluation of potential impairment is based on management’s assessment of the ultimate recoverability of the cost of the restricted stock rather than by recognizing temporary declines in value. The determination of whether a decline affects the ultimate recoverability is influenced by criteria such as (i) the significance of the decline in net assets of the issuing bank as compared to the capital stock amount for that bank and the length of time this situation has persisted, (ii) commitments by the issuing bank to make payments required by law or regulation and the level of such payments in relation to the operating performance of that bank, and (iii) the impact of legislative and regulatory changes on institutions and, accordingly, on the customer base of the issuing bank. Management has evaluated the restricted stock for impairment and believes that no impairment charge is necessary as of December 31, 2013. | ||||
The Corporation recognizes dividends on a cash basis. For the year ended December 31, 2013, dividends of $199,500 were recognized in earnings. For the year ended December 31, 2012, dividends of $167,000 were recognized in earnings. | ||||
Loans | ||||
Loans that management has the intent and ability to hold for the foreseeable future or until maturity or full repayment by the borrower are reported at their outstanding unpaid principal balance, adjusted for any deferred fees or costs pertaining to origination. Loans that management has the intent to sell are reported at the lower of cost or fair value determined on an individual basis. | ||||
The segments of the Bank’s loan portfolio are disaggregated to a level that allows management to monitor risk and performance. The commercial real estate (“CRE”) loan segment is further disaggregated into two classes. Non-owner occupied CRE loans, which include loans secured by non-owner occupied nonfarm nonresidential properties, generally have a greater risk profile than all other CRE loans, which include loans secured by farmland, multifamily structures and owner-occupied commercial structures. The acquisition and development (“A&D”) loan segment is further disaggregated into two classes. One-to-four family residential construction loans are generally made to individuals for the acquisition of and/or construction on a lot or lots on which a residential dwelling is to be built. All other A&D loans are generally made to developers or investors for the purpose of acquiring, developing and constructing residential or commercial structures. These loans have a higher risk profile because the ultimate buyer, once development is completed, is generally not known at the time of the A&D loan. The commercial and industrial (“C&I”) loan segment consists of loans made for the purpose of financing the activities of commercial customers. The residential mortgage loan segment is further disaggregated into two classes: amortizing term loans, which are primarily first liens, and home equity lines of credit, which are generally second liens. The consumer loan segment consists primarily of installment loans (direct and indirect) and overdraft lines of credit connected with customer deposit accounts. | ||||
Interest and Fees on Loans | ||||
Interest on loans (other than those on non-accrual status) is recognized based upon the principal amount outstanding. Loan fees in excess of the costs incurred to originate the loan are recognized as income over the life of the loan utilizing either the interest method or the straight-line method, depending on the type of loan. Generally, fees on loans with a specified maturity date, such as residential mortgages, are recognized using the interest method. Loan fees for lines of credit are recognized using the straight-line method. | ||||
A loan is considered to be past due when a payment has not been received for 30 days past its contractual due date. For all loan segments, the accrual of interest is discontinued when principal or interest is delinquent for 90 days or more unless the loan is well-secured and in the process of collection. All non-accrual loans are considered to be impaired. Interest payments received on non-accrual loans are applied as a reduction of the loan principal balance. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. The Corporation’s policy for recognizing interest income on impaired loans does not differ from its overall policy for interest recognition. | ||||
Generally, consumer installment loans are not placed on non-accrual status, but are charged off after they are 120 days contractually past due. Loans other than consumer loans are charged-off based on an evaluation of the facts and circumstances of each individual loan. | ||||
Allowance for Loan Losses | ||||
An allowance for loan losses (“ALL”) is maintained to absorb losses from the loan portfolio. The ALL is based on management’s continuing evaluation of the risk characteristics and credit quality of the loan portfolio, assessment of current economic conditions, diversification and size of the portfolio, adequacy of collateral, past and anticipated loss experience, and the amount of non-performing loans. | ||||
The Bank’s methodology for determining the ALL is based on the requirements of ASC Section 310-10-35, Receivables-Overall-Subsequent Measurement, for loans individually evaluated for impairment and ASC Subtopic 450-20, Contingencies-Loss Contingencies, for loans collectively evaluated for impairment, as well as the Interagency Policy Statements on the Allowance for Loan and Lease Losses and other bank regulatory guidance. The total of the two components represents the Bank’s ALL. | ||||
The Corporation maintains an allowance for losses on unfunded commercial lending commitments and letters of credit to provide for the risk of loss inherent in these arrangements. The allowance is determined utilizing a methodology that is similar to that used to determine the ALL, modified to take into account the probability of a draw down on the commitment. This allowance is reported as a liability on the balance sheet within accrued interest payable and other liabilities. The balance in the liability account was $49,400 at December 31, 2013 and $44,000 at December 31, 2012. | ||||
Premises and Equipment | ||||
Land is carried at cost. Premises and equipment are carried at cost, less accumulated depreciation. The provision for depreciation for financial reporting has been made by using the straight-line method based on the estimated useful lives of the assets, which range from 18 to 32 years for buildings and three to 20 years for furniture and equipment. Accelerated depreciation methods are used for income tax purposes. | ||||
Goodwill | ||||
Goodwill represents the excess of the cost of an acquisition over the fair value of the net assets acquired in business combinations. In accordance with ASC Topic 350, Intangibles - Goodwill and Other, goodwill is not amortized but is subject to an annual impairment test. | ||||
Bank-Owned Life Insurance (“BOLI”) | ||||
BOLI policies are recorded at their cash surrender values. Changes in the cash surrender values are recorded as other operating income. | ||||
Other Real Estate Owned | ||||
Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at fair value less the cost to sell at the date of foreclosure, with any losses charged to the ALL, establishing a new cost basis. Subsequent to foreclosure, valuations are periodically performed by management and the assets are carried at the lower of carrying amount or fair value less cost to sell. Changes in the valuation allowance, sales gains and losses, and revenue and expenses from holding and operating properties are all included in net expenses from other real estate owned. | ||||
Income Taxes | ||||
First United Corporation and its subsidiaries file a consolidated federal income tax return. Income taxes are accounted for using the asset and liability method. Under the asset and liability method, the deferred tax liability or asset is determined based on the difference between the financial statement and tax bases of assets and liabilities (temporary differences) and is measured at the enacted tax rates that will be in effect when these differences reverse. Deferred tax expense is determined by the change in the net liability or asset for deferred taxes adjusted for changes in any deferred tax asset valuation allowance. | ||||
ASC Topic 740, Taxes, provides clarification on accounting for uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. We have not identified any income tax uncertainties. | ||||
State corporate income tax returns are filed annually. Federal and state returns may be selected for examination by the Internal Revenue Service and the states where we file, subject to statutes of limitations. At any given point in time, the Corporation may have several years of filed tax returns that may be selected for examination or review by taxing authorities. With few exceptions, we are no longer subject to U.S. Federal, State, and local income tax examinations by tax authorities for years prior to 2010. | ||||
Interest and penalties on income taxes are recognized as a component of income tax expense. | ||||
Defined Benefit Plans | ||||
The defined benefit pension plan and supplemental executive retirement plan are accounted for in accordance with ASC Topic 715, Compensation – Retirement Benefits. Under the provisions of Topic 715, the funded status of the defined benefit pension plan is recognized as an asset, and the supplemental executive retirement plan is recognized as a liability in the Consolidated Statement of Financial Condition, and unrecognized net actuarial losses, prior service costs and a net transition asset are recognized as a separate component of other comprehensive loss, net of tax. Refer to Note 18 for a further discussion of the pension plan and supplemental executive retirement plan obligations. | ||||
Statement of Cash Flows | ||||
Cash and cash equivalents are defined as cash and due from banks and interest bearing deposits in banks in the Consolidated Statement of Cash Flows. | ||||
Trust Assets and Income | ||||
Assets held in an agency or fiduciary capacity are not the Bank’s assets and, accordingly, are not included in the Consolidated Statement of Financial Condition. Income from the Bank’s trust department represents fees charged to customers and is recorded on an accrual basis. | ||||
Business Segments | ||||
The Corporation operates in one segment, commercial banking, as defined by ASC Topic 280, Segment Reporting. The Corporation in its entirety is managed and evaluated on an ongoing basis by the Board of Directors and executive management, with no division or subsidiary receiving separate analysis regarding performance or resource allocation. | ||||
Equity Compensation Plan | ||||
At the 2007 Annual Meeting of Shareholders, First United Corporation’s shareholders approved the First United Corporation Omnibus Equity Compensation Plan (the “Omnibus Plan”), which authorizes the grant of stock options, stock appreciation rights, stock awards, stock units, performance units, dividend equivalents, and other stock-based awards to employees or directors totaling up to 185,000 shares. | ||||
On June 18, 2008, the Board of Directors of First United Corporation adopted a Long-Term Incentive Program (the “LTIP”). This program was adopted as a sub-plan of the Omnibus Plan to reward participants for increasing shareholder value, align executive interests with those of shareholders, and serve as a retention tool for key executives. Under the LTIP, participants are granted shares of restricted common stock of First United Corporation. The amount of an award is based on a specified percentage of the participant’s salary as of the date of grant. These shares will vest if the Corporation meets or exceeds certain performance thresholds. There were no grants of restricted stock outstanding at December 31, 2013. | ||||
The Corporation complies with the provisions of ASC Topic 718, Compensation-Stock Compensation, in measuring and disclosing stock compensation cost. The measurement objective in ASC Paragraph 718-10-30-6 requires public companies to measure the cost of employee services received in exchange for an award of equity instruments based on the grant date fair value of the award. The cost is recognized in expense over the period in which an employee is required to provide service in exchange for the award (the vesting period). The performance-related shares granted in connection with the LTIP are expensed ratably from the date that the likelihood of meeting the performance measures is probable through the end of a three year vesting period. | ||||
The American Recovery and Reinvestment Act (the “Recovery Act”) imposes restrictions on the type and timing of bonuses and incentive compensation that may be accrued for or paid to certain employees of institutions that participated in the Troubled Asset Relief Program (“TARP”) Capital Purchase Program (“CPP”) of the Department of the Treasury (“Treasury”). The Recovery Act generally limits bonuses and incentive compensation to grants of long-term restricted stock that, among other requirements, cannot fully vest until the TARP CPP assistance is repaid. | ||||
Stock-based awards were made to non-employee directors in 2013 and 2012. Five thousand dollars of their annual retainer is paid in stock. Beginning in 2011, the non-employee directors were given the option to elect to take up to 100% of their annual cash retainer also in stock. The 2013 and 2012 grants totaled 11,304 and 16,526, respectively, of fully-vested shares having a fair market value of $7.96 and $5.14, respectively, per share. Director stock compensation expense was $88,000 for the year ended December 31, 2013 and $73,000 for the year ended December 31, 2012. | ||||
Stock Repurchases | ||||
Under the Maryland General Corporation Law, shares of capital stock that are repurchased are cancelled and treated as authorized but unissued shares. When a share of capital stock is repurchased, the payment of the repurchase price reduces stated capital by the par value of that share (currently, $0.01 for common stock and $0.00 for preferred stock), and any excess over par value reduces capital surplus. There were no stock repurchases in 2013. | ||||
Adoption of New Accounting Standards and Effects of New Accounting Pronouncements | ||||
In January 2014, the FASB issued Accounting Standards Update (“ASU”) 2014-01, Accounting for Investments in Qualified Affordable Housing Projects, which provides amendments and guidance on accounting for investments by a reporting entity in flow-through limited liability entities that manage or invest in affordable housing projects that qualify for the low-income housing tax credit. The amendments permit reporting entities to make an accounting policy election to account for their investments in qualified affordable housing projects using the proportional amortization method if certain conditions are met. The amendments in ASU 2014-01 should be applied retrospectively to all periods presented. A reporting entity that uses the effective yield method to account for its investments in qualified affordable housing projects before the date of adoption may continue to apply the effective yield method for those preexisting investments. Additional disclosure requirements are applicable to all reporting entities, regardless of whether the election is made. ASU 2014-01 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2014, with early adoption permitted. At December 31, 2013, the Corporation has a single investment in a flow-through limited liability entity that invests in an affordable housing project, for which it currently utilizes the effective yield method to account for its investment. The Corporation is evaluating whether to change its method of accounting as permitted by ASU 2014-01, but does not believe that the adoption of ASU 2014-01 will have a material impact on the Corporation’s financial condition and results of operations. | ||||
In January 2014, the FASB issued ASU 2014-04, Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure, which provides guidance clarifying when an in substance repossession or foreclosure occurs that would require a loan receivable to be derecognized and the real estate property recognized. ASU 2014-04 specifies the circumstances when a creditor should be considered to have received physical possession of the residential real estate property collateralizing a consumer mortgage loan, and requires interim and annual disclosure of both the amount of foreclosed residential real estate property held by the creditor and the recorded investment in consumer mortgage loans collateralized by residential real estate that are in the process of foreclosure. An entity can elect to adopt the amendments in ASU 2014-04 using either a modified or a retrospective transition method or a prospective transition method. ASU 2014-04 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2014, with early adoption permitted. The Corporation is evaluating the provision of ASU 2014-04, but does not believe that the adoption of ASU 2014-04 will have a material impact on the Corporation’s financial condition and results of operations. | ||||
In July 2013, the FASB issued ASU 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists, which provides guidance on financial statement presentation of an unrecognized tax benefit when a net operating loss (“NOL”) carryforward, a similar tax loss, or a tax credit carryforward exists. The ASU is intended to eliminate diversity in practice resulting from a lack of guidance on this topic in current GAAP. Under the ASU, an entity generally must present an unrecognized tax benefit, or a portion of an unrecognized tax benefit, in the financial statements as a reduction to a deferred tax asset for an NOL carryforward, a similar tax loss, or a tax credit carryforward. This ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. The adoption of this ASU is not expected to have a material impact on the Corporation’s financial condition and results of operations. | ||||
In February 2013, the FASB issued ASU No. 2013-02, Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income, to improve the transparency of reporting these reclassifications. ASU No. 2013-02 does not amend any existing requirements for reporting net income or other comprehensive income in the financial statements. ASU No. 2013-02 requires an entity to disaggregate the total change of each component of other comprehensive income and separately present reclassification adjustments and current period other comprehensive income. The provisions of ASU No. 2013-02 also require that entities present in a single note or parenthetically on the face of the financial statements, the effect of significant amounts reclassified from each component of accumulated other comprehensive income based on its source and the income statement line item affected by the reclassification. If a component is not required to be reclassified to net income in its entirety, entities would instead cross-reference to the related note to the financial statements for additional information. The Corporation adopted the provisions of ASU No. 2013-02 effective January 1, 2013. As the Corporation provided these required disclosures in the notes to the Consolidated Financial Statements, the adoption of ASU No. 2013-02 had no impact on the Corporation’s consolidated statements of income and condition. See Note 16 to the Consolidated Financial Statements for the disclosures required by ASU No. 2013-02. | ||||
In December 2011, the FASB issued Accounting Standards Update (“ASU”) No. 2011-11, Disclosures About Offsetting Assets and Liabilities. The new disclosure requirements mandate that entities disclose both gross and net information about instruments and transactions eligible for offset in the statement of financial condition as well as instruments and transactions subject to an agreement similar to a master netting arrangement. ASU No. 2011-11 also requires disclosure of collateral received and posted in connection with master netting agreements or similar arrangements. In January 2013, the FASB issued ASU No. 2013-01, Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities. The provisions of ASU No. 2013-01 limit the scope of the new balance sheet offsetting disclosures to the following financial instruments, to the extent they are offset in the financial statements or subject to an enforceable master netting arrangement or similar agreement, irrespective of whether they are offset in the statement of financial condition: (a) derivative financial instruments; (b) repurchase agreements and reverse repurchase agreements; and (c) securities borrowing and securities lending transactions. The Corporation adopted the provisions of ASU No. 2011-11 and ASU No. 2013-01 effective January 1, 2013. As the provisions of ASU No. 2011-11 and ASU No. 2013-01 only impacted the disclosure requirements related to the offsetting of assets and liabilities and information about instruments and transactions eligible for offset in the statement of financial condition, the adoption had no impact on the Corporations’ consolidated statements of income and condition. See Note 26 to the Consolidated Financial Statements for the disclosures required by ASU No. 2011-11 and ASU No. 2013-01. | ||||
Earnings_Loss_Per_Common_Share
Earnings (Loss) Per Common Share | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Earnings Per Common Share [Abstract] | ' | ||||||||||
Earnings/(Loss) Per Common Share | ' | ||||||||||
1 | Earnings Per Common Share | ||||||||||
Basic earnings per common share is derived by dividing net income available to common shareholders by the weighted-average number of common shares outstanding during the period and does not include the effect of any potentially dilutive common stock equivalents. Diluted earnings per share is derived by dividing net income available to common shareholders by the weighted-average number of shares outstanding, adjusted for the dilutive effect of outstanding common stock equivalents. There were no common stock equivalents at December 31, 2013 or December 31, 2012. | |||||||||||
The following table sets forth the calculation of basic and diluted earnings per common share for the years ended December 31, 2013 and 2012: | |||||||||||
For the years ended December 31, | |||||||||||
2013 | 2012 | ||||||||||
Average | Per Share | Average | Per Share | ||||||||
(in thousands, except for per share amount) | Income | Shares | Amount | Income | Shares | Amount | |||||
Basic and Diluted Earnings Per Share: | |||||||||||
Net income | $ | 6,446 | $ | 4,663 | |||||||
Preferred stock dividends deferred | -1,709 | -1,626 | |||||||||
Discount accretion on preferred stock | -69 | -65 | |||||||||
Net income available to common shareholders | $ | 4,668 | 6,207 | $ | 0.75 | $ | 2,972 | 6,194 | $ | 0.48 | |
Net_Gains_Losses
Net Gains (Losses) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Net Gains [Abstract] | ' | ||||
Net Gains | ' | ||||
1 | Net Gains | ||||
The following table summarizes the gain/(loss) activity for the years ended December 31, 2013 and 2012: | |||||
For the year ended | |||||
December 31, | |||||
(in thousands) | 2013 | 2012 | |||
Net gains – other: | |||||
Available-for-sale securities: | |||||
Realized gains | $ | 447 | $ | 1,740 | |
Realized losses | -369 | -195 | |||
Gain on sale of consumer loans | 176 | 167 | |||
Gain on sale of insurance assets | 0 | 88 | |||
Loss on disposal of fixed assets | -25 | -92 | |||
Net gains – other | 229 | 1,708 | |||
Net gains | $ | 229 | $ | 1,708 | |
Regulatory_Capital_Requirement
Regulatory Capital Requirements | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
Regulatory Capital Requirements [Abstract] | ' | |||||||||
Regulatory Capital Requirements | ' | |||||||||
1 | Regulatory Capital Requirements | |||||||||
The Bank and First United Corporation are subject to risk-based capital regulations, which were adopted and monitored by federal banking regulators and are based the 1988 capital accord of the Basel Committee on Banking Supervision (the “Basel Committee”). The Basel Committee is a committee of central banks and bank supervisors/regulators from the major industrialized countries that develops broad policy guidelines for use by each country’s supervisors in determining the supervisory policies they apply. These guidelines are used to evaluate capital adequacy and are based on an institution’s asset risk profile and off-balance sheet exposures, such as unused loan commitments and stand-by letters of credit. The regulatory guidelines require that a portion of total capital be Tier 1 capital, consisting of common shareholders’ equity, qualifying portion of trust issued preferred securities, and perpetual preferred stock, less goodwill and certain other deductions. The remaining capital, or Tier 2 capital, consists of elements such as subordinated debt, mandatory convertible debt, remaining portion of trust issued preferred securities, and grandfathered senior debt, plus the ALL, subject to certain limitations. | ||||||||||
Under the current risk-based capital regulations, banking organizations are required to maintain a minimum total risk-based capital ratio (total qualifying capital divided by risk-weighted assets) of 8% (10% for well capitalized banks), including a Tier 1 ratio of at least 4% (6% for well capitalized banks). The risk-based capital rules have been further supplemented by a leverage ratio, defined as Tier I capital divided by average assets, after certain adjustments. The minimum leverage ratio is 4% (5% for well capitalized banks) for banking organizations that do not anticipate significant growth and have well-diversified risk (including no undue interest rate risk exposure), excellent asset quality, high liquidity and good earnings, and between 4% and 5% for other institutions depending on their particular condition and growth plans. Regulators may require higher capital ratios when warranted by the particular circumstances or risk profile of a given banking organization. In the current regulatory environment, banking organizations must stay well capitalized in order to receive favorable regulatory treatment on acquisition and other expansion activities and favorable risk-based deposit insurance assessments. Our capital policy establishes guidelines meeting these regulatory requirements and takes into consideration current or anticipated risks as well as potential future growth opportunities. | ||||||||||
Actual | For Capital Adequacy Purposes | To Be Well Capitalized Under Prompt Corrective Action Provisions | ||||||||
(in thousands) | Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||
31-Dec-13 | ||||||||||
Total Capital (to risk-weighted assets) | ||||||||||
Consolidated | $ | 160,799 | 15.29% | $ | 84,154 | 8.00% | $ | 105,193 | 10.00% | |
First United Bank & Trust | 169,090 | 16.17% | 83,655 | 8.00% | 104,569 | 10.00% | ||||
Tier 1 Capital (to risk-weighted assets) | ||||||||||
Consolidated | 143,579 | 13.65% | 42,077 | 4.00% | 63,116 | 6.00% | ||||
First United Bank & Trust | 155,664 | 14.89% | 41,828 | 4.00% | 62,741 | 6.00% | ||||
Tier 1 Capital (to average assets) | ||||||||||
Consolidated | 143,579 | 10.97% | 52,365 | 4.00% | 65,456 | 5.00% | ||||
First United Bank & Trust | 155,664 | 11.93% | 52,178 | 4.00% | 65,223 | 5.00% | ||||
Actual | For Capital Adequacy Purposes | To Be Well Capitalized Under Prompt Corrective Action Provisions | ||||||||
(in thousands) | Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||
31-Dec-12 | ||||||||||
Total Capital (to risk-weighted assets) | ||||||||||
Consolidated | $ | 155,560 | 14.13% | $ | 88,052 | 8.00% | $ | 110,065 | 10.00% | |
First United Bank & Trust | 160,381 | 14.63% | 87,702 | 8.00% | 109,627 | 10.00% | ||||
Tier 1 Capital (to risk-weighted assets) | ||||||||||
Consolidated | 138,011 | 12.54% | 44,026 | 4.00% | 66,039 | 6.00% | ||||
First United Bank & Trust | 146,360 | 13.35% | 43,851 | 4.00% | 65,776 | 6.00% | ||||
Tier 1 Capital (to average assets) | ||||||||||
Consolidated | 138,011 | 10.32% | 53,499 | 4.00% | 66,874 | 5.00% | ||||
First United Bank & Trust | 146,360 | 10.98% | 53,326 | 4.00% | 66,657 | 5.00% | ||||
As of December 31, 2013 and 2012, the most recent notifications from the regulators categorized First United Corporation and the Bank as “well capitalized” under the regulatory framework for prompt corrective action. All capital ratios increased at December 31, 2013 when compared to December 31, 2012. The increase was due to the increase in net income for the year ending 2013. | ||||||||||
On July 2, 2013, the Board of Governors of the Federal Reserve System (the “Federal Reserve”) approved final rules that substantially amend the regulatory risk-based capital rules applicable to First United Corporation. The Federal Deposit Insurance Corporation and the Office of the Comptroller of the Currency have subsequently approved these rules. The final rules were adopted following the issuance of proposed rules by the Federal Reserve in June 2012, and implement the “Basel III” regulatory capital reforms and changes required by the Dodd-Frank Act. Basel III refers to two consultative documents released by the Basel Committee on Banking Supervision in December 2009, the rules text released in December 2010, and loss absorbency rules issued in January 2011, which include significant changes to bank capital, leverage and liquidity requirements. | ||||||||||
The rules include new risk-based capital and leverage ratios, which will be phased in from 2015 to 2019, and which refine the definition of what constitutes “capital” for purposes of calculating those ratios. The new minimum capital level requirements applicable to the Corporation under the final rules will be: (a) a new common equity Tier 1 capital ratio of 4.5%; (b) a Tier 1 capital ratio of 6% (increased from 4%); (c) a total capital ratio of 8% (unchanged from current rules); and (d) a Tier 1 leverage ratio of 4% for all institutions. The final rules also establish a “capital conservation buffer” above the new regulatory minimum capital requirements, which must consist entirely of common equity Tier 1 capital. The capital conservation buffer will be phased-in over four years beginning on January 1, 2016, as follows: the maximum buffer will be 0.625% of risk-weighted assets for 2016, 1.25% for 2017, 1.875% for 2018, and 2.5% for 2019 and thereafter. This will result in the following minimum ratios beginning in 2019: (1) a common equity Tier 1 capital ratio of 7.0%, (2) a Tier 1 capital ratio of 8.5%, and (3) a total capital ratio of 10.5%. Under the final rules, institutions are subject to limitations on paying dividends, engaging in share repurchases, and paying discretionary bonuses if its capital level falls below the buffer amount. These limitations establish a maximum percentage of eligible retained income that could be utilized for such actions. | ||||||||||
The final rules also implement revisions and clarifications consistent with Basel III regarding the various components of Tier 1 capital, including common equity, unrealized gains and losses, as well as certain instruments that will no longer qualify as Tier 1 capital, some of which will be phased out over time. Under the final rules, the effects of certain accumulated other comprehensive items are not excluded; however, banking organizations like the Corporation and the Bank that are not considered “advanced approaches” banking organizations may make a one-time permanent election to continue to exclude these items. The Corporation and the Bank expect to make this election in order to avoid significant variations in the level of capital depending upon the impact of interest rate fluctuations on the fair value of the Corporation’s available-for-sale securities portfolio. Additionally, the final rules provide that small depository institution holding companies with less than $15 billion in total assets as of December 31, 2009 (which includes the Corporation) will be able to permanently include non-qualifying instruments that were issued and included in Tier 1 or Tier 2 capital prior to May 19, 2010 in additional Tier 1 or Tier 2 capital until they redeem such instruments or until the instruments mature. | ||||||||||
The final rules also contain revisions to the prompt corrective action framework, which is designed to place restrictions on insured depository institutions if their capital levels begin to show signs of weakness. These revisions take effect January 1, 2015. Under the prompt corrective action requirements, which are designed to complement the capital conservation buffer, insured depository institutions will be required to meet the following increased capital level requirements in order to qualify as “well capitalized”: (a) a new common equity Tier 1 capital ratio of 6.5%; (b) a Tier 1 capital ratio of 8% (increased from 6%); (c) a total capital ratio of 10% (unchanged from current rules); and (d) a Tier 1 leverage ratio of 5% (increased from 4%). | ||||||||||
The final rules set forth certain changes for the calculation of risk-weighted assets, which we will be required to utilize beginning January 1, 2015. The standardized approach final rule utilizes an increased number of credit risk exposure categories and risk weights, and also addresses: (a) an alternative standard of creditworthiness consistent with Section 939A of the Dodd-Frank Act; (b) revisions to recognition of credit risk mitigation; (c) rules for risk weighting of equity exposures and past due loans; (d) revised capital treatment for derivatives and repo-style transactions; and (e) disclosure requirements for top-tier banking organizations with $50 billion or more in total assets that are not subject to the “advance approach rules” that apply to banks with greater than $250 billion in consolidated assets. We believe that we would be in compliance with the requirements as set forth in the final rules. | ||||||||||
In January 2009, pursuant to the TARP CPP, First United Corporation sold 30,000 shares of its Series A Preferred Stock and a Warrant to purchase 326,323 shares of its common stock, having an exercise price of $13.79 per share, to the Treasury for an aggregate purchase price of $30 million. The proceeds from this transaction count as Tier 1 capital and the Warrant qualifies as tangible common equity. Information about the terms of these securities is provided in Note 13 to the consolidated financial statements. | ||||||||||
The terms of the Series A Preferred Stock call for the payment, if declared by the Board of Directors of First United Corporation, of a quarterly cash dividend on February 15th, May 15th, August 15th and November 15th of each year. At the request of the Reserve Bank, First United Corporation deferred the payment of cash dividends on the Series A Preferred Stock beginning with the payment that was due on November 15, 2010. As of December 31, 2013, this deferral election remained in effect and dividends of $.4 million per quarterly dividend period continue to accrue. First United Corporation will be required to pay all accrued and unpaid dividends if and when the Board of Directors declares and pays the next quarterly cash dividend. Management cannot predict whether or when the Board of Directors will resume quarterly cash dividends on the Series A Preferred Stock. First United Corporation’s ability to make dividend payments in the future is subject to regulatory approval and will depend primarily on our earnings in future periods. | ||||||||||
In December 2010, also at the request of the Reserve Bank, the Board of Directors of First United Corporation elected to defer quarterly interest payments under the TPS Debentures beginning with the payments that were due in March 2011. As of December 31, 2013, this deferral election remained in effect and cumulative deferred interest was approximately $6.7 million, which has been fully accrued and must be paid in full when the Board of Directors elects to terminate the deferral. See Note 13 for further information about the TPS Debentures and the deferral of quarterly interest payments. | ||||||||||
In connection with, and as a result of, the aforementioned deferrals, the Board of Directors of First United Corporation voted to suspend the declaration of quarterly cash dividends on the common stock until further notice. The payment of cash dividends on the common stock is at the discretion of the Board of Directors and is dependent on our earnings in future periods. In addition, cash dividends on the common stock may be paid only if all accrued and unpaid interest due under the TPS Debentures and all accrued and unpaid dividends due under the Series A Preferred Stock have been paid in full. There can be no assurance as to if or when First United Corporation will resume the payment of cash dividends on the common stock. | ||||||||||
Cash_and_Cash_Equivalents
Cash and Cash Equivalents | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Cash and Cash Equivalents [Abstract] | ' | ||||
Cash and Cash Equivalents | ' | ||||
1 | Cash and Cash Equivalents | ||||
Cash and due from banks, which represents vault cash in the retail offices and invested cash balances at the Federal Reserve, is carried at fair value. | |||||
December 31, | December 31, | ||||
(in thousands) | 2013 | 2012 | |||
Cash and due from banks, weighted average interest rate of 0.20% (at December 31, 2013) | $ | 32,895 | $ | 71,290 | |
Interest bearing deposits in banks, which represent funds invested at a correspondent bank, are carried at fair value and, as of December 31, 2013 and 2012, consisted of daily funds invested at the FHLB of Atlanta, First Tennessee Bank (“FTN”), M&T Bank (“M&T”), and CBB. | |||||
December 31, | December 31, | ||||
(in thousands) | 2013 | 2012 | |||
FHLB daily investments, interest rate of 0.005% (at December 31, 2013) | $ | 1,677 | $ | 3,306 | |
FTN daily investments, interest rate of 0.07% (at December 31, 2013) | 1,350 | 1,350 | |||
M&T daily investments, interest rate of 0.22% (at December 31, 2013) | 6,051 | 6,037 | |||
CBB Fed Funds sold, interest rate of 0.22% (at December 31, 2013) | 1,090 | 1,085 | |||
$ | 10,168 | $ | 11,778 | ||
Investments
Investments | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Investments [Abstract] | ' | ||||||||||
Investments | ' | ||||||||||
1 | Investment Securities | ||||||||||
The following table shows a comparison of amortized cost and fair values of investment securities at December 31, 2013 and 2012: | |||||||||||
Gross | Gross | ||||||||||
Amortized | Unrealized | Unrealized | Fair | OTTI in | |||||||
(in thousands) | Cost | Gains | Losses | Value | AOCL | ||||||
31-Dec-13 | |||||||||||
Available for Sale: | |||||||||||
U.S. government agencies | $ | 97,242 | $ | 14 | $ | 5,221 | $ | 92,035 | $ | 0 | |
Residential mortgage-backed agencies | 116,933 | 334 | 4,823 | 112,444 | 0 | ||||||
Commercial mortgage-backed agencies | 31,025 | 14 | 1,134 | 29,905 | 0 | ||||||
Collateralized mortgage obligations | 30,468 | 84 | 1,162 | 29,390 | 0 | ||||||
Obligations of states and political subdivisions | 55,505 | 895 | 1,123 | 55,277 | 0 | ||||||
Collateralized debt obligations | 37,146 | 778 | 20,386 | 17,538 | 12,703 | ||||||
Total available for sale | $ | 368,319 | $ | 2,119 | $ | 33,849 | $ | 336,589 | $ | 12,703 | |
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 3,900 | $ | 249 | $ | 559 | $ | 3,590 | $ | 0 | |
31-Dec-12 | |||||||||||
Available for Sale: | |||||||||||
U.S. government agencies | $ | 40,334 | $ | 97 | $ | 111 | $ | 40,320 | $ | 0 | |
Residential mortgage-backed agencies | 43,596 | 703 | 191 | 44,108 | 0 | ||||||
Commercial mortgage-backed agencies | 37,330 | 288 | 0 | 37,618 | 0 | ||||||
Collateralized mortgage obligations | 31,836 | 188 | 293 | 31,731 | 0 | ||||||
Obligations of states and political subdivisions | 55,212 | 2,842 | 0 | 58,054 | 0 | ||||||
Collateralized debt obligations | 36,798 | 0 | 25,356 | 11,442 | 16,876 | ||||||
Total available for sale | $ | 245,106 | $ | 4,118 | $ | 25,951 | $ | 223,273 | $ | 16,876 | |
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 4,040 | $ | 542 | $ | 235 | $ | 4,347 | $ | 0 | |
Proceeds from sales of available-for-sale securities and the realized gains and losses are as follows: | |||||||||||
(in thousands) | 2013 | 2012 | |||||||||
Proceeds | $ | 44,496 | $ | 46,220 | |||||||
Realized gains | 447 | 1,740 | |||||||||
Realized losses | 369 | 195 | |||||||||
The following table shows the Corporation’s securities with gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized position, at December 31, 2013 and 2012: | |||||||||||
Less than 12 months | 12 months or more | ||||||||||
Fair | Unrealized | Fair | Unrealized | ||||||||
(in thousands) | Value | Losses | Value | Losses | |||||||
31-Dec-13 | |||||||||||
Available for Sale: | |||||||||||
U.S. government agencies | $ | 62,962 | $ | 3,154 | $ | 13,996 | $ | 2,067 | |||
Residential mortgage-backed agencies | 60,781 | 1,801 | 46,570 | 3,022 | |||||||
Commercial mortgage-backed agencies | 21,889 | 1,134 | 0 | 0 | |||||||
Collateralized mortgage obligations | 21,201 | 1,149 | 3,051 | 13 | |||||||
Obligations of states and political subdivisions | 15,422 | 1,123 | 0 | 0 | |||||||
Collateralized debt obligations | 0 | 0 | 16,434 | 20,386 | |||||||
Totals | $ | 182,255 | $ | 8,361 | $ | 80,051 | $ | 25,488 | |||
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 0 | $ | 0 | $ | 2,301 | $ | 559 | |||
31-Dec-12 | |||||||||||
Available for Sale: | |||||||||||
U.S. government agencies | $ | 18,220 | $ | 111 | $ | 0 | $ | 0 | |||
Residential mortgage-backed agencies | 22,407 | 191 | 0 | 0 | |||||||
Commercial mortgage-backed agencies | 0 | 0 | 0 | 0 | |||||||
Collateralized mortgage obligations | 16,576 | 293 | 450 | 0* | |||||||
Obligations of states and political subdivisions | 0 | 0 | 0 | 0 | |||||||
Collateralized debt obligations | 0 | 0 | 11,442 | 25,356 | |||||||
Totals | $ | 57,203 | $ | 595 | $ | 11,892 | $ | 25,356 | |||
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 2,765 | $ | 235 | $ | 0 | $ | 0 | |||
* - De Minimus | |||||||||||
Management systematically evaluates securities for impairment on a quarterly basis. Based upon application of accounting guidance for subsequent measurement in ASC Topic 320 (ASC Section 320-10-35), management assesses whether (i) the Corporation has the intent to sell a security being evaluated and (ii) it is more likely than not that the Corporation will be required to sell the security prior to its anticipated recovery. If neither applies, then declines in the fair values of securities below their cost that are considered other-than-temporary declines are split into two components. The first is the loss attributable to declining credit quality. Credit losses are recognized in earnings as realized losses in the period in which the impairment determination is made. The second component consists of all other losses, which are recognized in other comprehensive loss. In estimating OTTI losses, management considers (a) the length of time and the extent to which the fair value has been less than cost, (b) adverse conditions specifically related to the security, an industry, or a geographic area, (c) the historic and implied volatility of the fair value of the security, (d) changes in the rating of the security by a rating agency, (e) recoveries or additional declines in fair value subsequent to the balance sheet date, (f) failure of the issuer of the security to make scheduled interest or principal payments, and (g) the payment structure of the debt security and the likelihood of the issuer being able to make payments that increase in the future. Management also monitors cash flow projections for securities that are considered beneficial interests under the guidance of ASC Subtopic 325-40, Investments – Other – Beneficial Interests in Securitized Financial Assets, (ASC Section 325-40-35). | |||||||||||
Management believes that the valuation of certain securities is a critical accounting policy that requires significant estimates in preparation of its consolidated financial statements. Management utilizes an independent third party to prepare both the impairment valuations and fair value determinations for its collateralized debt obligation (“CDO “) portfolio consisting of pooled trust preferred securities. Based on management’s review of the third party evaluations, management believes that there were no material differences in the valuations between December 31, 2013 and December 31, 2012. | |||||||||||
U.S. Government Agencies - Ten U.S. government agencies have been in a slight unrealized loss position for less than 12 months as of December 31, 2013. There were two agency securities for which the cost has been less than market value for a period longer than 12 months. These securities are of the highest investment grade and the Corporation does not intend to sell them, and it is not more likely than not that the Corporation will be required to sell them before recovery of their amortized cost basis, which may be at maturity. Therefore, no OTTI existed at December 31, 2013. | |||||||||||
Residential Mortgage-Backed Agencies - Seventeen residential mortgage-backed agencies have been in an unrealized loss position for less than 12 months as of December 31, 2013. Six residential mortgage-backed agencies have been in an unrealized loss position for a period of 12 months or longer. All of these securities are of the highest investment grade and the Corporation does not intend to sell them, nor is it more likely than not that the Corporation will be required to sell them before recovery of their amortized cost basis, which may be at maturity. Therefore, no OTTI existed at December 31, 2013. | |||||||||||
