Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2021 | Nov. 09, 2021 | |
Document Information [Line Items] | ||
Entity Central Index Key | 0000796534 | |
Entity Registrant Name | NATIONAL BANKSHARES INC | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2021 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2021 | |
Document Transition Report | false | |
Entity File Number | 0-15204 | |
Entity Incorporation, State or Country Code | VA | |
Entity Tax Identification Number | 54-1375874 | |
Entity Address, Address Line One | 101 Hubbard Street | |
Entity Address, City or Town | Blacksburg | |
Entity Address, State or Province | VA | |
Entity Address, Postal Zip Code | 24062-9002 | |
City Area Code | 540 | |
Local Phone Number | 951-6300 | |
Title of 12(b) Security | Common Stock, par value $1.25 per share | |
Trading Symbol | NKSH | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 6,087,758 |
Consolidated Balance Sheets (Cu
Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Assets | ||
Cash and due from banks | $ 11,728 | $ 13,147 |
Interest-bearing deposits | 118,863 | 120,725 |
Securities available for sale, at fair value | 641,486 | 546,742 |
Restricted stock, at cost | 845 | 1,279 |
Loans held for sale | 235 | 866 |
Loans: | ||
Loans, net of unearned income and deferred fees and costs | 797,494 | 768,799 |
Less allowance for loan losses | (7,698) | (8,481) |
Loans, net | 789,796 | 760,318 |
Premises and equipment, net | 9,823 | 10,035 |
Accrued interest receivable | 5,161 | 5,028 |
Other real estate owned, net | 957 | 1,553 |
Goodwill | 5,848 | 5,848 |
Bank-owned life insurance | 42,108 | 36,444 |
Other assets | 17,181 | 17,688 |
Total assets | 1,644,031 | 1,519,673 |
Liabilities and Stockholders' Equity | ||
Noninterest-bearing demand deposits | 328,893 | 276,793 |
Interest-bearing demand deposits | 819,730 | 763,293 |
Savings deposits | 201,656 | 167,475 |
Time deposits | 82,455 | 89,582 |
Total deposits | 1,432,734 | 1,297,143 |
Accrued interest payable | 46 | 56 |
Other liabilities | 20,398 | 21,867 |
Total liabilities | 1,453,178 | 1,319,066 |
Commitments and contingencies | ||
Stockholders' Equity | ||
Preferred stock, no par value, 5,000,000 shares authorized; none issued and outstanding | 0 | 0 |
Common stock of $1.25 par value. Authorized 10,000,000 shares; issued and outstanding 6,096,958 at September 30, 2021 and 6,432,020 shares at December 31, 2020 | 7,621 | 8,040 |
Retained earnings | 188,693 | 189,547 |
Accumulated other comprehensive income (loss), net | (5,461) | 3,020 |
Total stockholders' equity | 190,853 | 200,607 |
Total liabilities and stockholders' equity | $ 1,644,031 | $ 1,519,673 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares | Sep. 30, 2021 | Dec. 31, 2020 |
Preferred stock, par value (in dollars per share) | $ 0 | $ 0 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 1.25 | $ 1.25 |
Common stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Common stock, shares issued (in shares) | 6,170,058 | 6,432,020 |
Common stock, shares outstanding (in shares) | 6,170,058 | 6,432,020 |
Consolidated Statements of Inco
Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Interest Income | ||||
Interest and fees on loans | $ 9,088 | $ 8,606 | $ 26,104 | $ 25,491 |
Interest on interest-bearing deposits | 56 | 17 | 123 | 248 |
Interest on securities – taxable | 2,043 | 1,572 | 5,736 | 5,791 |
Interest on securities – nontaxable | 469 | 513 | 1,472 | 1,316 |
Total interest income | (11,656) | (10,708) | (33,435) | (32,846) |
Interest Expense | ||||
Interest on time deposits | 61 | 395 | 223 | 1,476 |
Interest on other deposits | 658 | 1,025 | 2,185 | 3,338 |
Total interest expense | (719) | (1,420) | (2,408) | (4,814) |
Net interest income | 10,937 | 9,288 | 31,027 | 28,032 |
Provision for (recovery of) loan losses | (392) | 154 | (338) | 1,985 |
Net interest income after provision for (recovery of) loan losses | 11,329 | 9,134 | 31,365 | 26,047 |
Noninterest Income: | ||||
Noninterest Income | 1,590 | 1,413 | 4,915 | 4,150 |
BOLI income | 248 | 219 | 664 | 659 |
Gain on sale of mortgage loans | 76 | 165 | 287 | 416 |
Other income | 177 | 258 | 1,034 | 817 |
Realized securities gain, net | 0 | 14 | 5 | 96 |
Total noninterest income | 1,992 | 1,926 | 6,267 | 5,806 |
Noninterest Expense | ||||
Salaries and employee benefits | 3,909 | 3,511 | 11,767 | 10,882 |
Occupancy, furniture and fixtures | 447 | 452 | 1,378 | 1,360 |
Data processing and ATM | 728 | 799 | 2,292 | 2,396 |
FDIC assessment | 120 | 87 | 296 | 127 |
Net costs of other real estate owned | 11 | 18 | 49 | 36 |
Franchise taxes | 367 | 331 | 1,059 | 1,009 |
Other operating expenses | 785 | 922 | 2,509 | 2,854 |
Total noninterest expense | 6,367 | 6,120 | 19,350 | 18,664 |
Income before income taxes | 6,954 | 4,940 | 18,282 | 13,189 |
Income tax expense | 1,202 | 772 | 3,151 | 2,060 |
Net Income | $ 5,752 | $ 4,168 | $ 15,131 | $ 11,129 |
Basic net income per common share (in dollars per share) | $ 0.94 | $ 0.64 | $ 2.42 | $ 1.71 |
Fully diluted net income per common share (in dollars per share) | $ 0.94 | $ 0.64 | $ 2.42 | $ 1.71 |
Weighted average number of common shares outstanding, basic and diluted (in shares) | 6,142,538 | 6,489,574 | 6,253,796 | 6,489,574 |
Dividends declared per common share (in dollars per share) | $ 0 | $ 0 | $ 0.70 | $ 0.67 |
Deposit Account [Member] | ||||
Noninterest Income: | ||||
Noninterest Income | $ 548 | $ 471 | $ 1,488 | $ 1,430 |
Product and Service, Other [Member] | ||||
Noninterest Income: | ||||
Noninterest Income | 50 | 37 | 134 | 113 |
Credit and Debit Card [Member] | ||||
Noninterest Income: | ||||
Noninterest Income | 460 | 339 | 1,373 | 1,031 |
Fiduciary and Trust [Member] | ||||
Noninterest Income: | ||||
Noninterest Income | $ 433 | $ 423 | $ 1,282 | $ 1,244 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Net Income | $ 5,752 | $ 4,168 | $ 15,131 | $ 11,129 |
Other Comprehensive Income (Loss), Net of Tax | ||||
Unrealized holding gain on available for sale securities net of tax | (3,403) | 2,256 | (8,477) | 11,763 |
Reclassification adjustment for gain included in net income, net of tax | 0 | (11) | (4) | (76) |
Other comprehensive income (loss), net of tax | (3,403) | 2,245 | (8,481) | 11,687 |
Total Comprehensive Income | 2,349 | 6,413 | 6,650 | 22,816 |
Net Income | $ 5,752 | $ 4,168 | $ 15,131 | $ 11,129 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Unaudited) (Parentheticals) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Unrealized holding gain (loss) on available for sale securities, tax | $ (905) | $ 601 | $ (2,254) | $ 3,127 |
Reclassification adjustment for gain included in net income, tax | $ (3) | $ (1) | $ (20) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Common Stock [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Total |
Balance at Dec. 31, 2019 | $ 8,112 | $ 184,120 | $ (8,506) | $ 183,726 |
Net income | 0 | 11,129 | 0 | 11,129 |
Other comprehensive income (loss), net of tax | 0 | 0 | 11,687 | 11,687 |
Dividends | 0 | (4,348) | 0 | (4,348) |
Balance at Sep. 30, 2020 | 8,112 | 190,901 | 3,181 | 202,194 |
Balance at Jun. 30, 2020 | 8,112 | 186,733 | 936 | 195,781 |
Net income | 0 | 4,168 | 0 | 4,168 |
Other comprehensive income (loss), net of tax | 0 | 0 | 2,245 | 2,245 |
Balance at Sep. 30, 2020 | 8,112 | 190,901 | 3,181 | 202,194 |
Balance at Dec. 31, 2020 | 8,040 | 189,547 | 3,020 | 200,607 |
Net income | 0 | 15,131 | 0 | 15,131 |
Other comprehensive income (loss), net of tax | 0 | 0 | (8,481) | (8,481) |
Common stock repurchased | (419) | (11,666) | 0 | (12,085) |
Dividends | 0 | (4,319) | 0 | (4,319) |
Balance at Sep. 30, 2021 | 7,621 | 188,693 | (5,461) | 190,853 |
Balance at Jun. 30, 2021 | 7,713 | 185,580 | (2,058) | 191,235 |
Net income | 0 | 5,752 | 0 | 5,752 |
Other comprehensive income (loss), net of tax | 0 | 0 | (3,403) | (3,403) |
Common stock repurchased | (92) | (2,639) | 0 | (2,731) |
Balance at Sep. 30, 2021 | $ 7,621 | $ 188,693 | $ (5,461) | $ 190,853 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Stockholders' Equity (Unaudited) (Parentheticals) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Other comprehensive income (loss), tax | $ (905) | $ 598 | $ (2,255) | $ 3,107 |
Stock repurchase, shares (in shares) | 73,100 | 335,062 | ||
Dividends, per share (in dollars per share) | $ 0 | $ 0 | $ 0.70 | $ 0.67 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Cash Flows from Operating Activities | |||||
Net income | $ 5,752 | $ 4,168 | $ 15,131 | $ 11,129 | |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||
Provision for (recovery of) loan losses | (392) | 154 | (338) | 1,985 | $ 1,991 |
Depreciation of bank premises and equipment | 484 | 529 | |||
Amortization of premiums and accretion of discounts, net | 1,266 | 1,016 | |||
Gain on disposal of fixed assets | 0 | (2) | |||
Gain on sales and calls of securities available for sale, net | (5) | (96) | |||
Loss (gain) and write-down on other real estate owned, net | 25 | (13) | |||
Loss on sale of repossessed assets, net | 0 | 1 | |||
Increase in cash value of bank-owned life insurance | (664) | (659) | |||
Origination of mortgage loans held for sale | (13,320) | (27,929) | |||
Proceeds from sale of mortgage loans held for sale | 14,238 | 25,560 | |||
Gain on sale of mortgage loans held for sale | (76) | (165) | (287) | (416) | |
Net change in: | |||||
Accrued interest receivable | (133) | (953) | |||
Other assets | 1,293 | (136) | |||
Accrued interest payable | (10) | (58) | |||
Other liabilities | (1) | 192 | |||
Net cash provided by operating activities | 17,679 | 10,150 | |||
Cash Flows from Investing Activities | |||||
Net change in interest-bearing deposits | 1,862 | 8,102 | |||
Proceeds from calls, principal payments, sales and maturities of securities available for sale | 46,887 | 116,567 | |||
Purchase of securities available for sale | (153,627) | (154,781) | |||
Net change in restricted stock | 434 | (59) | |||
Purchase of loan participations | (20,544) | (4,273) | |||
Collection of loan participations | 3,759 | 122 | |||
Loan originations and principal collections, net | (12,661) | (63,695) | |||
Proceeds from sale of other real estate owned | 621 | 72 | |||
Proceeds from sale of repossessed assets | 11 | 30 | |||
Recoveries on loans charged off | 245 | 219 | |||
Purchase of bank-owned life insurance | (5,000) | 0 | |||
Proceeds from sale and purchases of premises and equipment, net | (272) | (1,632) | |||
Net cash used in investing activities | (138,285) | (99,328) | |||
Cash Flows from Financing Activities | |||||
Net change in time deposits | (7,127) | (25,020) | |||
Net change in other deposits | 142,718 | 118,849 | |||
Common stock repurchased | (12,085) | 0 | |||
Cash dividends paid | (4,319) | (4,348) | |||
Net cash provided by financing activities | 119,187 | 89,481 | |||
Net change in cash and due from banks | (1,419) | 303 | |||
Cash and due from banks at beginning of period | 13,147 | 10,290 | 10,290 | ||
Cash and due from banks at end of period | 11,728 | 10,593 | 11,728 | 10,593 | $ 13,147 |
Supplemental Disclosures of Cash Flow Information | |||||
Interest paid on deposits | 2,418 | 4,872 | |||
Income taxes paid | 2,150 | 2,785 | |||
Supplemental Disclosure of Noncash Activities | |||||
Loans charged against the allowance for loan losses | 690 | 639 | |||
Loans transferred to OREO | 50 | 0 | |||
Loans transferred to repossessed assets | 11 | 4 | |||
Unrealized gain (loss) on securities available for sale | (10,736) | 14,794 | |||
Lease liabilities arising from obtaining right-of-use assets | $ 0 | $ 23 | $ 0 | $ 23 |
Note 1 - General
Note 1 - General | 9 Months Ended |
Sep. 30, 2021 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | Note 1: The consolidated financial statements of National Bankshares, Inc. (“NBI”) and its wholly-owned subsidiaries, The National Bank of Blacksburg (the “Bank” or “NBB”) and National Bankshares Financial Services, Inc. (“NBFS”) (collectively, the “Company”), conform to accounting principles generally accepted in the United States of America (“U.S. GAAP”) and to general practices within the banking industry. The accompanying interim period consolidated financial statements are unaudited; however, in the opinion of management, all adjustments consisting of normal recurring adjustments, which are necessary for a fair presentation of the consolidated financial statements, have been included. The results of operations for the three nine September 30, 2021 not 10 2020 10 1934 www.nationalbankshares.com Reclassifications Certain amounts reported in prior years have been reclassified to conform to the current year’s presentation. These reclassifications had no Risks and Uncertainties Since the beginning of 2020, 19 not 19 Financial position and results of operations During 2020, two first nine 2021, may Lending operations, accommodations to borrowers and credit risk The Company has worked with customers directly affected by COVID- 19, September 30, 2021, 19 If eventual credit losses are identified on loans that received modifications or other loans, accrued interest and fee income would be reversed at the time the loss is identified. If the loans are fully or partially charged off, future requirements for the provision for loan losses will increase. At this time, the Company is unable to project the materiality of such an impact, but recognizes economic declines may The Company provided loans through the Paycheck Protection Program (“PPP”), administered by the Small Business Administration (“SBA”). Loans funded through the program to qualifying borrowers carry the expectation that the SBA will either pay off the loans and forgive the borrower’s debt, or guarantee the loans until the borrower pays off the debt. The loans bear a contractual interest rate of 1%, April 2020. September 30, 2021, Asset valuation COVID- 19 not not The Company tests goodwill for impairment annually, usually during the fourth September 30 may Capital and liquidity While the Company believes that it has sufficient capital to withstand a potential second The Company maintains access to multiple sources of liquidity. Wholesale funding markets are currently available to the Company. If the uncertainty caused by the COVID- 19 Accounting Standards Adopted as of January 1, 2021 In December 2019, 2019 12, 740 740 2019 12 January 1, 2021. 2019 12 not In January 2020, 2020 01, 321 323 815 321, 323, 815 2016 01 2020 01 January 1, 2021. 2020 01 not In October 2020, 2020 08, 310 20, 310 20 35 33 2020 08 January 1, 2021. 2020 08 not In December 2020, 541 first 19 Recent Accounting Pronouncements In June 2016, No. 2016 13, 326 2016 13 326, 2019 04, 2019 05, 2019 10, 2019 11, 2020 02, 2020 03. not December 15, 2022. 2016 13 Effective November 25, 2019, 119. 119 326, 1 2 3 4 In March 2020, No. 2020 04 848 March 12, 2020 December 31, 2022. January 2021, No. 2021 01 848 848 848 may No. 2021 01 March 12, 2020, January 7, 2021, may No. 2021 01 March 12, 2020, March 12, 2020.The three 2020 04 In August 2021, 2021 06, 205 942 946 No. 33 10786, No. 33 10835, No. 33 10786, No. 33 10835, not 2021 06 |
Note 2 - Loan Portfolio
Note 2 - Loan Portfolio | 9 Months Ended |
Sep. 30, 2021 | |
Notes to Financial Statements | |
Share-based Payment Arrangement [Text Block] | Note 2: Loan Portfolio The loan portfolio, excluding loans held for sale, was comprised of the following. September 30, 2021 December 31, 2020 Real estate construction $ 50,883 $ 42,266 Consumer real estate 204,880 181,782 Commercial real estate 403,840 393,115 Commercial non real estate 59,082 78,771 Public sector and IDA 48,345 40,983 Consumer non real estate 31,576 33,110 Gross loans 798,606 770,027 Less unearned income and deferred fees and costs (1,112 ) (1,228 ) Loans, net of unearned income and deferred fees and costs $ 797,494 $ 768,799 |
Note 3 - Allowance for Loan Los
Note 3 - Allowance for Loan Losses, Nonperforming Assets and Impaired Loans | 9 Months Ended |
Sep. 30, 2021 | |
Notes to Financial Statements | |
Allowance for Credit Losses [Text Block] | Note 3: Allowance for Loan Losses, Nonperforming Assets and Impaired Loans The allowance for loan losses methodology incorporates individual evaluation of impaired loans and collective evaluation of groups of non-impaired loans. The Company performs ongoing analysis of the loan portfolio to determine credit quality and to identify impaired loans. Credit quality is rated based on the loan’s payment history, the borrower’s current financial situation and value of the underlying collateral. Impaired Loans Loans are designated as impaired when, in the judgment of management based on current information and events, it is probable that all amounts will not not Measurement Impaired loans are individually evaluated to determine appropriate reserves and are measured at the lower of the invested amount or fair value. Fair value is estimated using the collateral method or the cash flow method. The collateral method is applied to collateral-dependent loans, loans for which foreclosure is imminent and to loans for which the fair value of collateral is a more reliable estimate of fair value. Collateral may not may TDRs TDRs are impaired loans. If the restructuring included forgiveness of a portion of principal or accrued interest, the charge-off is included in the historical charge-off rates applied to the collective evaluation methodology. Restructured loans are individually evaluated for impairment, and the amount of a restructured loan’s book value in excess of its fair value is accrued as a specific allocation in the allowance for loan losses. If a TDR loan payment exceeds 90 not may Please refer to the Company’s 2020 10 1: Collectively-Evaluated Loans The Company evaluated characteristics in the loan portfolio and determined major segments and smaller classes within each segment. These characteristics include collateral type, repayment sources, and (if applicable) the borrower’s business model. Loans within each class are further stratified by risk rating: pass-rated loans, loans rated special mention, and loans rated classified. Portfolio Segments and Classes The segments and classes used in determining the allowance for loan losses are as follows. Real Estate Construction Construction, residential Construction, other Consumer Real Estate Equity lines Residential closed-end first Residential closed-end junior liens Investor-owned residential real estate Commercial Real Estate Multifamily real estate Commercial real estate, owner-occupied Commercial real estate, other Commercial Non Real Estate Commercial and industrial Public Sector and IDA Public sector and IDA Consumer Non Real Estate Credit cards Automobile Other consumer loans Please refer to the Company’s 2020 10 1: Credit risk is estimated at the class level, by risk rating, by applying historical net charge-off rates and percentages for qualitative factors that influence credit risk. Historical Loss Rates The Company’s allowance methodology for collectively evaluated loans