Commercial Mortgage-Backed Agencies - Eleven commercial mortgage-backed agencies have been in an unrealized loss position for less than 12 months as of December 31, 2013. There were no commercial mortgage-backed agency securities in an unrealized loss position for 12 months or more. The securities are of the highest investment grade and the Corporation does not intend to sell them, and it is not more likely than not that the Corporation will be required to sell the securities before recovery of their amortized cost basis, which may be at maturity. Accordingly, management does not consider these investments to be other-than-temporarily impaired at December 31, 2013. | |||||||||||
Collateralized Mortgage Obligations – One collateralized mortgage obligation security at December 31, 2013 has been in an unrealized loss position for 12 months or more. Four collateralized mortgage obligation securities have been in a slight unrealized loss position for less than 12 months as of December 31, 2013. The Corporation does not intend to sell these securities and it is not more likely than not that the Corporation will be required to sell them before recovery of their amortized cost basis, which may be at maturity. Accordingly, management does not consider these investments to be other-than-temporarily impaired at December 31, 2013. | |||||||||||
Obligations of State and Political Subdivisions – At December 31, 2013, there were seven municipal bonds that were impaired for a period of less than twelve months. The Corporation owns two tax increment fund bonds in the held to maturity portfolio. One of these bonds has been in an unrealized loss position for a period greater than 12 months. This bond is not rated by the rating agencies and was underwritten by the Corporation prior to purchase and is periodically reviewed for credit quality. Therefore, management does not consider this investment to be other-than-temporarily impaired at December 31, 2013. | |||||||||||
Collateralized Debt Obligations - The $20.4 million in unrealized losses greater than 12 months at December 31, 2013 relates to 17 pooled trust preferred securities that comprise the CDO portfolio. See Note 24 for a discussion of the methodology used by management to determine the fair values of these securities. The Corporation did not record any credit-related non-cash OTTI charges for the years ended December 31, 2013 or 2012. The unrealized losses on the remaining securities in the portfolio are primarily attributable to continued depression in market interest rates, marketability, liquidity and the current economic environment. | |||||||||||
Management systematically evaluates securities for impairment on a quarterly basis. Based upon application of Topic 320 (ASC Section 320-10-35), management must assess whether (i) we have the intent to sell the security and (ii) it is more likely than not that we will be required to sell the security prior to its anticipated recovery. If neither applies, then declines in the fair value of securities below their cost that are considered other-than-temporary declines are split into two components. The first is the loss attributable to declining credit quality. Credit losses are recognized in earnings as realized losses in the period in which the impairment determination is made. The second component consists of all other losses. The other losses are recognized in other comprehensive income. In estimating OTTI charges, management considers (a) the length of time and the extent to which the fair value has been less than cost, (b) adverse conditions specifically related to the security, an industry, or a geographic area, (c) the historic and implied volatility of the security, (d) changes in the rating of a security by a rating agency, (e) recoveries or additional declines in fair value subsequent to the balance sheet date, (f) failure of the issuer of the security to make scheduled interest payments, and (g) the payment structure of the debt security and the likelihood of the issuer being able to make payments that increase in the future. Due to the duration and the significant market value decline in the pooled trust preferred securities held in our portfolio, we performed more extensive testing on these securities for purposes of evaluating whether or not an OTTI has occurred. | |||||||||||
The market for these securities as of December 31, 2013 is not active and markets for similar securities are also not active. The inactivity was evidenced in 2008 first by a significant widening of the bid-ask spread in the brokered markets in which these securities trade and then by a significant decrease in the volume of trades relative to historical levels. The new issue market is also inactive, as no new CDOs have been issued since 2007. There are currently very few market participants who are willing to transact for these securities. The market values for these securities, or any securities other than those issued or guaranteed by the Treasury, are very depressed relative to historical levels. Therefore, in the current market, a low market price for a particular bond may only provide evidence of stress in the credit markets in general rather than being an indicator of credit problems with a particular issue. Given the conditions in the current debt markets and the continued absence of observable transactions in the secondary and new issue markets, management has determined that (i) the few observable transactions and market quotations that are available are not reliable for the purpose of obtaining fair value at December 31, 2013, (ii) an income valuation approach technique (i.e. present value) that maximizes the use of relevant observable inputs and minimizes the use of observable inputs will be equally or more representative of fair value than a market approach, and (iii) the CDO segment is appropriately classified within Level 3 of the valuation hierarchy because management determined that significant adjustments were required to determine fair value at the measurement date. | |||||||||||
Management utilizes an independent third party to assist the Corporation with both the evaluations of OTTI and the fair value determinations for our CDO portfolio. Management believes that there were no material differences in the impairment evaluations and pricing between December 31, 2012 and December 31, 2013. | |||||||||||
The approach of the third party to determine fair value involved several steps, including detailed credit and structural evaluation of each piece of collateral in each bond, default, recovery and prepayment/amortization probabilities for each piece of collateral in the bond, and discounted cash flow modeling. The discount rate methodology used by the third party combines a baseline current market yield for comparable corporate and structured credit products with adjustments based on evaluations of the differences found in structure and risks associated with actual and projected credit performance of each CDO being valued. Currently, there is an active and liquid trading market only for stand-alone trust preferred securities. Therefore, adjustments to the baseline discount rate are also made to reflect the additional leverage found in structured instruments. | |||||||||||
On December 10, 2013, to implement Section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act, the Department of the Treasury, the Federal Deposit Insurance Exchange Commission (the “SEC”) adopted the Volcker Rule. The Volcker Rule prohibits a banking institution from acquiring or retaining an “ownership interest” in a “covered fund”. A “covered fund” is (i) an entity that would be an investment company under the Investment Company Act of 1940, as amended, but for the exemptions contained in Section 3(c)(1) or Section 3(c)(7) of that Act, (ii) a commodity pool with certain characteristics, and/or (iii) a non-US entity with certain characteristics that is sponsored or owned by a banking entity located or organized in the US. The term “ownership interest” is defined as “any equity, partnership, or other similar interest.” | |||||||||||
On January 14, 2014, the five regulatory agencies changed provisions of the Volcker Rule and published a list of CDOs that were exempt under the rule. After our review of the exempt list, management identified 15 of our 18 holdings that were exempt from the rule. | |||||||||||
The 3 remaining holdings owned that were not included on the exempt list were invested in I-Preferred Term Securities I and I-Preferred Term Securities IV. The underlying issuers of these bonds were primarily insurance companies and not financial institutions. Since these securities were not included on the published list of exempt CDOs, management needed to determine whether or not these holdings constitute an “ownership interest” as defined above. To make this determination, management conducted a thorough review of the Indentures and Offering Memorandums for each of these bonds. | |||||||||||
The bonds do not represent an equity or partnership interest. Under the Volcker Rule, an interest will be an “other similar interest” if it exhibits any of the following characteristics on a current, future, or contingent basis: | |||||||||||
1 | It has the right to participate in the selection or removal of a general partner, managing member, member of the board of directors or trustees, investment manager, investment adviser, or commodity trading advisor of the covered fund; | ||||||||||
2 | It has the right under the terms of the interest to receive a share of the income, gains or profits of the covered fund, regardless of whether the right is pro rata with other owners or holders of interests; | ||||||||||
3 | It has the right to receive the underlying assets of the covered fund after all other interests have been redeemed and/or paid in full, excluding the rights of a creditor to exercise remedies upon the occurrence of an event of default or an acceleration event; | ||||||||||
4 | It has the right to receive all or a portion of excess spread; | ||||||||||
5 | Its terms provide that the amounts payable by the covered fund with respect to the interest could be reduced based on losses arising from the underlying assets of the covered fund; | ||||||||||
6 | It receives income on a pass-through basis from the covered fund, or has a rate of return that is determined by reference to the performance of the underlying assets of the covered fund; or | ||||||||||
7 | It is any synthetic right to have, receive or be allocated any of the rights above. | ||||||||||
Based upon review of the legal documents for I-Preferred Term Securities I and I-Preferred Term Securities IV, neither of these bonds exhibit any of these characteristics and accordingly, do not meet the definition of an “ownership interest” as defined in the Volcker Rule. | |||||||||||
In conclusion, as of December 31, 2013 all CDO securities owned by the Company are not subject to application of the Volcker Rule and therefore reaffirm our intent of the ability to hold. | |||||||||||
The following table presents a cumulative roll-forward of the amount of non-cash OTTI charges related to credit losses which have been recognized in earnings for the trust preferred securities in the CDO portfolio held and not intended to be sold: | |||||||||||
For the year ended | |||||||||||
(in thousands) | 31-Dec-13 | 31-Dec-12 | |||||||||
Balance of credit-related OTTI at January 1 | $ | 13,959 | $ | 14,424 | |||||||
Reduction for increases in cash flows expected to be collected | -537 | -465 | |||||||||
Balance of credit-related OTTI at December 31 | $ | 13,422 | $ | 13,959 | |||||||
The amortized cost and estimated fair value of securities by contractual maturity at December 31, 2013 are shown in the following table. Actual maturities will differ from contractual maturities because the issuers of the securities may have the right to call or prepay obligations with or without call or prepayment penalties. | |||||||||||
31-Dec-13 | |||||||||||
Amortized | Fair | ||||||||||
(in thousands) | Cost | Value | |||||||||
Contractual Maturity | |||||||||||
Available for sale: | |||||||||||
Due after one year through five years | $ | 30,034 | $ | 29,656 | |||||||
Due after five years through ten years | 76,128 | 74,254 | |||||||||
Due after ten years | 83,731 | 60,940 | |||||||||
189,893 | 164,850 | ||||||||||
Residential mortgage-backed agencies | 116,933 | 112,444 | |||||||||
Commercial mortgage-backed agencies | 31,025 | 29,905 | |||||||||
Collateralized mortgage obligations | 30,468 | 29,390 | |||||||||
$ | 368,319 | $ | 336,589 | ||||||||
Held to Maturity: | |||||||||||
Due after ten years | $ | 3,900 | $ | 3,590 | |||||||
At December 31, 2013 and 2012, investment securities with a fair value of $175 million and $157 million, respectively, were pledged as permitted or required to secure public deposits, for securities sold under agreements to repurchase as required or permitted by law and as collateral for borrowing capacity. | |||||||||||
Loans_and_Related_Allowance_fo
Loans and Related Allowance for Loan Losses | 12 Months Ended | ||||||||||||||
Dec. 31, 2013 | |||||||||||||||
Loans and Related Allowance for Loan Losses [Abstract] | ' | ||||||||||||||
Loans and Related Allowance for Loan Losses | ' | ||||||||||||||
1 | Loans and Related Allowance for Loan Losses | ||||||||||||||
The following table summarizes the primary segments of the loan portfolio as of December 31, 2013 and December 31, 2012: | |||||||||||||||
(in thousands) | Commercial Real Estate | Acquisition and Development | Commercial and Industrial | Residential Mortgage | Consumer | Total | |||||||||
31-Dec-13 | |||||||||||||||
Total loans | $ | 267,978 | $ | 107,250 | $ | 59,788 | $ | 350,906 | $ | 24,318 | $ | 810,240 | |||
Individually evaluated for impairment | $ | 11,740 | $ | 11,703 | $ | 2,299 | $ | 7,546 | $ | 21 | $ | 33,309 | |||
Collectively evaluated for impairment | $ | 256,238 | $ | 95,547 | $ | 57,489 | $ | 343,360 | $ | 24,297 | $ | 776,931 | |||
31-Dec-12 | |||||||||||||||
Total loans | $ | 298,851 | $ | 128,391 | $ | 69,013 | $ | 346,919 | $ | 31,655 | $ | 874,829 | |||
Individually evaluated for impairment | $ | 15,941 | $ | 24,112 | $ | 3,449 | $ | 4,304 | $ | 36 | $ | 47,842 | |||
Collectively evaluated for impairment | $ | 282,910 | $ | 104,279 | $ | 65,564 | $ | 342,615 | $ | 31,619 | $ | 826,987 | |||
The segments of the Bank’s loan portfolio are disaggregated to a level that allows management to monitor risk and performance. The CRE loan segment is then segregated into two classes. Non-owner occupied CRE loans, which include loans secured by non-owner occupied, nonfarm, non-residential properties, generally have a greater risk profile than all other CRE loans, which include loans secured by farmland, multifamily structures and owner-occupied commercial structures. The A&D loan segment is segregated into two classes. One-to-four family residential construction loans are generally made to individuals for the acquisition of and/or construction on a lot or lots on which a residential dwelling is to be built. All other A&D loans are generally made to developers or investors for the purpose of acquiring, developing and constructing residential or commercial structures. These loans have a higher risk profile because the ultimate buyer, once development is completed, is generally not known at the time of the A&D loan. The C&I loan segment consists of loans made for the purpose of financing the activities of commercial customers. The residential mortgage loan segment is segregated into two classes: (i) amortizing term loans, which are primarily first liens; and (ii) home equity lines of credit, which are generally second liens. The consumer loan segment consists primarily of installment loans (direct and indirect) and overdraft lines of credit connected with customer deposit accounts. | |||||||||||||||
In the ordinary course of business, executive officers and directors of the Corporation, including their families and companies in which certain directors are principal owners, were loan customers of the Bank. Pursuant to the Bank’s lending policies, such loans were made on the same terms, including collateral, as those prevailing at the time for comparable transactions with persons who are not related to the Corporation and do not involve more than the normal risk of collectability. Changes in the dollar amount of loans outstanding to officers, directors and their associates were as follows for the year ended December 31: | |||||||||||||||
(in thousands) | 2013 | ||||||||||||||
Balance at January 1 | $ | 11,731 | |||||||||||||
Loans or advances | 690 | ||||||||||||||
Repayments | -2,550 | ||||||||||||||
Balance at December 31 | $ | 9,871 | |||||||||||||
Management uses a 10-point internal risk rating system to monitor the credit quality of the overall loan portfolio. The first six categories are considered not criticized and are aggregated as “Pass” rated. The criticized rating categories utilized by management generally follow bank regulatory definitions. The Special Mention category includes assets that are currently protected but are potentially weak, resulting in an undue and unwarranted credit risk, but not to the point of justifying a Substandard classification. Loans in the Substandard category have well-defined weaknesses that jeopardize the liquidation of the debt, and have a distinct possibility that some loss will be sustained if the weaknesses are not corrected. All loans greater than 90 days past due are considered Substandard. Only the portion of a specific allocation of the allowance for loan losses that management believes is associated with a pending event that could trigger loss in the short term is classified in the Doubtful category. Any portion of a loan that has been charged off is placed in the Loss category. It is possible for a loan to be classified as Substandard in the internal risk rating system, but not considered impaired under GAAP, due to the broader reach of “well-defined weaknesses” in the application of the Substandard definition. | |||||||||||||||
To help ensure that risk ratings are accurate and reflect the present and future capacity of borrowers to repay a loan as agreed, the Bank has a structured loan rating process with several layers of internal and external oversight. Generally, consumer and residential mortgage loans are included in the Pass categories unless a specific action, such as bankruptcy, repossession, or death occurs to raise awareness of a possible credit event. The Bank’s Commercial Loan Officers are responsible for the timely and accurate risk rating of the loans in the commercial segments at origination and on an ongoing basis. The Credit Quality Department performs an annual review of all commercial relationships $500,000 or greater. Confirmation of the appropriate risk grade is included as part of the review process on an ongoing basis. The Bank has an experienced Credit Quality and Loan Review Department that continually reviews and assesses loans within the portfolio. In addition, the Bank engages an external consultant to conduct loan reviews on at least an annual basis. Generally, the external consultant reviews commercial relationships greater than $750,000 and/or criticized relationships greater than $500,000. Detailed reviews, including plans for resolution, are performed on loans classified as Substandard on a quarterly basis. Loans in the Special Mention and Substandard categories that are collectively evaluated for impairment are given separate consideration in the determination of the allowance. | |||||||||||||||
The following table presents the classes of the loan portfolio summarized by the aggregate Pass and the criticized categories of Special Mention and Substandard. There were no loans classified as Doubtful within the internal risk rating system as of December 31, 2013 and 2012: | |||||||||||||||
(in thousands) | Pass | Special Mention | Substandard | Total | |||||||||||
31-Dec-13 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 103,556 | $ | 9,243 | $ | 24,745 | $ | 137,544 | |||||||
All other CRE | 100,461 | 8,479 | 21,494 | 130,434 | |||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 8,764 | 0 | 4,497 | 13,261 | |||||||||||
All other A&D | 73,198 | 1,787 | 19,004 | 93,989 | |||||||||||
Commercial and industrial | 55,768 | 140 | 3,880 | 59,788 | |||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 261,735 | 752 | 11,980 | 274,467 | |||||||||||
Residential mortgage – home equity | 73,901 | 628 | 1,910 | 76,439 | |||||||||||
Consumer | 24,143 | 5 | 170 | 24,318 | |||||||||||
Total | $ | 701,526 | $ | 21,034 | $ | 87,680 | $ | 810,240 | |||||||
31-Dec-12 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 126,230 | $ | 6,464 | $ | 18,840 | $ | 151,534 | |||||||
All other CRE | 110,365 | 9,072 | 27,880 | 147,317 | |||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 9,284 | 1,101 | 5,967 | 16,352 | |||||||||||
All other A&D | 79,136 | 1,073 | 31,830 | 112,039 | |||||||||||
Commercial and industrial | 60,234 | 2,029 | 6,750 | 69,013 | |||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 255,993 | 751 | 11,885 | 268,629 | |||||||||||
Residential mortgage – home equity | 75,935 | 195 | 2,160 | 78,290 | |||||||||||
Consumer | 31,376 | 22 | 257 | 31,655 | |||||||||||
Total | $ | 748,553 | $ | 20,707 | $ | 105,569 | $ | 874,829 | |||||||
Management further monitors the performance and credit quality of the loan portfolio by analyzing the age of the portfolio as determined by the length of time a recorded payment is past due. A loan is considered to be past due when a payment has not been received for 30 days past its contractual due date. For all loan segments, the accrual of interest is discontinued when principal or interest is delinquent for 90 days or more unless the loan is well-secured and in the process of collection. All non-accrual loans are considered to be impaired. Interest payments received on non-accrual loans are applied as a reduction of the loan principal balance. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. The Corporation’s policy for recognizing interest income on impaired loans does not differ from its overall policy for interest recognition. | |||||||||||||||
The following table presents the classes of the loan portfolio summarized by the aging categories of performing loans and non-accrual loans as of December 31, 2013 and December 31, 2012: | |||||||||||||||
(in thousands) | Current | 30-59 Day Past Due | 60-89 Days Past Due | 90 Days+ Past Due | Total Past Due and still accruing | Non-Accrual | Total Loans | ||||||||
31-Dec-13 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 136,462 | $ | 191 | $ | 145 | $ | 65 | $ | 401 | $ | 681 | $ | 137,544 | |
All other CRE | 121,985 | 1,490 | 207 | 0 | 1,697 | 6,752 | 130,434 | ||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 12,018 | 0 | 139 | 0 | 139 | 1,104 | 13,261 | ||||||||
All other A&D | 88,071 | 1,075 | 33 | 282 | 1,390 | 4,528 | 93,989 | ||||||||
Commercial and industrial | 59,320 | 87 | 57 | 133 | 277 | 191 | 59,788 | ||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 259,239 | 8,258 | 2,541 | 634 | 11,433 | 3,795 | 274,467 | ||||||||
Residential mortgage – home equity | 74,917 | 656 | 439 | 96 | 1,191 | 331 | 76,439 | ||||||||
Consumer | 23,802 | 350 | 128 | 24 | 502 | 14 | 24,318 | ||||||||
Total | $ | 775,814 | $ | 12,107 | $ | 3,689 | $ | 1,234 | $ | 17,030 | $ | 17,396 | $ | 810,240 | |
31-Dec-12 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 146,796 | $ | 321 | $ | 64 | $ | 0 | $ | 385 | $ | 4,353 | $ | 151,534 | |
All other CRE | 143,108 | 2,368 | 0 | 0 | 2,368 | 1,841 | 147,317 | ||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 16,280 | 61 | 0 | 0 | 61 | 11 | 16,352 | ||||||||
All other A&D | 100,232 | 619 | 221 | 200 | 1,040 | 10,767 | 112,039 | ||||||||
Commercial and industrial | 68,228 | 580 | 29 | 0 | 609 | 176 | 69,013 | ||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 251,673 | 7,446 | 5,244 | 1,639 | 14,329 | 2,627 | 268,629 | ||||||||
Residential mortgage – home equity | 77,224 | 583 | 130 | 249 | 962 | 104 | 78,290 | ||||||||
Consumer | 30,434 | 800 | 327 | 58 | 1,185 | 36 | 31,655 | ||||||||
Total | $ | 833,975 | $ | 12,778 | $ | 6,015 | $ | 2,146 | $ | 20,939 | $ | 19,915 | $ | 874,829 | |
Non-accrual loans which have been subject to a partial charge-off totaled $1.9 million as of December 31, 2013, compared to $6.7 million as of December 31, 2012. | |||||||||||||||
The ALL is maintained to absorb losses from the loan portfolio. The ALL is based on management’s continuing evaluation of the risk characteristics and credit quality of the loan portfolio, assessment of current economic conditions, diversification and size of the portfolio, adequacy of collateral, past and anticipated loss experience, and the amount of non-performing loans. | |||||||||||||||
The Bank’s methodology for determining the ALL is based on the requirements of ASC Section 310-10-35, Receivables-Overall-Subsequent Measurement, for loans individually evaluated for impairment and ASC Subtopic 450-20, Contingencies-Loss Contingencies, for loans collectively evaluated for impairment, as well as the Interagency Policy Statements on the Allowance for Loan and Lease Losses and other bank regulatory guidance. The total of the two components represents the Bank’s ALL. | |||||||||||||||
The following table summarizes the primary segments of the ALL, segregated into the amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment as of December 31, 2013 and December 31, 2012. | |||||||||||||||
(in thousands) | Commercial Real Estate | Acquisition and Development | Commercial and Industrial | Residential Mortgage | Consumer | Total | |||||||||
31-Dec-13 | |||||||||||||||
Total ALL | $ | 4,052 | $ | 4,172 | $ | 766 | $ | 4,320 | $ | 284 | $ | 13,594 | |||
Individually evaluated for impairment | $ | 236 | $ | 1,967 | $ | 0 | $ | 80 | $ | 0 | $ | 2,283 | |||
Collectively evaluated for impairment | $ | 3,816 | $ | 2,205 | $ | 766 | $ | 4,240 | $ | 284 | $ | 11,311 | |||
31-Dec-12 | |||||||||||||||
Total ALL | $ | 5,206 | $ | 5,029 | $ | 906 | $ | 4,507 | $ | 399 | $ | 16,047 | |||
Individually evaluated for impairment | $ | 126 | $ | 1,506 | $ | 0 | $ | 0 | $ | 0 | $ | 1,632 | |||
Collectively evaluated for impairment | $ | 5,080 | $ | 3,523 | $ | 906 | $ | 4,507 | $ | 399 | $ | 14,415 | |||
Management evaluates individual loans in all of the commercial segments for possible impairment if the loan is greater than $500,000 or is part of a relationship that is greater than $750,000 and (i) is either in nonaccrual status, or (ii) is risk-rated Substandard and is greater than 60 days past due. Loans are considered to be impaired when, based on current information and events, it is probable that the Bank will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in evaluating impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. The Bank does not separately evaluate individual consumer and residential mortgage loans for impairment, unless such loans are part of larger relationship that is impaired; otherwise loans in these segments are considered impaired when they are classified as non-accrual. | |||||||||||||||
Once the determination has been made that a loan is impaired, the determination of whether a specific allocation of the allowance is necessary is measured by comparing the recorded investment in the loan to the fair value of the loan using one of three methods: (i) the present value of expected future cash flows discounted at the loan’s effective interest rate; (ii) the loan’s observable market price; or (iii) the fair value of the collateral less selling costs. The method is selected on a loan-by-loan basis, with management utilizing the fair value of collateral method for 95% of the analyses. If the fair value of the collateral less selling costs method is utilized for collateral securing loans in the commercial segments, then an updated external appraisal is ordered on the collateral supporting the loan if the loan balance is greater than $500,000 and the existing appraisal is greater than 18 months old. If an appraisal is less than 12 months old (the age at which the internal appraisal grid begins) and if management believes that general market conditions in that geographic market have changed considerably, the property has deteriorated or perhaps lost an income stream, or a recent appraisal for a similar property indicates a significant change, then management may adjust the fair value indicated by the existing appraisal until a new appraisal is obtained. If the most recent appraisal is greater than 12 months old or if an updated appraisal has not been received and reviewed in time for the determination of estimated fair value at quarter (or year) end, then the estimated fair value of the collateral is determined by adjusting the existing appraisal by the appropriate percentage from an internally prepared appraisal discount grid. This grid considers the age of a third party appraisal and the geographic region where the collateral is located in order to discount an appraisal that is greater than 12 months old. The discount rates in the appraisal discount grid are updated at least annually to reflect the most current knowledge that management has available, including the results of current appraisals. If there is a delay in receiving an updated appraisal or if the appraisal is found to be deficient in our internal appraisal review process and re-ordered, the Bank continues to use a discount factor from the appraisal discount grid based on the collateral location and current appraisal age in order to determine the estimated fair value. A specific allocation of the ALL is recorded if there is any deficiency in collateral value determined by comparing the estimated fair value to the recorded investment of the loan. When updated appraisals are received and reviewed, adjustments are made to the specific allocation as needed. | |||||||||||||||
The evaluation of the need and amount of a specific allocation of the ALL and whether a loan can be removed from impairment status is made on a quarterly basis. | |||||||||||||||
The following table presents impaired loans by class, segregated by those for which a specific allowance was required and those for which a specific allowance was not necessary as of December 31, 2013 and December 31, 2012: | |||||||||||||||
Impaired Loans with Specific Allowance | Impaired Loans with No Specific Allowance | Total Impaired Loans | |||||||||||||
(in thousands) | Recorded Investment | Related Allowances | Recorded Investment | Recorded Investment | Unpaid Principal Balance | ||||||||||
31-Dec-13 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 257 | $ | 59 | $ | 922 | $ | 1,179 | $ | 1,191 | |||||
All other CRE | 1,080 | 177 | 9,481 | 10,561 | 10,689 | ||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 2,651 | 634 | 7 | 2,658 | 2,704 | ||||||||||
All other A&D | 4,037 | 1,333 | 5,008 | 9,045 | 13,394 | ||||||||||
Commercial and industrial | 0 | 0 | 2,299 | 2,299 | 2,299 | ||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 988 | 80 | 5,979 | 6,967 | 7,372 | ||||||||||
Residential mortgage – home equity | 0 | 0 | 579 | 579 | 579 | ||||||||||
Consumer | 0 | 0 | 21 | 21 | 21 | ||||||||||
Total impaired loans | $ | 9,013 | $ | 2,283 | $ | 24,296 | $ | 33,309 | $ | 38,249 | |||||
31-Dec-12 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 0 | $ | 0 | $ | 5,309 | $ | 5,309 | $ | 7,929 | |||||
All other CRE | 1,019 | 126 | 9,613 | 10,632 | 10,785 | ||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 2,052 | 471 | 10 | 2,062 | 2,062 | ||||||||||
All other A&D | 5,410 | 1,035 | 16,640 | 22,050 | 26,232 | ||||||||||
Commercial and industrial | 0 | 0 | 3,449 | 3,449 | 3,449 | ||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 0 | 0 | 3,755 | 3,755 | 4,086 | ||||||||||
Residential mortgage – home equity | 0 | 0 | 549 | 549 | 549 | ||||||||||
Consumer | 0 | 0 | 36 | 36 | 36 | ||||||||||
Total impaired loans | $ | 8,481 | $ | 1,632 | $ | 39,361 | $ | 47,842 | $ | 55,128 | |||||
Loans that are collectively evaluated for impairment are analyzed with general allowances being made as appropriate. For general allowances, historical loss trends are used in the estimation of losses in the current portfolio. These historical loss amounts are modified by other qualitative factors. | |||||||||||||||
The classes described above, which are based on the Federal call code assigned to each loan, provide the starting point for the ALL analysis. Management tracks the historical net charge-off activity (full and partial charge-offs, net of full and partial recoveries) at the call code level. A historical charge-off factor is calculated utilizing a defined number of consecutive historical quarters. Consumer pools currently utilize a rolling 12 quarters, while Commercial pools currently utilize a rolling eight quarters. | |||||||||||||||
“Pass” rated credits are segregated from “Criticized” credits for the application of qualitative factors. The un-criticized (“pass”) pools for commercial and residential real estate are further segmented based upon the geographic location of the underlying collateral. There are seven geographic regions utilized – six that represent the Bank’s lending footprint and a seventh for all out-of-market credits. Different economic environments and resultant credit risks exist in each region that are acknowledged in the assignment of qualitative factors. Loans in the criticized pools, which possess certain qualities or characteristics that may lead to collection and loss issues, are closely monitored by management and subject to additional qualitative factors. | |||||||||||||||
Management has identified a number of additional qualitative factors which it uses to supplement the historical charge-off factor because these factors are likely to cause estimated credit losses associated with the existing loan pools to differ from historical loss experience. The additional factors that are evaluated quarterly and updated using information obtained from internal, regulatory, and governmental sources are: (i) national and local economic trends and conditions; (ii) levels of and trends in delinquency rates and non-accrual loans; (iii) trends in volumes and terms of loans; (iv) effects of changes in lending policies; (v) experience, ability, and depth of lending staff; (vi) value of underlying collateral; and (vii) concentrations of credit from a loan type, industry and/or geographic standpoint. | |||||||||||||||
Management reviews the loan portfolio on a quarterly basis using a defined, consistently applied process in order to make appropriate and timely adjustments to the ALL. When information confirms all or part of specific loans to be uncollectible, these amounts are promptly charged off against the ALL. Residential mortgage and consumer loans are charged off after they are 120 days contractually past due. All other loans are charged off based on an evaluation of the facts and circumstances of each individual loan. When the Bank believes that its ability to collect is solely dependent on the liquidation of the collateral, a full or partial charge-off is recorded promptly to bring the recorded investment to an amount that the Bank believes is supported by an ability to collect on the collateral. The circumstances that may impact the Bank’s decision to charge-off all or a portion of a loan include default or non-payment by the borrower, scheduled foreclosure actions, and/or prioritization of the Bank’s claim in bankruptcy. There may be circumstances where due to pending events, the Bank will place a specific allocation of the ALL on a loan for which a partial charge-off has been previously recognized. This specific allocation may be either charged-off or removed depending upon the outcome of the pending event. Full or partial charge-offs are not recovered until full principal and interest on the loan have been collected, even if a subsequent appraisal supports a higher value. Loans with partial charge-offs remain in non-accrual status. Both full and partial charge-offs reduce the recorded investment of the loan and the ALL and are considered to be charge-offs for purposes of all credit loss metrics and trends, including the historical rolling charge-off rates used in the determination of the ALL. | |||||||||||||||
Activity in the ALL is presented for the years ended December 31, 2013 and December 31, 2012: | |||||||||||||||
(in thousands) | Commercial Real Estate | Acquisition and Development | Commercial and Industrial | Residential Mortgage | Consumer | Total | |||||||||
ALL balance at January 1, 2013 | $ | 5,206 | $ | 5,029 | $ | 906 | $ | 4,507 | $ | 399 | $ | 16,047 | |||
Charge-offs | -233 | -2,200 | -1,066 | -485 | -590 | -4,574 | |||||||||
Recoveries | 1,004 | 100 | 79 | 199 | 359 | 1,741 | |||||||||
Provision | -1,925 | 1,243 | 847 | 99 | 116 | 380 | |||||||||
ALL balance at December 31, 2013 | $ | 4,052 | $ | 4,172 | $ | 766 | $ | 4,320 | $ | 284 | $ | 13,594 | |||
ALL balance at January 1, 2012 | $ | 6,218 | $ | 7,190 | $ | 2,190 | $ | 3,430 | $ | 452 | $ | 19,480 | |||
Charge-offs | -2,289 | -809 | -9,402 | -1,314 | -650 | -14,464 | |||||||||
Recoveries | 156 | 420 | 464 | 177 | 424 | 1,641 | |||||||||
Provision | 1,121 | -1,772 | 7,654 | 2,214 | 173 | 9,390 | |||||||||
ALL balance at December 31,2012 | $ | 5,206 | $ | 5,029 | $ | 906 | $ | 4,507 | $ | 399 | $ | 16,047 | |||
The ALL is based on estimates, and actual losses will vary from current estimates. Management believes that the granularity of the homogeneous pools and the related historical loss ratios and other qualitative factors, as well as the consistency in the application of assumptions, result in an ALL that is representative of the risk found in the components of the portfolio at any given date. | |||||||||||||||
The following table presents the average recorded investment in impaired loans and related interest income recognized for the periods indicated: | |||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||
(in thousands) | Average investment | Interest income recognized on an accrual basis | Interest income recognized on a cash basis | Average investment | Interest income recognized on an accrual basis | Interest income recognized on a cash basis | |||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 3,564 | $ | 39 | $ | 1,454 | $ | 7,237 | $ | 34 | $ | 0 | |||
All other CRE | 10,670 | 314 | 46 | 9,385 | 318 | 49 | |||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 2,958 | 77 | 0 | 2,248 | 87 | 0 | |||||||||
All other A&D | 16,700 | 494 | 575 | 24,018 | 481 | 0 | |||||||||
Commercial and industrial | 2,735 | 112 | 0 | 5,747 | 150 | 0 | |||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 5,245 | 102 | 11 | 4,755 | 117 | 38 | |||||||||
Residential mortgage – home equity | 559 | 22 | 1 | 828 | 17 | 7 | |||||||||
Consumer | 64 | 0 | 0 | 46 | 0 | 0 | |||||||||
Total | $ | 42,495 | $ | 1,160 | $ | 2,087 | $ | 54,264 | $ | 1,204 | $ | 94 | |||
In the normal course of business, the Bank modifies loan terms for various reasons. These reasons may include as a retention strategy to compete in the current interest rate environment, and to re-amortize or extend a loan term to better match the loan’s payment stream with the borrower’s cash flows. A modified loan is considered to be a TDR when the Bank has determined that the borrower is troubled (i.e. experiencing financial difficulties). The Bank evaluates the probability that the borrower will be in payment default on any of its debt in the foreseeable future without modification. To make this determination, the Bank performs a global financial review of the borrower and loan guarantors to assess their current ability to meet their financial obligations. | |||||||||||||||
When the Bank restructures a loan to a troubled borrower, the loan terms (i.e. interest rate, payment, amortization period and/or maturity date) are modified in such a way to enable the borrower to cover the modified debt service payments based on current financials and cash flow adequacy. If a borrower’s hardship is thought to be temporary, then modified terms are only offered for that time period. Where possible, the Bank obtains additional collateral and/or secondary payment sources at the time of the restructure in order to put the Bank in the best possible position if the borrower is not able to meet the modified terms. To date, the Bank has not forgiven any principal as a restructuring concession. The Bank will not offer modified terms if it believes that modifying the loan terms will only delay an inevitable permanent default. | |||||||||||||||
All loans designated as TDRs are considered impaired loans and may be in either accruing or non-accruing status. The Corporation’s policy for recognizing interest income on impaired loans does not differ from its overall policy for interest recognition. Accordingly, the accrual of interest is discontinued when principal or interest is delinquent for 90 days or more unless the loan is well-secured and in the process of collection. If the loan was accruing at the time of the modification, then it continues to be in accruing status subsequent to the modification. Non-accrual TDRs may return to accruing status when there has been sufficient payment performance for a period of at least six months. TDRs are considered to be in payment default if, subsequent to modification, the loans are transferred to non-accrual status or to foreclosure. A loan may be removed from being reported as aTDR in the calendar year following the modification if the interest rate at the time of modification was consistent with the interest rate for a loan with comparable credit risk and the loan has performed according to its modified terms for at least six months. | |||||||||||||||
The volume, type and performance of TDR activity is considered in the assessment of the local economic trend qualitative factor used in the determination of the ALL for loans that are evaluated collectively for impairment. | |||||||||||||||
There were 31 loans totaling $17.9 million and 27 loans totaling $17.7 million that were classified as TDRs at December 31, 2013 and December 31, 2012, respectively. The following table presents the volume and recorded investment at the time of modification of TDRs by class and type of modification that occurred during the periods indicated: | |||||||||||||||
Temporary Rate Modification | Extension of Maturity | Modification of Payment and Other Terms | |||||||||||||
Number of Contracts | Recorded Investment | Number of Contracts | Recorded Investment | Number of Contracts | Recorded Investment | ||||||||||
(Dollars in thousands) | -1 | -1 | -2 | ||||||||||||
For the year ended December 31, 2013 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | 0 | $ | 0 | 0 | $ | 0 | 0 | $ | 0 | ||||||
All other CRE | 0 | 0 | 2 | 268 | 0 | 0 | |||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
All other A&D | 0 | 0 | 0 | 0 | 1 | 1,381 | |||||||||
Commercial and industrial | 0 | 0 | 5 | 669 | 0 | 0 | |||||||||
Residential mortgage | |||||||||||||||
Residential mortgage – term | 4 | 437 | 2 | 636 | 0 | 0 | |||||||||
Residential mortgage – home equity | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Total (3) | 4 | $ | 437 | 9 | $ | 1,573 | 1 | $ | 1,381 | ||||||
For the year ended December 31, 2012 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | 0 | $ | 0 | 0 | $ | 0 | 0 | $ | 0 | ||||||
All other CRE | 1 | 3,110 | 0 | 0 | 4 | 2,634 | |||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 0 | 0 | 0 | 0 | 1 | 2,125 | |||||||||
All other A&D | 0 | 0 | 1 | 134 | 1 | 1,889 | |||||||||
Commercial and industrial | 0 | 0 | 0 | 0 | 1 | 247 | |||||||||
Residential mortgage | |||||||||||||||
Residential mortgage – term | 2 | 584 | 2 | 765 | 1 | 284 | |||||||||
Residential mortgage – home equity | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Total (3) | 3 | $ | 3,694 | 3 | $ | 899 | 8 | $ | 7,179 | ||||||
Notes: | |||||||||||||||
(1)The post-modification recorded investment balances were the same as the pre-modification recorded investment balances, as there were no charge-offs as a result of any of the restructurings. | |||||||||||||||
(2)A charge-off of $1.8 million was taken in connection with the modification of this loan in 2013. | |||||||||||||||
(3)Includes 5 existing TDRs totaling $7.5 million that were restructured in 2012 and 7 existing TDRs totaling $1.3 million that were restructured in 2013 with new terms providing a concession. | |||||||||||||||
During 2013, there were seven new TDRs. In addition, seven existing TDRs which had reached their previous modification maturity were re-modified. A $14,292 reduction of the ALL resulted from the movement of six of the loans being evaluated collectively for impairment to being evaluated individually for impairment. The seventh loan modified in 2013 was impaired at the time of modification and there was a $1.8 million charge-off related to the transfer of the loan. During 2012, there were 14 new TDRs. A $55,000 reduction of the ALL resulted from the movement of eight of the loans being evaluated collectively for impairment to being evaluated individually for impairment. The remaining six new TDRs during 2012 were impaired at the time of modification, resulting in no impact to the recorded investment or to the ALL as a result of the modifications. | |||||||||||||||