applies historical loss rates by class to current class balances as part of the process of determining required reserves. The Company averages loss rates for the most recent eight Within each class, loans are risk rated pass, special mention or classified. Loss rates are applied based upon risk rating. Total net charge-offs for the class as a percentage of average class loan balance is applied to pass rated loans and loans rated special mention. Total net charge-offs for the class as a percentage of average classified loans in the class is applied to classified loans. Net charge-offs in both calculations include charge-offs and recoveries of classified and non-classified loans as well as those associated with impaired loans. Qualitative Factors In addition to historical loss rates, risk factors pertinent to credit risk for each class are analyzed to estimate reserves for collectively evaluated loans. Factors include changes in national and local economic and business conditions, the nature and volume of classes within the portfolio, loan quality, loan officers’ experience, lending policies and the Company’s loan review system. A detailed analysis showing the allowance roll-forward by portfolio segment and related loan balance by segment follows. Activity in the Allowance for Loan Losses for the Nine Months Ended September 30, 2021 Real Estate Construction Consumer Real Estate Commercial Real Estate Commercial Non Real Estate Public Sector and IDA Consumer Non Real Estate Unallocated Total Balance, December 31, 2020 $ 503 $ 2,165 $ 3,853 $ 670 $ 339 $ 555 $ 396 $ 8,481 Charge-offs - (13 ) - (526 ) - (151 ) - (690 ) Recoveries - 19 86 31 - 109 - 245 Provision for (recovery of) loan losses (5 ) (203 ) (776 ) 743 (27 ) (39 ) (31 ) (338 ) Balance, September 30, 2021 $ 498 $ 1,968 $ 3,163 $ 918 $ 312 $ 474 $ 365 $ 7,698 Activity in the Allowance for Loan Losses for the Nine Months Ended September 30, 2020 Real Estate Construction Consumer Real Estate Commercial Real Estate Commercial Non Real Estate Public Sector and IDA Consumer Non Real Estate Unallocated Total Balance, December 31, 2019 $ 400 $ 1,895 $ 2,559 $ 555 $ 478 $ 650 $ 326 $ 6,863 Charge-offs - (62 ) (15 ) (372 ) - (190 ) - (639 ) Recoveries - 18 53 6 - 142 - 219 Provision for (recovery of) loan losses 24 311 1,047 510 53 (5 ) 45 1,985 Balance, September 30, 2020 $ 424 $ 2,162 $ 3,644 $ 699 $ 531 $ 597 $ 371 $ 8,428 Activity in the Allowance for Loan Losses for the Year Ended December 31, 2020 Real Estate Construction Consumer Real Estate Commercial Real Estate Commercial Non Real Estate Public Sector and IDA Consumer Non Real Estate Unallocated Total Balance, December 31, 2019 $ 400 $ 1,895 $ 2,559 $ 555 $ 478 $ 650 $ 326 $ 6,863 Charge-offs - (85 ) (15 ) (372 ) - (248 ) - (720 ) Recoveries - 18 145 9 - 175 - 347 Provision for (recovery of) loan losses 103 337 1,164 478 (139 ) (22 ) 70 1,991 Balance, December 31, 2020 $ 503 $ 2,165 $ 3,853 $ 670 $ 339 $ 555 $ 396 $ 8,481 Allowance for Loan Losses as of September 30, 2021 Real Estate Construction Consumer Real Estate Commercial Real Estate Commercial Non Real Estate Public Sector and IDA Consumer Non Real Estate Unallocated Total Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment 498 1,968 3,163 918 312 474 365 7,698 Total $ 498 $ 1,968 $ 3,163 $ 918 $ 312 $ 474 $ 365 $ 7,698 Allowance for Loan Losses as of December 31, 2020 Real Estate Construction Consumer Real Estate Commercial Real Estate Commercial Non Real Estate Public Sector and IDA Consumer Non Real Estate Unallocated Total Individually evaluated for impairment $ - $ 2 $ - $ 73 $ - $ - $ - $ 75 Collectively evaluated for impairment 503 2,163 3,853 597 339 555 396 8,406 Total $ 503 $ 2,165 $ 3,853 $ 670 $ 339 $ 555 $ 396 $ 8,481 Loans as of September 30, 2021 Real Estate Construction Consumer Real Estate Commercial Real Estate Commercial Non Real Estate Public Sector and IDA Consumer Non Real Estate Total Individually evaluated for impairment $ - $ 192 $ 5,583 $ 308 $ - $ 1 $ 6,084 Collectively evaluated for impairment 50,883 204,688 398,257 58,774 48,345 31,575 792,522 Total $ 50,883 $ 204,880 $ 403,840 $ 59,082 $ 48,345 $ 31,576 $ 798,606 Loans as of December 31, 2020 Real Estate Construction Consumer Real Estate Commercial Real Estate Commercial Non Real Estate Public Sector and IDA Consumer Non Real Estate Total Individually evaluated for impairment $ - $ 194 $ 3,856 $ 851 $ - $ 2 $ 4,903 Collectively evaluated for impairment 42,266 181,588 389,259 77,920 40,983 33,108 765,124 Total $ 42,266 $ 181,782 $ 393,115 $ 78,771 $ 40,983 $ 33,110 $ 770,027 A summary of ratios for the allowance for loan losses follows. As of and for the Nine Months Ended September 30, Year Ended December 31, 2021 2020 2020 Ratio of allowance for loan losses to the end of period loans, net of unearned income and deferred fees and costs (1) 0.97 % 1.05 % 1.10 % Ratio of net charge-offs to average loans, net of unearned income and deferred fees and costs (2) 0.08 % 0.07 % 0.05 % ( 1 The ratio of the allowance for loan losses to the end of period loans, net of unearned income and deferred fees and costs at September 30, 2021, December 31, 2020 September 30, 2020 not September 30, 2021, December 31, 2020 September 30, 2020. ( 2 Net charge-offs are on an annualized basis. A summary of nonperforming assets follows. September 30, December 31, 2021 2020 2020 Nonperforming assets: Nonaccrual loans $ 39 $ 736 $ 846 Restructured loans in nonaccrual 3,075 2,866 2,839 Total nonperforming loans 3,114 3,602 3,685 Other real estate owned, net 957 1,553 1,553 Total nonperforming assets $ 4,071 $ 5,155 $ 5,238 Ratio of nonperforming assets to loans, net of unearned income and deferred fees and costs, plus other real estate owned 0.51 % 0.64 % 0.68 % Ratio of allowance for loan losses to nonperforming loans (1) 247.21 % 233.98 % 230.15 % ( 1 The Company defines nonperforming loans as nonaccrual loans and restructured loans that are nonaccrual. Loans 90 A summary of loans past due 90 September 30, December 31, 2021 2020 2020 Loans past due 90 days or more and still accruing $ 62 $ 236 $ 17 Ratio of loans past due 90 days or more and still accruing to loans, net of unearned income and deferred fees and costs 0.01 % 0.03 % 0.00 % Accruing restructured loans $ 3,009 $ 1,426 $ 1,410 Impaired loans: Impaired loans with no valuation allowance $ 6,084 $ 3,939 $ 3,858 Impaired loans with a valuation allowance - 1,056 1,045 Total impaired loans $ 6,084 $ 4,995 $ 4,903 Valuation allowance - (104 ) (75 ) Impaired loans, net of allowance $ 6,084 $ 4,891 $ 4,828 Average recorded investment in impaired loans (1) $ 6,108 $ 5,227 $ 5,093 Interest income recognized on impaired loans, after designation as impaired $ 175 $ 49 $ 54 Amount of income recognized on a cash basis $ - $ - $ - ( 1 Recorded investment is net of charge-offs and interest paid while a loan is in nonaccrual status. No interest income was recognized on nonaccrual loans for the nine September 30, 2021 September 30, 2020 December 31, 2020. A detailed analysis of investment in impaired loans and associated reserves, segregated by loan class follows. Impaired Loans as of September 30, 2021 Principal Balance Total Recorded Investment (1) Recorded Investment (1) for Which There is No Related Allowance Recorded Investment (1) for Which There is a Related Allowance Related Allowance Consumer Real Estate (2) Investor-owned residential real estate $ 192 $ 192 $ 192 $ - $ - Commercial Real Estate (2) Commercial real estate, owner-occupied 3,481 2,861 2,861 - - Commercial real estate, other 2,722 2,722 2,722 - - Commercial Non Real Estate (2) Commercial and industrial 313 308 308 - - Consumer Non Real Estate (2) Automobile 1 1 1 - - Total $ 6,709 $ 6,084 $ 6,084 $ - $ - ( 1 Recorded investment is net of charge-offs and interest paid while a loan is in nonaccrual status. ( 2 Only classes with impaired loans are shown. Impaired Loans as of December 31, 2020 Principal Balance Total Recorded Investment (1) Recorded Investment (1) for Which There is No Related Allowance Recorded Investment (1) for Which There is a Related Allowance Related Allowance Consumer Real Estate (2) Investor-owned residential real estate $ 194 $ 194 $ - $ 194 $ 2 Commercial Real Estate (2) Commercial real estate, owner occupied 3,752 3,202 3,202 - - Commercial real estate, other 654 654 654 - - Commercial Non-Real Estate (2) Commercial and industrial 851 851 - 851 73 Consumer Non-Real Estate (2) Automobile 2 2 2 - - Total $ 5,453 $ 4,903 $ 3,858 $ 1,045 $ 75 ( 1 Recorded investment is net of charge-offs and interest paid while a loan is in nonaccrual status. ( 2 Only classes with impaired loans are shown. The following tables show the average recorded investment and interest income recognized for impaired loans. For the Nine Months Ended September 30, 2021 Average Recorded Investment (1) Interest Income Recognized Consumer Real Estate (2) Investor-owned residential real estate $ 193 $ 9 Commercial Real Estate (2) Commercial real estate, owner occupied 2,866 72 Commercial real estate, other 2,724 83 Commercial Non Real Estate (2) Commercial and industrial 324 11 Consumer Non Real Estate (2) Automobile 1 - Total $ 6,108 $ 175 For the Year Ended December 31, 2020 Average Recorded Investment (1) Interest Income Recognized Consumer Real Estate (2) Investor-owned residential real estate $ 196 $ 13 Commercial Real Estate (2) Commercial real estate, owner occupied 3,217 19 Commercial real estate, other 790 - Commercial Non-Real Estate (2) Commercial and industrial 887 22 Consumer Non-Real Estate (2) Automobile 3 - Total $ 5,093 $ 54 ( 1 Recorded investment is net of charge-offs and interest paid while a loan is in nonaccrual status. ( 2 Only classes with impaired loans are shown. An analysis of past due and nonaccrual loans follows. September 30, 2021 30 89 Days Past Due and Accruing 90 or More Days Past Due 90 or More Days Past Due and Accruing Nonaccruals (2) Real Estate Construction (1) Construction, other $ 115 $ - $ - $ - Consumer Real Estate (1) Equity lines 29 - - - Residential closed-end first liens 489 39 39 - Investor-owned residential real estate 102 - - - Commercial Real Estate (1) - - - Commercial real estate, owner-occupied 147 445 - 2,767 Commercial real estate, other - - - - Commercial Non Real Estate (1) Commercial and industrial 29 318 10 347 Consumer Non Real Estate (1) Credit cards 3 1 1 - Automobile 91 - - - Other consumer loans 218 12 12 - Total $ 1,223 $ 815 $ 62 $ 3,114 ( 1 Only classes with past-due or nonaccrual loans are shown. ( 2 Includes current and past due loans in nonaccrual status. Includes impaired loans in nonaccrual status. December 31, 2020 30 89 Days Past Due and Accruing 90 or More Days Past Due 90 or More Days Past Due and Accruing Nonaccruals (2) Consumer Real Estate (1) Residential closed-end first liens $ 365 $ 62 $ - $ 62 Investor-owned residential real estate 106 - - - Commercial Real Estate (1) Commercial real estate, owner occupied 15 571 - 2,941 Commercial real estate, other - 654 - 654 Commercial Non-Real Estate (1) Commercial and industrial 730 27 - 28 Consumer Non-Real Estate (1) Credit cards 7 3 3 - Automobile 144 1 1 - Other consumer loans 130 13 13 - Total $ 1,497 $ 1,331 $ 17 $ 3,685 ( 1 Only classes with past-due or nonaccrual loans are shown. ( 2 Includes current and past due loans in nonaccrual status. Includes impaired loans in nonaccrual status. The following displays collectively-evaluated loans by credit quality indicator. September 30, 2021 Pass (1) Special Mention (1) Classified (1) Real Estate Construction Construction, 1-4 family residential $ 10,498 $ - $ - Construction, other 40,385 - - Consumer Real Estate Equity lines 13,962 - - Closed-end first liens 106,806 - 284 Closed-end junior liens 2,773 - - Investor-owned residential real estate 80,244 619 - Commercial Real Estate Multifamily residential real estate 106,368 - - Commercial real estate owner-occupied 137,965 - 36 Commercial real estate, other 150,131 3,757 - Commercial Non Real Estate Commercial and industrial 58,726 - 48 Public Sector and IDA States and political subdivisions 48,345 - - Consumer Non Real Estate Credit cards 4,270 - - Automobile 11,653 - - Other consumer 15,528 - 124 Total $ 787,654 $ 4,376 $ 492 ( 1 Excludes impaired, if any. The following displays collectively-evaluated loans by credit quality indicator. December 31, 2020 Pass (1) Special Mention (1) Classified (1) Real Estate Construction Construction, 1-4 family residential $ 8,195 $ - $ - Construction, other 34,071 - - Consumer Real Estate Equity lines 13,903 - - Residential closed-end first liens 92,241 66 284 Residential closed-end junior liens 3,003 - - Investor-owned residential real estate 71,450 641 - Commercial Real Estate Multifamily residential real estate 87,455 265 - Commercial real estate owner-occupied 146,900 543 140 Commercial real estate, other 147,436 6,520 - Commercial Non-Real Estate Commercial and industrial 77,892 - 28 Public Sector and IDA States and political subdivisions 40,983 - - Consumer Non-Real Estate Credit cards 4,665 - - Automobile 12,024 - 6 Other consumer 16,398 - 15 Total $ 756,616 $ 8,035 $ 473 ( 1 Excludes impaired, if any. Determination of risk ratings was completed for the portfolio as of September 30, 2021 December 31, 2020. 2020 10 1: 5: TDRs Total TDRs amounted to $6,084 at September 30, 2021, December 31, 2020, September 30, 2020. no TDRs Designated During the Reporting Period The Company did not three September 30, 2021. During the nine September 30, 2021 No three September 30, 2021 not The following table presents restructurings by class that occurred during the nine September 30, 2021. Restructurings That Occurred During the Nine Months Ended September 30, 2021 Number of Contracts Pre-Modification Outstanding Principal Balance Post-Modification Outstanding Principal Balance Commercial Real Estate Commercial real estate owner-occupied 1 $ 102 $ 102 Commercial real estate, other 2 2,724 2,724 Total 3 $ 2,826 $ 2,826 The Company did not three nine September 30, 2020. Defaulted TDRs The Company analyzed its TDR portfolio for loans that defaulted during the three nine September 30, 2021 September 30, 2020, 12 three one 90 Of the Company’s TDRs at September 30, 2021 September 30, 2020, none 12 September 30, 2021 September 30, 2020. |
Note 4 - Securities
Note 4 - Securities | 9 Months Ended |
Sep. 30, 2021 | |
Notes to Financial Statements | |
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | Note 4: The amortized costs, gross unrealized gains, gross unrealized losses and fair values for securities available for sale by major security type are as follows. September 30, 2021 Amortized Costs Gross Unrealized Gains Gross Unrealized Losses Fair Values Available for Sale: U.S. Government agencies and corporations $ 220,372 $ 3,062 $ 3,243 $ 220,191 States and political subdivisions 196,518 4,970 2,181 199,307 Mortgage-backed securities 215,661 3,284 193 218,752 Corporate debt securities 3,004 259 27 3,236 Total securities available for sale $ 635,555 $ 11,575 $ 5,644 $ 641,486 December 31, 2020 Amortized Costs Gross Unrealized Gains Gross Unrealized Losses Fair Values Available for Sale: U.S. Government agencies and corporations $ 86,859 $ 4,477 $ 173 $ 91,163 States and political subdivisions 196,435 7,778 252 203,961 Mortgage-backed securities 244,780 4,473 78 249,175 Corporate debt securities 2,001 442 - 2,443 Total securities available for sale $ 530,075 $ 17,170 $ 503 $ 546,742 The amortized cost and fair value of single maturity securities available for sale at September 30, 2021, may may September 30, 2021 Amortized Cost Fair Value Available for Sale: Due in one year or less $ 1,864 $ 1,902 Due after one year through five years 8,722 8,785 Due after five years through ten years 264,217 265,751 Due after ten years 360,752 365,048 Total securities available for sale $ 635,555 $ 641,486 Information pertaining to securities with gross unrealized losses aggregated by investment category and length of time that individual securities have been in a continuous loss position, follows. September 30, 2021 Less Than 12 Months 12 Months or More Fair Value Unrealized Loss Fair Value Unrealized Loss Temporarily Impaired Securities: U.S. Government agencies and corporations $ 156,418 $ 3,190 $ 944 $ 53 States and political subdivisions 71,912 1,868 9,026 313 Mortgage-backed securities 10,229 46 5,146 147 Corporate debt securities 976 27 - - Total $ 239,535 $ 5,131 $ 15,116 $ 513 December 31, 2020 Less Than 12 Months 12 Months or More Fair Value Unrealized Loss Fair Value Unrealized Loss Temporarily Impaired Securities: U.S. Government agencies and corporations $ 28,798 $ 173 $ - $ - States and political subdivisions 32,353 249 635 3 Mortgage-backed securities 8,816 76 4,060 2 Total $ 69,967 $ 498 $ 4,695 $ 5 The Company has 229 securities with a fair value of $254,651 that are temporarily impaired at September 30, 2021. twelve 10 September 30, 2021 U.S. Government agencies and corporations. not not not may not States and political subdivisions. 12 not not not not may not Mortgage-backed securities. not not not may not Restricted Stock. The Company held restricted stock of $845 as of September 30, 2021 December 31, 2020. not Redemption of FHLB stock is subject to certain limitations and conditions. At its discretion, the FHLB may September 30, 2021. September 30, 2021, not Management regularly monitors the credit quality of the investment portfolio. Changes in ratings are noted and follow-up research on the issuer is undertaken when warranted. Management intends to carefully monitor any changes in bond quality. |
Note 5 - Defined Benefit Plan
Note 5 - Defined Benefit Plan | 9 Months Ended |
Sep. 30, 2021 | |
Notes to Financial Statements | |
Retirement Benefits [Text Block] | Note 5: Components of Net Periodic Benefit Cost: Pension Benefits Three Months Ended September 30, 2021 2020 Service cost $ 361 $ 270 Interest cost 184 205 Expected return on plan assets (555 ) (420 ) Amortization of prior service cost (3 ) (27 ) Recognized net actuarial loss 208 177 Net periodic benefit cost $ 195 $ 205 Pension Benefits Nine Months Ended September 30, 2021 2020 Service cost $ 1,083 $ 810 Interest cost 552 615 Expected return on plan assets (1,665 ) (1,260 ) Amortization of prior service cost (9 ) (81 ) Recognized net actuarial loss 624 531 Net periodic benefit cost $ 585 $ 615 The service cost component of net periodic benefit cost is included in salaries and employee benefits expense in the consolidated statements of income. All other components are included in other noninterest expense in the consolidated statements of income. For the nine September 30, 2021, not |
Note 6 - Fair Value Measurement
Note 6 - Fair Value Measurements | 9 Months Ended |
Sep. 30, 2021 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | Note 6: Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. U.S. GAAP requires that valuation techniques maximize the use of the observable inputs and minimize the use of the unobservable inputs. U.S. GAAP also establishes a fair value hierarchy which prioritizes the valuation inputs into three one three Level 1 Valuation is based on quoted prices in active markets for identical assets and liabilities. Level 2 Valuation is based on observable inputs including: ● quoted prices in active markets for similar assets and liabilities, ● quoted prices for identical or similar assets and liabilities in less active markets, ● inputs other than quoted prices that are observable, and ● model-based valuation techniques for which significant assumptions can be derived primarily from or corroborated by observable data in the market. Level 3 Valuation is based on model-based techniques that use one Fair value is best determined based upon quoted market prices. However, in many instances, there are no not may not may not September 30, 2021 December 31, 2020. The following describes the valuation techniques used by the Company to measure certain financial assets and liabilities recorded at fair value on a recurring and non-recurring basis in the financial statements: Financial Instruments Measured at Fair Value on a Recurring Basis Securities Available for Sale Securities available for sale are recorded at fair value on a recurring basis. Fair value measurement is based upon quoted market prices, when available (Level 1 not may 2 The following tables present the balances of financial assets measured at fair value on a recurring basis as of September 30, 2021 December 31, 2020. Fair Value Measurements at September 30, 2021 Using Description Balance as of September 30, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) U.S. Government agencies and corporations $ 220,191 $ - $ 220,191 $ - States and political subdivisions 199,307 - 199,307 - Mortgage-backed securities 218,752 - 218,752 - Corporate debt securities 3,236 - 3,236 - Total securities available for sale $ 641,486 $ - $ 641,486 $ - Fair Value Measurements at December 31, 2020 Using Description Balance as of December 31, 2020 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) U.S. Government agencies and corporations $ 91,163 $ - $ 91,163 $ - States and political subdivisions 203,961 - 203,961 - Mortgage-backed securities 249,175 - 249,175 - Corporate debt securities 2,443 - 2,443 - Total securities available for sale $ 546,742 $ - $ 546,742 $ - The Company’s securities portfolio is valued using Level 2 third two third 2 may Interest Rate Loan Contracts and Forward Contracts The Company originates consumer real estate loans which it intends to sell to a correspondent lender. Interest rate lock contracts and forward contracts result from originating loans held for sale and are derivatives reported at fair value. The Company enters interest rate lock commitments with customers who apply for a loan which the Company intends to sell to a correspondent lender. The interest rate lock contract ends when the loan closes or the customer withdraws their application. Fair value of the interest rate lock contracts is based upon the correspondent lender’s pricing quotes at the report date. Fair value is adjusted for the estimated probability of the loan closing with the borrower. At the time the Company enters into an interest rate lock contract with a customer, it also enters into a best efforts forward sales commitment with the correspondent lender. If the loan has been closed and funded, the best efforts commitment converts to a mandatory forward sales commitment. Fair value is based on the gain or loss that would occur if the Company were to pair-off the transaction with the investor at the measurement date. This is a level 3 Interest rate lock contracts and forward contracts are valued based on quotes from the correspondent lender at the reporting date. Pricing changes daily and if a loan has not may Fair Value Measurements at September 30, 2021 Using Description Balance as of September 30, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Interest rate loan contracts $ (4 ) $ - $ - $ (4 ) Forward contracts $ 3 $ - $ - $ 3 Fair Value Measurements at December 31, 2020 Using Description Balance as of December 31, 2020 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Interest rate loan contracts $ 1 $ - $ - $ 1 Forward contracts $ (11 ) $ - $ - $ (11 ) September 30, 2021 Valuation Technique Unobservable Input Range (Weighted Average) Interest rate loan contracts Market approach Pull-through rate 85.00% (2) Forward contracts Market approach Pull-through rate 85.00% (2) Interest rate loan contracts Market approach Current reference price 100.37% - 101.13% (100.73%) (1) Forward contracts Market approach Current reference price 100.37% - 102.67% (101.21%) (1) December 31, 2020 Valuation Technique Unobservable Input Range (Weighted Average) Interest rate loan contracts Market approach Pull-through rate 87.02% (2) Forward contracts Market approach Pull-through rate 87.02% (2) Interest rate loan contracts Market approach Current reference price 101.91% - 103.02% (102.55%) (1) Forward contracts Market approach Current reference price 101.91% - 103.19% (102.67%) (1) ( 1 Current reference prices were weighted by the relative amount of the loan. ( 2 All contracts were valued using the same pull-through rate. Financial Instruments Measured at Fair Value on a Non-Recurring Basis Certain financial instruments are measured at fair value on a nonrecurring basis in accordance with U.S. GAAP. Adjustments to the fair value of these assets usually result from the application of lower-of-cost-or-market accounting or write-downs of individual assets. The following describes the valuation techniques used by the Company to measure certain assets recorded at fair value on a nonrecurring basis in the financial statements. Loans Held for Sale Loans held for sale are carried at the lower of cost or fair value. These loans currently consist of one four not 2 September 30, 2021 December 31, 2020. Impaired Loans Impaired loans are measured at fair value on a nonrecurring basis. If an individually evaluated impaired loan’s balance exceeds fair value, the excess amount is allocated to the allowance for loan losses. Any fair value adjustments are recorded in the period incurred as provision for loan losses on the Consolidated Statements of Income. The fair value of an impaired loan may one three 1 3 may 2 3. Loans valued using the collateral method may 1 4 $250 $500. third may Appraisals of less than 24 2 3. 3. 2 3 not 3 If a current appraisal uses unobservable data as part of the assessment, the value of the collateral is classified as Level 3. As of September 30, 2021, not December 31, 2020. Carrying Value Date Description Balance Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: December 31, 2020 Impaired loans net of valuation allowance 970 - - 970 The following table presents information about Level 3 December 31, 2020. Impaired Loans Valuation Technique Unobservable Input Range (Weighted Average (1) ) December 31, 2020 Present value of cash flows Discount rate 5.50% – 6.50% (5.78%) ( 1 Unobservable inputs were weighted by the relative fair value of the impaired loans. At December 31, 2020, may Other Real Estate Owned Certain assets such as other real estate owned (“OREO”) are measured at fair value less cost to sell. Valuation of OREO is determined using current appraisals from independent parties, a Level 2 3 3 The following table summarizes the Company’s OREO that was measured at fair value on a nonrecurring basis. Carrying Value Date Description Balance Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: September 30, 2021 OREO, net of valuation allowance $ 957 $ - $ - $ 957 December 31, 2020 OREO, net of valuation allowance 1,553 - - 1,553 The following tables present information about Level 3 September 30, 2021 December 31, 2020. September 30, 2021 Valuation Technique Unobservable Input Range (Weighted Average (1) ) OREO Discounted appraised value Selling cost 6.20% (3) December 31, 2020 Valuation Technique Unobservable Input Range (Weighted Average (1) ) OREO Discounted appraised value Selling cost 4.00% – 9.23% (4.54%) (2) OREO Discounted appraised value Discount for lack of marketability and age of appraisal 0.00% – 7.66% (0.62%) (1) ( 1 Discounts were weighted by the relative appraised value of the OREO properties. ( 2 The appraised value is discounted by selling costs if the OREO property is listed with a realtor and if appraised value exceeds the list price, less estimated selling costs. Selling costs do not ( 3 As of September 30, 2021, one At September 30, 2021 December 31, 2020, Discounts for selling costs and in some instances, marketability, result when the Company markets OREO properties via local realtors. The Company works with the realtor to determine the list price, which may 6% 10% may may There is uncertainty in determining discounts to appraised value. Future changes to marketability assumptions or updated appraisals may Fair Value Summary The following presents the carrying amount, fair value, and placement in the fair value hierarchy of the Company’s financial instruments as of September 30, 2021 December 31, 2020. no September 30, 2021 Carrying Amount Quoted Prices in Active Markets for Identical Assets Level 1 Significant Other Observable Inputs Level 2 Significant Unobservable Inputs Level 3 Financial Assets: Cash and due from banks $ 11,728 $ 11,728 $ - $ - Interest-bearing deposits 118,863 118,863 - - Securities 641,486 - 641,486 - Restricted securities 845 - 845 - Loans held for sale 235 - 235 - Loans, net 789,796 - - 777,049 Accrued interest receivable 5,161 - 5,161 - Bank-owned life insurance 42,108 - 42,108 - Forward contracts 3 - - 3 Financial Liabilities: Deposits $ 1,432,734 $ - $ 1,350,279 $ 82,626 Accrued interest payable 46 - 46 - Interest rate loan contracts 4 - - 4 December 31, 2020 Carrying Amount Quoted Prices in Active Markets for Identical Assets Level 1 Significant Other Observable Inputs Level 2 Significant Unobservable Inputs Level 3 Financial Assets: Cash and due from banks $ 13,147 $ 13,147 $ - $ - Interest-bearing deposits 120,725 120,725 - - Securities 546,742 - 546,742 - Restricted securities 1,279 - 1,279 - Loans held for sale 866 - 866 - Loans, net 760,318 - - 752,624 Accrued interest receivable 5,028 - 5,028 - Bank-owned life insurance 36,444 - 36,444 - Interest rate loan contracts 1 - - 1 Financial Liabilities: Deposits $ 1,297,143 $ - $ 1,207,561 $ 89,681 Accrued interest payable 56 - 56 - Forward contracts 11 - - 11 |