During the year ended December 31, 2013, activity relating to payment defaults included three non-owner occupied CRE loans totaling $2.2 million to the same borrower that were transferred to non-accrual in the third quarter of 2013 and two non-performing A&D loans totaling $.4 million that were transferred to other real estate owned (“OREO”) in the second quarter of 2013. There were no receivables modified in 2012 as TDRs within the previous 12 months for which there was a payment default during the periods indicated. | |||||||||||||||
At December 31, 2013 and 2012, additional funds of up to $2.0 million and $2.1 million, respectively, were committed to be advanced in connection with TDRs. | |||||||||||||||
Other_Real_Estate_Owned
Other Real Estate Owned | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Other Real Estate Owned [Abstract] | ' | ||||
Other Real Estate Owned | ' | ||||
1 | Other Real Estate Owned | ||||
The following table presents the components of OREO as of December 31, 2013 and 2012: | |||||
(in thousands) | 2013 | 2012 | |||
Commercial real estate | $ | 5,306 | $ | 5,559 | |
Acquisition and development | 10,509 | 9,831 | |||
Residential mortgage | 1,216 | 2,123 | |||
Total OREO | $ | 17,031 | $ | 17,513 | |
The following table presents the activity in the OREO valuation allowance for the years ended December 31, 2013 and 2012: | |||||
(in thousands) | 2013 | 2012 | |||
Balance January 1 | $ | 2,766 | $ | 1,745 | |
Fair value write-down | 3,079 | 1,489 | |||
Sales of OREO | -1,798 | -468 | |||
Balance December 31 | $ | 4,047 | $ | 2,766 | |
The following table presents the components of OREO expenses, net for the years ended December 31, 2013 and 2012: | |||||
December 31, | |||||
(in thousands) | 2013 | 2012 | |||
Gains on real estate, net | $ | -205 | $ | -995 | |
Fair value write-down | 3,079 | 1,489 | |||
Expenses, net | 665 | 914 | |||
Rental and other income | -630 | -518 | |||
Total OREO expenses, net | $ | 2,909 | $ | 890 | |
Premises_and_Equipment
Premises and Equipment | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Premises and Equipment [Abstract] | ' | ||||
Premises and Equipment | ' | ||||
1 | Premises and Equipment | ||||
The composition of premises and equipment at December 31 is as follows: | |||||
(in thousands) | 2013 | 2012 | |||
Land | $ | 7,304 | $ | 8,725 | |
Land Improvements | 1,174 | 1,168 | |||
Premises | 25,183 | 25,247 | |||
Furniture and Equipment | 17,333 | 17,380 | |||
Capital Lease | 534 | 535 | |||
51,528 | 53,055 | ||||
Less accumulated depreciation | -24,623 | -23,600 | |||
Total | $ | 26,905 | $ | 29,455 | |
The Corporation recorded depreciation expense of $2.0 million in 2013 and 2012. | |||||
Pursuant to the terms of noncancelable operating lease agreements for banking and subsidiaries’ offices and for data processing and telecommunications equipment in effect at December 31, 2013, future minimum rent commitments under these leases for future years are as follows: (i) $3.4 million for 2014; (ii) $2.7 million for 2015; (iii) $2.7 million for 2016; (iv) $2.7 million for 2017; (v) $1.6 million for 2018; and (vi) $5.2 million thereafter. The leases contain options to extend for periods from one to five years, which are not included in the aforementioned amounts. | |||||
Total building and land rental expense amounted to $.5 million in 2013 and 2012. | |||||
Goodwill
Goodwill | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Goodwill [Abstract] | ' | ||||||
Goodwill | ' | ||||||
1 | Goodwill | ||||||
ASC Topic 350, Intangibles - Goodwill and Other, establishes standards for the amortization of acquired intangible assets and impairment assessment of goodwill. The $11.0 million in recorded goodwill at December 31, 2013 is primarily related to the acquisition of Huntington National Bank branches that occurred in 2003 that is not subject to periodic amortization. | |||||||
Goodwill arising from business combinations represents the value attributable to unidentifiable intangible elements in the business acquired. Goodwill is not amortized but is tested for impairment annually or more frequently if events or changes in circumstances indicate that the asset might be impaired. Impairment testing requires that the fair value of each of the Corporation’s reporting units be compared to the carrying amount of its net assets, including goodwill. If the estimated current fair value of the reporting unit exceeds its carrying value, then no additional testing is required and an impairment loss is not recorded. Otherwise, additional testing is performed and, to the extent such additional testing results in a conclusion that the carrying value of goodwill exceeds its implied fair value, an impairment loss is recognized. | |||||||
Our goodwill relates to value inherent in the banking business and the value is dependent upon our ability to provide quality, cost effective services in a highly competitive local market. This ability relies upon continuing investments in processing systems, the development of value-added service features and the ease of use of our services. As such, goodwill value is supported ultimately by revenue that is driven by the volume of business transacted. A decline in earnings as a result of a lack of growth or the inability to deliver cost effective services over sustained periods can lead to impairment of goodwill, which could adversely impact earnings in future periods. ASC Topic 350 requires an annual evaluation of goodwill for impairment. The determination of whether or not these assets are impaired involves significant judgments and estimates. | |||||||
Throughout 2013, consistent with First United Corporation’s peer group, the shares of First United Corporation common stock traded below its book value. At December 31, 2013, First United Corporation’s stock price was below its tangible book value. | |||||||
Management believed that these circumstances could indicate the possibility of impairment. Accordingly, management consulted a third party valuation specialist to assist it with the determination of the fair value of First United Corporation, considering both the market approach (guideline public company method) and the income approach (discounted future benefits method). Due to the illiquidity in the common stock and the adverse conditions surrounding the banking industry, reliance was placed on the income approach in determining the fair value of First United Corporation. The income approach is a discounted cash flow analysis that is determined by adding (i) the present value, which is a representation of the current value of a sum that is to be received some time in the future, of the estimated net income, net of dividends paid out, that First United Corporation could generate over the next five years and (ii) the present value of a terminal value, which is a representation of the current value of an entity at a specified time in the future. The terminal value was calculated using both a price to tangible book multiple method and a capitalization method and the more conservative of the two was utilized in the fair value calculation. | |||||||
Significant assumptions used in the above methods include: | |||||||
· | Net income from our forward five-year operating budget, incorporating conservative growth and mix assumptions; | ||||||
· | A discount rate of 10.0% based on the most recently available [third quarter of 2012] Cost of Capital Report from Morningstar/Ibbotson Associates for the Commercial Banking Sector adjusted for a size and risk premium of 298 basis points; | ||||||
· | A price to tangible book multiple of 1.16, which was the average monthly multiple of unassisted national bank and thrift acquisitions in 2013 as provided by Sheshunoff & Co.; and | ||||||
· | A capitalization rate of 7.0% (discount rate of 10.0% adjusted for a conservative growth rate of 3.0%). | ||||||
The resulting fair value of the income approach resulted in the fair value of First United Corporation exceeding the carrying value by 59%. Management stressed the assumptions used in the analysis to provide additional support for the derived value. This stress testing showed that (i) the discount rate could increase to 27% before the excess would be eliminated in the tangible multiple method, and (ii) the assumption of the tangible book multiple could decline to 0.54 and still result in a fair value in excess of book value. Based on the results of the evaluation, management concluded that the recorded value of goodwill at December 31, 2013 was not impaired. However, future changes in strategy and/or market conditions could significantly impact these judgments and require adjustments to recorded asset balances. Management will continue to evaluate goodwill for impairment on an annual basis and as events occur or circumstances change. | |||||||
The significant components of goodwill at December 31 are as follows: | |||||||
(In thousands) | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||
Goodwill: | |||||||
31-Dec-13 | $ | 14,812 | $ | -3,808 | $ | 11,004 | |
31-Dec-12 | $ | 14,812 | $ | -3,808 | $ | 11,004 | |
Deposits
Deposits | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Deposits [Abstract] | ' | |||
Deposits | ' | |||
1 | Deposits | |||
The aggregate amount of time deposits with a minimum denomination of $100,000 was $157.5 million and $195.3 million at December 31, 2013 and 2012, respectively. At December 31, 2013, $.3 million of deposit overdrafts were re-classified as loans. | ||||
The following is a summary of the scheduled maturities of all time deposits as of December 31, 2013 (in thousands): | ||||
2014 | $ | 121,092 | ||
2015 | 70,016 | |||
2016 | 65,325 | |||
2017 | 27,530 | |||
2018 | 42,590 | |||
Thereafter | 89 | |||
In the ordinary course of business, executive officers and directors of the Corporation, including their families and companies in which certain directors are principal owners, were deposit customers of the Bank. Pursuant to the Bank’s policies, such deposits are on the same terms as those prevailing at the time for comparable deposits with persons who are not related to the Corporation. At December 31, 2013, executive officers and directors had approximately $16.2 million in deposits with the Bank. | ||||
Borrowed_Funds
Borrowed Funds | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
Borrowed Funds [Abstract] | ' | |||||||||
Borrowed Funds | ' | |||||||||
1 | Borrowed Funds | |||||||||
The following is a summary of short-term borrowings at December 31 with original maturities of less than one year: | ||||||||||
(Dollars in thousands) | 2013 | 2012 | ||||||||
Securities sold under agreements to repurchase: | ||||||||||
Outstanding at end of year | $ | 43,676 | $ | 39,257 | ||||||
Weighted average interest rate at year end | 0.14% | 0.34% | ||||||||
Maximum amount outstanding as of any month end | $ | 61,354 | $ | 52,367 | ||||||
Average amount outstanding | $ | 47,777 | $ | 38,812 | ||||||
Approximate weighted average rate during the year | 0.13% | 0.34% | ||||||||
At December 31, 2013, the repurchase agreements were secured by $64.2 million in available-for-sale investment securities. | ||||||||||
The following is a summary of long-term borrowings at December 31 with original maturities exceeding one year: | ||||||||||
(In thousands) | 2013 | 2012 | ||||||||
FHLB advances, bearing fixed interest rates ranging from 1.00% to 3.69% at December 31, 2013 | $ | 135,942 | $ | 136,005 | ||||||
Junior subordinated debt, bearing variable interest rates ranging from 2.09% to 2.99% at December 31, 2013 | 35,929 | 35,929 | ||||||||
Junior subordinated debt, bearing fixed interest rate of 9.88% at December 31, 2013 | 10,801 | 10,801 | ||||||||
Total long-term debt | $ | 182,672 | $ | 182,735 | ||||||
At December 31, 2013, the long-term FHLB advances were secured by $158.6 million in loans and $1.5 million in investment securities. | ||||||||||
The contractual maturities of long-term borrowings are as follows: | ||||||||||
December 31, | ||||||||||
2013 | ||||||||||
Fixed | Floating | 2012 | ||||||||
(in thousands) | Rate | Rate | Total | Total | ||||||
Due in 2013 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | ||
Due in 2014 | 0 | 0 | 0 | 0 | ||||||
Due in 2015 | 30,000 | 5,000 | 35,000 | 35,000 | ||||||
Due in 2016 | 0 | 0 | 0 | 0 | ||||||
Due in 2017 | 0 | 0 | 0 | 0 | ||||||
Due in 2018 | 70,000 | 0 | 70,000 | 70,000 | ||||||
Thereafter | 46,743 | 30,929 | 77,672 | 77,735 | ||||||
Total long-term debt | $ | 146,743 | $ | 35,929 | $ | 182,672 | $ | 182,735 | ||
The Bank has a borrowing capacity agreement with the FHLB in an amount equal to 29% of the Bank’s assets. At December 31, 2013, the available line of credit equaled $385 million. This line of credit, which can be used for both short and long-term funding, can only be utilized to the extent of available collateral. The line is secured by certain qualified mortgage, commercial and home equity loans and investment securities as follows (in thousands): | ||||||||||
1-4 family mortgage loans | $ | 131,941 | ||||||||
Commercial loans | 3,194 | |||||||||
Multi-family loans | 64 | |||||||||
Home equity loans | 23,377 | |||||||||
Investment securities | 1,544 | |||||||||
$ | 160,120 | |||||||||
At December 31, 2013, $11.2 million was available for additional borrowings. | ||||||||||
The Bank also has various unsecured lines of credit totaling $25 million with various financial institutions and a $30 million secured line with the Federal Reserve to meet daily liquidity requirements. As of December 31, 2013, there were no borrowings under these credit facilities. In addition, there was approximately $49 million of available funding through brokered money market funds at December 31, 2013. | ||||||||||
Repurchase Agreements - The Bank has retail repurchase agreements with customers within its local market areas. Repurchase agreements generally have maturities of one to four days from the transaction date. These borrowings are collateralized with securities that we own and are held in safekeeping at independent correspondent banks. | ||||||||||
FHLB Advances - The FHLB advances consist of various borrowings with maturities generally ranging from five to 10 years with initial fixed rate periods of one, two or three years. After the initial fixed rate period, the FHLB has one or more options to convert each advance to a LIBOR based, variable rate advance, but the Bank may repay the advance in whole or in part, without a penalty, if the FHLB exercises its option. At all other times, the Bank’s early repayment of any advance could be subject to a prepayment penalty. | ||||||||||
Junior_Subordinated_Debentures
Junior Subordinated Debentures and Restrictions on Dividends | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Junior Subordinated Debentures and Restrictions on Dividends [Abstract] | ' | |||
Junior Subordinated Debentures and Restrictions on Dividends | ' | |||
1 | Junior Subordinated Debentures and Restrictions on Dividends | |||
In March 2004, Trust I and Trust II issued preferred securities with an aggregate liquidation amount of $30.0 million to third-party investors and issued common equity with an aggregate liquidation amount of $.9 million to First United Corporation. Trust I and Trust II used the proceeds of these offerings to purchase an equal amount of TPS Debentures, as follows: | ||||
$20.6 million—floating rate payable quarterly based on three-month LIBOR plus 275 basis points (2.99% at December 31, 2013), maturing in 2034, became redeemable five years after issuance at First United Corporation’s option. | ||||
$10.3 million--floating rate payable quarterly based on three-month LIBOR plus 275 basis points (2.99% at December 31, 2013) maturing in 2034, became redeemable five years after issuance at First United Corporation’s option. | ||||
In December 2004, First United Corporation issued $5.0 million of junior subordinated debentures to third-party investors that were not tied to preferred securities. The debentures had a fixed rate of 5.88% for the first five years, payable quarterly, and converted to a floating rate in March 2010 based on the three month LIBOR plus 185 basis points (2.09% at December 31, 2013). The debentures mature in 2015, but became redeemable five years after issuance at First United Corporation’s option. | ||||
In December 2009, Trust III issued 9.875% fixed-rate preferred securities with an aggregate liquidation amount of approximately $7.0 million to private investors and issued common securities to First United Corporation with an aggregate liquidation amount of approximately $.2 million. Trust III used the proceeds of the offering to purchase approximately $7.2 million of 9.875% fixed-rate TPS Debentures. Interest on these TPS Debentures are payable quarterly, and the TPS Debentures mature in 2040 but are redeemable five years after issuance at First United Corporation’s option. | ||||
In January 2010, Trust III issued an additional $3.5 million of 9.875% fixed-rate preferred securities to private investors and issued common securities to First United Corporation with an aggregate liquidation amount of $.1 million. Trust III used the proceeds of the offering to purchase $3.6 million of 9.875% fixed-rate TPS Debentures. Interest on these TPS Debentures are payable quarterly, and the TPS Debentures mature in 2040 but are redeemable five years after issuance at First United Corporation’s option. | ||||
The TPS Debentures issued to each of the Trusts represent the sole assets of that Trust, and payments of the TPS Debentures by First United Corporation are the only sources of cash flow for the Trust. First United Corporation has the right, without triggering a default, to defer interest on all of the TPS Debentures for up to 20 quarterly periods, in which case distributions on the preferred securities will also be deferred. Should this occur, the Corporation may not pay dividends or distributions on, or repurchase, redeem or acquire any shares of its capital stock. | ||||
At the request of the Reserve Bank, the Board of Directors of First United Corporation elected to defer quarterly interest payments under its TPS Debentures beginning with the payment that was due in March 2011. As of December 31, 2013, this deferral election remained in effect and accumulated deferred interest in the amount of $6.7 million has been accrued and are reflected in the consolidated financial statements. All accumulated deferred interest must be paid in full when the Board of Directors elects to terminate the deferral of interest payments. | ||||
In February 2014, First United Corporation received approval from the Reserve Bank to terminate this deferral by making the quarterly interest payments due to the Trusts in March 2014. This approval was limited to the March 2014 payments, and the payment of quarterly interest due in any subsequent quarter will be contingent on First United Corporation’s receipt of approval from the Reserve Bank to make that payment, which will depend on, among other factors, our earnings in future periods. In addition, it should be noted that First United Corporation’s ability to make future quarterly interest payments under the TPS Debentures will depend in large part on its receipt of dividends from the Bank, and the Bank may make dividend payments only with the prior approval of the Federal Deposit Insurance Corporation (the “FDIC”) and the Maryland Department of Labor, Licensing & Regulation – Office of the Commissioner of Financial Regulation (the “Maryland Commissioner”). Although the FDIC and the Maryland Commissioner have authorized the Bank to pay dividends to First United Corporation in an aggregate amount necessary for First United Corporation to make the quarterly interest payments due in March 2014, June 2014, September 2014 and December 2014, that approval is subject to revocation by the FDIC and the Maryland Commissioner at any time if they determine that the Bank’s financial condition and/or results of operations do not support the payment of dividends. As a result of these limitations, no assurance can be given that First United Corporation will make the quarterly interest payments due under the TPS Debentures in any future quarter. If First United Corporation and/or the Bank do not obtain the regulatory approvals necessary to permit First United Corporation to make a future quarterly interest payment, then First United Corporation would have to again elect to defer quarterly interest payments, which would result in a prohibition against paying any dividends or other distributions on the outstanding shares of First United Corporation’s common stock or its outstanding shares of Series A Preferred Stock during the deferral period. | ||||
Interest payments on the $5.0 million junior subordinated debentures that were issued outside of trust preferred securities offerings cannot, and have not, been deferred. | ||||
The terms of the Series A Preferred Stock call for the payment, if declared by the Board of Directors of First United Corporation, of cash dividends on February 15th, May 15th, August 15th and November 15th of each year. On November 15, 2010, at the request of the Reserve Bank, the Board of Directors of First United Corporation voted to defer the payment of quarterly cash dividends on the Series A Preferred Stock beginning with the November 15, 2010 dividend payment date. As of December 31, 2013, this deferral election remained in effect and accumulated deferred dividends in the amount of $5.3 million ($176.67 per share) have been accrued and are reflected on the consolidated financial statements. During the deferral period, dividends continue to accrue at the rate of $.4 million per dividend period. All accumulated deferred dividends must be paid in full if and when the Board of Directors declares the next quarterly cash dividend. Management cannot predict whether or when First United Corporation will resume the payment of quarterly dividends on the Series A Preferred Stock. First United Corporation’s ability to pay cash dividends in the future will depend primarily on our earnings in future periods. | ||||
In December 2010, the Board of Directors of First United Corporation voted to suspend the payment of cash dividends on the common stock starting in 2011 in connection with the above-mentioned deferral of dividends on the Series A Preferred Stock. | ||||
Preferred_Stock
Preferred Stock | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Equity [Abstract] | ' | |||
Preferred STock | ' | |||
1 | Preferred Stock | |||
On January 30, 2009, pursuant to the TARP CPP, First United Corporation issued to the Treasury 30,000 shares of its Series A Preferred Stock, having no par value, and a Warrant to purchase 326,323 shares of common stock at an exercise price of $13.79 per share, for an aggregate consideration of $30 million. The proceeds from this transaction qualify as Tier 1 capital and the Warrant qualifies as tangible common equity. The operative documents relating to this transaction are on file with the SEC and available to the public free of charge. | ||||
Holders of the Series A Preferred Stock are entitled to receive, if and when declared by the Board of Directors, out of assets legally available for payment, cumulative cash dividends at a rate per annum of 5% per share on a liquidation amount of $1,000 per share of Series A Preferred Stock with respect to each dividend period from January 30, 2009 to, but excluding, February 15, 2014. From and after February 15, 2014, holders of Series A Preferred Stock are entitled to receive cumulative cash dividends at a rate per annum of 9% per share on a liquidation amount of $1,000 per share with respect to each dividend period thereafter. Under the terms of the Series A Preferred Stock, on and after February 15, 2012, First United Corporation may, at its option, redeem shares of Series A Preferred Stock, in whole or in part, at any time and from time to time, for cash at a per share amount equal to the sum of the liquidation preference per share plus any accrued and unpaid dividends to but excluding the redemption date. Subject to prior consultation with the Reserve Bank and subject further to the terms of the TPS Debentures, the Recovery Act permits First United Corporation to redeem shares of its Series A Preferred Stock held by Treasury at any time (subject to Treasury’s requirement that a minimum of 25% of the Series A Preferred Stock be redeemed). If First United Corporation were to redeem shares of its Series A Preferred Stock pursuant to the Recovery Act, then it may also repurchase a pro rata portion of the Warrant; otherwise, Treasury must liquidate any portion of the Warrant that is not repurchased, at the current market price. | ||||
Until the date on which the Treasury disposes of the Series A Preferred Stock, without the consent of the Treasury, First United Corporation is prohibited from increasing its quarterly cash dividend paid on common stock above $0.20 per share and from repurchasing or redeeming any shares of its capital stock, and the Trusts are prohibited from redeeming their trust preferred securities. | ||||
See Note 13 for information about First United Corporation’s election to defer quarterly cash dividend payments on the Series A Preferred Stock. | ||||
Variable_Interest_Entities_VIE
Variable Interest Entities (VIE) | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
Variable Interest Entities (VIE) [Abstract] | ' | |||||
Variable Interest Entities | ' | |||||
1 | Variable Interest Entities | |||||
As noted in Note 13, First United Corporation created the Trusts for the purposes of raising regulatory capital through the sale of mandatorily redeemable preferred capital securities to third party investors and common equity interests to First United Corporation. The Trusts are considered VIEs, but are not consolidated because First United Corporation is not the primary beneficiary of the Trusts. At December 31, 2013, the Corporation reported all of the $41.7 million of TPS Debentures issued in connection with these offerings as long-term borrowings (along with the $5.0 million of stand-alone junior subordinated debentures), and it reported its $1.3 million equity interest in the Trusts as “Other Assets”. | ||||||
In November 2009, the Bank became a 99.99% limited partner in the Partnership. The Partnership was financed with a total of $10.6 million of funding, including a $6.1 million equity contribution from the Bank as the limited partner. The Partnership used the proceeds from these sources to purchase land and construct thereon a 36-unit low income housing rental complex at a total cost of $10.6 million. The total assets of the Partnership were $9.7 million at December 31, 2013 and $10.0 million at December 31, 2012. | ||||||
Through December 31, 2013, the Bank had made contributions to the Partnership totaling $6.1 million. The project for which the Partnership was formed was completed in June 2011, and the Bank is entitled to $8.4 million in federal investment tax credits over a 10-year period as long as certain qualifying hurdles are maintained. The Bank will also receive the benefit of tax operating losses from the Partnership to the extent of its capital contribution. The investment in the Partnership assists the Bank in achieving its community reinvestment initiatives. | ||||||
Because the Partnership is considered to be a VIE, management performed an analysis to determine whether its involvement with the Partnership would lead it to determine that it must consolidate the Partnership. In performing its analysis, management evaluated the risks creating the variability in the Partnership and identified which activities most significantly impact the VIE’s economic performance. Finally, it examined each of the variable interest holders to determine which, if any, of the holders was the primary beneficiary based on their power to direct the most significant activities and their obligation to absorb potentially significant losses of the Partnership. | ||||||
The Bank, as a limited partner, generally has no voting rights. The Bank is not in any way involved in the daily management of the Partnership and has no other rights that provide it with the power to direct the activities that most significantly impact the Partnership’s economic performance, which are to develop and operate the housing project in such a manner that complies with specific tax credit guidelines. As a limited partner, there is no recourse to the Bank by the creditors of the Partnership. The tax credits that result from the Bank’s investment in the Partnership are generally subject to recapture should the partnership fail to comply with the applicable government regulations. The Bank has not provided any financial or other support to the Partnership beyond its required capital contributions and does not anticipate providing such support in the future. Management currently believes that no material losses are probable as a result of the Bank’s investment in the Partnership. | ||||||
On the basis of management’s analysis, the general partner is deemed to be the primary beneficiary of the Partnership. Because the Bank is not the primary beneficiary, the Partnership has not been included in the Corporation’s consolidated financial statements. | ||||||
At December 31, 2013 and December 31, 2012, the Corporation included its total investment in the Partnership in “Other Assets” in its Consolidated Statements of Financial Condition. As of December 31, 2013, the Corporation’s commitment in the Partnership is fully funded. The following table presents details of the Bank’s involvement with the Partnership at the dates indicated: | ||||||
December 31, | December 31, | |||||
(In thousands) | 2013 | 2012 | ||||
Investment in LIHTC Partnership | ||||||
Carrying amount on Balance Sheet of: | ||||||
Investment (Other Assets) | $ | 4,980 | $ | 5,498 | ||
Maximum exposure to loss | 4,980 | 5,498 | ||||
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Loss | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Accumulated Other Comprehensive Loss [Abstract] | ' | ||||||||||||
Accumulated Other Comprehensive Loss | ' | ||||||||||||
1 | Accumulated Other Comprehensive Loss (“AOCL”) | ||||||||||||
The following table presents the changes in each component of accumulated other comprehensive loss for the years ended December 31, 2013 and 2012: | |||||||||||||
Investment | Investment | ||||||||||||
securities- | securities- | Cash Flow | Pension | ||||||||||
(in thousands) | with OTTI | all other | Hedge | Plan | SERP | Total | |||||||
Accumulated OCL, net: | |||||||||||||
Balance - January 1, 2012 | $ | -10,572 | $ | -2,633 | $ | -616 | $ | -6,945 | $ | -196 | $ | -20,962 | |
Net gain/(loss) during period | 536 | -333 | 109 | -1,317 | 144 | -861 | |||||||
Balance - December 31, 2012 | $ | -10,036 | $ | -2,966 | $ | -507 | $ | -8,262 | $ | -52 | $ | -21,823 | |
Other comprehensive income/(loss) before reclassifications | 2,735 | -8,279 | 233 | 2,871 | 102 | -2,338 | |||||||
Amounts reclassified from accumulated other comprehensive loss | -322 | -47 | 0 | 303 | 14 | -52 | |||||||
Balance - December 31,2013 | $ | -7,623 | $ | -11,292 | $ | -274 | $ | -5,088 | $ | 64 | $ | -24,213 | |
The following tables present the components of comprehensive income for the years ended December 31, 2013 and 2012: | |||||||||||||
Components of Other Comprehensive loss (in thousands) | Before Tax Amount | Tax (Expense) Benefit | Net | ||||||||||
For the year ended December 31, 2013 | |||||||||||||
Available for sale (AFS) securities with OTTI: | |||||||||||||
Unrealized holding gains | $ | 4,626 | $ | -1,891 | $ | 2,735 | |||||||
Less: accretable yield recognized in income | 537 | -215 | 322 | ||||||||||
Net unrealized gains on investments with OTTI | 4,089 | -1,676 | 2,413 | ||||||||||
Available for sale securities – all other: | |||||||||||||
Unrealized holding losses | -13,879 | 5,600 | -8,279 | ||||||||||
Less: gains recognized in income | 78 | -31 | 47 | ||||||||||
Net unrealized losses on all other AFS securities | -13,957 | 5,631 | -8,326 | ||||||||||
Cash flow hedges: | |||||||||||||
Unrealized holding gains | 392 | -159 | 233 | ||||||||||
Pension Plan: | |||||||||||||
Unrealized net actuarial gain | 4,790 | -1,919 | 2,871 | ||||||||||
Less: amortization of unrecognized loss | -532 | 213 | -319 | ||||||||||
Less: amortization of transition asset | 39 | -16 | 23 | ||||||||||
Less: amortization of prior service costs | -12 | 5 | -7 | ||||||||||
Net pension plan liability adjustment | 5,295 | -2,121 | 3,174 | ||||||||||
SERP: | |||||||||||||
Unrealized net actuarial gain | 170 | -68 | 102 | ||||||||||
Less: amortization of unrecognized loss | -3 | 1 | -2 | ||||||||||
Less: amortization of prior service costs | -20 | 8 | -12 | ||||||||||
Net SERP liability adjustment | 193 | -77 | 116 | ||||||||||
Other comprehensive loss | $ | -3,988 | $ | 1,598 | $ | -2,390 | |||||||
Components of Other Comprehensive Income (in thousands) | Before Tax Amount | Tax (Expense) Benefit | Net | ||||||||||
For the year ended December 31, 2012 | |||||||||||||
Available for sale (AFS) securities with OTTI: | |||||||||||||
Unrealized holding gains | $ | 1,315 | $ | -501 | $ | 814 | |||||||
Less: accretable yield recognized in income | 465 | -187 | 278 | ||||||||||
Net unrealized gains on investments with OTTI | 850 | -314 | 536 | ||||||||||
Available for sale securities – all other: | |||||||||||||
Unrealized holding gains | 999 | -408 | 591 | ||||||||||
Less: gains recognized in income | 1,545 | -621 | 924 | ||||||||||
Net unrealized losses on all other AFS securities | -546 | 213 | -333 | ||||||||||
Cash flow hedges: | |||||||||||||
Unrealized holding gains | 185 | -76 | 109 | ||||||||||
Pension Plan: | |||||||||||||
Unrealized net actuarial loss | -2,547 | 1,019 | -1,528 | ||||||||||
Less: amortization of unrecognized loss | -379 | 152 | -227 | ||||||||||
Less: amortization of transition asset | 39 | -16 | 23 | ||||||||||
Less: amortization of prior service costs | -12 | 5 | -7 | ||||||||||
Net pension plan liability adjustment | -2,195 | 878 | -1,317 | ||||||||||
SERP: | |||||||||||||
Unrealized net actuarial gain | 102 | -41 | 61 | ||||||||||
Less: amortization of unrecognized loss | -15 | 6 | -9 | ||||||||||
Less: amortization of prior service costs | -123 | 49 | -74 | ||||||||||
Net SERP liability adjustment | 240 | -96 | 144 | ||||||||||
Other comprehensive income | $ | -1,466 | $ | 605 | $ | -861 | |||||||
The following table presents the details of accumulated other comprehensive income components for the years ended December 31, 2013: | |||||||||||||
Amount Reclassified from Accumulated Other Comprehensive Income | |||||||||||||
Details of Accumulated Other Comprehensive Income Components (in thousands) | For the year ended December 31, 2013 | Affected Line Item in the Statement Where Net Income is Presented | |||||||||||
Unrealized gains and losses on investment securities with OTTI: | |||||||||||||
Accretable Yield | $ | 537 | Interest income on taxable investment securities | ||||||||||
Taxes | -215 | Tax expense | |||||||||||
$ | 322 | Net of tax | |||||||||||
Unrealized gains and losses on available for sale investment securities - all others: | |||||||||||||
Gains on sales | $ | 78 | Net gains - other | ||||||||||
Taxes | -31 | Tax expense | |||||||||||
$ | 47 | Net of tax | |||||||||||
Net pension plan liability adjustment: | |||||||||||||
Amortization of unrecognized loss | -532 | Salaries and employee benefits | |||||||||||
Amortization of transition asset | 39 | Salaries and employee benefits | |||||||||||
Amortization of prior service costs | -12 | Salaries and employee benefits | |||||||||||
Taxes | 202 | Tax benefit | |||||||||||
$ | -303 | Net of tax | |||||||||||
Net SERP liability adjustment: | |||||||||||||
Amortization of unrecognized loss | -3 | Salaries and employee benefits | |||||||||||
Amortization of prior service costs | -20 | Salaries and employee benefits | |||||||||||
Taxes | 9 | Tax benefit | |||||||||||
$ | -14 | Net of tax | |||||||||||
Total reclassifications for the period | $ | 52 | Net of tax | ||||||||||
Income_Taxes
Income Taxes | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Income Taxes [Abstract] | ' | ||||
Income Taxes | ' | ||||
1 | Income Taxes | ||||
The provision for income taxes consists of the following for the years ended December 31: | |||||
(In thousands) | 2013 | 2012 | |||
Current Tax expense: | |||||
Federal | $ | 518 | $ | 417 | |
State | 416 | 96 | |||
$ | 934 | $ | 513 | ||
Deferred tax expense: | |||||
Federal | $ | 927 | $ | 22 | |
State | 361 | 378 | |||
$ | 1,288 | $ | 400 | ||
Income tax expense for the year | $ | 2,222 | $ | 913 | |
The reconciliation between the statutory federal income tax rate and effective income tax rate is as follows: | |||||
2013 | 2012 | ||||
Federal statutory rate | 35.0% | 35.0% | |||
Tax-exempt income on securities and loans | -7.3 | -11.9 | |||
Tax-exempt BOLI income | -4.1 | -11.2 | |||
State income tax, net of federal tax benefit | 7.3 | 7.9 | |||
Tax credits | -5.6 | -10.1 | |||
Other | 0.4 | 6.7 | |||
25.7% | 16.4% | ||||
Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Corporation’s temporary differences as of December 31 are as follows: | |||||
(In thousands) | 2013 | 2012 | |||
Deferred tax assets: | |||||
Allowance for loan losses | $ | 5,435 | $ | 6,446 | |
Deferred loan fees | 28 | 70 | |||
Deferred compensation | 767 | 704 | |||
Federal and state tax loss carry forwards | 6,057 | 5,289 | |||
AMT and other carry forwards | 1,772 | 1,712 | |||
Unrealized loss on investment securities available-for-sale | 12,686 | 8,771 | |||
Pension/SERP | 0 | 1,677 | |||
Other than temporary impairment on investment securities | 5,449 | 5,937 | |||
Other real estate owned | 1,749 | 1,243 | |||
Other | 1,191 | 1,874 | |||
Total deferred tax assets | 35,134 | 33,723 | |||
Valuation allowance | -1,563 | -1,471 | |||
Total deferred tax assets less valuation allowance | 33,571 | 32,252 | |||
Deferred tax liabilities: | |||||
Amortization of goodwill | -2,171 | -1,857 | |||
Pension/SERP | -574 | 0 | |||
Depreciation | -1,207 | -1,409 | |||
Other | -410 | -104 | |||
Total deferred tax liabilities | -4,362 | -3,370 | |||
Net deferred tax assets | $ | 29,209 | $ | 28,882 | |
State income tax expense amounted to $.8 million during 2013 and $.5 million during 2012. | |||||
In assessing the ability to realize deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of the deferred tax assets is dependent upon the generation of future taxable income of the appropriate character (for example, ordinary income or capital gain) within the carry-back or carry-forward period available under the tax law during the periods in which temporary differences are deductible. The Corporation has considered future market growth, forecasted earnings, future taxable income, and feasible and permissible tax planning strategies in determining whether it will be able to realize the deferred tax asset. If the Corporation were to determine that it will not be able to realize a portion of its net deferred tax asset in the future for which there is currently no valuation allowance, an adjustment to the net deferred tax asset would be charged to earnings in the period such determination was made. Conversely, if the Corporation were to make a determination that it is more likely than not that the deferred tax assets for which there is a valuation allowance will be realized, the related valuation allowance would be reduced and a benefit would be recorded. | |||||
At December 31, 2013 the Corporation has federal net operating losses (“NOLs”) of approximately $9.8 million and West Virginia NOLs of approximately $4.9 million for which deferred tax assets of $3.4 million and $0.2 million, respectively, have been recorded at December 31, 2013. The federal and West Virginia NOLs were created in 2012 and 2010 and will begin expiring in 2030. Management has determined that a deferred tax valuation allowance is not required for 2013 on the Federal and West Virginia NOLs because we believe it is more likely than not that these deferred tax assets can be realized prior to expiration of their carry-forward periods. This determination is based primarily on the ability of the Corporation to immediately generate approximately $11.4 million of taxable income through tax planning strategies, irrespective of any additional future operating income. At December 31, 2013 these strategies include the ability to generate approximately $2.1 million in taxable gains through the sale of investment securities, approximately $8.0 million in taxable gains through the sale of its Bank Owned Life Insurance and approximately $1.2 million in taxable gains through the sale of its fixed rate mortgage portfolio. | |||||
The Corporation has Maryland NOL carry-forwards of $31.4 million relating to a Parent Company (First United Corporation) NOL for which a deferred tax asset of $1.6 million has been recorded at December 31, 2013. There has been and continues to be a full valuation allowance on this NOL based on the fact that it is more likely than not that this deferred tax asset will not be realized because First United Corporation files a separate Maryland income tax return, has recurring tax losses and is not expected to generate sufficient taxable income in the future to utilize the NOL carry-forwards before they expire beginning in 2019. The valuation allowance of $1.6 million at December 31, 2013 reflects an increase of $.1 million from the level at December 31, 2012. | |||||
In addition, based on our evaluation of the four sources of taxable income, we have concluded that no valuation allowance is necessary for the Corporation’s remaining federal and state deferred tax assets at December 31, 2013, as it is more likely than not (defined a level of likelihood that is more than 50%) that they will be realized based on the expected reversal of deferred tax liabilities, the generation of future income sufficient to realize the deferred tax assets as they reverse and the ability to implement tax planning strategies to prevent the expiration of any carry-forward periods. | |||||
Employee_Benefit_Plans
Employee Benefit Plans | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Employee Benefit Plans [Abstract] | ' | ||||||||
Employee Benefit Plans | ' | ||||||||
1 | Employee Benefit Plans | ||||||||
First United Corporation sponsors a noncontributory defined benefit pension plan (the “Pension Plan”) covering substantially all full-time employees who qualify as to age and length of service. The benefits are based on years of service and the employees’ compensation during the last five years of employment. | |||||||||
Effective April 30, 2010, the Pension Plan was amended, resulting in a “soft freeze”, the effect of which prohibits new entrants into the plan and ceases crediting of additional years of service, after that date. Effective January 1, 2013, the plan was amended to unfreeze the plan for those employees for whom the sum of (i) their ages, at their closest birthday, plus (ii) years of service for vesting purposes equals 80 or greater. The “soft freeze” continues to apply to all other plan participants. Pension benefits for these participants will be managed through discretionary contributions to the 401(k) Profit Sharing Plan (the “401(k) Plan”). We anticipate the plan changes to have a minimal impact to the financial statements. | |||||||||
During 2001, the Bank established an unfunded supplemental executive retirement plan (the “SERP”) to provide senior management personnel with supplemental retirement benefits in excess of limits imposed on qualified plans by federal tax law. Concurrent with the establishment of the SERP, the Bank acquired BOLI policies on the senior management personnel and officers of the Bank. The benefits resulting from the favorable tax treatment accorded the earnings on the BOLI policies are intended to provide a source of funds for the future payment of the SERP benefits as well as other employee benefit costs. | |||||||||
The benefit obligation activity for both the Pension Plan and SERP was calculated using an actuarial measurement date of January 1. Plan assets and the benefit obligations were calculated using an actuarial measurement date of December 31. | |||||||||
The following tables summarize benefit obligation and funded status, plan asset activity, components of net pension cost, and weighted average assumptions for the Pension Plan and the SERP plans: | |||||||||
Pension | SERP | ||||||||
(In thousands) | 2013 | 2012 | 2013 | 2012 | |||||
Change in Benefit Obligation | |||||||||
Obligation at the beginning of the year | $ | 30,340 | $ | 26,540 | $ | 4,990 | $ | 4,814 | |
Service cost | 227 | 0 | 113 | 114 | |||||
Interest cost | 1,243 | 1,380 | 250 | 245 | |||||
Change in discount rate assumption | -3,564 | 3,933 | 0 | 0 | |||||
Actuarial (gains)/losses | 1,286 | -437 | -167 | -100 | |||||
Benefits paid | -1,203 | -1,076 | -102 | -83 | |||||
Obligation at the end of the year | 28,329 | 30,340 | 5,084 | 4,990 | |||||
Change in Plan Assets | |||||||||
Fair value at the beginning of the year | 31,154 | 29,037 | 0 | 0 | |||||
Actual return on plan assets | 4,897 | 3,193 | 0 | 0 | |||||
Employer contribution | 0 | 0 | 102 | 83 | |||||
Benefits paid | -1,203 | -1,076 | -102 | -83 | |||||
Fair value at the end of the year | 34,848 | 31,154 | 0 | 0 | |||||
Funded Status | $ | 6,519 | $ | 814 | $ | -5,084 | $ | -4,990 | |
Pension | SERP | ||||||||
(in thousands) | 2013 | 2012 | 2013 | 2012 | |||||
Components of Net Pension Cost | |||||||||
Service cost | $ | 227 | $ | 0 | $ | 113 | $ | 114 | |