Note 7 - Components of Accumula
Note 7 - Components of Accumulated Other Comprehensive Income (Loss) | 9 Months Ended |
Sep. 30, 2021 | |
Notes to Financial Statements | |
Comprehensive Income (Loss) Note [Text Block] | Note 7: The following tables present the components of accumulated other comprehensive income (loss) for the three September 30, 2021 September 30, 2020. Net Unrealized Gain (Loss) on Securities Adjustments Related to Pension Benefits Accumulated Other Comprehensive Income (Loss) Balance at June 30, 2020 $ 9,518 $ (8,582 ) $ 936 Unrealized holding gain on available for sale securities, net of tax of $ 601 2,256 - 2,256 Reclassification adjustment, net of tax of ($ 3 (11 ) - (11 ) Balance at September 30, 2020 $ 11,763 $ (8,582 ) $ 3,181 Balance at June 30, 2021 $ 8,089 $ (10,147 ) $ (2,058 ) Unrealized holding loss on available for sale securities net of tax of ($ 905 (3,403 ) - (3,403 ) Balance at September 30, 2021 $ 4,686 $ (10,147 ) $ (5,461 ) The following tables present the components of accumulated other comprehensive income (loss) for the nine September 30, 2021 September 30, 2020. Net Unrealized Gain (Loss) on Securities Adjustments Related to Pension Benefits Accumulated Other Comprehensive Income (Loss) Balance at December 31, 2019 $ 76 $ (8,582 ) $ (8,506 ) Unrealized holding gain on available for sale securities, net of tax of $ 3,127 11,763 - 11,763 Reclassification adjustment, net of tax of ($ 20 (76 ) - (76 ) Balance at September 30, 2020 $ 11,763 $ (8,582 ) $ 3,181 Balance at December 31, 2020 $ 13,167 $ (10,147 ) $ 3,020 Unrealized holding loss on available for sale securities net of tax of ($ 2,254 (8,477 ) - (8,477 ) Reclassification adjustment, net of tax of ($ 1 (4 ) - (4 ) Balance at September 30, 2021 $ 4,686 $ (10,147 ) $ (5,461 ) |
Note 8 - Revenue Recognition
Note 8 - Revenue Recognition | 9 Months Ended |
Sep. 30, 2021 | |
Notes to Financial Statements | |
Revenue from Contract with Customer [Text Block] | Note 8: Substantially all of the Company’s revenue is generated from contracts with customers. Noninterest revenue streams such as service charges on deposit accounts, other service charges and fees, credit and debit card fees, trust income, and annuity and insurance commissions are recognized in accordance with ASC Topic 606, 606 not 606 Service Charges on Deposit Accounts Service charges on deposit accounts consist of monthly service fees, overdraft and nonsufficient funds fees, automated teller machine (“ATM”) fees, wire transfer fees, and other deposit account related fees. The Company’s performance obligation for monthly service fees is generally satisfied, and the related revenue recognized, over the period in which the service is provided. Payment for service charges on deposit accounts is primarily received immediately or in the following month through a direct charge to customers’ accounts. ATM fees are primarily generated when a Company cardholder uses a non-Company ATM or a non-Company cardholder uses a Company ATM. Wire transfer fees, overdraft and nonsufficient funds fees and other deposit account related fees are transactional based, and therefore, the Company’s performance obligation is satisfied, and related revenue recognized, at a point in time. Other Service Charges and Fees Other service charges include safe deposit box rental fees, check ordering charges, and other service charges. Safe deposit box rental fees are charged to the customer on an annual basis and recognized upon receipt of payment. The Company determined that since rentals and renewals occur fairly consistently over time, revenue is recognized on a basis consistent with the duration of the performance obligation. Check ordering charges are transactional based, and therefore the Company’s performance obligation is satisfied, and related revenue recognized, at a point in time. Credit and Debit Card Fees Credit and debit card fees are primarily comprised of interchange fee income and merchant services income. Interchange fees are earned whenever the Company’s debit and credit cards are processed through card payment networks such as Visa. Merchant services income mainly represents fees charged to merchants to process their debit and credit card transactions, in addition to account management fees. The Company’s performance obligation for interchange fee income and merchant services income are largely satisfied, and related revenue recognized, when the services are rendered or upon completion. Payment is typically received immediately or in the following month. In compliance with Topic 606, Trust Income Trust income is primarily comprised of fees earned from the management and administration of trusts and other customer assets. The Company’s performance obligation is generally satisfied over time and the resulting fees are recognized monthly, based upon the month-end market value of the assets under management and the applicable fee rate. Payment is generally received a few days after month end through a direct charge to customers’ accounts. The Company does not Insurance and Investment Insurance income primarily consists of commissions received on insurance product sales. The Company acts as an intermediary between the Company’s customer and the insurance carrier. The Company’s performance obligation is generally satisfied upon the issuance of the insurance policy. Shortly after the insurance policy is issued, the carrier remits the commission payment to the Company, and the Company recognizes the revenue. Investment income consists of recurring revenue streams such as commissions from sales of mutual funds and other investments. Commissions from the sale of mutual funds and other investments are recognized on trade date, which is when the Company has satisfied its performance obligation. The Company also receives periodic service fees (i.e., trailers) from mutual fund companies typically based on a percentage of net asset value. Trailer revenue is recorded over time, usually monthly or quarterly, as net asset value is determined. The following presents noninterest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, three nine September 30, 2021 September 30, 2020. Three Months Ended September 30, 2021 2020 Noninterest Income In-scope of Topic 606: Service charges on deposit accounts $ 548 $ 471 Other service charges and fees 50 37 Credit and debit card fees, net 460 339 Trust income 433 423 Insurance and Investment (included within Other Income on the Consolidated Statements of Income) 99 143 Noninterest Income (in-scope of Topic 606) $ 1,590 $ 1,413 Noninterest Income (out-of-scope of Topic 606) 402 513 Total noninterest income $ 1,992 $ 1,926 Nine Months Ended September 30, 2021 2020 Noninterest Income In-scope of Topic 606: Service charges on deposit accounts $ 1,488 $ 1,430 Other service charges and fees 134 113 Credit and debit card fees, net 1,373 1,031 Trust income 1,282 1,244 Insurance and Investment (included within Other Income on the Consolidated Statements of Income) 638 332 Noninterest Income (in-scope of Topic 606) $ 4,915 $ 4,150 Noninterest Income (out-of-scope of Topic 606) 1,352 1,656 Total noninterest income $ 6,267 $ 5,806 |
Note 9 - Leases
Note 9 - Leases | 9 Months Ended |