Interest cost | 1,243 | 1,380 | 250 | 245 | |||||
Expected return on assets | -2,373 | -2,211 | 0 | 0 | |||||
Amortization of transition asset | -39 | -39 | 0 | 0 | |||||
Amortization of recognized loss | 532 | 379 | 3 | 15 | |||||
Amortization of prior service cost | 12 | 12 | 20 | 123 | |||||
Net pension (income)/expense in employee benefits | $ | -398 | $ | -479 | $ | 386 | $ | 497 | |
Weighted Average Assumptions used to | |||||||||
determine benefit obligations: | |||||||||
Discount rate for benefit obligations | 4.75% | 4.00% | 5.25% | 5.25% | |||||
Discount rate for net pension cost | 4.00% | 5.00% | 0 | 0 | |||||
Expected long-term return on assets | 7.75% | 7.75% | 0 | 0 | |||||
Rate of compensation increase | 3.00% | 3.00% | 3.00% | 3.00% | |||||
The accumulated benefit obligation for the Pension Plan was $27.2 million and $30.8 million at December 31, 2013 and 2012, respectively. The accumulated benefit obligation for the SERP was $4.3 million and $4.5 million at December 31, 2013 and 2012, respectively. | |||||||||
The investment assets of a defined benefit plan are managed with the goal of providing for retiree distributions while also supporting long-term plan obligations with a moderate level of portfolio risk. In order to address the variability over time of both risk and return, the plan investment strategy entails a dynamic approach to asset allocation, providing for normalized targets for major asset classes, with the ability to tactically adjust within the following specified ranges around those targets. | |||||||||
Asset Class | Normalized Target | Range | |||||||
Cash | 5% | 0% - 20% | |||||||
Fixed Income | 40% | 30% - 50% | |||||||
Equities | 55% | 45% - 65% | |||||||
Decisions regarding tactical adjustments within the above noted ranges for asset classes are based on a top down review of factors expected to have material impact on the risk and reward dynamics of the portfolio as a whole. Such factors include, but are not limited to, the following: | |||||||||
· | Anticipated domestic and international economic growth as a whole; | ||||||||
· | The position of the economy within its longer term economic cycle; and | ||||||||
· | The expected impact of economic vitality, cycle positioning, financial market risks, industry/demographic trends and political forces on the various market sectors and investment styles. | ||||||||
With respect to individual company securities, additional company specific matters are considered, which could include management track record and guidance, future earnings expectations, current relative price expectations and the impact of identified risks on expected performance, among others. A core equity position of large cap stocks will be maintained, with more aggressive or volatile sectors meaningfully represented in the asset mix in pursuit of higher returns. | |||||||||
Strategic and specific investment decisions are guided by an in-house investment committee as well as a number of outside institutional resources that provide economic, industry and company data and analytics. It is management’s intent to give the Plan’s investment managers flexibility with respect to investment decisions and their timing within the overall guidelines. However, certain investments require specific review and approval by management. Management is also informed of anticipated changes in nonproprietary investment managers, significant modifications of any previously approved investment, or the anticipated use of derivatives to execute investment strategies. | |||||||||
Portfolio risk is managed in large part by a focus on diversification across multiple levels as well as an emphasis on financial strength. For example, current investment policies restrict initial investments in debt securities to be rated investment grade at the time of purchase. Also, with the exception of the highest rated securities (e.g. - U.S. Treasury or government-backed agency securities), no more than 10% of the portfolio may be invested in a single entity’s securities. As a result of the previously noted approaches to controlling portfolio risk, any concentrations of risk would be associated with general systemic risks faced by industry sectors or the portfolio as a whole. | |||||||||
Assets in the Pension Plan are valued by the Corporation’s accounting system provider who utilizes a third party pricing service. Valuation data is based on actual market data for stocks and mutual funds (Level 1) and matrix pricing for bonds (Level 2). Cash and cash equivalents are also considered Level 1 within the fair value hierarchy. | |||||||||
As of December 31, 2013 and 2012, the value of Pension Plan investments was as follows: | |||||||||
31-Dec-13 | Fair Value Hierarchy | ||||||||
(Dollars in thousands) | Assets at Fair Value | % of Portfolio | Level 1 | Level 2 | |||||
Cash and cash equivalents | $ | 464 | 1.3% | $ | 464 | $ | 0 | ||
Fixed income securities: | |||||||||
U.S. Government and Agencies | 143 | 0.4% | 0 | 143 | |||||
Taxable municipal bonds and notes | 1,792 | 5.2% | 0 | 1,792 | |||||
Corporate bonds and notes | 7,664 | 22.0% | 0 | 7,664 | |||||
Preferred stock | 562 | 1.6% | 0 | 562 | |||||
Fixed income mutual funds | 3,171 | 9.1% | 3,171 | 0 | |||||
Total fixed income | 13,332 | 38.3% | 3,171 | 10,161 | |||||
Equities: | |||||||||
Large Cap | 15,634 | 44.9% | 15,634 | 0 | |||||
Mid Cap | 2,489 | 7.1% | 2,489 | 0 | |||||
Small Cap | 1,373 | 3.9% | 1,373 | 0 | |||||
International | 1,556 | 4.5% | 1,556 | 0 | |||||
Total equities | 21,052 | 60.4% | 21,052 | 0 | |||||
Total market value | $ | 34,848 | 100.0% | $ | 24,687 | $ | 10,161 | ||
31-Dec-12 | Fair Value Hierarchy | ||||||||
(Dollars in thousands) | Assets at Fair Value | % of Portfolio | Level 1 | Level 2 | |||||
Cash and cash equivalents | $ | 3,377 | 10.8% | $ | 3,377 | $ | 0 | ||
Fixed income securities: | |||||||||
U.S. Government and Agencies | 138 | 0.4% | 0 | 138 | |||||
Taxable municipal bonds and notes | 1,882 | 6.0% | 0 | 1,882 | |||||
Corporate bonds and notes | 7,990 | 25.7% | 0 | 7,990 | |||||
Preferred stock | 736 | 2.4% | 0 | 736 | |||||
Fixed income mutual funds | 2,826 | 9.1% | 2,826 | 0 | |||||
Total fixed income | 13,572 | 43.6% | 2,826 | 10,746 | |||||
Equities: | |||||||||
Large Cap | 11,132 | 35.7% | 11,132 | 0 | |||||
Mid Cap | 1,543 | 5.0% | 1,543 | 0 | |||||
Small Cap | 840 | 2.7% | 840 | 0 | |||||
International | 690 | 2.2% | 690 | 0 | |||||
Total equities | 14,205 | 45.6% | 14,205 | 0 | |||||
Total market value | $ | 31,154 | 100.0% | $ | 20,408 | $ | 10,746 | ||
The expected rate of return on Pension Plan assets is based on a combination of the following: | |||||||||
· | Historical returns of the portfolio of assets; | ||||||||
· | Monte Carlo simulations of expected returns for a portfolio with strategic asset targets similar to the normalized targets; and | ||||||||
· | Market impact adjustments to reflect expected future investment environment considerations. | ||||||||
As of December 31, 2013, the 25-year average return on pension portfolio assets was 8.42%. Monte Carlo simulations modeled against the normalized asset class targets for the pension portfolio suggest an expected long-term return average of 7.28% with a 95% confidence level. Actual and simulated returns have been impacted materially by two significant bear markets that covered four years since the turn of the millennium. Some long-term data suggests that U.S. equities may be near an inflection point to improving multi-year performance. For example, Ibbotson data from 1826 through 2009 indicates that rolling 10-year returns exhibit some cyclicality. These returns recently touched historical lows and may be turning upward. In addition, the December 2007 recession ended in mid-2009, suggesting further progress toward economic recovery and positive investment performance. The expected long-term return used for 2013 was 7.75%. Based on the above considerations, it is considered appropriate to maintain the forward expected long-term rates of return at 7.75%. | |||||||||
The Pension Plan did not hold any shares of First United Corporation common stock at December 31, 2013 or 2012. | |||||||||
Estimated cash flows related to expected future benefit payments from the Pension Plan and SERP are as follows: | |||||||||
(In thousands) | Pension Plan | SERP | |||||||
2014 | $ | 1,162 | $ | 117 | |||||
2015 | 1,224 | 175 | |||||||
2016 | 1,311 | 166 | |||||||
2017 | 1,359 | 224 | |||||||
2018 | 1,454 | 267 | |||||||
2019-2023 | 9,380 | 1,898 | |||||||
First United Corporation will evaluate future annual contributions to the Pension Plan based upon its funded status and an evaluation of the future benefits to be provided thereunder. The Bank expects to fund the annual projected benefit payments for the SERP from operations. | |||||||||
Amounts included in accumulated other comprehensive loss as of December 31, 2013 and 2012, net of tax, are as follows: | |||||||||
2013 | 2012 | ||||||||
(In thousands) | Pension | SERP | Pension | SERP | |||||
Unrecognized net actuarial loss/(gain) | $ | 5,088 | $ | -86 | $ | 8,278 | $ | 13 | |
Unrecognized prior service costs | 35 | 22 | 42 | 39 | |||||
Net transition asset | -35 | 0 | -58 | 0 | |||||
$ | 5,088 | $ | -64 | $ | 8,262 | $ | 52 | ||
The estimated costs that will be amortized from accumulated other comprehensive loss into net periodic pension cost during the next fiscal year are as follows: | |||||||||
(In thousands) | Pension | SERP | |||||||
Prior service costs | $ | 12 | $ | 20 | |||||
Net transition asset | -39 | 0 | |||||||
Net actuarial loss/(gain) | 242 | -18 | |||||||
$ | 215 | $ | 2 | ||||||
401k_Profit_Sharing_Plan
401(k) Profit Sharing Plan | 12 Months Ended | |||
Dec. 31, 2013 | ||||
401(k) Profit Sharing Plan [Abstract] | ' | |||
401(k) Profit Sharing Plan | ' | |||
1 | 401(k) Profit Sharing Plan | |||
The First United Corporation 401(k) Plan is a defined contribution plan that is intended to qualify under section 401(k) of the Internal Revenue Code. The 401(k) Plan covers substantially all employees of First United Corporation and its subsidiaries. Eligible employees can elect to contribute to the plan through payroll deductions. The first 1% of contributions of an employee’s base salary are matched at 100% and the next 5% are matched on a 50% basis by the Corporation. Expense charged to operations for the 401(k) Plan was $.9 million in 2013 and $.7 million in 2012. | ||||
Federal_Reserve_Requirements
Federal Reserve Requirements | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Federal Reserve Requirements [Abstract] | ' | |||
Federal Reserve Requirements | ' | |||
1 | Federal Reserve Requirements | |||
During 2013, the Federal Reserve modified its structure for institutions to calculate their reserve requirements with the Reserve Bank. Under these new calculations, the Bank was not required to maintain certain cash reserve levels as its vault cash exceeded the levels for reserve. | ||||
Restrictions_on_Dividend_Payme
Restrictions on Dividend Payments | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Restrictions on Dividend Payments [Abstract] | ' | |||
Restrictions on Dividend Payments | ' | |||
1 | Restrictions on Dividend Payments | |||
First United Corporation is subject to an informal agreement with the Reserve Bank which requires it to seek the prior approval of the Reserve Bank before making any dividend payment or other distribution on its capital securities or other securities that qualify as Tier 1 capital. On November 15, 2010, First United Corporation, at the request of the Reserve Bank, deferred regular quarterly cash dividend payments on its Series A Preferred Stock. Pursuant to the terms of the Series A Preferred Stock, the deferral prohibits First United Corporation from paying dividends or other distributions on its common stock. On December 15, 2010, First United Corporation, at the request of the Reserve Bank, elected to defer regular quarterly interest payments on its TPS Debentures, beginning with the payments that are due in March 2011. This deferral likewise prohibited First United Corporation from paying any dividends or distributions on its capital securities during the deferral period. As of December 31, 2013, First United Corporation remained in deferral. See Note 13 for additional information about the current state of the deferral. | ||||
Restrictions_on_Subsidiary_Div
Restrictions on Subsidiary Dividends, Loans or Advances | 12 Months Ended | |||
Dec. 31, 2013 | ||||
Restrictions on Subsidiary Dividends, Loans or Advances [Abstract] | ' | |||
Restrictions on Subsidiary Dividends, Loans or Advances | ' | |||
1 | Restrictions on Subsidiary Dividends, Loans or Advances | |||
Federal and state banking regulations place certain restrictions on the amount of dividends paid and loans or advances made by the Bank to First United Corporation. The total amount of dividends that may be paid at any date is generally limited to the retained earnings of the Bank, and loans or advances are limited to 10 % of the Bank’s capital stock and surplus on a secured basis. In addition, dividends paid by the Bank to First United Corporation would be prohibited if the effect thereof would cause the Bank’s capital to be reduced below applicable minimum capital requirements. At December 31, 2013, the Bank could have paid additional dividends of $9.4 million to First United Corporation within these limits. Notwithstanding the foregoing, the Bank is subject to an informal agreement with the FDIC and the Maryland Commissioner of Financial Regulation which requires the Bank to seek the prior approval of these regulators before making any dividend payment to First United Corporation. | ||||
Commitments_and_Contingent_Lia
Commitments and Contingent Liabilities | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Commitments and Contingent Liabilities [Abstract] | ' | ||||
Commitments and Contingent Liabilities | ' | ||||
1 | Commitments and Contingent Liabilities | ||||
We are at times, and in the ordinary course of business, subject to legal actions. Management believes that losses, if any, resulting from current legal actions will not have a material adverse effect on our financial condition or results of operations. | |||||
Loan commitments are made to accommodate the financial needs of our customers. Loan commitments have credit risk essentially the same as that involved in extending loans to customers and are subject to normal credit policies. Commitments to extend credit generally have fixed expiration dates, may require payment of a fee, and contain cancellation clauses in the event of an adverse change in the customer’s credit quality. | |||||
We do not issue any guarantees that would require liability recognition or disclosure other than the standby letters of credit issued by the Bank. Standby letters of credit are conditional commitments issued by the Bank to guarantee the performance of a customer to a third party to support contractual obligations and to ensure job performance. Generally, the Bank’s letters of credit are issued with expiration dates within one year. Historically, most letters of credit expire unfunded, and therefore, cash requirements are substantially less than the total commitment. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. The Bank generally holds collateral and/or personal guarantees supporting letters of credit. Management believes that the proceeds obtained through a liquidation of collateral and the enforcement of guarantees would be sufficient to cover the potential amount of future payment required by the letters of credit. Management does not believe that the amount of the liability associated with guarantees under standby letters of credit outstanding at December 31, 2013 and December 31, 2012 is material. | |||||
The following table is a summary of commitments as of December 31, 2013 and 2012: | |||||
(In thousands) | 2013 | 2012 | |||
Loan commitments | $ | 97,709 | $ | 87,147 | |
Commercial letters of credit | 1,134 | 1,312 | |||
Total | $ | 98,843 | $ | 88,459 | |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Fair Value of Financial Instruments [Abstract] | ' | ||||||||||
Fair Value of Financial Instruments | ' | ||||||||||
1 | Fair Value of Financial Instruments | ||||||||||
The Corporation complies with the guidance of ASC Topic 820, Fair Value Measurements and Disclosures, which defines fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements required under other accounting pronouncements. The Corporation also follows the guidance on matters relating to all financial instruments found in ASC Subtopic 825-10, Financial Instruments – Overall. | |||||||||||
Fair value is defined as the price to sell an asset or to transfer a liability in an orderly transaction between willing market participants as of the measurement date. Fair value is best determined by values quoted through active trading markets. Active trading markets are characterized by numerous transactions of similar financial instruments between willing buyers and willing sellers. Because no active trading market exists for various types of financial instruments, many of the fair values disclosed were derived using present value discounted cash flows or other valuation techniques described below. As a result, the Corporation’s ability to actually realize these derived values cannot be assumed. | |||||||||||
The Corporation measures fair values based on the fair value hierarchy established in ASC Paragraph 820-10-35-37. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of inputs that may be used to measure fair value under the hierarchy are as follows: | |||||||||||
Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets and liabilities. This level is the most reliable source of valuation. | |||||||||||
Level 2: Quoted prices that are not active, or inputs that are observable either directly or indirectly, for substantially the full term of the asset or liability. Level 2 inputs include inputs other than quoted prices that are observable for the asset or liability (for example, interest rates and yield curves at commonly quoted intervals, volatilities, prepayment speeds, loss severities, credit risks, and default rates). It also includes inputs that are derived principally from or corroborated by observable market data by correlation or other means (market-corroborated inputs). Several sources are utilized for valuing these assets, including a contracted valuation service, Standard & Poor’s (“S&P”) evaluations and pricing services, and other valuation matrices. | |||||||||||
Level 3: Prices or valuation techniques that require inputs that are both significant to the valuation assumptions and not readily observable in the market (i.e. supported with little or no market activity). Level 3 instruments are valued based on the best available data, some of which is internally developed, and consider risk premiums that a market participant would require. | |||||||||||
The level established within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. Transfers in and out of Level 1, 2 or 3 are recorded at fair value at the beginning of the reporting period. | |||||||||||
Management believes that the Corporation’s valuation techniques are appropriate and consistent with the techniques used by other market participants. However, the use of different methodologies and assumptions could result in a different estimate of fair values at the reporting date. The following valuation techniques were used to measure the fair value of assets in the table below which are measured on a recurring and non-recurring basis as of December 31, 2013. | |||||||||||
Investments – The investment portfolio is classified and accounted for based on the guidance of ASC Topic 320, Investments – Debt and Equity Securities. | |||||||||||
The fair value of investments available-for-sale is determined using a market approach. As of December 31, 2013, the U.S. Government agencies and treasuries, residential mortgage-backed securities, private label residential mortgage-backed securities, and municipal bonds segments are classified as Level 2 within the valuation hierarchy. Their fair values were determined based upon market-corroborated inputs and valuation matrices, which were obtained through third party data service providers or securities brokers through which we have historically transacted both purchases and sales of investment securities. | |||||||||||
The CDO segment, which consists of pooled trust preferred securities issued by banks, thrifts and insurance companies, is classified as Level 3 within the valuation hierarchy. At December 31, 2013, the Bank owned 18 pooled trust preferred securities with an amortized cost of $37.1 million and a fair value of $17.5 million. The market for these securities at December 31, 2013 is not active and markets for similar securities are also not active. The inactivity was evidenced first by a significant widening of the bid-ask spread in the brokered markets in which these securities trade and then by a significant decrease in the volume of trades relative to historical levels. The new issue market is also inactive, as few CDOs have been issued since 2007. There are currently very few market participants who are willing to transact for these securities. The market values for these securities or any securities, other than those issued or guaranteed by the Treasury, are very depressed relative to historical levels. Therefore, in the current market, a low market price for a particular bond may only provide evidence of stress in the credit markets in general rather than being an indicator of credit problems with a particular issue. Given the conditions in the current debt markets and the absence of observable transactions in the secondary and new issue markets, management has determined that (i) the few observable transactions and market quotations that are available are not reliable for the purpose of obtaining fair value at December 31, 2013, (ii) an income valuation approach technique (i.e. present value) that maximizes the use of relevant observable inputs and minimizes the use of unobservable inputs will be equally or more representative of fair value than a market approach, and (iii) the CDO segment is appropriately classified within Level 3 of the valuation hierarchy because management determined that significant adjustments were required to determine fair value at the measurement date. | |||||||||||
Management utilizes an independent third party to prepare both the evaluations of other-than-temporary impairment as well as the fair value determinations for its CDO portfolio. Management does not believe that there were any material differences in the impairment evaluations and pricing between December 31, 2013 and December 31, 2012. | |||||||||||
The approach of the third party to determine fair value involves several steps, including detailed credit and structural evaluation of each piece of collateral in each bond, default, recovery and prepayment/amortization probabilities for each piece of collateral in the bond, and discounted cash flow modeling. The discount rate methodology used by the third party combines a baseline current market yield for comparable corporate and structured credit products with adjustments based on evaluations of the differences found in structure and risks associated with actual and projected credit performance of each CDO being valued. Currently, the only active and liquid trading market that exists is for stand-alone trust preferred securities. Therefore, adjustments to the baseline discount rate are also made to reflect the additional leverage found in structured instruments. | |||||||||||
Derivative financial instruments (Cash flow hedge) – The Corporation’s open derivative positions are interest rate swaps that are classified as Level 3 within the valuation hierarchy. Open derivative positions are valued using externally developed pricing models based on observable market inputs provided by a third party and validated by management. The Corporation has considered counterparty credit risk in the valuation of its interest rate swap assets. Management does not believe that there is a significant concentration with the counterparty. | |||||||||||
Impaired loans – Loans included in the table below are those that are considered impaired with a specific allocation based upon the guidance of the loan impairment subsection of the Receivables Topic, ASC Section 310-10-35, under which the Corporation has measured impairment generally based on the fair value of the loan’s collateral. Fair value consists of the loan balance less its valuation allowance and is generally determined based on independent third-party appraisals of the collateral or discounted cash flows based upon the expected proceeds. These assets are included as Level 3 fair values based upon the lowest level of input that is significant to the fair value measurements. | |||||||||||
Other real estate owned – Fair value of other real estate owned was based on independent third-party appraisals of the properties. These values were determined based on the sales prices of similar properties in the approximate geographic area. These assets are included as Level 3 fair values based upon the lowest level of input that is significant to the fair value measurements. | |||||||||||
For Level 3 assets and liabilities measured at fair value on a recurring and non-recurring basis as of December 31, 2013, the significant unobservable inputs used in the fair value measurements were as follows: | |||||||||||
Fair Value at December 31, 2013 | Valuation Technique | Significant Unobservable Inputs | Significant Unobservable Input Value | ||||||||
Recurring: | |||||||||||
Investment Securities – available for sale - CDO | $ | 17,538 | Discounted Cash Flow | Discount Rate | Swap+17%; Range of Libor+ 6% to 18% | ||||||
Cash Flow Hedge | $ | -457 | Discounted Cash Flow | Reuters Third Party Market Quote | 99.9% (weighted avg 99.9%) | ||||||
Non-recurring: | |||||||||||
Impaired Loans | $ | 8,613 | Market Comparable Properties | Marketability Discount | 10% (1) (weighted avg 10%) | ||||||
OREO | $ | 5,591 | Market Comparable Properties | Marketability Discount | 5% to 10% (1) (weighted avg 9%) | ||||||
(1) Range would include discounts taken since appraisal and estimated values | |||||||||||
For assets measured at fair value on a recurring and non-recurring basis, the fair value measurements by level within the fair value hierarchy used at December 31, 2013 and 2012 are as follows: | |||||||||||
Fair Value Measurements at | |||||||||||
December 31, 2013 Using | |||||||||||
(In Thousands) | |||||||||||
Assets Measured at | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | ||||||||
Description | 12/31/13 | (Level 1) | (Level 2) | (Level 3) | |||||||
Recurring: | |||||||||||
Investment securities available-for-sale: | |||||||||||
U.S. government agencies | $ | 92,035 | $ | 92,035 | |||||||
Residential mortgage-backed agencies | $ | 112,444 | $ | 112,444 | |||||||
Commercial mortgage-backed agencies | $ | 29,905 | $ | 29,905 | |||||||
Collateralized mortgage obligations | $ | 29,390 | $ | 29,390 | |||||||
Obligations of states and political subdivisions | $ | 55,277 | $ | 55,277 | |||||||
Collateralized debt obligations | $ | 17,538 | $ | 17,538 | |||||||
Financial Derivative | $ | -457 | $ | -457 | |||||||
Non-recurring: | |||||||||||
Impaired loans | $ | 8,613 | $ | 8,613 | |||||||
Other real estate owned | $ | 5,591 | $ | 5,591 | |||||||
Fair Value Measurements at | |||||||||||
December 31, 2012 Using | |||||||||||
(In Thousands) | |||||||||||
Assets Measured at | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | ||||||||
Description | 12/31/12 | (Level 1) | (Level 2) | (Level 3) | |||||||
Recurring: | |||||||||||
Investment securities available-for-sale: | |||||||||||
U.S. government agencies | $ | 40,320 | $ | 40,320 | |||||||
Residential mortgage-backed agencies | $ | 44,108 | $ | 44,108 | |||||||
Commercial mortgage-backed agencies | $ | 37,618 | $ | 37,618 | |||||||
Collateralized mortgage obligations | $ | 31,731 | $ | 31,731 | |||||||
Obligations of states and political subdivisions | $ | 58,054 | $ | 58,054 | |||||||
Collateralized debt obligations | $ | 11,442 | $ | 11,442 | |||||||
Financial Derivative | $ | -849 | $ | -849 | |||||||
Non-recurring: | |||||||||||
Impaired loans | $ | 13,560 | $ | 13,560 | |||||||
Other real estate owned | $ | 3,165 | $ | 3,165 | |||||||
There were no transfers of assets between any of the levels of the fair value hierarchy for the years ended December 31, 2013 or December 31, 2012. | |||||||||||
The following tables show a reconciliation of the beginning and ending balances for fair valued assets measured using Level 3 significant unobservable inputs for the years ended December 31, 2013 and 2012: | |||||||||||
Fair Value Measurements Using Significant | |||||||||||
Unobservable Inputs | |||||||||||
(Level 3) | |||||||||||
(In Thousands) | |||||||||||
Investment Securities Available for Sale | Cash Flow Hedge | ||||||||||
Beginning balance January 1, 2013 | $ | 11,442 | $ | -849 | |||||||
Total gains/(losses) realized/unrealized: | |||||||||||
Included in earnings | 0 | 0 | |||||||||
Included in other comprehensive loss | 6,096 | 392 | |||||||||
Ending balance December 31, 2013 | $ | 17,538 | $ | -457 | |||||||
The amount of total gains or losses for the period | |||||||||||
included in earnings attributable to the change in | |||||||||||
realized/unrealized gains or losses related to assets | |||||||||||
still held at the reporting date | $ | 0 | $ | 0 | |||||||
Fair Value Measurements Using Significant | |||||||||||
Unobservable Inputs | |||||||||||
(Level 3) | |||||||||||
(In Thousands) | |||||||||||
Investment Securities Available for Sale | Cash Flow Hedge | ||||||||||
Beginning balance January 1, 2012 | $ | 9,447 | $ | -1,034 | |||||||
Total gains/(losses) realized/unrealized: | |||||||||||
Included in earnings | 0 | 0 | |||||||||
Included in other comprehensive loss | 1,995 | 185 | |||||||||
Ending balance December 31, 2012 | $ | 11,442 | $ | -849 | |||||||
The amount of total gains or losses for the period | |||||||||||
included in earnings attributable to the change in | |||||||||||
realized/unrealized gains or losses related to assets | |||||||||||
still held at the reporting date | $ | 0 | $ | 0 | |||||||
Gains and losses (realized and unrealized) included in earnings for the periods above are reported in the Consolidated Statement of Operations in other operating income. | |||||||||||
The fair values disclosed may vary significantly between institutions based on the estimates and assumptions used in the various valuation methodologies. The derived fair values are subjective in nature and involve uncertainties and significant judgment. Therefore, they cannot be determined with precision. Changes in the assumptions could significantly impact the derived estimates of fair value. Disclosure of non-financial assets such as buildings as well as certain financial instruments such as leases is not required. Accordingly, the aggregate fair values presented do not represent the underlying value of the Corporation. | |||||||||||
We use the following methods and assumptions in estimating fair value disclosures for financial instruments: | |||||||||||
Cash and due from banks: The carrying amounts as reported in the statement of financial condition for cash and due from banks approximate their fair values. | |||||||||||
Interest bearing deposits in banks: The carrying amount of interest bearing deposits approximates their fair values. | |||||||||||
Restricted investment in Bank stock: The carrying value of stock issued by the FHLB of Atlanta, ACBB and CBB approximates fair value based on the redemption provisions of the stock. | |||||||||||
Loans (excluding impaired loans with specific loss allowances): For variable-rate loans that reprice frequently or “in one year or less”, and with no significant change in credit risk, fair values are based on carrying values. Fair values for fixed-rate loans that do not reprice frequently are estimated using a discounted cash flow calculation that applies current market interest rates being offered on the various loan products. | |||||||||||
Deposits: The fair values disclosed for demand deposits (e.g., interest and non-interest checking, savings, and certain types of money market accounts, etc.) are, by definition, equal to the amount payable on demand at the reporting date (i.e., their carrying amounts). Fair values for fixed-rate certificates of deposit are estimated using a discounted cash flow calculation that applies interest rates currently being offered on the various certificates of deposit to the cash flow stream. | |||||||||||
Short-term borrowings: The carrying amount of short-term borrowings approximates their fair values. | |||||||||||
Borrowed funds: The fair value of the Bank’s FHLB borrowings and First United Corporation’s TPS Debentures is calculated based on the discounted value of contractual cash flows, using rates currently existing for borrowings with similar remaining maturities. The carrying amounts of federal funds purchased and securities sold under agreements to repurchase approximate their fair values. | |||||||||||
Accrued interest: The carrying amount of accrued interest receivable and payable approximates their fair values. | |||||||||||
Off-balance-sheet financial instruments: In the normal course of business, the Bank makes commitments to extend credit and issues standby letters of credit. The Bank expects most of these commitments to expire without being drawn upon; therefore, the commitment amounts do not necessarily represent future cash requirements. Due to the uncertainty of cash flows and difficulty in the predicting the timing of such cash flows, fair values were not estimated for these instruments. | |||||||||||
The following table presents fair value information about financial instruments, whether or not recognized in the statement of financial condition, for which it is practicable to estimate that value. The actual carrying amounts and estimated fair values of the Corporation’s financial instruments that are included in the statement of financial condition are as follows: | |||||||||||
31-Dec-13 | Fair Value Measurements | ||||||||||
Carrying | Fair | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | |||||||
(in thousands) | Amount | Value | (Level 1) | (Level 2) | (Level 3) | ||||||
Financial Assets: | |||||||||||
Cash and due from banks | $ | 32,895 | $ | 32,895 | $ | 32,895 | |||||
Interest bearing deposits in banks | 10,168 | 10,168 | 10,168 | ||||||||
Investment securities - AFS | 336,589 | 336,589 | $ | 319,051 | $ | 17,538 | |||||
Investment securities - HTM | 3,900 | 3,590 | 3,590 | ||||||||
Restricted Bank stock | 7,913 | 7,913 | 7,913 | ||||||||
Loans, net | 796,646 | 799,937 | 799,937 | ||||||||
Accrued interest receivable | 4,342 | 4,342 | 4,342 | ||||||||
Financial Liabilities: | |||||||||||
Deposits – non-maturity | 650,761 | 650,761 | 650,761 | ||||||||
Deposits – time deposits | 326,642 | 333,256 | 333,256 | ||||||||
Short-term borrowed funds | 43,676 | 43,676 | 43,676 | ||||||||
Long-term borrowed funds | 182,672 | 189,135 | 189,135 | ||||||||
Accrued interest payable | 7,647 | 7,647 | 7,647 | ||||||||
Financial derivative | 457 | 457 | 457 | ||||||||
Off balance sheet financial instruments | 0 | 0 | 0 | ||||||||
2012 | |||||||||||
(In thousands) | Carrying Amount | Fair Value | |||||||||
Financial Assets: | |||||||||||
Cash and due from banks | $ | 71,290 | $ | 71,290 | |||||||
Interest bearing deposits in banks | 11,778 | 11,778 | |||||||||
Investment securities - AFS | 223,273 | 223,273 | |||||||||
Investment securities - HTM | 4,040 | 4,347 | |||||||||
Restricted Bank stock | 8,349 | 8,349 | |||||||||
Loans, net | 858,782 | 865,405 | |||||||||
Accrued interest receivable | 4,494 | 4,494 | |||||||||
Financial Liabilities: | |||||||||||
Deposits – non-maturity | 593,224 | 593,224 | |||||||||
Deposits – time deposits | 383,660 | 392,155 | |||||||||
Short-term borrowed funds | 39,257 | 39,257 | |||||||||
Long-term borrowed funds | 182,735 | 190,531 | |||||||||
Accrued interest payable | 5,415 | 5,415 | |||||||||
Financial derivative | 849 | 849 | |||||||||
Off balance sheet financial instruments | 0 | 0 | |||||||||
Derivative_Financial_Instrumen
Derivative Financial Instruments | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Derivative Financial Instruments [Abstract] | ' | ||||||
Derivative Financial Instruments | ' | ||||||
1 | Derivative Financial Instruments | ||||||
As a part of managing interest rate risk, the Corporation entered into interest rate swap agreements to modify the re-pricing characteristics of certain interest-bearing liabilities. The Corporation has designated its interest rate swap agreements as cash flow hedges under the guidance of ASC Subtopic 815-30, Derivatives and Hedging – Cash Flow Hedges. Cash flow hedges have the effective portion of changes in the fair value of the derivative, net of taxes, recorded in net accumulated other comprehensive income. | |||||||
In July 2009, the Corporation entered into three interest rate swap contracts totaling $20.0 million notional amount, hedging future cash flows associated with floating rate trust preferred debt. The fair value of the interest rate swap contracts was ($.5) million and ($.8) million at December 31, 2013 and December 31, 2012, respectively, and was reported in Other Liabilities on the Consolidated Statements of Financial Condition. Cash in the amount of $1.4 million was posted as collateral as of December 31, 2013 and December 31, 2012. | |||||||
For the year ended December 31, 2013, the Corporation recorded an increase in the value of the derivatives of $392 thousand and the related deferred tax benefit of $159 thousand in net accumulated other comprehensive loss to reflect the effective portion of cash flow hedges. ASC Subtopic 815-30 requires this amount to be reclassified to earnings if the hedge becomes ineffective or is terminated. There was no hedge ineffectiveness recorded for the year ended December 31, 2013. The Corporation does not expect any losses relating to these hedges to be reclassified into earnings within the next 12 months. | |||||||
Interest rate swap agreements are entered into with counterparties that meet established credit standards and we believe that the credit risk inherent in these contracts is not significant as of December 31, 2013. | |||||||
The table below discloses the impact of derivative financial instruments on the Corporation’s Consolidated Financial Statements for the years ended December 31, 2013 and year ended December 31, 2012. | |||||||
Derivative in Cash Flow Hedging Relationships | |||||||
(In thousands) | Amount of gain (loss) recognized in OCI on derivative (effective portion) | Amount of gain or (loss) reclassified from accumulated OCI into income (effective portion) (1) | Amount of gain or (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) (2) | ||||
Interest rate contracts: | |||||||
December 31, 2013 | $ | 233 | $ | 0 | $ | 0 | |
December 31, 2012 | $ | 109 | $ | 0 | $ | 0 | |
Notes: | |||||||
-1 | Reported as interest expense | ||||||
Reported as other inc | |||||||
Assets_and_Liabilities_Subject
Assets and Liabilities Subject to Enforceable Master Netting Agreements | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Assets and Liabilities Subject to Enforceable Master Netting Arrangements [Abstract] | ' | |||||||||||||
Assets and Liabilities Subject to Enforceable Master Netting Arrangements | ' | |||||||||||||
1 | Assets and Liabilities Subject to Enforceable Master Netting Arrangements | |||||||||||||
Interest Rate Swap Agreements (“Swap Agreements”) | ||||||||||||||
The Corporation has entered into interest rate swap agreements to modify the re-pricing characteristics of certain interest-bearing liabilities as a part of managing interest rate risk. The swap agreements have been designated as cash flow hedges, and accordingly, the fair value of the interest rate swap contracts is reported in Other Liabilities on the Consolidated Statement of Financial Condition. The swap agreements were entered into with a third party financial institution. The Corporation is party to master netting arrangements with its financial institution counterparty; however the Corporation does not offset assets and liabilities under these arrangements for financial statement presentation purposes. The master netting arrangements provide for a single net settlement of all swap agreements, as well as collateral, in the event of default on, or termination of, any one contract. Collateral, in the form of cash, is posted by the Corporation as the counterparty with net liability positions in accordance with contract thresholds. See Note 25 to the Consolidated Financial Statements for more information. | ||||||||||||||
Securities Sold Under Agreements to Repurchase (“Repurchase Agreements”) | ||||||||||||||
The Bank enters into agreements under which it sells interests in U.S. Securities to certain customers subject to an obligation to repurchase, and on the part of the customers to resell, such interests. Under these arrangements, the Bank may transfer legal control over the assets but still retain effective control through an agreement that both entitles and obligates the Bank to repurchase the assets. As a result, these repurchase agreements are accounted for as collateralized financing arrangements (i.e. secured borrowings) and not as a sale and subsequent repurchase of securities. The obligation to repurchase the securities is reflected as a liability in the consolidated statement of condition, while the securities underlying the repurchase agreements remain in the respective investment securities asset accounts. There is no offsetting or netting of the investment securities assets with the repurchase agreement liabilities. In addition, as the Bank does not enter into reverse repurchase agreements, there is no such offsetting to be done with the repurchase agreements. The right of setoff for a repurchase agreement resembles a secured borrowing, whereby the collateral would be used to settle the fair value of the repurchase agreement should the Bank be in default (i.e. fails to repurchase the U.S. Securities on the maturity date of the agreement). The investment security collateral is held by a third party financial institution in the counterparty’s custodial account. | ||||||||||||||
The following table presents the liabilities subject to an enforceable master netting arrangement or repurchase agreements as of December 31, 2013 and December 31, 2012. | ||||||||||||||
Gross Amounts Not Offset in the Statement of Condition | ||||||||||||||
(In thousands) | Gross Amounts of Recognized Liabilities | Gross Amounts Offset in the Statement of Condition | Net Amounts of Liabilities Presented in the Statement of Condition | Financial Instruments | Cash Collateral Pledged | Net Amount | ||||||||
31-Dec-13 | ||||||||||||||
Interest Rate Swap Agreements | $ | 457 | $ | 0 | $ | 457 | $ | -457 | $ | 0 | $ | 0 | ||
Repurchase Agreements | $ | 43,676 | $ | 0 | $ | 43,676 | $ | -43,676 | $ | 0 | $ | 0 | ||
31-Dec-12 | ||||||||||||||
Interest Rate Swap Agreements | $ | 849 | $ | 0 | $ | 849 | $ | -849 | $ | 0 | $ | 0 | ||
Repurchase Agreements | $ | 39,257 | $ | 0 | $ | 39,257 | $ | -39,257 | $ | 0 | $ | 0 | ||
Parent_Company_Only_Financial_
Parent Company Only Financial Information | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Parent Company Only Financial Information [Abstract] | ' | ||||||
Parent Company Only Financial Information | ' | ||||||
1 | Parent Company Only Financial Information | ||||||
Condensed Statement of Financial Condition | |||||||
December 31, | |||||||
(In thousands) | 2013 | 2012 | |||||
Assets | |||||||
Cash | $ | 3,025 | $ | 2,449 | |||
Investment in bank subsidiary | 151,711 | 146,876 | |||||
Investment in non-bank subsidiaries | 4,036 | 4,195 | |||||
Other assets | 4,031 | 2,802 | |||||
Total Assets | $ | 162,803 | $ | 156,322 | |||
Liabilities and Shareholder’s Equity | |||||||
Accrued interest and other liabilities | $ | 14,733 | $ | 10,687 | |||
Dividends payable | 0 | 0 | |||||
Junior subordinated debt | 46,730 | 46,730 | |||||
Shareholder’s equity | 101,340 | 98,905 | |||||
Total Liabilities and Shareholder’s Equity | $ | 162,803 | $ | 156,322 | |||
Condensed Statement of Income | |||||||
Year Ended | |||||||
December 31, | |||||||
(In thousands) | 2103 | 2012 | |||||
Income: | |||||||
Dividend income from bank subsidiary | $ | 0 | $ | 0 | |||
Other income | 469 | 338 | |||||
Total Income | 469 | 338 | |||||
Expenses: | |||||||
Interest expense | 2,881 | 2,802 | |||||
Other expenses | 513 | 384 | |||||
Total Expenses | 3,394 | 3,186 | |||||
Loss before income taxes and equity in undistributed | |||||||
net loss of subsidiaries | -2,925 | -2,848 | |||||
Applicable income tax benefit | 1,002 | 0 | |||||
Net loss before equity in undistributed net loss of subsidiaries | -1,923 | -2,848 | |||||
Equity in undistributed net income/(loss)of subsidiaries: | |||||||
Bank | 8,395 | 7,462 | |||||
Non-bank | -26 | 49 | |||||
Net Income | $ | 6,446 | $ | 4,663 | |||
Condensed Statement of Comprehensive Income | |||||||
Year ended | |||||||
December 31, | |||||||
Components of Comprehensive Income (in thousands) | 2013 | 2012 | |||||
Net Income | $ | 6,446 | $ | 4,663 | |||
Unrealized gains on cash flow hedges, net of tax | 233 | 109 | |||||
Other comprehensive income, net of tax | 233 | 109 | |||||
Comprehensive income | $ | 6,679 | $ | 4,772 | |||
Condensed Statement of Cash Flows | |||||||
Year Ended | |||||||
December 31, | |||||||
(In thousands) | 2013 | 2012 | |||||
Operating Activities | |||||||
Net Income | $ | 6,446 | $ | 4,663 | |||
Adjustments to reconcile net income to net cash provided | |||||||
by/(used in) operating activities: | |||||||
Equity in undistributed net income of subsidiaries | -8,369 | -7,511 | |||||
Increase in other assets | -993 | -303 | |||||
Increase in accrued interest payable and other liabilities | 4,047 | 3,958 | |||||
Stock Compensation | 88 | 73 | |||||
Net cash provided by operating activities | 1,219 | 880 | |||||
Investing Activities | |||||||
Net investment in subsidiaries | 1,066 | 1,252 | |||||
Net cash provided by investing activities | 1,066 | 1,252 | |||||
Financing Activities | |||||||
Dividends - preferred stock deferred | -1,709 | -1,626 | |||||
Net cash used in financing activities | -1,709 | -1,626 | |||||
Increase in cash and cash equivalents | 576 | 506 | |||||
Cash and cash equivalents at beginning of year | 2,449 | 1,943 | |||||
Cash and cash equivalents at end of year | $ | 3,025 | $ | 2,449 | |||
Accumulated Other Comprehensive Income | |||||||
Components of Comprehensive Income (in thousands) | Before Tax Amount | Tax (Expense) Benefit | Net | ||||
For the period ended December 31, 2013 | |||||||
Cash flow hedges: | |||||||
Unrealized holding gains | $ | 392 | $ | -159 | $ | 233 | |
Other comprehensive income | $ | 392 | $ | -159 | $ | 233 | |
For the period ended December 31, 2012 | |||||||
Cash flow hedges: | |||||||
Unrealized holding gains | $ | 185 | $ | -76 | $ | 109 | |
Other comprehensive income | $ | 185 | $ | -76 | $ | 109 | |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2013 | |
Summary of Significant Accounting Policies [Abstract] | ' |
Basis of Presentation [Policy Text Block] | ' |
Basis of Presentation | |
The accompanying consolidated financial statements of the Corporation have been prepared in accordance with United States generally accepted accounting principles (“GAAP”) as required by the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) that require management to make estimates and assumptions that affect the reported amounts of certain assets and liabilities at the date of the financial statements as well as the reported amount of revenues and expenses during the reporting period. Actual results could differ from these estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the assessment of other-than-temporary impairment (“OTTI”) pertaining to investment securities, potential impairment of goodwill, and the valuation of deferred tax assets. For purposes of comparability, certain prior period amounts have been reclassified to conform to the 2013 presentation. Such reclassifications had no impact on net income or equity. | |
The Corporation has evaluated events and transactions occurring subsequent to the statement of financial condition date of December 31, 2013 for items that should potentially be recognized or disclosed in these financial statements as prescribed by ASC Topic 855, Subsequent Events. | |
Principles of Consolidation [Policy Text Block] | ' |
Principles of Consolidation | |
The consolidated financial statements of the Corporation include the accounts of First United Corporation, the Insurance Group, OakFirst Loan Center, Inc., OakFirst Loan Center, LLC, First OREO Trust and Cumberland Liquidation. All significant inter-company accounts and transactions have been eliminated. | |
First United Corporation determines whether it has a controlling financial interest in an entity by first evaluating whether the entity is a voting interest entity or a variable interest entity (“VIE”) in accordance with GAAP. Voting interest entities are entities in which the total equity investment at risk is sufficient to enable the entity to finance itself independently and provides the equity holders with the obligation to absorb losses, the right to receive residual returns and the right to make financial and operating decisions. The Corporation consolidates voting interest entities in which it has 100%, or at least a majority, of the voting interest. As defined in applicable accounting standards, a VIE is an entity that either (i) does not have equity investors with voting rights or (ii) has equity investors that do not provide sufficient financial resources for the entity to support its activities. A controlling financial interest in an entity exists when an enterprise has a variable interest, or a combination of variable interests that will absorb a majority of an entity’s expected losses, receive a majority of an entity’s expected residual returns, or both. The enterprise with a controlling financial interest, known as the primary beneficiary, consolidates the VIE. | |
The Corporation accounts for its investment in the Partnership, utilizing the effective yield method under guidance that applies specifically to investments in limited partnerships that operate qualified affordable housing projects. Under the effective yield method, the investor recognizes tax credits as they are allocated and amortizes the initial cost of the investment to provide a constant effective yield over the period that tax credits are allocated to the investor. The effective yield is the internal rate of return on the investment, based on the cost of the investment and the guaranteed tax credits allocated to the investor. The tax credit allocated, net of the amortization of the investment in the limited partnership, is recognized in the income statement as a component of income taxes attributable to continuing operations. | |
Significant Concentrations of Credit Risk [Policy Text Block] | ' |
Significant Concentrations of Credit Risk | |
Most of the Corporation’s relationships are with customers located in Western Maryland and Northeastern West Virginia. At December 31, 2013, approximately 13%, or $107 million, of total loans were secured by real estate acquisition, construction and development projects, with $96 million performing according to their contractual terms and $11 million considered to be impaired based on management’s concerns about the borrowers’ ability to comply with present repayment terms. Of the $11 million in impaired loans, $5 million were classified as troubled debt restructurings (“TDRs”) performing according to their modified terms, $1 million were classified as performing impaired loans, and $5 million were classified as non-performing loans at December 31, 2013. Additionally, commercial rental properties represent 11% of the total loan portfolio as of December 31, 2013. Note 6 discusses the types of securities in which the Corporation invests and Note 7 discusses the Corporation’s lending activities. | |
Investments [Policy Text Block] | ' |
Investments | |
The investment portfolio is classified and accounted for based on the guidance of ASC Topic 320, Investments – Debt and Equity Securities. Securities bought and held principally for the purpose of selling them in the near term are classified as trading account securities and reported at fair value with unrealized gains and losses included in net gains/losses in other operating income. Securities purchased with the intent and ability to hold the securities to maturity are classified as held-to-maturity securities and are recorded at amortized cost. All other investment securities are classified as available-for-sale. These securities are held for an indefinite period of time and may be sold in response to changing market and interest rate conditions or for liquidity purposes as part of our overall asset/liability management strategy. Available-for-sale securities are reported at market value, with unrealized gains and losses excluded from earnings and reported as a separate component of other comprehensive income included in consolidated statement of comprehensive income, net of applicable income taxes. | |
The amortized cost of debt securities is adjusted for the amortization of premiums to the first call date, if applicable, or to maturity, and for the accretion of discounts to maturity, or, in the case of mortgage-backed securities, over the estimated life of the security. Such amortization and accretion is included in interest income from investments. Interest and dividends are included in interest income from investments. Gains and losses on the sale of securities are recorded using the specific identification method. | |
Restricted Investment in Bank Stock [Policy Text Block] | ' |
Restricted Investment in Bank Stock | |
Restricted stock, which represents required investments in the common stock of the Federal Home Loan Bank (“FHLB”) of Atlanta, Atlantic Community Bankers Bank (“ACBB”) and Community Bankers Bank (“CBB”), is carried at cost and is considered a long-term investment. | |
Management evaluates the restricted stock for impairment in accordance with ASC Industry Topic 942, Financial Services – Depository and Lending, (ASC Section 942-325-35). Management’s evaluation of potential impairment is based on management’s assessment of the ultimate recoverability of the cost of the restricted stock rather than by recognizing temporary declines in value. The determination of whether a decline affects the ultimate recoverability is influenced by criteria such as (i) the significance of the decline in net assets of the issuing bank as compared to the capital stock amount for that bank and the length of time this situation has persisted, (ii) commitments by the issuing bank to make payments required by law or regulation and the level of such payments in relation to the operating performance of that bank, and (iii) the impact of legislative and regulatory changes on institutions and, accordingly, on the customer base of the issuing bank. Management has evaluated the restricted stock for impairment and believes that no impairment charge is necessary as of December 31, 2013. | |
The Corporation recognizes dividends on a cash basis. For the year ended December 31, 2013, dividends of $199,500 were recognized in earnings. For the year ended December 31, 2012, dividends of $167,000 were recognized in earnings. | |
Loans and Interest and Fees on Loans [Policy Text Block] | ' |
Loans | |
Loans that management has the intent and ability to hold for the foreseeable future or until maturity or full repayment by the borrower are reported at their outstanding unpaid principal balance, adjusted for any deferred fees or costs pertaining to origination. Loans that management has the intent to sell are reported at the lower of cost or fair value determined on an individual basis. | |
The segments of the Bank’s loan portfolio are disaggregated to a level that allows management to monitor risk and performance. The commercial real estate (“CRE”) loan segment is further disaggregated into two classes. Non-owner occupied CRE loans, which include loans secured by non-owner occupied nonfarm nonresidential properties, generally have a greater risk profile than all other CRE loans, which include loans secured by farmland, multifamily structures and owner-occupied commercial structures. The acquisition and development (“A&D”) loan segment is further disaggregated into two classes. One-to-four family residential construction loans are generally made to individuals for the acquisition of and/or construction on a lot or lots on which a residential dwelling is to be built. All other A&D loans are generally made to developers or investors for the purpose of acquiring, developing and constructing residential or commercial structures. These loans have a higher risk profile because the ultimate buyer, once development is completed, is generally not known at the time of the A&D loan. The commercial and industrial (“C&I”) loan segment consists of loans made for the purpose of financing the activities of commercial customers. The residential mortgage loan segment is further disaggregated into two classes: amortizing term loans, which are primarily first liens, and home equity lines of credit, which are generally second liens. The consumer loan segment consists primarily of installment loans (direct and indirect) and overdraft lines of credit connected with customer deposit accounts. | |
Interest and Fees on Loans | |
Interest on loans (other than those on non-accrual status) is recognized based upon the principal amount outstanding. Loan fees in excess of the costs incurred to originate the loan are recognized as income over the life of the loan utilizing either the interest method or the straight-line method, depending on the type of loan. Generally, fees on loans with a specified maturity date, such as residential mortgages, are recognized using the interest method. Loan fees for lines of credit are recognized using the straight-line method. | |
A loan is considered to be past due when a payment has not been received for 30 days past its contractual due date. For all loan segments, the accrual of interest is discontinued when principal or interest is delinquent for 90 days or more unless the loan is well-secured and in the process of collection. All non-accrual loans are considered to be impaired. Interest payments received on non-accrual loans are applied as a reduction of the loan principal balance. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. The Corporation’s policy for recognizing interest income on impaired loans does not differ from its overall policy for interest recognition. | |
Generally, consumer installment loans are not placed on non-accrual status, but are charged off after they are 120 days contractually past due. Loans other than consumer loans are charged-off based on an evaluation of the facts and circumstances of each individual loan. | |
Allowance For Loan Losses [Policy Text Block] | ' |
Allowance for Loan Losses | |
An allowance for loan losses (“ALL”) is maintained to absorb losses from the loan portfolio. The ALL is based on management’s continuing evaluation of the risk characteristics and credit quality of the loan portfolio, assessment of current economic conditions, diversification and size of the portfolio, adequacy of collateral, past and anticipated loss experience, and the amount of non-performing loans. | |
The Bank’s methodology for determining the ALL is based on the requirements of ASC Section 310-10-35, Receivables-Overall-Subsequent Measurement, for loans individually evaluated for impairment and ASC Subtopic 450-20, Contingencies-Loss Contingencies, for loans collectively evaluated for impairment, as well as the Interagency Policy Statements on the Allowance for Loan and Lease Losses and other bank regulatory guidance. The total of the two components represents the Bank’s ALL. | |
The Corporation maintains an allowance for losses on unfunded commercial lending commitments and letters of credit to provide for the risk of loss inherent in these arrangements. The allowance is determined utilizing a methodology that is similar to that used to determine the ALL, modified to take into account the probability of a draw down on the commitment. This allowance is reported as a liability on the balance sheet within accrued interest payable and other liabilities. The balance in the liability account was $49,400 at December 31, 2013 and $44,000 at December 31, 2012. | |
Premises and Equipment [Policy Text Block] | ' |
Premises and Equipment | |
Land is carried at cost. Premises and equipment are carried at cost, less accumulated depreciation. The provision for depreciation for financial reporting has been made by using the straight-line method based on the estimated useful lives of the assets, which range from 18 to 32 years for buildings and three to 20 years for furniture and equipment. Accelerated depreciation methods are used for income tax purposes. | |
Goodwill and Other Intangible Assets [Policy Text Block] | ' |
Goodwill | |
Goodwill represents the excess of the cost of an acquisition over the fair value of the net assets acquired in business combinations. In accordance with ASC Topic 350, Intangibles - Goodwill and Other, goodwill is not amortized but is subject to an annual impairment test. | |
Bank-Owned Life Insurance ("BOLI") [Policy Text Block] | ' |
Bank-Owned Life Insurance (“BOLI”) | |
BOLI policies are recorded at their cash surrender values. Changes in the cash surrender values are recorded as other operating income. | |
Other Real Estate Owned [Policy Text Block] | ' |
Other Real Estate Owned | |
Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at fair value less the cost to sell at the date of foreclosure, with any losses charged to the ALL, establishing a new cost basis. Subsequent to foreclosure, valuations are periodically performed by management and the assets are carried at the lower of carrying amount or fair value less cost to sell. Changes in the valuation allowance, sales gains and losses, and revenue and expenses from holding and operating properties are all included in net expenses from other real estate owned. | |
Income Taxes [Policy Text Block] | ' |
Income Taxes | |
First United Corporation and its subsidiaries file a consolidated federal income tax return. Income taxes are accounted for using the asset and liability method. Under the asset and liability method, the deferred tax liability or asset is determined based on the difference between the financial statement and tax bases of assets and liabilities (temporary differences) and is measured at the enacted tax rates that will be in effect when these differences reverse. Deferred tax expense is determined by the change in the net liability or asset for deferred taxes adjusted for changes in any deferred tax asset valuation allowance. | |
ASC Topic 740, Taxes, provides clarification on accounting for uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. We have not identified any income tax uncertainties. | |
State corporate income tax returns are filed annually. Federal and state returns may be selected for examination by the Internal Revenue Service and the states where we file, subject to statutes of limitations. At any given point in time, the Corporation may have several years of filed tax returns that may be selected for examination or review by taxing authorities. With few exceptions, we are no longer subject to U.S. Federal, State, and local income tax examinations by tax authorities for years prior to 2010. | |
Interest and penalties on income taxes are recognized as a component of income tax expense. | |
Defined Benefit Plans [Policy Text Block] | ' |
Defined Benefit Plans | |
The defined benefit pension plan and supplemental executive retirement plan are accounted for in accordance with ASC Topic 715, Compensation – Retirement Benefits. Under the provisions of Topic 715, the funded status of the defined benefit pension plan is recognized as an asset, and the supplemental executive retirement plan is recognized as a liability in the Consolidated Statement of Financial Condition, and unrecognized net actuarial losses, prior service costs and a net transition asset are recognized as a separate component of other comprehensive loss, net of tax. Refer to Note 18 for a further discussion of the pension plan and supplemental executive retirement plan obligations. | |
Statement of Cash Flows [Policy Text Block] | ' |
Statement of Cash Flows | |
Cash and cash equivalents are defined as cash and due from banks and interest bearing deposits in banks in the Consolidated Statement of Cash Flows. | |
Trust Assets and Income [Policy Text Block] | ' |
Trust Assets and Income | |
Assets held in an agency or fiduciary capacity are not the Bank’s assets and, accordingly, are not included in the Consolidated Statement of Financial Condition. Income from the Bank’s trust department represents fees charged to customers and is recorded on an accrual basis. | |
Business Segments [Policy Text Block] | ' |
Business Segments | |
The Corporation operates in one segment, commercial banking, as defined by ASC Topic 280, Segment Reporting. The Corporation in its entirety is managed and evaluated on an ongoing basis by the Board of Directors and executive management, with no division or subsidiary receiving separate analysis regarding performance or resource allocation. | |
Equity Compensation Plans [Policy Text Block] | ' |
Equity Compensation Plan | |
At the 2007 Annual Meeting of Shareholders, First United Corporation’s shareholders approved the First United Corporation Omnibus Equity Compensation Plan (the “Omnibus Plan”), which authorizes the grant of stock options, stock appreciation rights, stock awards, stock units, performance units, dividend equivalents, and other stock-based awards to employees or directors totaling up to 185,000 shares. | |
On June 18, 2008, the Board of Directors of First United Corporation adopted a Long-Term Incentive Program (the “LTIP”). This program was adopted as a sub-plan of the Omnibus Plan to reward participants for increasing shareholder value, align executive interests with those of shareholders, and serve as a retention tool for key executives. Under the LTIP, participants are granted shares of restricted common stock of First United Corporation. The amount of an award is based on a specified percentage of the participant’s salary as of the date of grant. These shares will vest if the Corporation meets or exceeds certain performance thresholds. There were no grants of restricted stock outstanding at December 31, 2013. | |
The Corporation complies with the provisions of ASC Topic 718, Compensation-Stock Compensation, in measuring and disclosing stock compensation cost. The measurement objective in ASC Paragraph 718-10-30-6 requires public companies to measure the cost of employee services received in exchange for an award of equity instruments based on the grant date fair value of the award. The cost is recognized in expense over the period in which an employee is required to provide service in exchange for the award (the vesting period). The performance-related shares granted in connection with the LTIP are expensed ratably from the date that the likelihood of meeting the performance measures is probable through the end of a three year vesting period. | |
The American Recovery and Reinvestment Act (the “Recovery Act”) imposes restrictions on the type and timing of bonuses and incentive compensation that may be accrued for or paid to certain employees of institutions that participated in the Troubled Asset Relief Program (“TARP”) Capital Purchase Program (“CPP”) of the Department of the Treasury (“Treasury”). The Recovery Act generally limits bonuses and incentive compensation to grants of long-term restricted stock that, among other requirements, cannot fully vest until the TARP CPP assistance is repaid. | |
Stock-based awards were made to non-employee directors in 2013 and 2012. Five thousand dollars of their annual retainer is paid in stock. Beginning in 2011, the non-employee directors were given the option to elect to take up to 100% of their annual cash retainer also in stock. The 2013 and 2012 grants totaled 11,304 and 16,526, respectively, of fully-vested shares having a fair market value of $7.96 and $5.14, respectively, per share. Director stock compensation expense was $88,000 for the year ended December 31, 2013 and $73,000 for the year ended December 31, 2012. | |
Stock Repurchases [Policy Text Block] | ' |
Stock Repurchases | |
Under the Maryland General Corporation Law, shares of capital stock that are repurchased are cancelled and treated as authorized but unissued shares. When a share of capital stock is repurchased, the payment of the repurchase price reduces stated capital by the par value of that share (currently, $0.01 for common stock and $0.00 for preferred stock), and any excess over par value reduces capital surplus. There were no stock repurchases in 2013. | |
Earnings_Per_Common_Share_Tabl
Earnings Per Common Share (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Earnings Per Common Share [Abstract] | ' | ||||||||||
Basic and Diluted Earnings Per Share [Table Text Block] | ' | ||||||||||
For the years ended December 31, | |||||||||||
2013 | 2012 | ||||||||||
Average | Per Share | Average | Per Share | ||||||||
(in thousands, except for per share amount) | Income | Shares | Amount | Income | Shares | Amount | |||||
Basic and Diluted Earnings Per Share: | |||||||||||
Net income | $ | 6,446 | $ | 4,663 | |||||||
Preferred stock dividends deferred | -1,709 | -1,626 | |||||||||
Discount accretion on preferred stock | -69 | -65 | |||||||||
Net income available to common shareholders | $ | 4,668 | 6,207 | $ | 0.75 | $ | 2,972 | 6,194 | $ | 0.48 | |
Net_Gains_Tables
Net Gains (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Net Gains [Abstract] | ' | ||||
Net Gains [Table Text Block] | ' | ||||
For the year ended | |||||
December 31, | |||||
(in thousands) | 2013 | 2012 | |||
Net gains – other: | |||||
Available-for-sale securities: | |||||
Realized gains | $ | 447 | $ | 1,740 | |
Realized losses | -369 | -195 | |||
Gain on sale of consumer loans | 176 | 167 | |||
Gain on sale of insurance assets | 0 | 88 | |||
Loss on disposal of fixed assets | -25 | -92 | |||
Net gains – other | 229 | 1,708 | |||
Net gains | $ | 229 | $ | 1,708 | |
Cash_And_Cash_Equivalents_Tabl
Cash And Cash Equivalents (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Cash and Cash Equivalents [Abstract] | ' | ||||
Cash and Cash Equivalents [Table Text Block] | ' | ||||
Cash and due from banks, which represents vault cash in the retail offices and invested cash balances at the Federal Reserve, is carried at fair value. | |||||
December 31, | December 31, | ||||
(in thousands) | 2013 | 2012 | |||
Cash and due from banks, weighted average interest rate of 0.20% (at December 31, 2013) | $ | 32,895 | $ | 71,290 | |
Interest bearing deposits in banks, which represent funds invested at a correspondent bank, are carried at fair value and, as of December 31, 2013 and 2012, consisted of daily funds invested at the FHLB of Atlanta, First Tennessee Bank (“FTN”), M&T Bank (“M&T”), and CBB. | |||||
December 31, | December 31, | ||||
(in thousands) | 2013 | 2012 | |||
FHLB daily investments, interest rate of 0.005% (at December 31, 2013) | $ | 1,677 | $ | 3,306 | |
FTN daily investments, interest rate of 0.07% (at December 31, 2013) | 1,350 | 1,350 | |||
M&T daily investments, interest rate of 0.22% (at December 31, 2013) | 6,051 | 6,037 | |||
CBB Fed Funds sold, interest rate of 0.22% (at December 31, 2013) | 1,090 | 1,085 | |||
$ | 10,168 | $ | 11,778 | ||
Investments_Tables
Investments (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Investments [Abstract] | ' | ||||||||||
Unrealized Gain (Loss) on Investments [Table Text Block] | ' | ||||||||||
Gross | Gross | ||||||||||
Amortized | Unrealized | Unrealized | Fair | OTTI in | |||||||
(in thousands) | Cost | Gains | Losses | Value | AOCL | ||||||
31-Dec-13 | |||||||||||
Available for Sale: | |||||||||||
U.S. government agencies | $ | 97,242 | $ | 14 | $ | 5,221 | $ | 92,035 | $ | 0 | |
Residential mortgage-backed agencies | 116,933 | 334 | 4,823 | 112,444 | 0 | ||||||
Commercial mortgage-backed agencies | 31,025 | 14 | 1,134 | 29,905 | 0 | ||||||
Collateralized mortgage obligations | 30,468 | 84 | 1,162 | 29,390 | 0 | ||||||
Obligations of states and political subdivisions | 55,505 | 895 | 1,123 | 55,277 | 0 | ||||||
Collateralized debt obligations | 37,146 | 778 | 20,386 | 17,538 | 12,703 | ||||||
Total available for sale | $ | 368,319 | $ | 2,119 | $ | 33,849 | $ | 336,589 | $ | 12,703 | |
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 3,900 | $ | 249 | $ | 559 | $ | 3,590 | $ | 0 | |
31-Dec-12 | |||||||||||
Available for Sale: | |||||||||||
U.S. government agencies | $ | 40,334 | $ | 97 | $ | 111 | $ | 40,320 | $ | 0 | |
Residential mortgage-backed agencies | 43,596 | 703 | 191 | 44,108 | 0 | ||||||
Commercial mortgage-backed agencies | 37,330 | 288 | 0 | 37,618 | 0 | ||||||
Collateralized mortgage obligations | 31,836 | 188 | 293 | 31,731 | 0 | ||||||
Obligations of states and political subdivisions | 55,212 | 2,842 | 0 | 58,054 | 0 | ||||||
Collateralized debt obligations | 36,798 | 0 | 25,356 | 11,442 | 16,876 | ||||||
Total available for sale | $ | 245,106 | $ | 4,118 | $ | 25,951 | $ | 223,273 | $ | 16,876 | |
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 4,040 | $ | 542 | $ | 235 | $ | 4,347 | $ | 0 | |
Proceeds Fom Sales And Realized Gain And Losses [Table Text Block] | ' | ||||||||||
(in thousands) | 2013 | 2012 | |||||||||
Proceeds | $ | 44,496 | $ | 46,220 | |||||||
Realized gains | 447 | 1,740 | |||||||||
Realized losses | 369 | 195 | |||||||||
Gross Unrealized Losses And Fair Values Of Securities [Table Text Block] | ' | ||||||||||
Less than 12 months | 12 months or more | ||||||||||
Fair | Unrealized | Fair | Unrealized | ||||||||
(in thousands) | Value | Losses | Value | Losses | |||||||
31-Dec-13 | |||||||||||
Available for Sale: | |||||||||||
U.S. government agencies | $ | 62,962 | $ | 3,154 | $ | 13,996 | $ | 2,067 | |||
Residential mortgage-backed agencies | 60,781 | 1,801 | 46,570 | 3,022 | |||||||
Commercial mortgage-backed agencies | 21,889 | 1,134 | 0 | 0 | |||||||
Collateralized mortgage obligations | 21,201 | 1,149 | 3,051 | 13 | |||||||
Obligations of states and political subdivisions | 15,422 | 1,123 | 0 | 0 | |||||||
Collateralized debt obligations | 0 | 0 | 16,434 | 20,386 | |||||||
Totals | $ | 182,255 | $ | 8,361 | $ | 80,051 | $ | 25,488 | |||
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 0 | $ | 0 | $ | 2,301 | $ | 559 | |||
31-Dec-12 | |||||||||||
Available for Sale: | |||||||||||
U.S. government agencies | $ | 18,220 | $ | 111 | $ | 0 | $ | 0 | |||
Residential mortgage-backed agencies | 22,407 | 191 | 0 | 0 | |||||||
Commercial mortgage-backed agencies | 0 | 0 | 0 | 0 | |||||||
Collateralized mortgage obligations | 16,576 | 293 | 450 | 0* | |||||||
Obligations of states and political subdivisions | 0 | 0 | 0 | 0 | |||||||
Collateralized debt obligations | 0 | 0 | 11,442 | 25,356 | |||||||
Totals | $ | 57,203 | $ | 595 | $ | 11,892 | $ | 25,356 | |||
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 2,765 | $ | 235 | $ | 0 | $ | 0 | |||
* - De Minimus | |||||||||||
Non-Cash OTTI Credit Losses Recognized In Earnings [Table Text Block] | ' | ||||||||||
For the year ended | |||||||||||
(in thousands) | 31-Dec-13 | 31-Dec-12 | |||||||||
Balance of credit-related OTTI at January 1 | $ | 13,959 | $ | 14,424 | |||||||
Reduction for increases in cash flows expected to be collected | -537 | -465 | |||||||||
Balance of credit-related OTTI at December 31 | $ | 13,422 | $ | 13,959 | |||||||
Amortized Cost And Fair Values Classified By Contractual Maturity Date [Table Text Block] | ' | ||||||||||
31-Dec-13 | |||||||||||
Amortized | Fair | ||||||||||
(in thousands) | Cost | Value | |||||||||
Contractual Maturity | |||||||||||
Available for sale: | |||||||||||
Due after one year through five years | $ | 30,034 | $ | 29,656 | |||||||
Due after five years through ten years | 76,128 | 74,254 | |||||||||
Due after ten years | 83,731 | 60,940 | |||||||||
189,893 | 164,850 | ||||||||||
Residential mortgage-backed agencies | 116,933 | 112,444 | |||||||||
Commercial mortgage-backed agencies | 31,025 | 29,905 | |||||||||
Collateralized mortgage obligations | 30,468 | 29,390 | |||||||||
$ | 368,319 | $ | 336,589 | ||||||||
Held to Maturity: | |||||||||||
Due after ten years | $ | 3,900 | $ | 3,590 | |||||||
Loans_And_Related_Allowances_F
Loans And Related Allowances For Loan Losses (Tables) | 12 Months Ended | ||||||||||||||
Dec. 31, 2013 | |||||||||||||||
Loans and Related Allowances for Loan Losses [Abstract] | ' | ||||||||||||||
Primary Segments Of The Loan Portfolio [Table Text Block] | ' | ||||||||||||||
The following table summarizes the primary segments of the loan portfolio as of December 31, 2013 and December 31, 2012: | |||||||||||||||
(in thousands) | Commercial Real Estate | Acquisition and Development | Commercial and Industrial | Residential Mortgage | Consumer | Total | |||||||||
31-Dec-13 | |||||||||||||||
Total loans | $ | 267,978 | $ | 107,250 | $ | 59,788 | $ | 350,906 | $ | 24,318 | $ | 810,240 | |||
Individually evaluated for impairment | $ | 11,740 | $ | 11,703 | $ | 2,299 | $ | 7,546 | $ | 21 | $ | 33,309 | |||
Collectively evaluated for impairment | $ | 256,238 | $ | 95,547 | $ | 57,489 | $ | 343,360 | $ | 24,297 | $ | 776,931 | |||
31-Dec-12 | |||||||||||||||
Total loans | $ | 298,851 | $ | 128,391 | $ | 69,013 | $ | 346,919 | $ | 31,655 | $ | 874,829 | |||
Individually evaluated for impairment | $ | 15,941 | $ | 24,112 | $ | 3,449 | $ | 4,304 | $ | 36 | $ | 47,842 | |||
Collectively evaluated for impairment | $ | 282,910 | $ | 104,279 | $ | 65,564 | $ | 342,615 | $ | 31,619 | $ | 826,987 | |||
Schedule of Related Party Transactions [Table Text Block] | ' | ||||||||||||||
(in thousands) | 2013 | ||||||||||||||
Balance at January 1 | $ | 11,731 | |||||||||||||
Loans or advances | 690 | ||||||||||||||
Repayments | -2,550 | ||||||||||||||
Balance at December 31 | $ | 9,871 | |||||||||||||
Classes Of The Loan Portfolio Summarized By The Aggregate Risk Rating [Table Text Block] | ' | ||||||||||||||
(in thousands) | Pass | Special Mention | Substandard | Total | |||||||||||
31-Dec-13 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 103,556 | $ | 9,243 | $ | 24,745 | $ | 137,544 | |||||||
All other CRE | 100,461 | 8,479 | 21,494 | 130,434 | |||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 8,764 | 0 | 4,497 | 13,261 | |||||||||||
All other A&D | 73,198 | 1,787 | 19,004 | 93,989 | |||||||||||
Commercial and industrial | 55,768 | 140 | 3,880 | 59,788 | |||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 261,735 | 752 | 11,980 | 274,467 | |||||||||||
Residential mortgage – home equity | 73,901 | 628 | 1,910 | 76,439 | |||||||||||
Consumer | 24,143 | 5 | 170 | 24,318 | |||||||||||
Total | $ | 701,526 | $ | 21,034 | $ | 87,680 | $ | 810,240 | |||||||
31-Dec-12 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 126,230 | $ | 6,464 | $ | 18,840 | $ | 151,534 | |||||||
All other CRE | 110,365 | 9,072 | 27,880 | 147,317 | |||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 9,284 | 1,101 | 5,967 | 16,352 | |||||||||||
All other A&D | 79,136 | 1,073 | 31,830 | 112,039 | |||||||||||
Commercial and industrial | 60,234 | 2,029 | 6,750 | 69,013 | |||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 255,993 | 751 | 11,885 | 268,629 | |||||||||||
Residential mortgage – home equity | 75,935 | 195 | 2,160 | 78,290 | |||||||||||
Consumer | 31,376 | 22 | 257 | 31,655 | |||||||||||
Total | $ | 748,553 | $ | 20,707 | $ | 105,569 | $ | 874,829 | |||||||
Loan Portfolio Summarized By The Past Due Status [Table Text Block] | ' | ||||||||||||||
(in thousands) | Current | 30-59 Day Past Due | 60-89 Days Past Due | 90 Days+ Past Due | Total Past Due and still accruing | Non-Accrual | Total Loans | ||||||||
31-Dec-13 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 136,462 | $ | 191 | $ | 145 | $ | 65 | $ | 401 | $ | 681 | $ | 137,544 | |
All other CRE | 121,985 | 1,490 | 207 | 0 | 1,697 | 6,752 | 130,434 | ||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 12,018 | 0 | 139 | 0 | 139 | 1,104 | 13,261 | ||||||||
All other A&D | 88,071 | 1,075 | 33 | 282 | 1,390 | 4,528 | 93,989 | ||||||||
Commercial and industrial | 59,320 | 87 | 57 | 133 | 277 | 191 | 59,788 | ||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 259,239 | 8,258 | 2,541 | 634 | 11,433 | 3,795 | 274,467 | ||||||||
Residential mortgage – home equity | 74,917 | 656 | 439 | 96 | 1,191 | 331 | 76,439 | ||||||||
Consumer | 23,802 | 350 | 128 | 24 | 502 | 14 | 24,318 | ||||||||
Total | $ | 775,814 | $ | 12,107 | $ | 3,689 | $ | 1,234 | $ | 17,030 | $ | 17,396 | $ | 810,240 | |
31-Dec-12 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 146,796 | $ | 321 | $ | 64 | $ | 0 | $ | 385 | $ | 4,353 | $ | 151,534 | |
All other CRE | 143,108 | 2,368 | 0 | 0 | 2,368 | 1,841 | 147,317 | ||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 16,280 | 61 | 0 | 0 | 61 | 11 | 16,352 | ||||||||
All other A&D | 100,232 | 619 | 221 | 200 | 1,040 | 10,767 | 112,039 | ||||||||
Commercial and industrial | 68,228 | 580 | 29 | 0 | 609 | 176 | 69,013 | ||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 251,673 | 7,446 | 5,244 | 1,639 | 14,329 | 2,627 | 268,629 | ||||||||
Residential mortgage – home equity | 77,224 | 583 | 130 | 249 | 962 | 104 | 78,290 | ||||||||
Consumer | 30,434 | 800 | 327 | 58 | 1,185 | 36 | 31,655 | ||||||||
Total | $ | 833,975 | $ | 12,778 | $ | 6,015 | $ | 2,146 | $ | 20,939 | $ | 19,915 | $ | 874,829 | |
Primary Segments Of The Allowance For Loan Loss [Table Text Block] | ' | ||||||||||||||
(in thousands) | Commercial Real Estate | Acquisition and Development | Commercial and Industrial | Residential Mortgage | Consumer | Total | |||||||||
31-Dec-13 | |||||||||||||||
Total ALL | $ | 4,052 | $ | 4,172 | $ | 766 | $ | 4,320 | $ | 284 | $ | 13,594 | |||
Individually evaluated for impairment | $ | 236 | $ | 1,967 | $ | 0 | $ | 80 | $ | 0 | $ | 2,283 | |||
Collectively evaluated for impairment | $ | 3,816 | $ | 2,205 | $ | 766 | $ | 4,240 | $ | 284 | $ | 11,311 | |||
31-Dec-12 | |||||||||||||||
Total ALL | $ | 5,206 | $ | 5,029 | $ | 906 | $ | 4,507 | $ | 399 | $ | 16,047 | |||
Individually evaluated for impairment | $ | 126 | $ | 1,506 | $ | 0 | $ | 0 | $ | 0 | $ | 1,632 | |||
Collectively evaluated for impairment | $ | 5,080 | $ | 3,523 | $ | 906 | $ | 4,507 | $ | 399 | $ | 14,415 | |||
Impaired Loans And Related Interest Income By Loan Portfolio Class [Table Text Block] | ' | ||||||||||||||
Impaired Loans with Specific Allowance | Impaired Loans with No Specific Allowance | Total Impaired Loans | |||||||||||||
(in thousands) | Recorded Investment | Related Allowances | Recorded Investment | Recorded Investment | Unpaid Principal Balance | ||||||||||
31-Dec-13 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 257 | $ | 59 | $ | 922 | $ | 1,179 | $ | 1,191 | |||||
All other CRE | 1,080 | 177 | 9,481 | 10,561 | 10,689 | ||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 2,651 | 634 | 7 | 2,658 | 2,704 | ||||||||||
All other A&D | 4,037 | 1,333 | 5,008 | 9,045 | 13,394 | ||||||||||
Commercial and industrial | 0 | 0 | 2,299 | 2,299 | 2,299 | ||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 988 | 80 | 5,979 | 6,967 | 7,372 | ||||||||||
Residential mortgage – home equity | 0 | 0 | 579 | 579 | 579 | ||||||||||
Consumer | 0 | 0 | 21 | 21 | 21 | ||||||||||
Total impaired loans | $ | 9,013 | $ | 2,283 | $ | 24,296 | $ | 33,309 | $ | 38,249 | |||||
31-Dec-12 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 0 | $ | 0 | $ | 5,309 | $ | 5,309 | $ | 7,929 | |||||
All other CRE | 1,019 | 126 | 9,613 | 10,632 | 10,785 | ||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 2,052 | 471 | 10 | 2,062 | 2,062 | ||||||||||
All other A&D | 5,410 | 1,035 | 16,640 | 22,050 | 26,232 | ||||||||||
Commercial and industrial | 0 | 0 | 3,449 | 3,449 | 3,449 | ||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 0 | 0 | 3,755 | 3,755 | 4,086 | ||||||||||
Residential mortgage – home equity | 0 | 0 | 549 | 549 | 549 | ||||||||||
Consumer | 0 | 0 | 36 | 36 | 36 | ||||||||||
Total impaired loans | $ | 8,481 | $ | 1,632 | $ | 39,361 | $ | 47,842 | $ | 55,128 | |||||
Allowance For Loan Losses Summarized By Loan Portfolio Segments [Table Text Block] | ' | ||||||||||||||
Activity in the ALL is presented for the years ended December 31, 2013 and December 31, 2012: | |||||||||||||||
(in thousands) | Commercial Real Estate | Acquisition and Development | Commercial and Industrial | Residential Mortgage | Consumer | Total | |||||||||
ALL balance at January 1, 2013 | $ | 5,206 | $ | 5,029 | $ | 906 | $ | 4,507 | $ | 399 | $ | 16,047 | |||
Charge-offs | -233 | -2,200 | -1,066 | -485 | -590 | -4,574 | |||||||||
Recoveries | 1,004 | 100 | 79 | 199 | 359 | 1,741 | |||||||||
Provision | -1,925 | 1,243 | 847 | 99 | 116 | 380 | |||||||||
ALL balance at December 31, 2013 | $ | 4,052 | $ | 4,172 | $ | 766 | $ | 4,320 | $ | 284 | $ | 13,594 | |||
ALL balance at January 1, 2012 | $ | 6,218 | $ | 7,190 | $ | 2,190 | $ | 3,430 | $ | 452 | $ | 19,480 | |||
Charge-offs | -2,289 | -809 | -9,402 | -1,314 | -650 | -14,464 | |||||||||
Recoveries | 156 | 420 | 464 | 177 | 424 | 1,641 | |||||||||
Provision | 1,121 | -1,772 | 7,654 | 2,214 | 173 | 9,390 | |||||||||
ALL balance at December 31,2012 | $ | 5,206 | $ | 5,029 | $ | 906 | $ | 4,507 | $ | 399 | $ | 16,047 | |||
Average Of Impaired Loans And Related Interest Income By Loan Portfolio Class [Table Text Block] | ' | ||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||
(in thousands) | Average investment | Interest income recognized on an accrual basis | Interest income recognized on a cash basis | Average investment | Interest income recognized on an accrual basis | Interest income recognized on a cash basis | |||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 3,564 | $ | 39 | $ | 1,454 | $ | 7,237 | $ | 34 | $ | 0 | |||
All other CRE | 10,670 | 314 | 46 | 9,385 | 318 | 49 | |||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 2,958 | 77 | 0 | 2,248 | 87 | 0 | |||||||||
All other A&D | 16,700 | 494 | 575 | 24,018 | 481 | 0 | |||||||||
Commercial and industrial | 2,735 | 112 | 0 | 5,747 | 150 | 0 | |||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 5,245 | 102 | 11 | 4,755 | 117 | 38 | |||||||||
Residential mortgage – home equity | 559 | 22 | 1 | 828 | 17 | 7 | |||||||||
Consumer | 64 | 0 | 0 | 46 | 0 | 0 | |||||||||
Total | $ | 42,495 | $ | 1,160 | $ | 2,087 | $ | 54,264 | $ | 1,204 | $ | 94 | |||
Modification of Troubled Debt Restructuring By Class [Table Text Block] | ' | ||||||||||||||
Temporary Rate Modification | Extension of Maturity | Modification of Payment and Other Terms | |||||||||||||
Number of Contracts | Recorded Investment | Number of Contracts | Recorded Investment | Number of Contracts | Recorded Investment | ||||||||||
(Dollars in thousands) | -1 | -1 | -2 | ||||||||||||
For the year ended December 31, 2013 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | 0 | $ | 0 | 0 | $ | 0 | 0 | $ | 0 | ||||||
All other CRE | 0 | 0 | 2 | 268 | 0 | 0 | |||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
All other A&D | 0 | 0 | 0 | 0 | 1 | 1,381 | |||||||||
Commercial and industrial | 0 | 0 | 5 | 669 | 0 | 0 | |||||||||
Residential mortgage | |||||||||||||||
Residential mortgage – term | 4 | 437 | 2 | 636 | 0 | 0 | |||||||||
Residential mortgage – home equity | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Total (3) | 4 | $ | 437 | 9 | $ | 1,573 | 1 | $ | 1,381 | ||||||
For the year ended December 31, 2012 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | 0 | $ | 0 | 0 | $ | 0 | 0 | $ | 0 | ||||||
All other CRE | 1 | 3,110 | 0 | 0 | 4 | 2,634 | |||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 0 | 0 | 0 | 0 | 1 | 2,125 | |||||||||
All other A&D | 0 | 0 | 1 | 134 | 1 | 1,889 | |||||||||
Commercial and industrial | 0 | 0 | 0 | 0 | 1 | 247 | |||||||||
Residential mortgage | |||||||||||||||
Residential mortgage – term | 2 | 584 | 2 | 765 | 1 | 284 | |||||||||
Residential mortgage – home equity | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Total (3) | 3 | $ | 3,694 | 3 | $ | 899 | 8 | $ | 7,179 | ||||||
Other_Real_Estate_Owned_Tables
Other Real Estate Owned (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Other Real Estate Owned [Abstract] | ' | ||||
Schedule of Real Estate Properties [Table Text Block] | ' | ||||
(in thousands) | 2013 | 2012 | |||
Commercial real estate | $ | 5,306 | $ | 5,559 | |
Acquisition and development | 10,509 | 9,831 | |||
Residential mortgage | 1,216 | 2,123 | |||
Total OREO | $ | 17,031 | $ | 17,513 | |
Other Real Estate, Roll Forward [Table Text Block] | ' | ||||
(in thousands) | 2013 | 2012 | |||
Balance January 1 | $ | 2,766 | $ | 1,745 | |
Fair value write-down | 3,079 | 1,489 | |||
Sales of OREO | -1,798 | -468 | |||
Balance December 31 | $ | 4,047 | $ | 2,766 | |
Schedule of Components of Other Real Estate Owned Expense [Table Text Block] | ' | ||||
The following table presents the components of OREO expenses, net for the years ended December 31, 2013 and 2012: | |||||
December 31, | |||||
(in thousands) | 2013 | 2012 | |||
Gains on real estate, net | $ | -205 | $ | -995 | |
Fair value write-down | 3,079 | 1,489 | |||
Expenses, net | 665 | 914 | |||
Rental and other income | -630 | -518 | |||
Total OREO expenses, net | $ | 2,909 | $ | 890 | |
Premises_and_Equipment_Tables
Premises and Equipment (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Premises and Equipment [Abstract] | ' | ||||
Composition of Premises and Equipment [Table Text Block] | ' | ||||
(in thousands) | 2013 | 2012 | |||
Land | $ | 7,304 | $ | 8,725 | |
Land Improvements | 1,174 | 1,168 | |||
Premises | 25,183 | 25,247 | |||
Furniture and Equipment | 17,333 | 17,380 | |||
Capital Lease | 534 | 535 | |||
51,528 | 53,055 | ||||
Less accumulated depreciation | -24,623 | -23,600 | |||
Total | $ | 26,905 | $ | 29,455 | |
Goodwill_Tables
Goodwill (Tables) | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Goodwill [Abstract] | ' | ||||||
Schedule of Intangible Assets and Goodwill [Table Text Block] | ' | ||||||
(In thousands) | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||
Goodwill: | |||||||
31-Dec-13 | $ | 14,812 | $ | -3,808 | $ | 11,004 | |
31-Dec-12 | $ | 14,812 | $ | -3,808 | $ | 11,004 | |
Deposits_Tables
Deposits (Tables) | 12 Months Ended | ||
Dec. 31, 2013 | |||
Deposits [Abstract] | ' | ||
Schedule of Time Deposit Maturities [Table Text Block] | ' | ||
2014 | $ | 121,092 | |
2015 | 70,016 | ||
2016 | 65,325 | ||
2017 | 27,530 | ||
2018 | 42,590 | ||
Thereafter | 89 | ||
Borrowed_Funds_Tables