Sep. 30, 2021 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | Note 9: The Company’s leases are recorded under ASC Topic 842, 842, not 12 not Right-of-use assets and lease liabilities are recognized for operating and finance leases. Right-of-use assets represent the Company’s right to use the underlying asset for the lease term and are calculated as the sum of the lease liability and if applicable, prepaid rent, initial direct costs and any incentives received from the lessor. Lease liabilities represent the Company’s obligation to make lease payments and are presented at each reporting date as the net present value of the remaining contractual cash flows. Cash flows are discounted at the Company’s incremental borrowing rate in effect at the commencement date of the lease. Lease payments Lease payments for short-term leases are recognized as lease expense on a straight-line basis over the lease term, or for variable lease payments, in the period in which the obligation was incurred. Payments for leases with terms longer than 12 may not Two of the Company’s leases provide known escalators that are included in the determination of the lease liability. One lease has an annual escalator based on the consumer price index-urban (“CPI-U”). The remaining leases do not Options to Extend, Residual Value Guarantees, and Restrictions and Covenants Of the Company’s six three three two five one five one not None none The Company’s lease right of use asset is included in other assets and the lease liability is included in other liabilities. The following tables present information about leases: September 30, 2021 December 31, 2020 Lease liability $ 1,790 $ 2,016 Right-of-use asset $ 1,766 $ 1,998 Weighted average remaining lease term (in years) 6.21 6.81 Weighted average discount rate 3.05 % 3.04 % For the Three Months Ended September 30, 2021 2020 Lease Expense Operating lease expense $ 92 $ 92 Short-term lease expense 1 1 Total lease expense $ 93 $ 93 Cash paid for amounts included in lease liabilities $ 91 $ 90 Right-of-use assets obtained in exchange for operating lease liabilities commencing during the period $ - $ 23 For the Nine Months Ended September 30, 2021 2020 Lease Expense Operating lease expense $ 279 $ 277 Short-term lease expense 2 2 Total lease expense $ 281 $ 279 Cash paid for amounts included in lease liabilities $ 275 $ 272 Right-of-use assets obtained in exchange for operating lease liabilities commencing during the period $ - $ 23 The following table presents a maturity schedule of undiscounted cash flows that contribute to the lease liability: Undiscounted Cash Flow for the Period As of September 30, 2021 Twelve months ending September 30, 2022 $ 356 Twelve months ending September 30, 2023 350 Twelve months ending September 30, 2024 347 Twelve months ending September 30, 2025 263 Twelve months ending September 30, 2026 219 Thereafter 440 Total undiscounted cash flows $ 1,975 Less: discount (185 ) Lease liability $ 1,790 The contracts in which the Company is lessee are with parties external to the company and not |
Note 2 - Loan Portfolio (Tables
Note 2 - Loan Portfolio (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Notes Tables | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | September 30, 2021 December 31, 2020 Real estate construction $ 50,883 $ 42,266 Consumer real estate 204,880 181,782 Commercial real estate 403,840 393,115 Commercial non real estate 59,082 78,771 Public sector and IDA 48,345 40,983 Consumer non real estate 31,576 33,110 Gross loans 798,606 770,027 Less unearned income and deferred fees and costs (1,112 ) (1,228 ) Loans, net of unearned income and deferred fees and costs $ 797,494 $ 768,799 |
Note 3 - Allowance for Loan L_2
Note 3 - Allowance for Loan Losses, Nonperforming Assets and Impaired Loans (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Notes Tables | |
Financing Receivable, Allowance for Credit Loss [Table Text Block] | Activity in the Allowance for Loan Losses for the Nine Months Ended September 30, 2021 Real Estate Construction Consumer Real Estate Commercial Real Estate Commercial Non Real Estate Public Sector and IDA Consumer Non Real Estate Unallocated Total Balance, December 31, 2020 $ 503 $ 2,165 $ 3,853 $ 670 $ 339 $ 555 $ 396 $ 8,481 Charge-offs - (13 ) - (526 ) - (151 ) - (690 ) Recoveries - 19 86 31 - 109 - 245 Provision for (recovery of) loan losses (5 ) (203 ) (776 ) 743 (27 ) (39 ) (31 ) (338 ) Balance, September 30, 2021 $ 498 $ 1,968 $ 3,163 $ 918 $ 312 $ 474 $ 365 $ 7,698 Activity in the Allowance for Loan Losses for the Nine Months Ended September 30, 2020 Real Estate Construction Consumer Real Estate Commercial Real Estate Commercial Non Real Estate Public Sector and IDA Consumer Non Real Estate Unallocated Total Balance, December 31, 2019 $ 400 $ 1,895 $ 2,559 $ 555 $ 478 $ 650 $ 326 $ 6,863 Charge-offs - (62 ) (15 ) (372 ) - (190 ) - (639 ) Recoveries - 18 53 6 - 142 - 219 Provision for (recovery of) loan losses 24 311 1,047 510 53 (5 ) 45 1,985 Balance, September 30, 2020 $ 424 $ 2,162 $ 3,644 $ 699 $ 531 $ 597 $ 371 $ 8,428 Activity in the Allowance for Loan Losses for the Year Ended December 31, 2020 Real Estate Construction Consumer Real Estate Commercial Real Estate Commercial Non Real Estate Public Sector and IDA Consumer Non Real Estate Unallocated Total Balance, December 31, 2019 $ 400 $ 1,895 $ 2,559 $ 555 $ 478 $ 650 $ 326 $ 6,863 Charge-offs - (85 ) (15 ) (372 ) - (248 ) - (720 ) Recoveries - 18 145 9 - 175 - 347 Provision for (recovery of) loan losses 103 337 1,164 478 (139 ) (22 ) 70 1,991 Balance, December 31, 2020 $ 503 $ 2,165 $ 3,853 $ 670 $ 339 $ 555 $ 396 $ 8,481 |
Financing Receivable, Current, Allowance for Credit Loss [Table Text Block] | Allowance for Loan Losses as of September 30, 2021 Real Estate Construction Consumer Real Estate Commercial Real Estate Commercial Non Real Estate Public Sector and IDA Consumer Non Real Estate Unallocated Total Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment 498 1,968 3,163 918 312 474 365 7,698 Total $ 498 $ 1,968 $ 3,163 $ 918 $ 312 $ 474 $ 365 $ 7,698 Allowance for Loan Losses as of December 31, 2020 Real Estate Construction Consumer Real Estate Commercial Real Estate Commercial Non Real Estate Public Sector and IDA Consumer Non Real Estate Unallocated Total Individually evaluated for impairment $ - $ 2 $ - $ 73 $ - $ - $ - $ 75 Collectively evaluated for impairment 503 2,163 3,853 597 339 555 396 8,406 Total $ 503 $ 2,165 $ 3,853 $ 670 $ 339 $ 555 $ 396 $ 8,481 Loans as of September 30, 2021 Real Estate Construction Consumer Real Estate Commercial Real Estate Commercial Non Real Estate Public Sector and IDA Consumer Non Real Estate Total Individually evaluated for impairment $ - $ 192 $ 5,583 $ 308 $ - $ 1 $ 6,084 Collectively evaluated for impairment 50,883 204,688 398,257 58,774 48,345 31,575 792,522 Total $ 50,883 $ 204,880 $ 403,840 $ 59,082 $ 48,345 $ 31,576 $ 798,606 Loans as of December 31, 2020 Real Estate Construction Consumer Real Estate Commercial Real Estate Commercial Non Real Estate Public Sector and IDA Consumer Non Real Estate Total Individually evaluated for impairment $ - $ 194 $ 3,856 $ 851 $ - $ 2 $ 4,903 Collectively evaluated for impairment 42,266 181,588 389,259 77,920 40,983 33,108 765,124 Total $ 42,266 $ 181,782 $ 393,115 $ 78,771 $ 40,983 $ 33,110 $ 770,027 |
Schedule of Ratios for Allowance for Loan Losses [Table Text Block] | As of and for the Nine Months Ended September 30, Year Ended December 31, 2021 2020 2020 Ratio of allowance for loan losses to the end of period loans, net of unearned income and deferred fees and costs (1) 0.97 % 1.05 % 1.10 % Ratio of net charge-offs to average loans, net of unearned income and deferred fees and costs (2) 0.08 % 0.07 % 0.05 % |
Schedule of Nonperforming Assets [Table Text Block] | September 30, December 31, 2021 2020 2020 Nonperforming assets: Nonaccrual loans $ 39 $ 736 $ 846 Restructured loans in nonaccrual 3,075 2,866 2,839 Total nonperforming loans 3,114 3,602 3,685 Other real estate owned, net 957 1,553 1,553 Total nonperforming assets $ 4,071 $ 5,155 $ 5,238 Ratio of nonperforming assets to loans, net of unearned income and deferred fees and costs, plus other real estate owned 0.51 % 0.64 % 0.68 % Ratio of allowance for loan losses to nonperforming loans (1) 247.21 % 233.98 % 230.15 % |
Summary of Past Due 90 Days Loans or More and Impaired Loans [Table Text Block] | September 30, December 31, 2021 2020 2020 Loans past due 90 days or more and still accruing $ 62 $ 236 $ 17 Ratio of loans past due 90 days or more and still accruing to loans, net of unearned income and deferred fees and costs 0.01 % 0.03 % 0.00 % Accruing restructured loans $ 3,009 $ 1,426 $ 1,410 Impaired loans: Impaired loans with no valuation allowance $ 6,084 $ 3,939 $ 3,858 Impaired loans with a valuation allowance - 1,056 1,045 Total impaired loans $ 6,084 $ 4,995 $ 4,903 Valuation allowance - (104 ) (75 ) Impaired loans, net of allowance $ 6,084 $ 4,891 $ 4,828 Average recorded investment in impaired loans (1) $ 6,108 $ 5,227 $ 5,093 Interest income recognized on impaired loans, after designation as impaired $ 175 $ 49 $ 54 Amount of income recognized on a cash basis $ - $ - $ - |
Impaired Financing Receivables [Table Text Block] | Impaired Loans as of September 30, 2021 Principal Balance Total Recorded Investment (1) Recorded Investment (1) for Which There is No Related Allowance Recorded Investment (1) for Which There is a Related Allowance Related Allowance Consumer Real Estate (2) Investor-owned residential real estate $ 192 $ 192 $ 192 $ - $ - Commercial Real Estate (2) Commercial real estate, owner-occupied 3,481 2,861 2,861 - - Commercial real estate, other 2,722 2,722 2,722 - - Commercial Non Real Estate (2) Commercial and industrial 313 308 308 - - Consumer Non Real Estate (2) Automobile 1 1 1 - - Total $ 6,709 $ 6,084 $ 6,084 $ - $ - Impaired Loans as of December 31, 2020 Principal Balance Total Recorded Investment (1) Recorded Investment (1) for Which There is No Related Allowance Recorded Investment (1) for Which There is a Related Allowance Related Allowance Consumer Real Estate (2) Investor-owned residential real estate $ 194 $ 194 $ - $ 194 $ 2 Commercial Real Estate (2) Commercial real estate, owner occupied 3,752 3,202 3,202 - - Commercial real estate, other 654 654 654 - - Commercial Non-Real Estate (2) Commercial and industrial 851 851 - 851 73 Consumer Non-Real Estate (2) Automobile 2 2 2 - - Total $ 5,453 $ 4,903 $ 3,858 $ 1,045 $ 75 |