Borrowed Funds (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
Borrowed Funds [Abstract] | ' | |||||||||
Summary of Short Term Borrowings [Table Text Block] | ' | |||||||||
(Dollars in thousands) | 2013 | 2012 | ||||||||
Securities sold under agreements to repurchase: | ||||||||||
Outstanding at end of year | $ | 43,676 | $ | 39,257 | ||||||
Weighted average interest rate at year end | 0.14% | 0.34% | ||||||||
Maximum amount outstanding as of any month end | $ | 61,354 | $ | 52,367 | ||||||
Average amount outstanding | $ | 47,777 | $ | 38,812 | ||||||
Approximate weighted average rate during the year | 0.13% | 0.34% | ||||||||
Summary of Long Term Borrowings [Table Text Block] | ' | |||||||||
(In thousands) | 2013 | 2012 | ||||||||
FHLB advances, bearing fixed interest rates ranging from 1.00% to 3.69% at December 31, 2013 | $ | 135,942 | $ | 136,005 | ||||||
Junior subordinated debt, bearing variable interest rates ranging from 2.09% to 2.99% at December 31, 2013 | 35,929 | 35,929 | ||||||||
Junior subordinated debt, bearing fixed interest rate of 9.88% at December 31, 2013 | 10,801 | 10,801 | ||||||||
Total long-term debt | $ | 182,672 | $ | 182,735 | ||||||
Contractual Maturities Of All Long Term Borrowings [Table Text Block] | ' | |||||||||
December 31, | ||||||||||
2013 | ||||||||||
Fixed | Floating | 2012 | ||||||||
(in thousands) | Rate | Rate | Total | Total | ||||||
Due in 2013 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | ||
Due in 2014 | 0 | 0 | 0 | 0 | ||||||
Due in 2015 | 30,000 | 5,000 | 35,000 | 35,000 | ||||||
Due in 2016 | 0 | 0 | 0 | 0 | ||||||
Due in 2017 | 0 | 0 | 0 | 0 | ||||||
Due in 2018 | 70,000 | 0 | 70,000 | 70,000 | ||||||
Thereafter | 46,743 | 30,929 | 77,672 | 77,735 | ||||||
Total long-term debt | $ | 146,743 | $ | 35,929 | $ | 182,672 | $ | 182,735 | ||
Schedule of Financial Instruments Owned and Pledged as Collateral [Table Text Block] | ' | |||||||||
1-4 family mortgage loans | $ | 131,941 | ||||||||
Commercial loans | 3,194 | |||||||||
Multi-family loans | 64 | |||||||||
Home equity loans | 23,377 | |||||||||
Investment securities | 1,544 | |||||||||
$ | 160,120 | |||||||||
Variable_Interest_Entities_VIE1
Variable Interest Entities (VIE) (Tables) | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
Variable Interest Entities (VIE) [Abstract] | ' | |||||
Investment in LIHTC Partnership [Table Text Block] | ' | |||||
December 31, | December 31, | |||||
(In thousands) | 2013 | 2012 | ||||
Investment in LIHTC Partnership | ||||||
Carrying amount on Balance Sheet of: | ||||||
Investment (Other Assets) | $ | 4,980 | $ | 5,498 | ||
Maximum exposure to loss | 4,980 | 5,498 | ||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Accumulated Other Comprehensive Loss [Abstract] | ' | ||||||||||||
Schedule of Accumulated Other Comprehensive Loss [Table Text Block] | ' | ||||||||||||
The following table presents the changes in each component of accumulated other comprehensive loss for the years ended December 31, 2013 and 2012: | |||||||||||||
Investment | Investment | ||||||||||||
securities- | securities- | Cash Flow | Pension | ||||||||||
(in thousands) | with OTTI | all other | Hedge | Plan | SERP | Total | |||||||
Accumulated OCL, net: | |||||||||||||
Balance - January 1, 2012 | $ | -10,572 | $ | -2,633 | $ | -616 | $ | -6,945 | $ | -196 | $ | -20,962 | |
Net gain/(loss) during period | 536 | -333 | 109 | -1,317 | 144 | -861 | |||||||
Balance - December 31, 2012 | $ | -10,036 | $ | -2,966 | $ | -507 | $ | -8,262 | $ | -52 | $ | -21,823 | |
Other comprehensive income/(loss) before reclassifications | 2,735 | -8,279 | 233 | 2,871 | 102 | -2,338 | |||||||
Amounts reclassified from accumulated other comprehensive loss | -322 | -47 | 0 | 303 | 14 | -52 | |||||||
Balance - December 31,2013 | $ | -7,623 | $ | -11,292 | $ | -274 | $ | -5,088 | $ | 64 | $ | -24,213 | |
Components of Comprehensive Income [Table Text Block] | ' | ||||||||||||
The following tables present the components of comprehensive income for the years ended December 31, 2013 and 2012: | |||||||||||||
Components of Other Comprehensive loss (in thousands) | Before Tax Amount | Tax (Expense) Benefit | Net | ||||||||||
For the year ended December 31, 2013 | |||||||||||||
Available for sale (AFS) securities with OTTI: | |||||||||||||
Unrealized holding gains | $ | 4,626 | $ | -1,891 | $ | 2,735 | |||||||
Less: accretable yield recognized in income | 537 | -215 | 322 | ||||||||||
Net unrealized gains on investments with OTTI | 4,089 | -1,676 | 2,413 | ||||||||||
Available for sale securities – all other: | |||||||||||||
Unrealized holding losses | -13,879 | 5,600 | -8,279 | ||||||||||
Less: gains recognized in income | 78 | -31 | 47 | ||||||||||
Net unrealized losses on all other AFS securities | -13,957 | 5,631 | -8,326 | ||||||||||
Cash flow hedges: | |||||||||||||
Unrealized holding gains | 392 | -159 | 233 | ||||||||||
Pension Plan: | |||||||||||||
Unrealized net actuarial gain | 4,790 | -1,919 | 2,871 | ||||||||||
Less: amortization of unrecognized loss | -532 | 213 | -319 | ||||||||||
Less: amortization of transition asset | 39 | -16 | 23 | ||||||||||
Less: amortization of prior service costs | -12 | 5 | -7 | ||||||||||
Net pension plan liability adjustment | 5,295 | -2,121 | 3,174 | ||||||||||
SERP: | |||||||||||||
Unrealized net actuarial gain | 170 | -68 | 102 | ||||||||||
Less: amortization of unrecognized loss | -3 | 1 | -2 | ||||||||||
Less: amortization of prior service costs | -20 | 8 | -12 | ||||||||||
Net SERP liability adjustment | 193 | -77 | 116 | ||||||||||
Other comprehensive loss | $ | -3,988 | $ | 1,598 | $ | -2,390 | |||||||
Components of Other Comprehensive Income (in thousands) | Before Tax Amount | Tax (Expense) Benefit | Net | ||||||||||
For the year ended December 31, 2012 | |||||||||||||
Available for sale (AFS) securities with OTTI: | |||||||||||||
Unrealized holding gains | $ | 1,315 | $ | -501 | $ | 814 | |||||||
Less: accretable yield recognized in income | 465 | -187 | 278 | ||||||||||
Net unrealized gains on investments with OTTI | 850 | -314 | 536 | ||||||||||
Available for sale securities – all other: | |||||||||||||
Unrealized holding gains | 999 | -408 | 591 | ||||||||||
Less: gains recognized in income | 1,545 | -621 | 924 | ||||||||||
Net unrealized losses on all other AFS securities | -546 | 213 | -333 | ||||||||||
Cash flow hedges: | |||||||||||||
Unrealized holding gains | 185 | -76 | 109 | ||||||||||
Pension Plan: | |||||||||||||
Unrealized net actuarial loss | -2,547 | 1,019 | -1,528 | ||||||||||
Less: amortization of unrecognized loss | -379 | 152 | -227 | ||||||||||
Less: amortization of transition asset | 39 | -16 | 23 | ||||||||||
Less: amortization of prior service costs | -12 | 5 | -7 | ||||||||||
Net pension plan liability adjustment | -2,195 | 878 | -1,317 | ||||||||||
SERP: | |||||||||||||
Unrealized net actuarial gain | 102 | -41 | 61 | ||||||||||
Less: amortization of unrecognized loss | -15 | 6 | -9 | ||||||||||
Less: amortization of prior service costs | -123 | 49 | -74 | ||||||||||
Net SERP liability adjustment | 240 | -96 | 144 | ||||||||||
Other comprehensive income | $ | -1,466 | $ | 605 | $ | -861 | |||||||
Reclassification out of Accumulated Other Comprehensive Income [Table Text Block] | ' | ||||||||||||
The following table presents the details of accumulated other comprehensive income components for the years ended December 31, 2013: | |||||||||||||
Amount Reclassified from Accumulated Other Comprehensive Income | |||||||||||||
Details of Accumulated Other Comprehensive Income Components (in thousands) | For the year ended December 31, 2013 | Affected Line Item in the Statement Where Net Income is Presented | |||||||||||
Unrealized gains and losses on investment securities with OTTI: | |||||||||||||
Accretable Yield | $ | 537 | Interest income on taxable investment securities | ||||||||||
Taxes | -215 | Tax expense | |||||||||||
$ | 322 | Net of tax | |||||||||||
Unrealized gains and losses on available for sale investment securities - all others: | |||||||||||||
Gains on sales | $ | 78 | Net gains - other | ||||||||||
Taxes | -31 | Tax expense | |||||||||||
$ | 47 | Net of tax | |||||||||||
Net pension plan liability adjustment: | |||||||||||||
Amortization of unrecognized loss | -532 | Salaries and employee benefits | |||||||||||
Amortization of transition asset | 39 | Salaries and employee benefits | |||||||||||
Amortization of prior service costs | -12 | Salaries and employee benefits | |||||||||||
Taxes | 202 | Tax benefit | |||||||||||
$ | -303 | Net of tax | |||||||||||
Net SERP liability adjustment: | |||||||||||||
Amortization of unrecognized loss | -3 | Salaries and employee benefits | |||||||||||
Amortization of prior service costs | -20 | Salaries and employee benefits | |||||||||||
Taxes | 9 | Tax benefit | |||||||||||
$ | -14 | Net of tax | |||||||||||
Total reclassifications for the period | $ | 52 | Net of tax | ||||||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Income Taxes [Abstract] | ' | ||||
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | ' | ||||
(In thousands) | 2013 | 2012 | |||
Current Tax expense: | |||||
Federal | $ | 518 | $ | 417 | |
State | 416 | 96 | |||
$ | 934 | $ | 513 | ||
Deferred tax expense: | |||||
Federal | $ | 927 | $ | 22 | |
State | 361 | 378 | |||
$ | 1,288 | $ | 400 | ||
Income tax expense for the year | $ | 2,222 | $ | 913 | |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | ' | ||||
2013 | 2012 | ||||
Federal statutory rate | 35.0% | 35.0% | |||
Tax-exempt income on securities and loans | -7.3 | -11.9 | |||
Tax-exempt BOLI income | -4.1 | -11.2 | |||
State income tax, net of federal tax benefit | 7.3 | 7.9 | |||
Tax credits | -5.6 | -10.1 | |||
Other | 0.4 | 6.7 | |||
25.7% | 16.4% | ||||
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | ' | ||||
(In thousands) | 2013 | 2012 | |||
Deferred tax assets: | |||||
Allowance for loan losses | $ | 5,435 | $ | 6,446 | |
Deferred loan fees | 28 | 70 | |||
Deferred compensation | 767 | 704 | |||
Federal and state tax loss carry forwards | 6,057 | 5,289 | |||
AMT and other carry forwards | 1,772 | 1,712 | |||
Unrealized loss on investment securities available-for-sale | 12,686 | 8,771 | |||
Pension/SERP | 0 | 1,677 | |||
Other than temporary impairment on investment securities | 5,449 | 5,937 | |||
Other real estate owned | 1,749 | 1,243 | |||
Other | 1,191 | 1,874 | |||
Total deferred tax assets | 35,134 | 33,723 | |||
Valuation allowance | -1,563 | -1,471 | |||
Total deferred tax assets less valuation allowance | 33,571 | 32,252 | |||
Deferred tax liabilities: | |||||
Amortization of goodwill | -2,171 | -1,857 | |||
Pension/SERP | -574 | 0 | |||
Depreciation | -1,207 | -1,409 | |||
Other | -410 | -104 | |||
Total deferred tax liabilities | -4,362 | -3,370 | |||
Net deferred tax assets | $ | 29,209 | $ | 28,882 | |
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Employee Benefit Plans [Abstract] | ' | ||||||||
Schedule of Net Funded Status [Table Text Block] | ' | ||||||||
The following tables summarize benefit obligation and funded status, plan asset activity, components of net pension cost, and weighted average assumptions for the Pension Plan and the SERP plans: | |||||||||
Pension | SERP | ||||||||
(In thousands) | 2013 | 2012 | 2013 | 2012 | |||||
Change in Benefit Obligation | |||||||||
Obligation at the beginning of the year | $ | 30,340 | $ | 26,540 | $ | 4,990 | $ | 4,814 | |
Service cost | 227 | 0 | 113 | 114 | |||||
Interest cost | 1,243 | 1,380 | 250 | 245 | |||||
Change in discount rate assumption | -3,564 | 3,933 | 0 | 0 | |||||
Actuarial (gains)/losses | 1,286 | -437 | -167 | -100 | |||||
Benefits paid | -1,203 | -1,076 | -102 | -83 | |||||
Obligation at the end of the year | 28,329 | 30,340 | 5,084 | 4,990 | |||||
Change in Plan Assets | |||||||||
Fair value at the beginning of the year | 31,154 | 29,037 | 0 | 0 | |||||
Actual return on plan assets | 4,897 | 3,193 | 0 | 0 | |||||
Employer contribution | 0 | 0 | 102 | 83 | |||||
Benefits paid | -1,203 | -1,076 | -102 | -83 | |||||
Fair value at the end of the year | 34,848 | 31,154 | 0 | 0 | |||||
Funded Status | $ | 6,519 | $ | 814 | $ | -5,084 | $ | -4,990 | |
Schedule of Net Benefit Costs [Table Text Block] | ' | ||||||||
Pension | SERP | ||||||||
(in thousands) | 2013 | 2012 | 2013 | 2012 | |||||
Components of Net Pension Cost | |||||||||
Service cost | $ | 227 | $ | 0 | $ | 113 | $ | 114 | |
Interest cost | 1,243 | 1,380 | 250 | 245 | |||||
Expected return on assets | -2,373 | -2,211 | 0 | 0 | |||||
Amortization of transition asset | -39 | -39 | 0 | 0 | |||||
Amortization of recognized loss | 532 | 379 | 3 | 15 | |||||
Amortization of prior service cost | 12 | 12 | 20 | 123 | |||||
Net pension (income)/expense in employee benefits | $ | -398 | $ | -479 | $ | 386 | $ | 497 | |
Weighted Average Assumptions used to | |||||||||
determine benefit obligations: | |||||||||
Discount rate for benefit obligations | 4.75% | 4.00% | 5.25% | 5.25% | |||||
Discount rate for net pension cost | 4.00% | 5.00% | 0 | 0 | |||||
Expected long-term return on assets | 7.75% | 7.75% | 0 | 0 | |||||
Rate of compensation increase | 3.00% | 3.00% | 3.00% | 3.00% | |||||
Schedule of Target Allocation of Plan Assets [Table Text Block] | ' | ||||||||
Asset Class | Normalized Target | Range | |||||||
Cash | 5% | 0% - 20% | |||||||
Fixed Income | 40% | 30% - 50% | |||||||
Equities | 55% | 45% - 65% | |||||||
Schedule of Allocation of Plan Assets [Table Text Block] | ' | ||||||||
31-Dec-13 | Fair Value Hierarchy | ||||||||
(Dollars in thousands) | Assets at Fair Value | % of Portfolio | Level 1 | Level 2 | |||||
Cash and cash equivalents | $ | 464 | 1.3% | $ | 464 | $ | 0 | ||
Fixed income securities: | |||||||||
U.S. Government and Agencies | 143 | 0.4% | 0 | 143 | |||||
Taxable municipal bonds and notes | 1,792 | 5.2% | 0 | 1,792 | |||||
Corporate bonds and notes | 7,664 | 22.0% | 0 | 7,664 | |||||
Preferred stock | 562 | 1.6% | 0 | 562 | |||||
Fixed income mutual funds | 3,171 | 9.1% | 3,171 | 0 | |||||
Total fixed income | 13,332 | 38.3% | 3,171 | 10,161 | |||||
Equities: | |||||||||
Large Cap | 15,634 | 44.9% | 15,634 | 0 | |||||
Mid Cap | 2,489 | 7.1% | 2,489 | 0 | |||||
Small Cap | 1,373 | 3.9% | 1,373 | 0 | |||||
International | 1,556 | 4.5% | 1,556 | 0 | |||||
Total equities | 21,052 | 60.4% | 21,052 | 0 | |||||
Total market value | $ | 34,848 | 100.0% | $ | 24,687 | $ | 10,161 | ||
31-Dec-12 | Fair Value Hierarchy | ||||||||
(Dollars in thousands) | Assets at Fair Value | % of Portfolio | Level 1 | Level 2 | |||||
Cash and cash equivalents | $ | 3,377 | 10.8% | $ | 3,377 | $ | 0 | ||
Fixed income securities: | |||||||||
U.S. Government and Agencies | 138 | 0.4% | 0 | 138 | |||||
Taxable municipal bonds and notes | 1,882 | 6.0% | 0 | 1,882 | |||||
Corporate bonds and notes | 7,990 | 25.7% | 0 | 7,990 | |||||
Preferred stock | 736 | 2.4% | 0 | 736 | |||||
Fixed income mutual funds | 2,826 | 9.1% | 2,826 | 0 | |||||
Total fixed income | 13,572 | 43.6% | 2,826 | 10,746 | |||||
Equities: | |||||||||
Large Cap | 11,132 | 35.7% | 11,132 | 0 | |||||
Mid Cap | 1,543 | 5.0% | 1,543 | 0 | |||||
Small Cap | 840 | 2.7% | 840 | 0 | |||||
International | 690 | 2.2% | 690 | 0 | |||||
Total equities | 14,205 | 45.6% | 14,205 | 0 | |||||
Total market value | $ | 31,154 | 100.0% | $ | 20,408 | $ | 10,746 | ||
Schedule of Expected Benefit Payments [Table Text Block] | ' | ||||||||
(In thousands) | Pension Plan | SERP | |||||||
2014 | $ | 1,162 | $ | 117 | |||||
2015 | 1,224 | 175 | |||||||
2016 | 1,311 | 166 | |||||||
2017 | 1,359 | 224 | |||||||
2018 | 1,454 | 267 | |||||||
2019-2023 | 9,380 | 1,898 | |||||||
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) [Table Text Block] | ' | ||||||||
Amounts included in accumulated other comprehensive loss as of December 31, 2013 and 2012, net of tax, are as follows: | |||||||||
2013 | 2012 | ||||||||
(In thousands) | Pension | SERP | Pension | SERP | |||||
Unrecognized net actuarial loss/(gain) | $ | 5,088 | $ | -86 | $ | 8,278 | $ | 13 | |
Unrecognized prior service costs | 35 | 22 | 42 | 39 | |||||
Net transition asset | -35 | 0 | -58 | 0 | |||||
$ | 5,088 | $ | -64 | $ | 8,262 | $ | 52 | ||
Schedule of Amounts in Accumulated Other Comprehensive Income (Loss) to be Recognized over Next Fiscal Year [Table Text Block] | ' | ||||||||
(In thousands) | Pension | SERP | |||||||
Prior service costs | $ | 12 | $ | 20 | |||||
Net transition asset | -39 | 0 | |||||||
Net actuarial loss/(gain) | 242 | -18 | |||||||
$ | 215 | $ | 2 | ||||||
Commitments_and_Contingent_Lia1
Commitments and Contingent Liabilities (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Commitments and Contingent Liabilities [Abstract] | ' | ||||
Supply Commitment [Table Text Block] | ' | ||||
(In thousands) | 2013 | 2012 | |||
Loan commitments | $ | 97,709 | $ | 87,147 | |
Commercial letters of credit | 1,134 | 1,312 | |||
Total | $ | 98,843 | $ | 88,459 | |
Recovered_Sheet1
Fair Value Of Financial Instruments (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Fair Value of Financial Instruments [Abstract] | ' | ||||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Table Text Block] | ' | ||||||||||
Fair Value at December 31, 2013 | Valuation Technique | Significant Unobservable Inputs | Significant Unobservable Input Value | ||||||||
Recurring: | |||||||||||
Investment Securities – available for sale - CDO | $ | 17,538 | Discounted Cash Flow | Discount Rate | Swap+17%; Range of Libor+ 6% to 18% | ||||||
Cash Flow Hedge | $ | -457 | Discounted Cash Flow | Reuters Third Party Market Quote | 99.9% (weighted avg 99.9%) | ||||||
Non-recurring: | |||||||||||
Impaired Loans | $ | 8,613 | Market Comparable Properties | Marketability Discount | 10% (1) (weighted avg 10%) | ||||||
OREO | $ | 5,591 | Market Comparable Properties | Marketability Discount | 5% to 10% (1) (weighted avg 9%) | ||||||
Assets And Liabilities Measured At Fair Value On A Recurring And Nonrecurring Basis [Table Text Block] | ' | ||||||||||
Fair Value Measurements at | |||||||||||
December 31, 2013 Using | |||||||||||
(In Thousands) | |||||||||||
Assets Measured at | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | ||||||||
Description | 12/31/13 | (Level 1) | (Level 2) | (Level 3) | |||||||
Recurring: | |||||||||||
Investment securities available-for-sale: | |||||||||||
U.S. government agencies | $ | 92,035 | $ | 92,035 | |||||||
Residential mortgage-backed agencies | $ | 112,444 | $ | 112,444 | |||||||
Commercial mortgage-backed agencies | $ | 29,905 | $ | 29,905 | |||||||
Collateralized mortgage obligations | $ | 29,390 | $ | 29,390 | |||||||
Obligations of states and political subdivisions | $ | 55,277 | $ | 55,277 | |||||||
Collateralized debt obligations | $ | 17,538 | $ | 17,538 | |||||||
Financial Derivative | $ | -457 | $ | -457 | |||||||
Non-recurring: | |||||||||||
Impaired loans | $ | 8,613 | $ | 8,613 | |||||||
Other real estate owned | $ | 5,591 | $ | 5,591 | |||||||
Fair Value Measurements at | |||||||||||
December 31, 2012 Using | |||||||||||
(In Thousands) | |||||||||||
Assets Measured at | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | ||||||||
Description | 12/31/12 | (Level 1) | (Level 2) | (Level 3) | |||||||
Recurring: | |||||||||||
Investment securities available-for-sale: | |||||||||||
U.S. government agencies | $ | 40,320 | $ | 40,320 | |||||||
Residential mortgage-backed agencies | $ | 44,108 | $ | 44,108 | |||||||
Commercial mortgage-backed agencies | $ | 37,618 | $ | 37,618 | |||||||
Collateralized mortgage obligations | $ | 31,731 | $ | 31,731 | |||||||
Obligations of states and political subdivisions | $ | 58,054 | $ | 58,054 | |||||||
Collateralized debt obligations | $ | 11,442 | $ | 11,442 | |||||||
Financial Derivative | $ | -849 | $ | -849 | |||||||
Non-recurring: | |||||||||||
Impaired loans | $ | 13,560 | $ | 13,560 | |||||||
Other real estate owned | $ | 3,165 | $ | 3,165 | |||||||
Reconciliation Of Fair Valued Assets Measured On A Recurring Basis [Table Text Block] | ' | ||||||||||
Fair Value Measurements Using Significant | |||||||||||
Unobservable Inputs | |||||||||||
(Level 3) | |||||||||||
(In Thousands) | |||||||||||
Investment Securities Available for Sale | Cash Flow Hedge | ||||||||||
Beginning balance January 1, 2013 | $ | 11,442 | $ | -849 | |||||||
Total gains/(losses) realized/unrealized: | |||||||||||
Included in earnings | 0 | 0 | |||||||||
Included in other comprehensive loss | 6,096 | 392 | |||||||||
Ending balance December 31, 2013 | $ | 17,538 | $ | -457 | |||||||
The amount of total gains or losses for the period | |||||||||||
included in earnings attributable to the change in | |||||||||||
realized/unrealized gains or losses related to assets | |||||||||||
still held at the reporting date | $ | 0 | $ | 0 | |||||||
Fair Value Measurements Using Significant | |||||||||||
Unobservable Inputs | |||||||||||
(Level 3) | |||||||||||
(In Thousands) | |||||||||||
Investment Securities Available for Sale | Cash Flow Hedge | ||||||||||
Beginning balance January 1, 2012 | $ | 9,447 | $ | -1,034 | |||||||
Total gains/(losses) realized/unrealized: | |||||||||||
Included in earnings | 0 | 0 | |||||||||
Included in other comprehensive loss | 1,995 | 185 | |||||||||
Ending balance December 31, 2012 | $ | 11,442 | $ | -849 | |||||||
The amount of total gains or losses for the period | |||||||||||
included in earnings attributable to the change in | |||||||||||
realized/unrealized gains or losses related to assets | |||||||||||
still held at the reporting date | $ | 0 | $ | 0 | |||||||
Fair Value By Balance Sheet Grouping [Table Text Block] | ' | ||||||||||
31-Dec-13 | Fair Value Measurements | ||||||||||
Carrying | Fair | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | |||||||
(in thousands) | Amount | Value | (Level 1) | (Level 2) | (Level 3) | ||||||
Financial Assets: | |||||||||||
Cash and due from banks | $ | 32,895 | $ | 32,895 | $ | 32,895 | |||||
Interest bearing deposits in banks | 10,168 | 10,168 | 10,168 | ||||||||
Investment securities - AFS | 336,589 | 336,589 | $ | 319,051 | $ | 17,538 | |||||
Investment securities - HTM | 3,900 | 3,590 | 3,590 | ||||||||
Restricted Bank stock | 7,913 | 7,913 | 7,913 | ||||||||
Loans, net | 796,646 | 799,937 | 799,937 | ||||||||
Accrued interest receivable | 4,342 | 4,342 | 4,342 | ||||||||
Financial Liabilities: | |||||||||||
Deposits – non-maturity | 650,761 | 650,761 | 650,761 | ||||||||
Deposits – time deposits | 326,642 | 333,256 | 333,256 | ||||||||
Short-term borrowed funds | 43,676 | 43,676 | 43,676 | ||||||||
Long-term borrowed funds | 182,672 | 189,135 | 189,135 | ||||||||
Accrued interest payable | 7,647 | 7,647 | 7,647 | ||||||||
Financial derivative | 457 | 457 | 457 | ||||||||
Off balance sheet financial instruments | 0 | 0 | 0 | ||||||||
2012 | |||||||||||
(In thousands) | Carrying Amount | Fair Value | |||||||||
Financial Assets: | |||||||||||
Cash and due from banks | $ | 71,290 | $ | 71,290 | |||||||
Interest bearing deposits in banks | 11,778 | 11,778 | |||||||||
Investment securities - AFS | 223,273 | 223,273 | |||||||||
Investment securities - HTM | 4,040 | 4,347 | |||||||||
Restricted Bank stock | 8,349 | 8,349 | |||||||||
Loans, net | 858,782 | 865,405 | |||||||||
Accrued interest receivable | 4,494 | 4,494 | |||||||||
Financial Liabilities: | |||||||||||
Deposits – non-maturity | 593,224 | 593,224 | |||||||||
Deposits – time deposits | 383,660 | 392,155 | |||||||||
Short-term borrowed funds | 39,257 | 39,257 | |||||||||
Long-term borrowed funds | 182,735 | 190,531 | |||||||||
Accrued interest payable | 5,415 | 5,415 | |||||||||
Financial derivative | 849 | 849 | |||||||||
Off balance sheet financial instruments | 0 | 0 | |||||||||
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Derivative Financial Instruments [Abstract] | ' | ||||||
Impact Of Derivative Financial Instruments [Table Text Block] | ' | ||||||
Derivative in Cash Flow Hedging Relationships | |||||||
(In thousands) | Amount of gain (loss) recognized in OCI on derivative (effective portion) | Amount of gain or (loss) reclassified from accumulated OCI into income (effective portion) (1) | Amount of gain or (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) (2) | ||||
Interest rate contracts: | |||||||
December 31, 2013 | $ | 233 | $ | 0 | $ | 0 | |
December 31, 2012 | $ | 109 | $ | 0 | $ | 0 | |
Assets_and_Liabilities_Subject1
Assets and Liabilities Subject to Enforceable Master Netting Agreements (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Assets and Liabilities Subject to Enforceable Master Netting Arrangements [Abstract] | ' | |||||||||||||
Schedule of Liabilities Subject to an enforceable Master Netting Arrangement or Repurchase Agreements [Table Text Block] | ' | |||||||||||||
The following table presents the liabilities subject to an enforceable master netting arrangement or repurchase agreements as of December 31, 2013 and December 31, 2012. | ||||||||||||||
Gross Amounts Not Offset in the Statement of Condition | ||||||||||||||
(In thousands) | Gross Amounts of Recognized Liabilities | Gross Amounts Offset in the Statement of Condition | Net Amounts of Liabilities Presented in the Statement of Condition | Financial Instruments | Cash Collateral Pledged | Net Amount | ||||||||
31-Dec-13 | ||||||||||||||
Interest Rate Swap Agreements | $ | 457 | $ | 0 | $ | 457 | $ | -457 | $ | 0 | $ | 0 | ||
Repurchase Agreements | $ | 43,676 | $ | 0 | $ | 43,676 | $ | -43,676 | $ | 0 | $ | 0 | ||
31-Dec-12 | ||||||||||||||
Interest Rate Swap Agreements | $ | 849 | $ | 0 | $ | 849 | $ | -849 | $ | 0 | $ | 0 | ||
Repurchase Agreements | $ | 39,257 | $ | 0 | $ | 39,257 | $ | -39,257 | $ | 0 | $ | 0 | ||
Parent_Company_Only_Financial_1
Parent Company Only Financial Information (Tables) | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Parent Company Only Financial Information [Abstract] | ' | ||||||
Condensed Balance Sheet [Table Text Block] | ' | ||||||
December 31, | |||||||
(In thousands) | 2013 | 2012 | |||||
Assets | |||||||
Cash | $ | 3,025 | $ | 2,449 | |||
Investment in bank subsidiary | 151,711 | 146,876 | |||||
Investment in non-bank subsidiaries | 4,036 | 4,195 | |||||
Other assets | 4,031 | 2,802 | |||||
Total Assets | $ | 162,803 | $ | 156,322 | |||
Liabilities and Shareholder’s Equity | |||||||
Accrued interest and other liabilities | $ | 14,733 | $ | 10,687 | |||
Dividends payable | 0 | 0 | |||||
Junior subordinated debt | 46,730 | 46,730 | |||||
Shareholder’s equity | 101,340 | 98,905 | |||||
Total Liabilities and Shareholder’s Equity | $ | 162,803 | $ | 156,322 | |||
Condensed Income Statement [Table Text Block] | ' | ||||||
Year Ended | |||||||
December 31, | |||||||
(In thousands) | 2103 | 2012 | |||||
Income: | |||||||
Dividend income from bank subsidiary | $ | 0 | $ | 0 | |||
Other income | 469 | 338 | |||||
Total Income | 469 | 338 | |||||
Expenses: | |||||||
Interest expense | 2,881 | 2,802 | |||||
Other expenses | 513 | 384 | |||||
Total Expenses | 3,394 | 3,186 | |||||
Loss before income taxes and equity in undistributed | |||||||
net loss of subsidiaries | -2,925 | -2,848 | |||||
Applicable income tax benefit | 1,002 | 0 | |||||
Net loss before equity in undistributed net loss of subsidiaries | -1,923 | -2,848 | |||||
Equity in undistributed net income/(loss)of subsidiaries: | |||||||
Bank | 8,395 | 7,462 | |||||
Non-bank | -26 | 49 | |||||
Net Income | $ | 6,446 | $ | 4,663 | |||
Condensed Statement of Comprehensive Income [Table Text Block] | ' | ||||||
Year ended | |||||||
December 31, | |||||||
Components of Comprehensive Income (in thousands) | 2013 | 2012 | |||||
Net Income | $ | 6,446 | $ | 4,663 | |||
Unrealized gains on cash flow hedges, net of tax | 233 | 109 | |||||
Other comprehensive income, net of tax | 233 | 109 | |||||
Comprehensive income | $ | 6,679 | $ | 4,772 | |||
Condensed Cash Flow Statement [Table Text Block] | ' | ||||||
Condensed Statement of Cash Flows | |||||||
Year Ended | |||||||
December 31, | |||||||
(In thousands) | 2013 | 2012 | |||||
Operating Activities | |||||||
Net Income | $ | 6,446 | $ | 4,663 | |||
Adjustments to reconcile net income to net cash provided | |||||||
by/(used in) operating activities: | |||||||
Equity in undistributed net income of subsidiaries | -8,369 | -7,511 | |||||
Increase in other assets | -993 | -303 | |||||
Increase in accrued interest payable and other liabilities | 4,047 | 3,958 | |||||
Stock Compensation | 88 | 73 | |||||
Net cash provided by operating activities | 1,219 | 880 | |||||
Investing Activities | |||||||
Net investment in subsidiaries | 1,066 | 1,252 | |||||
Net cash provided by investing activities | 1,066 | 1,252 | |||||
Financing Activities | |||||||
Dividends - preferred stock deferred | -1,709 | -1,626 | |||||
Net cash used in financing activities | -1,709 | -1,626 | |||||
Increase in cash and cash equivalents | 576 | 506 | |||||
Cash and cash equivalents at beginning of year | 2,449 | 1,943 | |||||
Cash and cash equivalents at end of year | $ | 3,025 | $ | 2,449 | |||
Condensed Statement of Accumulated Other Comprehensive Income [Table Text Block] | ' | ||||||
Accumulated Other Comprehensive Income | |||||||
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Loans and Leases Receivable, Net of Deferred Income | $810,240,000 | $874,829,000 |
Dividend Income, Operating | 199,500 | 167,000 |
Allowance for Unfunded Loan Commitments | 49,400 | 44,000 |
Open Tax Year | '2010 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 185,000 | ' |
Share-based Compensation | 88,000 | 73,000 |
Director [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 11,304 | 16,526 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $7.96 | $5.14 |
Share-based Compensation | 88,000 | 73,000 |
Maximum [Member] | Building [Member] | ' | ' |
Property, Plant and Equipment, Useful Life | '32 years | ' |
Maximum [Member] | Furniture and Fixtures [Member] | ' | ' |
Property, Plant and Equipment, Useful Life | '20 years | ' |
Minimum [Member] | Building [Member] | ' | ' |
Property, Plant and Equipment, Useful Life | '18 years | ' |
Minimum [Member] | Furniture and Fixtures [Member] | ' | ' |
Property, Plant and Equipment, Useful Life | '3 years | ' |
Western Maryland and Northeasten Virginia [Member] | Loans Receivable [Member] | ' | ' |
Loans and Leases Receivable, Net of Deferred Income | 107,000,000 | ' |
Concentration Risk, Percentage | 13.00% | ' |
Western Maryland and Northeasten Virginia [Member] | Loans Receivable [Member] | Nonperforming Financing Receivable [Member] | ' | ' |
Loans and Leases Receivable, Net of Deferred Income | 11,000,000 | ' |
Western Maryland and Northeasten Virginia [Member] | Loans Receivable [Member] | Performing Financing Receivable [Member] | ' | ' |
Loans and Leases Receivable, Net of Deferred Income | 96,000,000 | ' |
Western Maryland and Northeasten Virginia [Member] | Loans Receivable [Member] | Performing According to Modified Terms [Member] | Nonperforming Financing Receivable [Member] | ' | ' |
Loans and Leases Receivable, Net of Deferred Income | 5,000,000 | ' |
Western Maryland and Northeasten Virginia [Member] | Loans Receivable [Member] | Performing Impaired [Member] | Nonperforming Financing Receivable [Member] | ' | ' |
Loans and Leases Receivable, Net of Deferred Income | 1,000,000 | ' |
Western Maryland and Northeasten Virginia [Member] | Loans Receivable [Member] | Nonperforming Troubled Debt Restructuring [Member] | Nonperforming Financing Receivable [Member] | ' | ' |
Loans and Leases Receivable, Net of Deferred Income | $5,000,000 | ' |
Western Maryland and Northeasten Virginia [Member] | Real Estate [Member] | ' | ' |
Concentration Risk, Percentage | 11.00% | ' |
Earnings_Per_Common_Share_Basi
Earnings Per Common Share (Basic and Diluted Earnings Per Common Share) (Details) (USD $) | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Earnings Per Common Share [Abstract] | ' | ' |
Net Income | $6,446 | $4,663 |
Preferred stock dividends deferred | -1,709 | -1,626 |
Discount accretion on preferred stock | -69 | -65 |
Net income available to common shareholders | $4,668 | $2,972 |
Weighted Average Number of Shares Outstanding, Basic and Diluted | 6,206,819 | 6,193,774 |
Earnings Per Share, Basic and Diluted | $0.75 | $0.48 |
Net_Gains_Schedule_of_Net_Gain
Net Gains (Schedule of Net Gains) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Net Gains [Abstract] | ' | ' |
Realized gains | $447 | $1,740 |
Realized losses | -369 | -195 |
Gain on sale of consumer loans | 176 | 167 |
Gain on sales of insurance assets | 0 | 88 |
Loss on disposal of fixed assets | -25 | -92 |
Net gains/losses - other | $229 | $1,708 |
Cash_And_Cash_Equivalents_Tabl1
Cash And Cash Equivalents (Tables) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Cash and Cash Equivalents [Line Items] | ' | ' |
Cash and due from banks | $32,895 | $71,290 |
Interest bearing deposits in banks | 10,168 | 11,778 |
Cash and Due from Banks [Member] | ' | ' |
Cash and Cash Equivalents [Line Items] | ' | ' |
Interest Rate | 0.20% | ' |
FHLB [Member] | ' | ' |
Cash and Cash Equivalents [Line Items] | ' | ' |
Interest bearing deposits in banks | 1,677 | 3,306 |
Interest Rate | 0.01% | ' |
FTN [Member] | ' | ' |
Cash and Cash Equivalents [Line Items] | ' | ' |
Interest bearing deposits in banks | 1,350 | 1,350 |
Interest Rate | 0.07% | ' |
M&T Fed Funds sold [Member] | ' | ' |
Cash and Cash Equivalents [Line Items] | ' | ' |
Interest bearing deposits in banks | 6,051 | 6,037 |
Interest Rate | 0.22% | ' |
CBB Fed Funds sold [Member] | ' | ' |
Cash and Cash Equivalents [Line Items] | ' | ' |
Interest bearing deposits in banks | $1,090 | $1,085 |
Interest Rate | 0.22% | ' |
Investments_Unrealized_Gain_Lo
Investments (Unrealized Gain (Loss) on Investments) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | $368,319 | $245,106 |
Gross Unrealized Gains | 2,119 | 4,118 |
Gross Unrealized Losses | 33,849 | 25,951 |
Investment securities - available-for-sale (at fair value) | 336,589 | 223,273 |
OTTI in AOCI | 12,703 | 16,876 |
Held-to-maturity Amortized cost | 3,900 | 4,040 |
Investment securities - HTM | 3,590 | 4,347 |
US government agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 97,242 | 40,334 |
Gross Unrealized Gains | 14 | 97 |
Gross Unrealized Losses | 5,221 | 111 |
Investment securities - available-for-sale (at fair value) | 92,035 | 40,320 |
OTTI in AOCI | 0 | 0 |
Residential mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 116,933 | 43,596 |
Gross Unrealized Gains | 334 | 703 |
Gross Unrealized Losses | 4,823 | 191 |
Investment securities - available-for-sale (at fair value) | 112,444 | 44,108 |
OTTI in AOCI | 0 | 0 |
Commercial mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 31,025 | 37,330 |
Gross Unrealized Gains | 14 | 288 |
Gross Unrealized Losses | 1,134 | 0 |
Investment securities - available-for-sale (at fair value) | 29,905 | 37,618 |
OTTI in AOCI | 0 | 0 |
Collateralized mortgage obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 30,468 | 31,836 |
Gross Unrealized Gains | 84 | 188 |
Gross Unrealized Losses | 1,162 | 293 |
Investment securities - available-for-sale (at fair value) | 29,390 | 31,731 |
OTTI in AOCI | 0 | 0 |
Obligations of states and political subdivisions [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 55,505 | 55,212 |
Gross Unrealized Gains | 895 | 2,842 |
Gross Unrealized Losses | 1,123 | 0 |
Investment securities - available-for-sale (at fair value) | 55,277 | 58,054 |
OTTI in AOCI | 0 | 0 |
Held-to-maturity Amortized cost | 3,900 | 4,040 |
Held-to-maturity gross Unrealized Gains | 249 | 542 |
Held-to-maturity Gross Unrealized Losses | 559 | 235 |
Investment securities - HTM | 3,590 | 4,347 |
Held-to-maturity OTTI in AOCI | 0 | 0 |
Collateralized debt obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 37,146 | 36,798 |
Gross Unrealized Gains | 778 | 0 |
Gross Unrealized Losses | 20,386 | 25,356 |
Investment securities - available-for-sale (at fair value) | 17,538 | 11,442 |
OTTI in AOCI | $12,703 | $16,876 |
Investments_Proceeds_From_Sale
Investments (Proceeds From Sales And Realized Gains And Losses) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Investments [Abstract] | ' | ' |
Proceeds | $44,496 | $46,220 |
Realized gains | 447 | 1,740 |
Realized losses | $369 | $195 |
Investments_Gross_Unrealized_L
Investments (Gross Unrealized Losses And Fair Values Of Securities) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | $182,255 | $57,203 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 8,361 | 595 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 80,051 | 11,892 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 25,488 | 25,356 |
US government agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 62,962 | 18,220 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 3,154 | 111 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 13,996 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 2,067 | 0 |
Residential mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 60,781 | 22,407 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 1,801 | 191 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 46,570 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 3,022 | 0 |
Commercial mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 21,889 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 1,134 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 0 | 0 |
Collateralized mortgage obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 21,201 | 16,576 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 1,149 | 293 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 3,051 | 450 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 13 | 0 |
Obligations of states and political subdivisions [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 15,422 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 1,123 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 0 | 0 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 0 | 2,765 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | 0 | 235 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 2,301 | 0 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | 559 | 0 |
Collateralized debt obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 16,434 | 11,442 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | $20,386 | $25,356 |
Investments_Narrative_Details
Investments (Narrative) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | $8,361 | $595 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 25,488 | 25,356 |
US government agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Nature | 'U.S. Government Agencies - Ten U.S. government agencies have been in a slight unrealized loss position for less than 12 months as of December 31, 2013. There were two agency securities for which the cost has been less than market value for a period longer than 12 months. These securities are of the highest investment grade and the Corporation does not intend to sell them, and it is not more likely than not that the Corporation will be required to sell them before recovery of their amortized cost basis, which may be at maturity. Therefore, no OTTI existed at December 31, 2013. | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 2 | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 10 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 3,154 | 111 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 2,067 | 0 |
Residential mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Nature | 'Residential Mortgage-Backed Agencies - Seventeen residential mortgage-backed agencies have been in an unrealized loss position for less than 12 months as of December 31, 2013. Six residential mortgage-backed agencies have been in an unrealized loss position for a period of 12 months or longer. All of these securities are of the highest investment grade and the Corporation does not intend to sell them, nor is it more likely than not that the Corporation will be required to sell them before recovery of their amortized cost basis, which may be at maturity. Therefore, no OTTI existed at December 31, 2013. | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 6 | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 17 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 1,801 | 191 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 3,022 | 0 |
Commercial mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 0 | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 11 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 1,134 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 0 | 0 |
Collateralized mortgage obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Nature | 'Commercial Mortgage-Backed Agencies - Eleven commercial mortgage-backed agencies have been in an unrealized loss position for less than 12 months as of December 31, 2013. There were no commercial mortgage-backed agency securities in an unrealized loss position for 12 months or more. The securities are of the highest investment grade and the Corporation does not intend to sell them, and it is not more likely than not that the Corporation will be required to sell the securities before recovery of their amortized cost basis, which may be at maturity. Accordingly, management does not consider these investments to be other-than-temporarily impaired at December 31, 2013.Collateralized Mortgage Obligations b One collateralized mortgage obligation security at December 31, 2013 has been in an unrealized loss position for 12 months or more. Four collateralized mortgage obligation securities have been in a slight unrealized loss position for less than 12 months as of December 31, 2013. The Corporation does not intend to sell these securities and it is not more likely than not that the Corporation will be required to sell them before recovery of their amortized cost basis, which may be at maturity. Accordingly, management does not consider these investments to be other-than-temporarily impaired at December 31, 2013. | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 4 | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 1 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 1,149 | 293 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 13 | 0 |
Obligations of states and political subdivisions [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Nature | 'Obligations of State and Political Subdivisions b At December 31, 2013, there were seven municipal bonds that were impaired for a period of less than twelve months. The Corporation owns two tax increment fund bonds in the held to maturity portfolio. One of these bonds has been in an unrealized loss position for a period greater than 12 months. This bond is not rated by the rating agencies and was underwritten by the Corporation prior to purchase and is periodically reviewed for credit quality. Therefore, management does not consider this investment to be other-than-temporarily impaired at December 31, 2013. | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 1 | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 7 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 1,123 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 0 | 0 |
Collateralized debt obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Nature | 'Collateralized Debt Obligations - The $20.4 million in unrealized losses greater than 12 months at December 31, 2013 relates to 17 pooled trust preferred securities that comprise the CDO portfolio. See Note 24 for a discussion of the methodology used by management to determine the fair values of these securities. The Corporation did not record any credit-related non-cash OTTI charges for the years ended December 31, 2013 or 2012. The unrealized losses on the remaining securities in the portfolio are primarily attributable to continued depression in market interest rates, marketability, liquidity and the current economic environment. Management systematically evaluates securities for impairment on a quarterly basis. Based upon application of Topic 320 (ASC Section 320-10-35), management must assess whether (i)B we have the intent to sell the security and (ii) it is more likely than not that we will be required to sell the security prior to its anticipated recovery. If neither applies, then declines in the fair value of securities below their cost that are considered other-than-temporary declines are split into two components. The first is the loss attributable to declining credit quality. Credit losses are recognized in earnings as realized losses in the period in which the impairment determination is made. The second component consists of all other losses. The other losses are recognized in other comprehensive income. In estimating OTTI charges, management considers (a) the length of time and the extent to which the fair value has been less than cost, (b) adverse conditions specifically related to the security, an industry, or a geographic area, (c) the historic and implied volatility of the security, (d) changes in the rating of a security by a rating agency, (e) recoveries or additional declines in fair value subsequent to the balance sheet date, (f) failure of the issuer of the security to make scheduled interest payments, and (g) the payment structure of the debt security and the likelihood of the issuer being able to make payments that increase in the future. Due to the duration and the significant market value decline in the pooled trust preferred securities held in our portfolio, we performed more extensive testing on these securities for purposes of evaluating whether or not an OTTI has occurred. The market for these securities as of December 31, 2013 is not active and markets for similar securities are also not active. The inactivity was evidenced in 2008 first by a significant widening of the bid-ask spread in the brokered markets in which these securities trade and then by a significant decrease in the volume of trades relative to historical levels. The new issue market is also inactive, as no new CDOs have been issued since 2007. There are currently very few market participants who are willing to transact for these securities. The market values for these securities, or any securities other than those issued or guaranteed by the Treasury, are very depressed relative to historical levels. Therefore, in the current market, a low market price for a particular bond may only provide evidence of stress in the credit markets in general rather than being an indicator of credit problems with a particular issue. Given the conditions in the current debt markets and the continued absence of observable transactions in the secondary and new issue markets, management has determined that (i) the few observable transactions and market quotations that are available are not reliable for the purpose of obtaining fair value at December 31, 2013, (ii) an income valuation approach technique (i.e. present value) that maximizes the use of relevant observable inputs and minimizes the use of observable inputs will be equally or more representative of fair value than a market approach, and (iii) the CDO segment is appropriately classified within Level 3 of the valuation hierarchy because management determined that significant adjustments were required to determine fair value at the measurement date. Management utilizes an independent third party to assist the Corporation with both the evaluations of OTTI and the fair value determinations for our CDO portfolio. Management believes that there were no material differences in the impairment evaluations and pricing between December 31, 2012 and December 31, 2013.The approach of the third party to determine fair value involved several steps, including detailed credit and structural evaluation of each piece of collateral in each bond, default, recovery and prepayment/amortization probabilities for each piece of collateral in the bond, and discounted cash flow modeling. The discount rate methodology used by the third party combines a baseline current market yield for comparable corporate and structured credit products with adjustments based on evaluations of the differences found in structure and risks associated with actual and projected credit performance of each CDO being valued. Currently, there is an active and liquid trading market only for stand-alone trust preferred securities. Therefore, adjustments to the baseline discount rate are also made to reflect the additional leverage found in structured instruments.On December 10, 2013, to implement Section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act, the Department of the Treasury, the Federal Deposit Insurance Exchange Commission (the "SEC") adopted the Volcker Rule. The Volcker Rule prohibits a banking institution from acquiring or retaining an "ownership interest" in a "covered fund". A "covered fund" is (i) an entity that would be an investment company under the Investment Company Act of 1940, as amended, but for the exemptions contained in Section 3(c)(1) or Section 3(c)(7) of that Act, (ii) a commodity pool with certain characteristics, and/or (iii) a non-US entity with certain characteristics that is sponsored or owned by a banking entity located or organized in the US. The term "ownership interest" is defined as "any equity, partnership, or other similar interest." On January 14, 2014, the five regulatory agencies changed provisions of the Volcker Rule and published a list of CDOs that were exempt under the rule. After our review of the exempt list, management identified 15 of our 18 holdings that were exempt from the rule.The 3 remaining holdings owned that were not included on the exempt list were invested in I-Preferred Term Securities I and I-Preferred Term Securities IV. The underlying issuers of these bonds were primarily insurance companies and not financial institutions. Since these securities were not included on the published list of exempt CDOs, management needed to determine whether or not these holdings constitute an "ownership interest" as defined above. To make this determination, management conducted a thorough review of the Indentures and Offering Memorandums for each of these bonds. The bonds do not represent an equity or partnership interest. Under the Volcker Rule, an interest will be an "other similar interest" if it exhibits any of the following characteristics on a current, future, or contingent basis:It has the right to participate in the selection or removal of a general partner, managing member, member of the board of directors or trustees, investment manager, investment adviser, or commodity trading advisor of the covered fund;It has the right under the terms of the interest to receive a share of the income, gains or profits of the covered fund, regardless of whether the right is pro rata with other owners or holders of interests;It has the right to receive the underlying assets of the covered fund after all other interests have been redeemed and/or paid in full, excluding the rights of a creditor to exercise remedies upon the occurrence of an event of default or an acceleration event;It has the right to receive all or a portion of excess spread;Its terms provide that the amounts payable by the covered fund with respect to the interest could be reduced based on losses arising from the underlying assets of the covered fund;It receives income on a pass-through basis from the covered fund, or has a rate of return that is determined by reference to the performance of the underlying assets of the covered fund; orIt is any synthetic right to have, receive or be allocated any of the rights above.Based upon review of the legal documents for I-Preferred Term Securities I and I-Preferred Term Securities IV, neither of these bonds exhibit any of these characteristics and accordingly, do not meet the definition of an "ownership interest" as defined in the Volcker Rule.In conclusion, as of December 31, 2013 all CDO securities owned by the Company are not subject to application of the Volcker Rule and therefore reaffirm our intent of the ability to hold. | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 18 | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 17 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | $20,386 | $25,356 |
Investments_NonCash_OTTI_Credi
Investments (Non-Cash OTTI Credit Losses Recognized In Earnings) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Investments [Abstract] | ' | ' |
Balance of credit-related OTTI, Beginning | $13,959 | $14,424 |
Reduction for increases in cash flows expected to be collected | -537 | -465 |
Balance of credit-related OTTI, Ending | $13,422 | $13,959 |
Investments_Amortized_Cost_And
Investments (Amortized Cost And Fair Values Classified By Contractual Maturity Date) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost: Due after one year through five years | $30,034 | ' |
Amortized Cost: Due after five years through ten years | 76,128 | ' |
Amortized Cost: Due after ten years | 83,731 | ' |
Amortized Cost, Single Maturity Date, Total | 189,893 | ' |
Fair Value: Due after one year through five years | 29,656 | ' |
Fair Value: Due after five years through ten years | 74,254 | ' |
Fair Value: Due after ten years | 60,940 | ' |
Fair Value: Signe Maturity Date, Total | 164,850 | ' |
Available-for-sale Securities, Amortized Cost Basis | 368,319 | 245,106 |
Available-for-sale Securities | 336,589 | 223,273 |
Amortized Cost: Due after ten years | 3,900 | ' |
Fair Value: Due after ten years | 3,590 | ' |
Residential mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost: without Single Maturity Date | 116,933 | ' |
Fair Value: without Single Maturity Date | 112,444 | ' |
Available-for-sale Securities, Amortized Cost Basis | 116,933 | 43,596 |
Available-for-sale Securities | 112,444 | 44,108 |
Commercial mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost: without Single Maturity Date | 31,025 | ' |
Fair Value: without Single Maturity Date | 29,905 | ' |
Available-for-sale Securities, Amortized Cost Basis | 31,025 | 37,330 |
Available-for-sale Securities | 29,905 | 37,618 |
Collateralized mortgage obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost: without Single Maturity Date | 30,468 | ' |
Fair Value: without Single Maturity Date | 29,390 | ' |
Available-for-sale Securities, Amortized Cost Basis | 30,468 | 31,836 |
Available-for-sale Securities | $29,390 | $31,731 |
Loans_And_Related_Allowances_F1
Loans And Related Allowances For Loan Losses (Narrative) (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
loan | loan | |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | $17,396,000 | $19,915,000 |
Financing Receivable, Modifications, Number of Contracts | 31 | 27 |
Reduction of the ALL Resulting From new TDRs | 14,292,000 | 55,000 |
Financing Receivable, Modifications, Recorded Investment | 17,900,000 | 17,700,000 |
Partial Charge Off [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 1,900,000 | 6,700,000 |
Troubled Debt Restructuring [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Unused Commitments to Extend Credit | 2,000,000 | 2,100,000 |
Current Period Troubled Debt Restructurings [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Financing Receivable, Modifications, Number of Contracts | ' | 5 |
Reduction of the ALL Resulting From new TDRs | 7 | ' |
Financing Receivable, Modifications, Recorded Investment | 1,300,000 | 7,500,000 |
Commercial real estate- non owner-occupied [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 681,000 | 4,353,000 |
Financing Receivable, Modifications, Subsequent Default, Number of Contracts | 3 | ' |
Financing Receivable, Modifications, Subsequent Default, Recorded Investment | 2,200,000 | ' |
Commercial real estate- all other CRE [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 6,752,000 | 1,841,000 |
Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 1,104,000 | 11,000 |
Acquisition and development- All other A&D [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 4,528,000 | 10,767,000 |
Reduction of the ALL Resulting From new TDRs | 1,800,000 | ' |
Financing Receivable, Modifications, Subsequent Default, Number of Contracts | 2 | ' |
Financing Receivable, Modifications, Subsequent Default, Recorded Investment | 400,000 | ' |
Commercial and industrial [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 191,000 | 176,000 |
Residential mortgage- term [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 3,795,000 | 2,627,000 |
Residential mortgage- home equity [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 331,000 | 104,000 |
Consumer [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | $14,000 | $36,000 |
Loans_And_Related_Allowances_F2
Loans And Related Allowances For Loan Losses (Loan Portfolio Segments) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Total Loans | $810,240 | $874,829 |
Individually evaluated for impairment | 33,309 | 47,842 |
Collectively evaluated for impairment | 776,931 | 826,987 |
Commercial Real Estate Portfolio Segment [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Total Loans | 267,978 | 298,851 |
Individually evaluated for impairment | 11,740 | 15,941 |
Collectively evaluated for impairment | 256,238 | 282,910 |
Acquisition and Development [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Total Loans | 107,250 | 128,391 |
Individually evaluated for impairment | 11,703 | 24,112 |
Collectively evaluated for impairment | 95,547 | 104,279 |
Commercial and industrial [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Total Loans | 59,788 | 69,013 |
Individually evaluated for impairment | 2,299 | 3,449 |
Collectively evaluated for impairment | 57,489 | 65,564 |
Residential Mortgage [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Total Loans | 350,906 | 346,919 |
Individually evaluated for impairment | 7,546 | 4,304 |
Collectively evaluated for impairment | 343,360 | 342,615 |
Consumer [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Total Loans | 24,318 | 31,655 |
Individually evaluated for impairment | 21 | 36 |
Collectively evaluated for impairment | $24,297 | $31,619 |
Recovered_Sheet2
Loans and Related Allowances for Loan Losses (Related Party Loans) (Details) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Loans and Related Allowance for Loan Losses [Abstract] | ' |
Beginning Balance | $11,731 |
Loans or advances | 690 |
Repayments | -2,550 |
Ending Balance | $9,871 |
Loans_And_Related_Allowances_F3
Loans And Related Allowances For Loan Losses (Classes Of The Loan Portfolio Summarized By The Aggregate Risk Rating) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | $810,240 | $874,829 |
Commercial real estate- non owner-occupied [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 137,544 | 151,534 |
Commercial real estate- all other CRE [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 130,434 | 147,317 |
Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 13,261 | 16,352 |
Acquisition and development- All other A&D [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 93,989 | 112,039 |
Commercial and industrial [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 59,788 | 69,013 |
Residential mortgage- term [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 274,467 | 268,629 |
Residential mortgage- home equity [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 76,439 | 78,290 |
Consumer [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 24,318 | 31,655 |
Pass [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 701,526 | 748,553 |
Pass [Member] | Commercial real estate- non owner-occupied [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 103,556 | 126,230 |
Pass [Member] | Commercial real estate- all other CRE [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 100,461 | 110,365 |
Pass [Member] | Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 8,764 | 9,284 |
Pass [Member] | Acquisition and development- All other A&D [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 73,198 | 79,136 |
Pass [Member] | Commercial and industrial [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 55,768 | 60,234 |
Pass [Member] | Residential mortgage- term [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 261,735 | 255,993 |
Pass [Member] | Residential mortgage- home equity [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 73,901 | 75,935 |
Pass [Member] | Consumer [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 24,143 | 31,376 |
Special Mention [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 21,034 | 20,707 |
Special Mention [Member] | Commercial real estate- non owner-occupied [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 9,243 | 6,464 |
Special Mention [Member] | Commercial real estate- all other CRE [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 8,479 | 9,072 |
Special Mention [Member] | Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 0 | 1,101 |
Special Mention [Member] | Acquisition and development- All other A&D [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 1,787 | 1,073 |
Special Mention [Member] | Commercial and industrial [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 140 | 2,029 |
Special Mention [Member] | Residential mortgage- term [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 752 | 751 |
Special Mention [Member] | Residential mortgage- home equity [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 628 | 195 |
Special Mention [Member] | Consumer [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 5 | 22 |
Substandard [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 87,680 | 105,569 |
Substandard [Member] | Commercial real estate- non owner-occupied [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 24,745 | 18,840 |
Substandard [Member] | Commercial real estate- all other CRE [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 21,494 | 27,880 |
Substandard [Member] | Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 4,497 | 5,967 |
Substandard [Member] | Acquisition and development- All other A&D [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 19,004 | 31,830 |
Substandard [Member] | Commercial and industrial [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 3,880 | 6,750 |
Substandard [Member] | Residential mortgage- term [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 11,980 | 11,885 |
Substandard [Member] | Residential mortgage- home equity [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 1,910 | 2,160 |
Substandard [Member] | Consumer [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | $170 | $257 |
Loans_And_Related_Allowances_F4
Loans And Related Allowances For Loan Losses (Loan Portfolio Summarized By The Past Due Status) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | $775,814 | $833,975 |
30-59 Days Past Due | 12,107 | 12,778 |
60-89 Days Past Due | 3,689 | 6,015 |
90 Days+ Past Due | 1,234 | 2,146 |
Total Past Due and Still Accruing | 17,030 | 20,939 |
Non-Accrual | 17,396 | 19,915 |
Loans | 810,240 | 874,829 |
Commercial real estate- non owner-occupied [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 136,462 | 146,796 |
30-59 Days Past Due | 191 | 321 |
60-89 Days Past Due | 145 | 64 |
90 Days+ Past Due | 65 | 0 |
Total Past Due and Still Accruing | 401 | 385 |
Non-Accrual | 681 | 4,353 |
Loans | 137,544 | 151,534 |
Commercial real estate- all other CRE [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 121,985 | 143,108 |
30-59 Days Past Due | 1,490 | 2,368 |
60-89 Days Past Due | 207 | 0 |
90 Days+ Past Due | 0 | 0 |
Total Past Due and Still Accruing | 1,697 | 2,368 |
Non-Accrual | 6,752 | 1,841 |
Loans | 130,434 | 147,317 |
Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 12,018 | 16,280 |
30-59 Days Past Due | 0 | 61 |
60-89 Days Past Due | 139 | 0 |
90 Days+ Past Due | 0 | 0 |
Total Past Due and Still Accruing | 139 | 61 |
Non-Accrual | 1,104 | 11 |
Loans | 13,261 | 16,352 |
Acquisition and development- All other A&D [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 88,071 | 100,232 |
30-59 Days Past Due | 1,075 | 619 |
60-89 Days Past Due | 33 | 221 |
90 Days+ Past Due | 282 | 200 |
Total Past Due and Still Accruing | 1,390 | 1,040 |
Non-Accrual | 4,528 | 10,767 |
Loans | 93,989 | 112,039 |
Commercial and industrial [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 59,320 | 68,228 |
30-59 Days Past Due | 87 | 580 |
60-89 Days Past Due | 57 | 29 |
90 Days+ Past Due | 133 | 0 |
Total Past Due and Still Accruing | 277 | 609 |
Non-Accrual | 191 | 176 |
Loans | 59,788 | 69,013 |
Residential mortgage- term [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 259,239 | 251,673 |
30-59 Days Past Due | 8,258 | 7,446 |
60-89 Days Past Due | 2,541 | 5,244 |
90 Days+ Past Due | 634 | 1,639 |
Total Past Due and Still Accruing | 11,433 | 14,329 |
Non-Accrual | 3,795 | 2,627 |
Loans | 274,467 | 268,629 |
Residential mortgage- home equity [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 74,917 | 77,224 |
30-59 Days Past Due | 656 | 583 |
60-89 Days Past Due | 439 | 130 |
90 Days+ Past Due | 96 | 249 |
Total Past Due and Still Accruing | 1,191 | 962 |
Non-Accrual | 331 | 104 |
Loans | 76,439 | 78,290 |
Consumer [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 23,802 | 30,434 |
30-59 Days Past Due | 350 | 800 |
60-89 Days Past Due | 128 | 327 |
90 Days+ Past Due | 24 | 58 |
Total Past Due and Still Accruing | 502 | 1,185 |
Non-Accrual | 14 | 36 |
Loans | $24,318 | $31,655 |
Loans_And_Related_Allowances_F5
Loans And Related Allowances For Loan Losses (Allowance For Loan Losses Summarized By Loan Portfolio Segments) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Total Allowance For Loan Losses | $13,594 | $16,047 | $19,480 |
Individually evaluated for impairment | 2,283 | 1,632 | ' |
Collectively evaluated for impairment | 11,311 | 14,415 | ' |
Commercial Real Estate Portfolio Segment [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Total Allowance For Loan Losses | 4,052 | 5,206 | 6,218 |
Individually evaluated for impairment | 236 | 126 | ' |
Collectively evaluated for impairment | 3,816 | 5,080 | ' |
Acquisition and Development [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Total Allowance For Loan Losses | 4,172 | 5,029 | 7,190 |
Individually evaluated for impairment | 1,967 | 1,506 | ' |
Collectively evaluated for impairment | 2,205 | 3,523 | ' |
Commercial and industrial [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Total Allowance For Loan Losses | 766 | 906 | 2,190 |
Individually evaluated for impairment | 0 | 0 | ' |
Collectively evaluated for impairment | 766 | 906 | ' |
Residential Mortgage [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Total Allowance For Loan Losses | 4,320 | 4,507 | 3,430 |
Individually evaluated for impairment | 80 | 0 | ' |
Collectively evaluated for impairment | 4,240 | 4,507 | ' |
Consumer [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Total Allowance For Loan Losses | 284 | 399 | 452 |
Individually evaluated for impairment | 0 | 0 | ' |
Collectively evaluated for impairment | $284 | $399 | ' |
Loans_And_Related_Allowances_F6
Loans And Related Allowances For Loan Losses (Impaired Loans And Related Interest Income By Loan Portfolio Class) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | $9,013 | $8,481 |
Impaired Loans with Specific Allowance: Related Allowance | 2,283 | 1,632 |
Impaired Loans with No Specific Allowance: Recorded Investment | 24,296 | 39,361 |
Total Impaired Loans: Recorded Investment | 33,309 | 47,842 |
Unpaid Principal Balance | 38,249 | 55,128 |
Commercial real estate- non owner-occupied [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 257 | 0 |
Impaired Loans with Specific Allowance: Related Allowance | 59 | 0 |
Impaired Loans with No Specific Allowance: Recorded Investment | 922 | 5,309 |
Total Impaired Loans: Recorded Investment | 1,179 | 5,309 |
Unpaid Principal Balance | 1,191 | 7,929 |
Commercial real estate- all other CRE [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 1,080 | 1,019 |
Impaired Loans with Specific Allowance: Related Allowance | 177 | 126 |
Impaired Loans with No Specific Allowance: Recorded Investment | 9,481 | 9,613 |
Total Impaired Loans: Recorded Investment | 10,561 | 10,632 |
Unpaid Principal Balance | 10,689 | 10,785 |
Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 2,651 | 2,052 |
Impaired Loans with Specific Allowance: Related Allowance | 634 | 471 |
Impaired Loans with No Specific Allowance: Recorded Investment | 7 | 10 |
Total Impaired Loans: Recorded Investment | 2,658 | 2,062 |
Unpaid Principal Balance | 2,704 | 2,062 |
Acquisition and development- All other A&D [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 4,037 | 5,410 |
Impaired Loans with Specific Allowance: Related Allowance | 1,333 | 1,035 |
Impaired Loans with No Specific Allowance: Recorded Investment | 5,008 | 16,640 |
Total Impaired Loans: Recorded Investment | 9,045 | 22,050 |
Unpaid Principal Balance | 13,394 | 26,232 |
Commercial and industrial [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 0 | 0 |
Impaired Loans with Specific Allowance: Related Allowance | 0 | 0 |
Impaired Loans with No Specific Allowance: Recorded Investment | 2,299 | 3,449 |
Total Impaired Loans: Recorded Investment | 2,299 | 3,449 |
Unpaid Principal Balance | 2,299 | 3,449 |
Residential mortgage- term [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 988 | 0 |
Impaired Loans with Specific Allowance: Related Allowance | 80 | 0 |
Impaired Loans with No Specific Allowance: Recorded Investment | 5,979 | 3,755 |
Total Impaired Loans: Recorded Investment | 6,967 | 3,755 |
Unpaid Principal Balance | 7,372 | 4,086 |
Residential mortgage- home equity [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 0 | 0 |
Impaired Loans with Specific Allowance: Related Allowance | 0 | 0 |
Impaired Loans with No Specific Allowance: Recorded Investment | 579 | 549 |
Total Impaired Loans: Recorded Investment | 579 | 549 |
Unpaid Principal Balance | 579 | 549 |
Consumer [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 0 | 0 |
Impaired Loans with Specific Allowance: Related Allowance | 0 | 0 |
Impaired Loans with No Specific Allowance: Recorded Investment | 21 | 36 |
Total Impaired Loans: Recorded Investment | 21 | 36 |
Unpaid Principal Balance | $21 | $36 |
Loans_And_Related_Allowances_F7
Loans And Related Allowances For Loan Losses (Allowance For Loan Losses Summarized By Loan Portfolio Segments Roll Forward) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
ALL Beginning Balance | $16,047 | $19,480 |
Charge-offs | -4,574 | -14,464 |
Recoveries | 1,741 | 1,641 |
Provision for loan losses | 380 | 9,390 |
ALL Ending Balance | 13,594 | 16,047 |
Commercial Real Estate Portfolio Segment [Member] | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
ALL Beginning Balance | 5,206 | 6,218 |
Charge-offs | -233 | -2,289 |
Recoveries | 1,004 | 156 |
Provision for loan losses | -1,925 | 1,121 |
ALL Ending Balance | 4,052 | 5,206 |
Acquisition and Development [Member] | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
ALL Beginning Balance | 5,029 | 7,190 |
Charge-offs | -2,200 | -809 |
Recoveries | 100 | 420 |
Provision for loan losses | 1,243 | -1,772 |
ALL Ending Balance | 4,172 | 5,029 |
Commercial and industrial [Member] | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
ALL Beginning Balance | 906 | 2,190 |
Charge-offs | -1,066 | -9,402 |
Recoveries | 79 | 464 |
Provision for loan losses | 847 | 7,654 |
ALL Ending Balance | 766 | 906 |
Residential Mortgage [Member] | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
ALL Beginning Balance | 4,507 | 3,430 |
Charge-offs | -485 | -1,314 |
Recoveries | 199 | 177 |
Provision for loan losses | 99 | 2,214 |
ALL Ending Balance | 4,320 | 4,507 |
Consumer [Member] | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
ALL Beginning Balance | 399 | 452 |
Charge-offs | -590 | -650 |
Recoveries | 359 | 424 |
Provision for loan losses | 116 | 173 |
ALL Ending Balance | $284 | $399 |
Loans_And_Related_Allowances_F8
Loans And Related Allowances For Loan Losses (Average Of Impaired Loans And Related Interest Income By Loan Portfolio Class) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | $42,495 | $54,264 |
Interest income recognized on an accrual basis | 1,160 | 1,204 |
Interest income recognized on a cash basis | 2,087 | 94 |
Commercial real estate- non owner-occupied [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 3,564 | 7,237 |
Interest income recognized on an accrual basis | 39 | 34 |
Interest income recognized on a cash basis | 1,454 | 0 |
Commercial real estate- all other CRE [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 10,670 | 9,385 |
Interest income recognized on an accrual basis | 314 | 318 |
Interest income recognized on a cash basis | 46 | 49 |
Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 2,958 | 2,248 |
Interest income recognized on an accrual basis | 77 | 87 |
Interest income recognized on a cash basis | 0 | 0 |
Acquisition and development- All other A&D [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 16,700 | 24,018 |
Interest income recognized on an accrual basis | 494 | 481 |
Interest income recognized on a cash basis | 575 | 0 |
Commercial and industrial [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 2,735 | 5,747 |
Interest income recognized on an accrual basis | 112 | 150 |
Interest income recognized on a cash basis | 0 | 0 |
Residential mortgage- term [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 5,245 | 4,755 |
Interest income recognized on an accrual basis | 102 | 117 |
Interest income recognized on a cash basis | 11 | 38 |
Residential mortgage- home equity [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 559 | 828 |
Interest income recognized on an accrual basis | 22 | 17 |
Interest income recognized on a cash basis | 1 | 7 |
Consumer [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 64 | 46 |
Interest income recognized on an accrual basis | 0 | 0 |
Interest income recognized on a cash basis | $0 | $0 |
Loans_And_Related_Allowances_F9
Loans And Related Allowances For Loan Losses (Modification of Troubled Debt Restructuring By Class) (Details) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | ||
loan | loan | |||
Temporary Rate Modification [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 4 | 3 | ||
Recorded Investment | $437 | [1],[2] | $3,694 | [1],[2] |
Temporary Rate Modification [Member] | Commercial real estate- non owner-occupied [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 0 | ||
Recorded Investment | 0 | [1],[2] | 0 | [1],[2] |
Temporary Rate Modification [Member] | Commercial real estate- all other CRE [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 1 | ||
Recorded Investment | 0 | [1],[2] | 3,110 | [1],[2] |
Temporary Rate Modification [Member] | Acquisition and development- 1-4 family residential construction [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 0 | ||
Recorded Investment | 0 | [1],[2] | 0 | [1],[2] |
Temporary Rate Modification [Member] | Acquisition and development- All other A&D [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 0 | ||
Recorded Investment | 0 | [1],[2] | 0 | [1],[2] |
Temporary Rate Modification [Member] | Commercial and industrial [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 0 | ||
Recorded Investment | 0 | [1],[2] | 0 | [1],[2] |
Temporary Rate Modification [Member] | Residential mortgage- term [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 4 | 2 | ||
Recorded Investment | 437 | [1],[2] | 584 | [1],[2] |
Temporary Rate Modification [Member] | Residential mortgage- home equity [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 0 | ||
Recorded Investment | 0 | [1],[2] | 0 | [1],[2] |
Temporary Rate Modification [Member] | Consumer [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 0 | ||
Recorded Investment | 0 | [1],[2] | 0 | [1],[2] |
Extension Of Maturity [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 9 | 3 | ||
Recorded Investment | 1,573 | [1],[2] | 899 | [1],[2] |
Extension Of Maturity [Member] | Commercial real estate- non owner-occupied [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 0 | ||
Recorded Investment | 0 | [1],[2] | 0 | [1],[2] |
Extension Of Maturity [Member] | Commercial real estate- all other CRE [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 2 | 0 | ||
Recorded Investment | 268 | [1],[2] | 0 | [1],[2] |
Extension Of Maturity [Member] | Acquisition and development- 1-4 family residential construction [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 0 | ||
Recorded Investment | 0 | [1],[2] | 0 | [1],[2] |
Extension Of Maturity [Member] | Acquisition and development- All other A&D [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 1 | ||
Recorded Investment | 0 | [1],[2] | 134 | [1],[2] |
Extension Of Maturity [Member] | Commercial and industrial [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 5 | 0 | ||
Recorded Investment | 669 | [1],[2] | 0 | [1],[2] |
Extension Of Maturity [Member] | Residential mortgage- term [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 2 | 2 | ||
Recorded Investment | 636 | [1],[2] | 765 | [1],[2] |
Extension Of Maturity [Member] | Residential mortgage- home equity [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 0 | ||
Recorded Investment | 0 | [1],[2] | 0 | [1],[2] |
Extension Of Maturity [Member] | Consumer [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 0 | ||
Recorded Investment | 0 | [1],[2] | 0 | [1],[2] |
Modification Of Payment And Other Terms [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 1 | 8 | ||
Recorded Investment | 1,381 | [3] | 7,179 | [3] |
Modification Of Payment And Other Terms [Member] | Commercial real estate- non owner-occupied [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 0 | ||
Recorded Investment | 0 | [3] | 0 | [3] |
Modification Of Payment And Other Terms [Member] | Commercial real estate- all other CRE [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 4 | ||
Recorded Investment | 0 | [3] | 2,634 | [3] |
Modification Of Payment And Other Terms [Member] | Acquisition and development- 1-4 family residential construction [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 1 | ||
Recorded Investment | 0 | [3] | 2,125 | [3] |
Modification Of Payment And Other Terms [Member] | Acquisition and development- All other A&D [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 1 | 1 | ||
Recorded Investment | 1,381 | [3] | 1,889 | [3] |
Modification Of Payment And Other Terms [Member] | Commercial and industrial [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 1 | ||
Recorded Investment | 0 | [3] | 247 | [3] |
Modification Of Payment And Other Terms [Member] | Residential mortgage- term [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 1 | ||
Recorded Investment | 0 | [3] | 284 | [3] |
Modification Of Payment And Other Terms [Member] | Residential mortgage- home equity [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 0 | ||
Recorded Investment | 0 | [3] | 0 | [3] |
Modification Of Payment And Other Terms [Member] | Consumer [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Number of Contracts | 0 | 0 | ||
Recorded Investment | $0 | [3] | $0 | [3] |
[1] | (1)The post-modification recorded investment balances were the same as the pre-modification recorded investment balances, as there were no charge-offs as a result of any of the restructurings.(2)A charge-off of $1.8 million was taken in connection with the modification of this loan in 2013.(3)Includes 5 existing TDRs totaling $7.5 million that were restructured in 2012 and 7 existing TDRs totaling $1.3 million that were restructured in 2013 with new terms providing a concession. | |||
[2] | The post-modification recorded investment balances were the same as the pre-modification recorded investment balances, as there were no charge-offs as a result of any of the restructurings. | |||
[3] | A charge-off of $1.8 million was taken in connection with the modification of this loan in 2013. |
Other_Real_Estate_Owned_Schedu
Other Real Estate Owned (Schedule of Real Estate Properties) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Total OREO | $17,031 | $17,513 |
Commercial Real Estate [Member] | ' | ' |
Total OREO | 5,306 | 5,559 |
Acquisition and Development [Member] | ' | ' |
Total OREO | 10,509 | 9,831 |
Residential Mortgage [Member] | ' | ' |
Total OREO | $1,216 | $2,123 |
Other_Real_Estate_Owned_Other_
Other Real Estate Owned (Other Real Estate, Roll Forward) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Other Real Estate Owned [Abstract] | ' | ' |
Beginning Balance | $2,766 | $1,745 |
Fair value write-down | 3,079 | 1,489 |
Sales of OREO | -1,798 | -468 |
Ending Balance | $4,047 | $2,766 |
Other_Real_Estate_Owned_Schedu1
Other Real Estate Owned (Schedule of Components of REO) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Other Real Estate Owned [Abstract] | ' | ' |
Gain on sales of other real estate owned | ($205) | ($995) |
Write-downs of other real estate owned | 3,079 | 1,489 |
OREO Expenses, net | 665 | 914 |
Rental income | -630 | -518 |
Total OREO | $2,909 | $890 |
Premises_and_Equipment_Narrati
Premises and Equipment (Narrative) (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Premises and Equipment [Abstract] | ' | ' |
Depreciation Premises and Equipment | $2,043,000 | $1,992,000 |
Operating Leases, Future Minimum Payments Due, Next Twelve Months | 3,400,000 | ' |
Operating Leases, Future Minimum Payments, Due in Two Years | 2,700,000 | ' |
Operating Leases, Future Minimum Payments, Due in Three Years | 2,700,000 | ' |
Operating Leases, Future Minimum Payments, Due in Four Years | 2,700,000 | ' |
Operating Leases, Future Minimum Payments, Due in Five Years | 1,600,000 | ' |
Operating Leases, Future Minimum Payments, Due Thereafter | 5,200,000 | ' |
Operating Leases, Rent Expense, Net | $500,000 | $500,000 |
Premises_and_Equipment_Composi
Premises and Equipment (Composition of Premises and Equipment) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | $51,528 | $53,055 |
Less accumulated depreciation | -24,623 | -23,600 |
Premises and equipment, net | 26,905 | 29,455 |
Land [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | 7,304 | 8,725 |
Land Improvements [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | 1,174 | 1,168 |
Building [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | 25,183 | 25,247 |
Furniture and Fixtures [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | 17,333 | 17,380 |
Assets Held under Capital Leases [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | $534 | $535 |
Goodwill_Narrative_Details
Goodwill (Narrative) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | Goodwill [Member] | ||
Goodwill [Line Items] | ' | ' | ' |
Goodwill | $11,004 | $11,004 | ' |
Fair Value Measurements, Significant Assumptions | ' | ' | 'Significant assumptions used in the above methods include:Net income from our forward five-year operating budget, incorporating conservative growth and mix assumptions;A discount rate of 10.0% based on the most recently available [third quarter of 2012] Cost of Capital Report from Morningstar/Ibbotson Associates for the Commercial Banking Sector adjusted for a size and risk premium of 298 basis points;A price to tangible book multiple of 1.16, which was the average monthly multiple of unassisted national bank and thrift acquisitions in 2013 as provided by Sheshunoff & Co.; andA capitalization rate of 7.0% (discount rate of 10.0% adjusted for a conservative growth rate of 3.0%). |
Goodwill_Schedule_of_Goodwill_
Goodwill (Schedule of Goodwill) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Goodwill [Abstract] | ' | ' |
Goodwill, Gross | $14,812 | $14,812 |
Goodwill, Impaired, Accumulated Impairment Loss | -3,808 | -3,808 |
Goodwill, Total | $11,004 | $11,004 |
Deposits_Narrative_Details
Deposits (Narrative) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Deposits [Abstract] | ' | ' |
Time Deposits, $100,000 or More | $157.50 | $195.30 |
Deposit Liabilities Reclassified as Loans Receivable | 0.3 | ' |
Related Party Deposit Liabilities | $16.20 | ' |
Deposits_Schedule_of_Time_Depo
Deposits (Schedule of Time Deposit Maturities) (Details) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Deposits [Abstract] | ' |
2014 | $121,092 |
2015 | 70,016 |
2016 | 65,325 |
2017 | 27,530 |
2018 | 42,590 |
Thereafter | $89 |
Borrowed_Funds_NarrativeDetail
Borrowed Funds (Narrative)(Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
Securities Sold under Agreements to Repurchase [Member] | Federal Home Loan Bank Advances [Member] | Various Financial Institutions [Member] | Federal Reserve Bank [Member] | Brokered Money Market Funds [Member] | Maximum [Member] | Minimum [Member] | |||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Repurchase agreements secured by available for sale securities | $175,000,000 | $157,000,000 | $64,200,000 | $1,500,000 | ' | ' | ' | ' | ' |
FHLB advances secured by loans receivable | ' | ' | ' | 158,600,000 | ' | ' | ' | ' | ' |
Federal Home Loan Bank, Advances, General Debt Obligations, Maximum Amount Available | 385,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Federal Home Loan Bank, Advances, General Debt Obligations, Amount of Available, Unused Funds | 11,200,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Maximum Borrowing Capacity | ' | ' | ' | ' | $25,000,000 | $30,000,000 | $49,000,000 | ' | ' |
Debt Instrument, Term | ' | ' | ' | ' | ' | ' | ' | '10 years | '5 years |
Borrowed_Funds_Summary_of_Shor
Borrowed Funds (Summary of Short Term Borrowings) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Borrowed Funds [Abstract] | ' | ' |
Short-term Borrowings | $43,676 | $39,257 |
Weighted average interest rate at end of period | 0.14% | 0.34% |
Maximum amount outstanding as of any month end | 61,354 | 52,367 |
Average amount outstanding | $47,777 | $38,812 |
Approximate weighted average rate during the period | 0.13% | 0.34% |
Borrowed_Funds_Summary_of_Long
Borrowed Funds (Summary of Long Term Borrowings) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | Junior Subordinated Debt [Member] | Federal Home Loan Bank Advances [Member] | ||
Debt Instrument [Line Items] | ' | ' | ' | ' |
FHLB advances | $135,942 | $136,005 | ' | ' |
Junior subordinated debt, bearing variable interest rates | 35,929 | 35,929 | ' | ' |
Junior subordinated debt, bearing fixed interest rate | 10,801 | 10,801 | ' | ' |
Total long-term debt | $182,672 | $182,735 | ' | ' |
Debt Instrument, Interest Rate, Effective Percentage Rate Range, Minimum | ' | ' | 2.09% | 1.00% |
Debt Instrument, Interest Rate, Effective Percentage Rate Range, Maximum | ' | ' | 2.99% | 3.69% |
Debt Instrument, Interest Rate, Effective Percentage | ' | ' | 9.88% | ' |
Borrowed_Funds_Contractual_Mat
Borrowed Funds (Contractual Maturities Of All Long Term Borrowings) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Debt Instrument [Line Items] | ' | ' |
Due in 2013 | $0 | $0 |
Due in 2014 | 0 | 0 |
Due in 2015 | 35,000 | 35,000 |
Due in 2016 | 0 | 0 |
Due in 2017 | 0 | 0 |
Due in 2018 | 70,000 | 70,000 |
Thereafter | 77,672 | 77,735 |
Total long-term debt | 182,672 | 182,735 |
Fixed Rate [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Due in 2013 | 0 | ' |
Due in 2014 | 0 | ' |
Due in 2015 | 30,000 | ' |
Due in 2016 | 0 | ' |
Due in 2017 | 0 | ' |
Due in 2018 | 70,000 | ' |
Thereafter | 46,743 | ' |
Total long-term debt | 146,743 | ' |
Floating Rate [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Due in 2013 | 0 | ' |
Due in 2014 | 0 | ' |
Due in 2015 | 5,000 | ' |
Due in 2016 | 0 | ' |
Due in 2017 | 0 | ' |
Due in 2018 | 0 | ' |
Thereafter | 30,929 | ' |
Total long-term debt | $35,929 | ' |
Borrowed_Funds_Schedule_of_Ple
Borrowed Funds (Schedule of Pledged Collateral on Line of Credit) (Details) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Security Owned and Pledged as Collateral, Fair Value | $1,544 |
Pledged Assets, Other, Not Separately Reported on Statement of Financial Position | 160,120 |
Residential Mortgage [Member] | ' |
Loans Pledged as Collateral | 131,941 |
Commercial Real Estate Portfolio Segment [Member] | ' |
Loans Pledged as Collateral | 3,194 |
Commercial and industrial [Member] | ' |
Loans Pledged as Collateral | 64 |
Residential mortgage- home equity [Member] | ' |
Loans Pledged as Collateral | $23,377 |
Junior_Subordinated_Debentures1
Junior Subordinated Debentures And Restrictions On Dividends (Narrative) (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Trust common equity | $62,000 | $62,000 |
Maximum Allowable Period Of Interest Deferment | '20 | ' |
First United Statutory Trust I And II Member | ' | ' |
Trust preferred securities | 30,000,000 | ' |
Trust common equity | 900,000 | ' |
Debenture issue date | 'March 2004 | ' |
Junior Subordinated Debt [Member] | ' | ' |
Debenture issue date | 'December 2004 | ' |
Debt Instrument, Face Amount | 5,000,000 | ' |
Variable interest rate | 'fixed rate of 5.88% for the first five years, payable quarterly, and converted to a floating rate in March 2010 based on the three month LIBOR plus 185 basis points | ' |
Reporting date interest rate | 2.09% | ' |
Maturity date | '2015 | ' |
Earliest availability for redemption | 'five | ' |
Fixed interest rate | 5.88% | ' |
Debenture Rate Conversion Date | 'March 2010 | ' |
Interest Deferment Start Date | 'March 2011 | ' |
Cumulative Deferred Interest | 6,700,000 | ' |
Junior Subordinated Debt [Member] | First United Statutory Trust I Member | ' | ' |
Debenture issued to unconsolidated subsidiary | 20,600,000 | ' |
Variable interest rate | 'three-month LIBOR plus 275 basis points | ' |
Reporting date interest rate | 2.99% | ' |
Maturity date | '2034 | ' |
Earliest availability for redemption | 'five | ' |
Junior Subordinated Debt [Member] | First United Statutory Trust II Member | ' | ' |
Debenture issued to unconsolidated subsidiary | 10,300,000 | ' |
Variable interest rate | 'three-month LIBOR plus 275 basis points | ' |
Reporting date interest rate | 2.99% | ' |
Maturity date | '2034 | ' |
Earliest availability for redemption | 'five | ' |
Junior Subordinated Debt [Member] | December 2009 First United Statutory Trust III Member | ' | ' |
Trust preferred securities | 7,000,000 | ' |
Trust common equity | 200,000 | ' |
Debenture issue date | 'December 2009 | ' |
Fixed interest rate | 9.88% | ' |
Junior Subordinated Debt [Member] | January 2010 First United Statutory Trust III Member | ' | ' |
Trust preferred securities | 3,500,000 | ' |
Trust common equity | 100,000 | ' |
Debenture issue date | 'January 2010 | ' |
Fixed interest rate | 9.88% | ' |
Cumulative Preferred Stock [Member] | ' | ' |
Preferred dividend payment dates | 'February 15th, May 15th, August 15th and November 15th | ' |
Preferred dividend deferment date | 'November 15, 2010 | ' |
Quarterly preferred dividends accrual | 400,000 | ' |
Preferred stock dividends deferred | 5,300,000 | ' |
Preferred Stock, Per Share Amounts of Preferred Dividends in Arrears | $176.67 | ' |
TPS Debentures [Member] | December 2009 First United Statutory Trust III Member | ' | ' |
Debenture issued to unconsolidated subsidiary | 7,200,000 | ' |
Maturity date | '2040 | ' |
Earliest availability for redemption | 'five | ' |
Fixed interest rate | 9.88% | ' |
TPS Debentures [Member] | January 2010 First United Statutory Trust III Member | ' | ' |
Debenture issued to unconsolidated subsidiary | $3,600,000 | ' |
Maturity date | '2040 | ' |
Earliest availability for redemption | 'five | ' |
Fixed interest rate | 9.88% | ' |
Preferred_Stock_Details
Preferred Stock (Details) (USD $) | 0 Months Ended | 12 Months Ended | |
In Millions, except Share data, unless otherwise specified | Jan. 30, 2009 | Dec. 31, 2013 | Dec. 31, 2012 |
Preferred Stock, Shares Issued | 30,000 | 30,000 | 30,000 |
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 326,323 | ' | ' |
Class of Warrant or Right, Exercise Price of Warrants or Rights | 13.79 | ' | ' |
Proceeds from Issuance of Preferred Stock and Preference Stock | $30 | ' | ' |
Preferred Stock, Dividend Rate, Percentage | ' | 5.00% | 5.00% |
Preferred Stock, Liquidation Preference Per Share | ' | $1,000 | $1,000 |
Common Stock, Dividends, Per Share, Cash Paid | ' | $0.20 | ' |
Scenario, Forecast [Member] | ' | ' | ' |
Preferred Stock, Dividend Rate, Percentage | ' | 9.00% | ' |
Variable_Interest_Entities_VIE2
Variable Interest Entities (VIE) (Narrative) (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Variable Interest Entity [Line Items] | ' | ' |
Long-term Debt | $182,672,000 | $182,735,000 |
Variable Interest Entity, Not Primary Beneficiary [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Long-term Debt | 41,700,000 | ' |
Equity Method Investments | 1,300,000 | ' |
Ownership in Liberty Mews Limited Partnership | 99.99% | ' |
VIE financing | 10,600,000 | ' |
VIE purpose | 'purchase land and construct thereon a 36-unit low income housing rental complex | ' |
Construction and Development Costs | 10,600,000 | ' |
Partnership total assets | 9,700,000 | 10,000,000 |
Variable Interest Entity, Not Primary Beneficiary [Member] | Junior Subordinated Debt [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Long-term Debt | 5,000,000 | ' |
Subsidiaries [Member] | Variable Interest Entity, Not Primary Beneficiary [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
VIE financing | 6,100,000 | ' |
Federal investment tax credits | $8,400,000 | ' |
Federal investment tax credit duration | '10 years | ' |
Variable_Interest_Entities_VIE3
Variable Interest Entities (VIE) (Investment in LIHTC Partnership) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Variable Interest Entities (VIE) [Abstract] | ' | ' |
Investment (Other Assets) | $4,980 | $5,498 |
Maximum exposure to loss | $4,980 | $5,498 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Loss (Schedule of Accumulated Other Comprehensive Loss) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Balance | ($21,823) | ($20,962) |
Net gain/(loss) during period | -2,390 | -861 |
Other comprehensive income before reclassifications | -2,338 | ' |
Amounts reclassified from accumulated other comprehensive income | -52 | ' |
Balance | -24,213 | -21,823 |
Investment securities- with OTTI [Member] | ' | ' |
Balance | -10,036 | -10,572 |
Net gain/(loss) during period | ' | 536 |
Other comprehensive income before reclassifications | 2,735 | ' |
Amounts reclassified from accumulated other comprehensive income | -322 | ' |
Balance | -7,623 | -10,036 |
Investment securities- all other [Member] | ' | ' |
Balance | -2,966 | -2,633 |
Net gain/(loss) during period | ' | -333 |
Other comprehensive income before reclassifications | -8,279 | ' |
Amounts reclassified from accumulated other comprehensive income | -47 | ' |
Balance | -11,292 | -2,966 |
Cash Flow Hedge (OCI) [Member] | ' | ' |
Balance | -507 | -616 |
Net gain/(loss) during period | ' | 109 |
Other comprehensive income before reclassifications | 233 | ' |
Amounts reclassified from accumulated other comprehensive income | 0 | ' |
Balance | -274 | -507 |
Pension Plan [Member] | ' | ' |
Balance | -8,262 | -6,945 |
Net gain/(loss) during period | ' | -1,317 |
Other comprehensive income before reclassifications | 2,871 | ' |
Amounts reclassified from accumulated other comprehensive income | 303 | ' |
Balance | -5,088 | -8,262 |
SERP [Member] | ' | ' |
Balance | -52 | -196 |
Net gain/(loss) during period | ' | 144 |
Other comprehensive income before reclassifications | 102 | ' |
Amounts reclassified from accumulated other comprehensive income | 14 | ' |
Balance | $64 | ($52) |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Loss (Components of Comprehensive Income) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Available for sale (AFS) securities with OTTI: Unrealized holding gains, Before Tax Amount | $4,626 | $1,315 |
Available for sale (AFS) securities with OTTI: Unrealized holding gains, tax effect | -1,891 | -501 |
Available for sale (AFS) securities with OTTI: Unrealized holding gains, Net of Tax | 2,735 | 814 |
Available for sale (AFS) securities with OTTI: Less: accretable yield recognized in income | 537 | 465 |
Available for sale (AFS) securities with OTTI: Less: accretable yield recognized in income, Tax Effect | -215 | -187 |
Other than Temporary Impairment Losses, Investments, Reclassification Adjustment of Noncredit Portion Included in Net Income, Available for Sale Securities, Net of Tax | 322 | 278 |
Available for sale (AFS) securities with OTTI: Net unrealized gains on investments with OTTI, Before Tax Amount | 4,089 | 850 |
Available for sale (AFS) securities with OTTI: Net unrealized gains on investments with OTTI: Net unrealized gains on investments with OTTI, Tax Effect | -1,676 | -314 |
Available for sale (AFS) securities with OTTI: Net unrealized gains on investments with OTTI, Net of Tax | 2,413 | 536 |
Available for sale securities - all other: Unrealized holding losses, Before Tax | -13,879 | 999 |
Available for sale securities - all other: Unrealized holding losses, Tax Effect | 5,600 | -408 |
Available for sale securities - all other: Unrealized holding losses, Net of Tax | -8,279 | 591 |
Available for sale securities - all other: Less: gains recognized in income, Before Tax | 78 | 1,545 |
Available for sale securities - all other: Less: gains recognized in income, Tax Effect | -31 | -621 |
Available for sale securities - all other: Less: gains recognized in income, Net of Tax | 47 | 924 |
Available for sale securities - all other: Net unrealized losses on all other AFS securities, Before Tax | -13,957 | -546 |
Available for sale securities - all other: Net unrealized losses on all other AFS securities, Tax Effect | 5,631 | 213 |
Available for sale securities - all other: Net unrealized losses on all other AFS securities, Net of tax | -8,326 | -333 |
Cash flow hedges: Unrealized holding gains, Before Tax | 392 | 185 |
Cash flow hedges: Unrealized holding gains, Tax Effect | -159 | -76 |
Cash flow hedges: Unrealized holding gains, Net of Tax | 233 | 109 |
Unrealized net actuarial gain (loss), Net of Tax | 3,174 | -1,317 |
Other Comprehensive Income, Before Tax Amount | -3,988 | -1,466 |
Other Comprehensive Income, Tax (Expense) Benefit | 1,598 | 605 |
Other Comprehensive Income, Net | -2,390 | -861 |
Pension Plan [Member] | ' | ' |
Unrealized net actuarial gain (loss), Before Tax | 4,790 | -2,547 |
Unrealized net actuarial gain (loss), Tax Effect | -1,919 | 1,019 |
Unrealized net actuarial gain (loss), Net of Tax | 2,871 | -1,528 |
Less: amortization of unrecognized net gain (loss), Before Tax | -532 | -379 |
Less: amortization of unrecognized net gain (loss), Tax Effect | 213 | 152 |
Less: amortization of unrecognized net gain (loss), Net of Tax | -319 | -227 |
Less: amortization of transition asset, Before Tax | 39 | 39 |
Less: amortization of transition asset, Tax Effect | -16 | -16 |
Less: amortization of transition asset, Net of Tax | 23 | 23 |
Less: amortization of prior service costs, Before Tax | -12 | -12 |
Less: amortization of prior service costs, Tax Effect | 5 | 5 |
Less: amortization of prior service costs, Net of Tax | -7 | -7 |
Net plan liability adjustment, Before Tax | 5,295 | -2,195 |
Net plan liability adjustment, Tax Effect | -2,121 | 878 |
Net plan liability adjustment, Net of Tax | 3,174 | -1,317 |
Other Comprehensive Income, Net | ' | -1,317 |
SERP [Member] | ' | ' |
Unrealized net actuarial gain (loss), Before Tax | 170 | 102 |
Unrealized net actuarial gain (loss), Tax Effect | -68 | -41 |
Unrealized net actuarial gain (loss), Net of Tax | 102 | 61 |
Less: amortization of unrecognized net gain (loss), Before Tax | -3 | -15 |
Less: amortization of unrecognized net gain (loss), Tax Effect | 1 | 6 |
Less: amortization of unrecognized net gain (loss), Net of Tax | -2 | -9 |
Less: amortization of prior service costs, Before Tax | -20 | -123 |
Less: amortization of prior service costs, Tax Effect | 8 | 49 |
Less: amortization of prior service costs, Net of Tax | -12 | -74 |
Net plan liability adjustment, Before Tax | 193 | 240 |
Net plan liability adjustment, Tax Effect | -77 | -96 |
Net plan liability adjustment, Net of Tax | 116 | 144 |
Other Comprehensive Income, Net | ' | $144 |
Accumulated_Other_Comprehensiv4
Accumulated Other Comprehensive Loss (Schedule of Reclassifications From Accumulated Other Comprehensive Loss) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' |
Interest on investment securities: Taxable | $5,557 | $4,307 |
Gain Loss Other | 229 | 1,708 |
Salaries and employee benefits | -19,946 | -19,481 |
Tax expense (benefit) | -2,222 | -913 |
Net income | 6,446 | 4,663 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' |
Net income | 52 | ' |
Investment securities- with OTTI [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' |
Interest on investment securities: Taxable | 537 | ' |
Tax expense (benefit) | -215 | ' |
Net income | 322 | ' |
Investment securities- all other [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' |
Gain Loss Other | 78 | ' |
Tax expense (benefit) | -31 | ' |
Net income | 47 | ' |
Pension Plan [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' |
Tax expense (benefit) | 202 | ' |
Net income | -303 | ' |
Pension Plan [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Amortization of unrecognized loss [Member] | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' |
Salaries and employee benefits | -532 | ' |
Pension Plan [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Amortization of transition asset [Member] | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' |
Salaries and employee benefits | 39 | ' |
Pension Plan [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Amortization of prior service costs [Member] | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' |
Salaries and employee benefits | -12 | ' |
SERP [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' |
Tax expense (benefit) | 9 | ' |
Net income | -14 | ' |
SERP [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Amortization of unrecognized loss [Member] | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' |
Salaries and employee benefits | -3 | ' |
SERP [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Amortization of prior service costs [Member] | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' |
Salaries and employee benefits | ($20) | ' |
Income_Taxes_Narrative_Details
Income Taxes (Narrative) (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
State and Local Income Tax Expense (Benefit), Continuing Operations | $0.80 | $0.50 |
Taxable Income Generated through Tax-Planning Strategies | 11.4 | ' |
Internal Revenue Service (IRS) [Member] | ' | ' |
Operating Loss Carryforwards | 9.8 | ' |
Deferred Tax Assets, Operating Loss Carryforwards, Domestic | 3.4 | ' |
Federal and West Virginia [Member] | ' | ' |
Operating Loss Carryforwards, Expiration Date | 31-Dec-30 | ' |
West Virginia [Member] | ' | ' |
Operating Loss Carryforwards | 4.9 | ' |
Deferred Tax Assets, Operating Loss Carryforwards, State and Local | 0.2 | ' |
Maryland [Member] | ' | ' |
Operating Loss Carryforwards | 31.4 | ' |
Deferred Tax Assets, Operating Loss Carryforwards, State and Local | 1.6 | ' |
Operating Loss Carryforwards, Expiration Date | 31-Dec-19 | ' |
Valuation Allowance, Deferred Tax Asset, Change in Amount | 0.1 | ' |
Sale of Investment Securities [Member] | ' | ' |
Taxable Income Generated through Tax-Planning Strategies | 2.1 | ' |
Bank-Owned Life Insurance Income [Member] | ' | ' |
Taxable Income Generated through Tax-Planning Strategies | 8 | ' |
Sale of Fixed-Rate Mortage Loans [Member] | ' | ' |
Taxable Income Generated through Tax-Planning Strategies | $1.20 | ' |
Income_Taxes_Schedule_of_Compo
Income Taxes (Schedule of Components of Income Tax Expense) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Income Taxes [Abstract] | ' | ' |
Current Tax Expense: Federal | $518 | $417 |
Current Tax Expense: State | 416 | 96 |
Current Income Tax Expense | 934 | 513 |
Deferred Tax Expense: Federal | 927 | 22 |
Deferred Tax Expense: State | 361 | 378 |
Defered Income Tax Expense | 1,288 | 400 |
Income tax expense for the year | $2,222 | $913 |
Income_Taxes_Reconciliation_of
Income Taxes (Reconciliation of Federal Income Tax Rate to Effective Income Tax Rate) (Details) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Income Taxes [Abstract] | ' | ' |
Federal statutory rate | 35.00% | 35.00% |
Tax-exempt income on securities and loans | -7.30% | -11.90% |
Tax-exempt BOLI income | -4.10% | -11.20% |
State income tax, net of federal tax benefit | 7.30% | 7.90% |
Tax credits | -5.60% | -10.10% |
Other | 0.40% | 6.70% |
Effective Income Tax Rate Reconciliation, Percent, Total | 25.70% | 16.40% |
Income_Taxes_Components_of_Def
Income Taxes (Components of Deferred Tax Assets and Liabilities) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Income Taxes [Abstract] | ' | ' |
Deferred tax assets, Allowance for loan losses | $5,435 | $6,446 |
Deferred tax assets, Deferred loan fees | 28 | 70 |
Deferred tax assets, Deferred compensation | 767 | 704 |
Deferred tax assets, Federal and State Tax loss carry forwards | 6,057 | 5,289 |
Deferred tax assets, AMT and Other carry forwards | 1,772 | 1,712 |
Deferred tax assets, Unrealized loss on investment securities available-for-sale | 12,686 | 8,771 |
Deferred tax assets, Pension/SERP | 0 | 1,677 |
Deferred tax assets, Other than temporary impairment on investment securities | 5,449 | 5,937 |
Deferred Tax Assets, Other real estate owned | 1,749 | 1,243 |
Deferred Tax Assets, Other | 1,191 | 1,874 |
Total deferred tax assets | 35,134 | 33,723 |
Deferred Tax Assets, Valuation Allowance | -1,563 | -1,471 |
Total deferred tax assets less valuation allowance | 33,571 | 32,252 |
Deferred tax liabilities, Amortization of goodwill and core deposit intangibles | -2,171 | -1,857 |
Deferred Tax Liabilities, Pension and SERP Plans | -574 | 0 |
Deferred tax liabilities, Depreciation | -1,207 | -1,409 |
Deferred tax liabilities, Other | -410 | -104 |
Total deferred tax liabilities | -4,362 | -3,370 |
Net deferred tax assets | $29,209 | $28,882 |
Employee_Benefit_Plans_Narrati
Employee Benefit Plans (Narrative) (Details) (USD $) | 12 Months Ended | ||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Pension [Member] | Pension [Member] | SERP [Member] | SERP [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' |
Defined Benefit Plan, Accumulated Benefit Obligation | ' | $27.20 | $30.80 | $4.30 | $4.50 |
Defined Benefit Plan, Narrative Description of Basis Used to Determine Overall Expected Long-term Rate-of-Return on Assets Assumption | 'the 25-year average return on pension portfolio assets was 8.42%. Monte Carlo simulations modeled against the normalized asset class targets for the pension portfolio suggest an expected long-term return average of 7.28% with a 95% confidence level. | ' | ' | ' | ' |
Employee_Benefit_Plans_Schedul
Employee Benefit Plans (Schedule of Net Funded Status) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets, Ending Balance | $34,848 | $31,154 |
Pension [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Benefit Obligation, Beginning Balance | 30,340 | 26,540 |
Defined Benefit Plan, Service Cost | 227 | 0 |
Defined Benefit Plan, Interest Cost | 1,243 | 1,380 |
Defined Benefit Plan, Other Changes | -3,564 | 3,933 |
Defined Benefit Plan, Actuarial Gain (Loss) | 1,286 | -437 |
Defined Benefit Plan, Benefits Paid | -1,203 | -1,076 |
Defined Benefit Plan, Benefit Obligation, Ending Balance | 28,329 | 30,340 |
Defined Benefit Plan, Fair Value of Plan Assets, Beginning Balance | 31,154 | 29,037 |
Defined Benefit Plan, Actual Return on Plan Assets | 4,897 | 3,193 |
Defined Benefit Plan, Contributions by Employer | 0 | 0 |
Defined Benefit Plan, Fair Value of Plan Assets, Ending Balance | 34,848 | 31,154 |
Defined Benefit Plan, Funded Status of Plan | 6,519 | 814 |
SERP [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Benefit Obligation, Beginning Balance | 4,990 | 4,814 |
Defined Benefit Plan, Service Cost | 113 | 114 |
Defined Benefit Plan, Interest Cost | 250 | 245 |
Defined Benefit Plan, Other Changes | 0 | 0 |
Defined Benefit Plan, Actuarial Gain (Loss) | -167 | -100 |
Defined Benefit Plan, Benefits Paid | -102 | -83 |
Defined Benefit Plan, Benefit Obligation, Ending Balance | 5,084 | 4,990 |
Defined Benefit Plan, Fair Value of Plan Assets, Beginning Balance | 0 | 0 |
Defined Benefit Plan, Actual Return on Plan Assets | 0 | 0 |
Defined Benefit Plan, Contributions by Employer | 102 | 83 |
Defined Benefit Plan, Fair Value of Plan Assets, Ending Balance | 0 | 0 |
Defined Benefit Plan, Funded Status of Plan | ($5,084) | ($4,990) |
Employee_Benefit_Plans_Compone
Employee Benefit Plans (Components of Net Periodic Pension Plan Cost) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Return on Assets | 7.75% | ' |
Pension [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Service Cost | $227 | $0 |
Defined Benefit Plan, Interest Cost | 1,243 | 1,380 |
Expected return on assets | -2,373 | -2,211 |
Defined Benefit Plan, Amortization of Transition Obligations (Assets) | -39 | -39 |
Amortization of recognized loss | 532 | 379 |
Defined Benefit Plan, Amortization of Prior Service Cost (Credit) | 12 | 12 |
Net pension credit included in employee benefits | -398 | -479 |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 4.75% | 4.00% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 4.00% | 5.00% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Return on Assets | 7.75% | 7.75% |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 3.00% | 3.00% |
SERP [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Service Cost | 113 | 114 |
Defined Benefit Plan, Interest Cost | 250 | 245 |
Expected return on assets | 0 | 0 |
Defined Benefit Plan, Amortization of Transition Obligations (Assets) | 0 | 0 |
Amortization of recognized loss | 3 | 15 |
Defined Benefit Plan, Amortization of Prior Service Cost (Credit) | 20 | 123 |
Net pension credit included in employee benefits | $386 | $497 |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 5.25% | 5.25% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 0.00% | 0.00% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Return on Assets | 0.00% | 0.00% |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 3.00% | 3.00% |
Employee_Benefit_Plans_Schedul1
Employee Benefit Plans (Schedule of Target Asset Allocations) (Details) | 12 Months Ended |
Dec. 31, 2013 | |
Cash and Cash Equivalents [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Defined Benefit Plan, Target Plan Asset Allocations | 5.00% |
Defined Benefit Plan, Target Plan Asset Allocations Range Minimum | 0.00% |
Defined Benefit Plan, Target Plan Asset Allocations Range Maximum | 20.00% |
Fixed Income Securities [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Defined Benefit Plan, Target Plan Asset Allocations | 40.00% |
Defined Benefit Plan, Target Plan Asset Allocations Range Minimum | 30.00% |
Defined Benefit Plan, Target Plan Asset Allocations Range Maximum | 50.00% |
Equity Securities [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Defined Benefit Plan, Target Plan Asset Allocations | 55.00% |
Defined Benefit Plan, Target Plan Asset Allocations Range Minimum | 45.00% |
Defined Benefit Plan, Target Plan Asset Allocations Range Maximum | 65.00% |
Employee_Benefit_Plans_Actual_
Employee Benefit Plans (Actual Plan Asset Allocations) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | $34,848 | $31,154 |
Defined Benefit Plan, Actual Plan Asset Allocations | 100.00% | 100.00% |
Fair Value, Inputs, Level 1 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 24,687 | 20,408 |
Fair Value, Inputs, Level 2 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 10,161 | 10,746 |
Cash and Cash Equivalents [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 464 | 3,377 |
Defined Benefit Plan, Actual Plan Asset Allocations | 1.30% | 10.80% |
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 464 | 3,377 |
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 |
Fixed Income Securities [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 13,332 | 13,572 |
Defined Benefit Plan, Actual Plan Asset Allocations | 38.30% | 43.60% |
Fixed Income Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 3,171 | 2,826 |
Fixed Income Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 10,161 | 10,746 |
US Treasury and Government [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 143 | 138 |
Defined Benefit Plan, Actual Plan Asset Allocations | 0.40% | 0.40% |
US Treasury and Government [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 |
US Treasury and Government [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 143 | 138 |
Obligations of states and political subdivisions [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 1,792 | 1,882 |
Defined Benefit Plan, Actual Plan Asset Allocations | 5.20% | 6.00% |
Obligations of states and political subdivisions [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 |
Obligations of states and political subdivisions [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 1,792 | 1,882 |
Corporate Debt Securities [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 7,664 | 7,990 |
Defined Benefit Plan, Actual Plan Asset Allocations | 22.00% | 25.70% |
Corporate Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 |
Corporate Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 7,664 | 7,990 |
Preferred Stock [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 562 | 736 |
Defined Benefit Plan, Actual Plan Asset Allocations | 1.60% | 2.40% |
Preferred Stock [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 |
Preferred Stock [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 562 | 736 |
Fixed Income Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 3,171 | 2,826 |
Defined Benefit Plan, Actual Plan Asset Allocations | 9.10% | 9.10% |
Fixed Income Funds [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 3,171 | 2,826 |
Fixed Income Funds [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 |
Equity Securities [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 21,052 | 14,205 |
Defined Benefit Plan, Actual Plan Asset Allocations | 60.40% | 45.60% |
Equity Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 21,052 | 14,205 |
Equity Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 |
Large Cap [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 15,634 | 11,132 |
Defined Benefit Plan, Actual Plan Asset Allocations | 44.90% | 35.70% |
Large Cap [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 15,634 | 11,132 |
Large Cap [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 |
Mid Cap [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 2,489 | 1,543 |
Defined Benefit Plan, Actual Plan Asset Allocations | 7.10% | 5.00% |
Mid Cap [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 2,489 | 1,543 |
Mid Cap [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 |
Small Cap [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 1,373 | 840 |
Defined Benefit Plan, Actual Plan Asset Allocations | 3.90% | 2.70% |
Small Cap [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 1,373 | 840 |
Small Cap [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 |
International [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 1,556 | 690 |
Defined Benefit Plan, Actual Plan Asset Allocations | 4.50% | 2.20% |
International [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | 1,556 | 690 |
International [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Fair Value of Plan Assets | $0 | $0 |
Employee_Benefit_Plans_Expecte
Employee Benefit Plans (Expected Future Benefit Payments) (Details) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Pension [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months | $1,162 |
Defined Benefit Plan, Expected Future Benefit Payments, Year Two | 1,224 |
Defined Benefit Plan, Expected Future Benefit Payments, Year Three | 1,311 |
Defined Benefit Plan, Expected Future Benefit Payments, Year Four | 1,359 |
Defined Benefit Plan, Expected Future Benefit Payments, Year Five | 1,454 |
Defined Benefit Plan, Expected Future Benefit Payments, Five Fiscal Years Thereafter | 9,380 |
SERP [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months | 117 |
Defined Benefit Plan, Expected Future Benefit Payments, Year Two | 175 |
Defined Benefit Plan, Expected Future Benefit Payments, Year Three | 166 |
Defined Benefit Plan, Expected Future Benefit Payments, Year Four | 224 |
Defined Benefit Plan, Expected Future Benefit Payments, Year Five | 267 |
Defined Benefit Plan, Expected Future Benefit Payments, Five Fiscal Years Thereafter | $1,898 |
Employee_Benefit_Plans_Schedul2
Employee Benefit Plans (Schedule of Amounts in Accumulated Other Comprehensive Income) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Pension [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Accumulated Other Comprehensive Income Net Gains (Losses), after Tax | ($5,088) | ($8,278) |
Defined Benefit Plan, Accumulated Other Comprehensive Income Net Prior Service Cost (Credit), after Tax | 35 | 42 |
Defined Benefit Plan, Accumulated Other Comprehensive Income Net Transition Assets (Obligations), after Tax | -35 | -58 |
Defined Benefit Plan, Accumulated Other Comprehensive Income (Loss), after Tax, Total | 5,088 | 8,262 |
SERP [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Accumulated Other Comprehensive Income Net Gains (Losses), after Tax | 86 | -13 |
Defined Benefit Plan, Accumulated Other Comprehensive Income Net Prior Service Cost (Credit), after Tax | 22 | 39 |
Defined Benefit Plan, Accumulated Other Comprehensive Income Net Transition Assets (Obligations), after Tax | 0 | 0 |
Defined Benefit Plan, Accumulated Other Comprehensive Income (Loss), after Tax, Total | ($64) | $52 |
Employee_Benefit_Plans_Schedul3
Employee Benefit Plans (Schedule of Amounts that Will Be Amortized from Other Comprehensive Loss) (Details) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Pension [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Defined Benefit Plan, Future Amortization of Prior Service Cost (Credit) | $12 |
Defined Benefit Plan, Future Amortization of Transition Obligation (Asset) | -39 |
Defined Benefit Plan, Future Amortization of Gain (Loss) | 242 |
Defined Benefit Plan, Amount to be Amortized from Accumulated Other Comprehensive Income (Loss) Next Fiscal Year, Total | 215 |
SERP [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Defined Benefit Plan, Future Amortization of Prior Service Cost (Credit) | 20 |
Defined Benefit Plan, Future Amortization of Transition Obligation (Asset) | 0 |
Defined Benefit Plan, Future Amortization of Gain (Loss) | -18 |
Defined Benefit Plan, Amount to be Amortized from Accumulated Other Comprehensive Income (Loss) Next Fiscal Year, Total | $2 |
401k_Profit_Sharing_Plan_Detai
401(k) Profit Sharing Plan (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
401(k) Profit Sharing Plan [Abstract] | ' | ' |
Defined Contribution Plan, Employer Matching Contribution, Percent of Match, First One Percent of Contributions | 1.00% | ' |
Defined Contribution Plan, Employer Matching Contribution, Percent of Match, Next Five Percent of Contributions | 5.00% | ' |
Defined Contribution Plan, Cost Recognized | $0.90 | $0.70 |
Restrictions_on_Subsidiary_Div1
Restrictions on Subsidiary Dividends, Loans or Advances (Details) (Parent Company [Member], USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Parent Company [Member] | ' |
Statutory Accounting Practices, Statutory Amount Available for Dividend Payments without Regulatory Approval | $9.40 |
Commitments_and_Contingent_Lia2
Commitments and Contingent Liabilities (Schedule of Commitments) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Supply Commitment [Line Items] | ' | ' |
Contractual Obligation | $98,843 | $88,459 |
Loan Origination Commitments [Member] | ' | ' |
Supply Commitment [Line Items] | ' | ' |
Contractual Obligation | 97,709 | 87,147 |
Commitments to Extend Credit [Member] | ' | ' |
Supply Commitment [Line Items] | ' | ' |
Contractual Obligation | $1,134 | $1,312 |
Fair_Value_Of_Financial_Instru1
Fair Value Of Financial Instruments (Narrative) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Amortized Cost | $368,319 | $245,106 |
Available-for-sale Securities | 336,589 | 223,273 |
Fair Value, Assets, Level 1 to Level 2 Transfers, Amount | 0 | ' |
Collateralized debt obligations [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 18 | ' |
Amortized Cost | 37,146 | 36,798 |
Available-for-sale Securities | $17,538 | $11,442 |
Fair_Value_Of_Financial_Instru2
Fair Value Of Financial Instruments (Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | |
Collateralized debt obligations [Member] | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Assets, Fair Value Disclosure, Recurring | $17,538 | ' | |
Significant Unoservable Inputs | 'Discount Rate | ' | |
Valuation Technique | 'Discounted Cash Flow | ' | |
Fair Value Inputs, Comparability Adjustments | 17.00% | ' | |
Interest Rate Swap [Member] | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Assets, Fair Value Disclosure, Recurring | -457 | ' | |
Significant Unoservable Inputs | 'Reuters Third Party Market Quote | ' | |
Valuation Technique | 'Discounted Cash Flow | ' | |
Fair Value Inputs, Discount Rate | 99.90% | ' | |
Impaired Loans [Member] | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Assets, Fair Value Disclosure, Nonrecurring | 8,613 | 13,560 | |
Significant Unoservable Inputs | 'Marketability Discount | ' | |
Valuation Technique | 'Market Comparable Properties | ' | |
Fair Value Inputs, Discount Rate | 10.00% | [1] | ' |
Other Real Estate Owned [Member] | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Assets, Fair Value Disclosure, Nonrecurring | 5,591 | 3,165 | |
Significant Unoservable Inputs | 'Marketability Discount | ' | |
Valuation Technique | 'Market Comparable Properties | ' | |
Fair Value, Inputs, Level 3 [Member] | Impaired Loans [Member] | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Assets, Fair Value Disclosure, Nonrecurring | 8,613 | 13,560 | |
Fair Value, Inputs, Level 3 [Member] | Other Real Estate Owned [Member] | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Assets, Fair Value Disclosure, Nonrecurring | $5,591 | $3,165 | |
Minimum [Member] | Collateralized debt obligations [Member] | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Fair Value Inputs, Discount Rate | 6.00% | ' | |
Minimum [Member] | Other Real Estate Owned [Member] | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Fair Value Inputs, Discount Rate | 5.00% | [1] | ' |
Maximum [Member] | Collateralized debt obligations [Member] | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Fair Value Inputs, Discount Rate | 18.00% | ' | |
Maximum [Member] | Other Real Estate Owned [Member] | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Fair Value Inputs, Discount Rate | 10.00% | [1] | ' |
Weighted Average [Member] | Interest Rate Swap [Member] | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Fair Value Inputs, Discount Rate | 99.90% | ' | |
Weighted Average [Member] | Impaired Loans [Member] | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Fair Value Inputs, Discount Rate | 10.00% | ' | |
Weighted Average [Member] | Other Real Estate Owned [Member] | ' | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | |
Fair Value Inputs, Discount Rate | 9.00% | ' | |
[1] | Range would include discounts taken since appraisal and estimated values |
Fair_Value_Of_Financial_Instru3
Fair Value Of Financial Instruments (Assets And Liabilities Measured At Fair Value On A Recurring And Nonrecurring Basis) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | $336,589 | $223,273 |
Financial Derivative | -457 | -849 |
Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 319,051 | ' |
Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 17,538 | ' |
Financial Derivative | -457 | ' |
US government agencies [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 92,035 | 40,320 |
US government agencies [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 92,035 | 40,320 |
Residential mortgage-backed agencies [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 112,444 | 44,108 |
Residential mortgage-backed agencies [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 112,444 | 44,108 |
Commercial mortgage-backed agencies [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 29,905 | 37,618 |
Commercial mortgage-backed agencies [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 29,905 | 37,618 |
Collateralized mortgage obligations [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 29,390 | 31,731 |
Collateralized mortgage obligations [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 29,390 | 31,731 |
Obligations of states and political subdivisions [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 55,277 | 58,054 |
Obligations of states and political subdivisions [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 55,277 | 58,054 |
Collateralized debt obligations [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 17,538 | 11,442 |
Collateralized debt obligations [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 17,538 | 11,442 |
Interest Rate Swap [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Financial Derivative | -457 | -849 |
Interest Rate Swap [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Financial Derivative | -457 | -849 |
Impaired Loans [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | 8,613 | 13,560 |
Impaired Loans [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | 8,613 | 13,560 |
Other Real Estate Owned [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | 5,591 | 3,165 |
Other Real Estate Owned [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | $5,591 | $3,165 |
Fair_Value_Of_Financial_Instru4
Fair Value Of Financial Instruments (Reconciliation Of Fair Valued Assets Measured On A Recurring Basis) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Collateralized debt obligations [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Beginning balance | $11,442 | $9,447 |
Included in earnings | 0 | 0 |
Included in other comprehensive income | 6,096 | 1,995 |
Ending Balance | 17,538 | 11,442 |
The amount of total gains or losses for the period included in earnings attributable to the change in realized/unrealized gains or losses related to assets still held at the reporting date | 0 | 0 |
Interest Rate Swap [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Beginning balance | -849 | -1,034 |
Included in earnings | 0 | 0 |
Included in other comprehensive income | 392 | 185 |
Ending Balance | -457 | -849 |
The amount of total gains or losses for the period included in earnings attributable to the change in realized/unrealized gains or losses related to assets still held at the reporting date | $0 | $0 |
Fair_Value_Of_Financial_Instru5
Fair Value Of Financial Instruments (Fair Value By Balance Sheet Grouping) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Cash and due from banks | $32,895 | $71,290 |
Interest bearing deposits | 10,168 | 11,778 |
Investment securities - AFS, Carrying Amount | 336,589 | 223,273 |
Investment securities - HTM | 3,590 | 4,347 |
Restricted Bank Stock | 7,913 | 8,349 |
Loans, net | 799,937 | 865,405 |
Accrued interest receivable | 4,342 | 4,494 |
Deposits - non-maturity | 650,761 | 593,224 |
Deposits - time deposits | 333,256 | 392,155 |
Short-term borrowed funds | 43,676 | 39,257 |
Long-term borrowed funds | 189,135 | 190,531 |
Accrued interest payable | 7,647 | 5,415 |
Financial Derivative | 457 | 849 |
Off balance sheet financial instruments | 0 | 0 |
Cash and due from banks, Carrying Amount | 32,895 | 71,290 |
Interest bearing deposits in banks, Carrying Amount | 10,168 | 11,778 |
Investment securities - held to maturity (fair value $3,590 at December 31, 2013 and $4,347 at December 31, 2012, respectively) | 3,900 | 4,040 |
Restricted Bank stock, Carrying Amount | 7,913 | 8,349 |
Loans, net, Carrying Amount | 796,646 | 858,782 |
Accrued interest receivable, Carrying Amount | 4,342 | 4,494 |
Deposits - non-maturity, Carrying Amount | 650,761 | 593,224 |
Deposits - time deposits, Carrying Amount | 326,642 | 383,660 |
Short-term borrowings | 43,676 | 39,257 |
Long-term borrowings | 182,672 | 182,735 |
Accrued interest payable, Carrying Amount | 7,647 | 5,415 |
Financial derivative, Carrying Amount | 457 | 849 |
Off-Balance Sheet Risks, Amount, Liability, Carrying Amount | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Cash and due from banks | 32,895 | ' |
Interest bearing deposits | 10,168 | ' |
Off balance sheet financial instruments | 0 | ' |
Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Investment securities - AFS, Carrying Amount | 319,051 | ' |
Restricted Bank Stock | 7,913 | ' |
Accrued interest receivable | 4,342 | ' |
Deposits - non-maturity | 650,761 | ' |
Deposits - time deposits | 333,256 | ' |
Short-term borrowed funds | 43,676 | ' |
Long-term borrowed funds | 189,135 | ' |
Accrued interest payable | 7,647 | ' |
Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Investment securities - AFS, Carrying Amount | 17,538 | ' |
Investment securities - HTM | 3,590 | ' |
Loans, net | 799,937 | ' |
Financial Derivative | $457 | ' |
Derivative_Financial_Instrumen2
Derivative Financial Instruments (Narrative) (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
security | ||
Derivative Financial Instruments [Abstract] | ' | ' |
Interest rate swap notional amount | $20,000,000 | ' |
Number of interest rate swap contracts | 3 | ' |
Interest rate swap fair value | -500,000 | -800,000 |
Cash collateral | 1,400,000 | 1,400,000 |
Gain on derivative | 392,000 | ' |
Deferred tax asset on gain on derivative | $159,000 | ' |
Cash flow hedge ineffectiveness | 'Interest rate swap agreements are entered into with counterparties that meet established credit standards and we believe that the credit risk inherent in these contracts is not significant as of December 31, 2013. | ' |
Derivative_Financial_Instrumen3
Derivative Financial Instruments (Impact Of Derivative Financial Instruments) (Details) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | ||
Derivative Financial Instruments [Abstract] | ' | ' | ||
Amount of gain or (loss) recognized in OCI on derivative (effective portion) | $233 | $109 | ||
Amount of gain or (loss) reclassified from accumulated OCI into income (effective portion) | 0 | [1] | 0 | [1] |
Amount of gain or (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | $0 | [2] | $0 | [2] |
[1] | Reported as interest expense | |||
[2] | Reported as other income |
Assets_and_Liabilities_Subject2
Assets and Liabilities Subject to Enforceable Master Netting Agreements (Schedule of Liabilities Subject to an enforceable Master Netting Arrangement or Repurchase Agreements) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Interest Rate Swap [Member] | ' | ' |
Gross Amounts of Recognized Liabilities | $457 | $849 |
Gross Amounts Offset in the Statement of Condition | 0 | 0 |
Net Amounts of Liabilities Presented in the Statement of Condition | 457 | 849 |
Gross Amounts Not Offset in the Statment of Condition: Financial Insturments | -457 | -849 |
Gross Amounts Not Offset in the Statment of Condition: Cash Collateral Pledged | 0 | 0 |
Net amount | 0 | 0 |
Repurchase Agreements [Member] | ' | ' |
Gross Amounts of Recognized Liabilities | 43,676 | 39,257 |
Gross Amounts Offset in the Statement of Condition | 0 | 0 |
Net Amounts of Liabilities Presented in the Statement of Condition | 43,676 | 39,257 |
Gross Amounts Not Offset in the Statment of Condition: Financial Insturments | -43,676 | -39,257 |
Gross Amounts Not Offset in the Statment of Condition: Cash Collateral Pledged | 0 | 0 |
Net amount | $0 | $0 |
Parent_Company_Only_Financial_2
Parent Company Only Financial Information (Condensed Statement of Financial Condition) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | |||
Cash and Cash Equivalents, at Carrying Value | $43,063 | $83,068 | $65,107 |
Other Assets | 28,830 | 25,010 | ' |
Assets | 1,333,503 | 1,320,783 | ' |
Shareholders' equity | 101,340 | 98,905 | 96,656 |
Liabilities and Stockholders' Equity | 1,333,503 | 1,320,783 | ' |
Parent Company [Member] | ' | ' | ' |
Cash and Cash Equivalents, at Carrying Value | 3,025 | 2,449 | 1,943 |
Equity Method Investments | 151,711 | 146,876 | ' |
Investment in non-bank subsidiaries | 4,036 | 4,195 | ' |
Other Assets | 4,031 | 2,802 | ' |
Assets | 162,803 | 156,322 | ' |
Accrued Liabilities and Other Liabilities | 14,733 | 10,687 | ' |
Dividends Payable | 0 | 0 | ' |
Junior Subordinated Notes | 46,730 | 46,730 | ' |
Shareholders' equity | 101,340 | 98,905 | ' |
Liabilities and Stockholders' Equity | $162,803 | $156,322 | ' |
Parent_Company_Only_Financial_3
Parent Company Only Financial Information (Condensed Statements of Income) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Interest Expense | $11,732 | $13,965 |
Other Noninterest Expense | 7,383 | 7,061 |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Extraordinary Items, Noncontrolling Interest | 8,668 | 5,576 |
Income Tax Expense (Benefit) | 2,222 | 913 |
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest | 6,446 | 4,663 |
Parent Company [Member] | ' | ' |
Investment Income, Dividend | 0 | 0 |
Interest and Other Income | 469 | 338 |
Total Income | 469 | 338 |
Interest Expense | 2,881 | 2,802 |
Other Noninterest Expense | 513 | 384 |
Operating Costs and Expenses | 3,394 | 3,186 |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Extraordinary Items, Noncontrolling Interest | -2,925 | -2,848 |
Income Tax Expense (Benefit) | -1,002 | 0 |
Net loss before equity in undistributed net loss of subsidiaries | -1,923 | -2,848 |
Income (Loss) from Equity Method Investments | 8,369 | 7,511 |
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest | 6,446 | 4,663 |
Parent Company [Member] | First United Bank & Trust [Member] | ' | ' |
Income (Loss) from Equity Method Investments | 8,395 | 7,462 |
Parent Company [Member] | Other Non-Bank Equity Method Investments [Member] | ' | ' |
Income (Loss) from Equity Method Investments | ($26) | $49 |
Parent_Company_Only_Financial_4
Parent Company Only Financial Information (Condensed Statements of Comprehensive Income) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest | $6,446 | $4,663 |
Other Comprehensive Income (Loss), Net of Tax | -2,390 | -861 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 4,056 | 3,802 |
Parent Company [Member] | ' | ' |
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest | 6,446 | 4,663 |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | 233 | 109 |
Other Comprehensive Income (Loss), Net of Tax | 233 | 109 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $6,679 | $4,772 |
Parent_Company_Only_Financial_5
Parent Company Only Financial Information (Condensed Statement of Cash Flows) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest | $6,446 | $4,663 |
Decrease in accrued interest receivable and other assets | 1,488 | 1,785 |
Increase (Decrease) in Accounts Payable and Accrued Liabilities | 4,285 | -1,042 |
Share-based Compensation | 88 | 73 |
Net Cash Provided by (Used in) Operating Activities | 18,676 | 15,205 |
Net Cash Provided by (Used in) Investing Activities | -63,556 | 75,576 |
Net Cash Provided by (Used in) Financing Activities | 4,875 | -72,820 |
Cash and Cash Equivalents, Period Increase (Decrease) | -40,005 | 17,961 |
Cash and cash equivalents at beginning of the year | 83,068 | 65,107 |
Cash and cash equivalents at end of period | 43,063 | 83,068 |
Parent Company [Member] | ' | ' |
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest | 6,446 | 4,663 |
Income (Loss) from Equity Method Investments | -8,369 | -7,511 |
Decrease in accrued interest receivable and other assets | -993 | -303 |
Increase (Decrease) in Accounts Payable and Accrued Liabilities | 4,047 | 3,958 |
Share-based Compensation | 88 | 73 |
Net Cash Provided by (Used in) Operating Activities | 1,219 | 880 |
Net investment in subsidiaries | 1,066 | 1,252 |
Net Cash Provided by (Used in) Investing Activities | 1,066 | 1,252 |
Payments of Ordinary Dividends, Preferred Stock and Preference Stock | -1,709 | -1,626 |
Net Cash Provided by (Used in) Financing Activities | -1,709 | -1,626 |
Cash and Cash Equivalents, Period Increase (Decrease) | 576 | 506 |
Cash and cash equivalents at beginning of the year | 2,449 | 1,943 |
Cash and cash equivalents at end of period | $3,025 | $2,449 |
Parent_Company_Only_Financial_6
Parent Company Only Financial Information (Condensed Statement of Accumulated Other Comprehensive Income) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Other Comprehensive Income (Loss), Net of Tax | ($2,390) | ($861) |
Parent Company [Member] | ' | ' |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, before Tax | 392 | 185 |
Taxes | -159 | -76 |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | 233 | 109 |
Other Comprehensive Income (Loss), before Tax | 392 | 185 |
Other Comprehensive Income (Loss), Tax | -159 | -76 |
Other Comprehensive Income (Loss), Net of Tax | $233 | $109 |