Impaired Financing Receivable Average Investment And Interest Income [Table Text Block] | For the Nine Months Ended September 30, 2021 Average Recorded Investment (1) Interest Income Recognized Consumer Real Estate (2) Investor-owned residential real estate $ 193 $ 9 Commercial Real Estate (2) Commercial real estate, owner occupied 2,866 72 Commercial real estate, other 2,724 83 Commercial Non Real Estate (2) Commercial and industrial 324 11 Consumer Non Real Estate (2) Automobile 1 - Total $ 6,108 $ 175 For the Year Ended December 31, 2020 Average Recorded Investment (1) Interest Income Recognized Consumer Real Estate (2) Investor-owned residential real estate $ 196 $ 13 Commercial Real Estate (2) Commercial real estate, owner occupied 3,217 19 Commercial real estate, other 790 - Commercial Non-Real Estate (2) Commercial and industrial 887 22 Consumer Non-Real Estate (2) Automobile 3 - Total $ 5,093 $ 54 |
Financing Receivable, Past Due [Table Text Block] | September 30, 2021 30 89 Days Past Due and Accruing 90 or More Days Past Due 90 or More Days Past Due and Accruing Nonaccruals (2) Real Estate Construction (1) Construction, other $ 115 $ - $ - $ - Consumer Real Estate (1) Equity lines 29 - - - Residential closed-end first liens 489 39 39 - Investor-owned residential real estate 102 - - - Commercial Real Estate (1) - - - Commercial real estate, owner-occupied 147 445 - 2,767 Commercial real estate, other - - - - Commercial Non Real Estate (1) Commercial and industrial 29 318 10 347 Consumer Non Real Estate (1) Credit cards 3 1 1 - Automobile 91 - - - Other consumer loans 218 12 12 - Total $ 1,223 $ 815 $ 62 $ 3,114 December 31, 2020 30 89 Days Past Due and Accruing 90 or More Days Past Due 90 or More Days Past Due and Accruing Nonaccruals (2) Consumer Real Estate (1) Residential closed-end first liens $ 365 $ 62 $ - $ 62 Investor-owned residential real estate 106 - - - Commercial Real Estate (1) Commercial real estate, owner occupied 15 571 - 2,941 Commercial real estate, other - 654 - 654 Commercial Non-Real Estate (1) Commercial and industrial 730 27 - 28 Consumer Non-Real Estate (1) Credit cards 7 3 3 - Automobile 144 1 1 - Other consumer loans 130 13 13 - Total $ 1,497 $ 1,331 $ 17 $ 3,685 |
Financing Receivable Credit Quality Indicators [Table Text Block] | September 30, 2021 Pass (1) Special Mention (1) Classified (1) Real Estate Construction Construction, 1-4 family residential $ 10,498 $ - $ - Construction, other 40,385 - - Consumer Real Estate Equity lines 13,962 - - Closed-end first liens 106,806 - 284 Closed-end junior liens 2,773 - - Investor-owned residential real estate 80,244 619 - Commercial Real Estate Multifamily residential real estate 106,368 - - Commercial real estate owner-occupied 137,965 - 36 Commercial real estate, other 150,131 3,757 - Commercial Non Real Estate Commercial and industrial 58,726 - 48 Public Sector and IDA States and political subdivisions 48,345 - - Consumer Non Real Estate Credit cards 4,270 - - Automobile 11,653 - - Other consumer 15,528 - 124 Total $ 787,654 $ 4,376 $ 492 December 31, 2020 Pass (1) Special Mention (1) Classified (1) Real Estate Construction Construction, 1-4 family residential $ 8,195 $ - $ - Construction, other 34,071 - - Consumer Real Estate Equity lines 13,903 - - Residential closed-end first liens 92,241 66 284 Residential closed-end junior liens 3,003 - - Investor-owned residential real estate 71,450 641 - Commercial Real Estate Multifamily residential real estate 87,455 265 - Commercial real estate owner-occupied 146,900 543 140 Commercial real estate, other 147,436 6,520 - Commercial Non-Real Estate Commercial and industrial 77,892 - 28 Public Sector and IDA States and political subdivisions 40,983 - - Consumer Non-Real Estate Credit cards 4,665 - - Automobile 12,024 - 6 Other consumer 16,398 - 15 Total $ 756,616 $ 8,035 $ 473 |
Financing Receivable, Troubled Debt Restructuring [Table Text Block] | Restructurings That Occurred During the Nine Months Ended September 30, 2021 Number of Contracts Pre-Modification Outstanding Principal Balance Post-Modification Outstanding Principal Balance Commercial Real Estate Commercial real estate owner-occupied 1 $ 102 $ 102 Commercial real estate, other 2 2,724 2,724 Total 3 $ 2,826 $ 2,826 |
Note 4 - Securities (Tables)
Note 4 - Securities (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Notes Tables | |
Debt Securities, Available-for-sale [Table Text Block] | September 30, 2021 Amortized Costs Gross Unrealized Gains Gross Unrealized Losses Fair Values Available for Sale: U.S. Government agencies and corporations $ 220,372 $ 3,062 $ 3,243 $ 220,191 States and political subdivisions 196,518 4,970 2,181 199,307 Mortgage-backed securities 215,661 3,284 193 218,752 Corporate debt securities 3,004 259 27 3,236 Total securities available for sale $ 635,555 $ 11,575 $ 5,644 $ 641,486 December 31, 2020 Amortized Costs Gross Unrealized Gains Gross Unrealized Losses Fair Values Available for Sale: U.S. Government agencies and corporations $ 86,859 $ 4,477 $ 173 $ 91,163 States and political subdivisions 196,435 7,778 252 203,961 Mortgage-backed securities 244,780 4,473 78 249,175 Corporate debt securities 2,001 442 - 2,443 Total securities available for sale $ 530,075 $ 17,170 $ 503 $ 546,742 |
Investments Classified by Contractual Maturity Date [Table Text Block] | September 30, 2021 Amortized Cost Fair Value Available for Sale: Due in one year or less $ 1,864 $ 1,902 Due after one year through five years 8,722 8,785 Due after five years through ten years 264,217 265,751 Due after ten years 360,752 365,048 Total securities available for sale $ 635,555 $ 641,486 |
Schedule of Temporary Impairment Losses, Investments [Table Text Block] | September 30, 2021 Less Than 12 Months 12 Months or More Fair Value Unrealized Loss Fair Value Unrealized Loss Temporarily Impaired Securities: U.S. Government agencies and corporations $ 156,418 $ 3,190 $ 944 $ 53 States and political subdivisions 71,912 1,868 9,026 313 Mortgage-backed securities 10,229 46 5,146 147 Corporate debt securities 976 27 - - Total $ 239,535 $ 5,131 $ 15,116 $ 513 December 31, 2020 Less Than 12 Months 12 Months or More Fair Value Unrealized Loss Fair Value Unrealized Loss Temporarily Impaired Securities: U.S. Government agencies and corporations $ 28,798 $ 173 $ - $ - States and political subdivisions 32,353 249 635 3 Mortgage-backed securities 8,816 76 4,060 2 Total $ 69,967 $ 498 $ 4,695 $ 5 |
Note 5 - Defined Benefit Plan (
Note 5 - Defined Benefit Plan (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Notes Tables | |
Schedule of Defined Benefit Plans Disclosures [Table Text Block] | Pension Benefits Three Months Ended September 30, 2021 2020 Service cost $ 361 $ 270 Interest cost 184 205 Expected return on plan assets (555 ) (420 ) Amortization of prior service cost (3 ) (27 ) Recognized net actuarial loss 208 177 Net periodic benefit cost $ 195 $ 205 Pension Benefits Nine Months Ended September 30, 2021 2020 Service cost $ 1,083 $ 810 Interest cost 552 615 Expected return on plan assets (1,665 ) (1,260 ) Amortization of prior service cost (9 ) (81 ) Recognized net actuarial loss 624 531 Net periodic benefit cost $ 585 $ 615 |
Note 6 - Fair Value Measureme_2
Note 6 - Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Notes Tables | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Fair Value Measurements at September 30, 2021 Using Description Balance as of September 30, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) U.S. Government agencies and corporations $ 220,191 $ - $ 220,191 $ - States and political subdivisions 199,307 - 199,307 - Mortgage-backed securities 218,752 - 218,752 - Corporate debt securities 3,236 - 3,236 - Total securities available for sale $ 641,486 $ - $ 641,486 $ - Fair Value Measurements at December 31, 2020 Using Description Balance as of December 31, 2020 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) U.S. Government agencies and corporations $ 91,163 $ - $ 91,163 $ - States and political subdivisions 203,961 - 203,961 - Mortgage-backed securities 249,175 - 249,175 - Corporate debt securities 2,443 - 2,443 - Total securities available for sale $ 546,742 $ - $ 546,742 $ - |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | Fair Value Measurements at September 30, 2021 Using Description Balance as of September 30, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Interest rate loan contracts $ (4 ) $ - $ - $ (4 ) Forward contracts $ 3 $ - $ - $ 3 Fair Value Measurements at December 31, 2020 Using Description Balance as of December 31, 2020 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Interest rate loan contracts $ 1 $ - $ - $ 1 Forward contracts $ (11 ) $ - $ - $ (11 ) |
Schedule of Derivative Instruments [Table Text Block] | September 30, 2021 Valuation Technique Unobservable Input Range (Weighted Average) Interest rate loan contracts Market approach Pull-through rate 85.00% (2) Forward contracts Market approach Pull-through rate 85.00% (2) Interest rate loan contracts Market approach Current reference price 100.37% - 101.13% (100.73%) (1) Forward contracts Market approach Current reference price 100.37% - 102.67% (101.21%) (1) December 31, 2020 Valuation Technique Unobservable Input Range (Weighted Average) Interest rate loan contracts Market approach Pull-through rate 87.02% (2) Forward contracts Market approach Pull-through rate 87.02% (2) Interest rate loan contracts Market approach Current reference price 101.91% - 103.02% (102.55%) (1) Forward contracts Market approach Current reference price 101.91% - 103.19% (102.67%) (1) |
Fair Value Measurements, Nonrecurring [Table Text Block] | Carrying Value Date Description Balance Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: December 31, 2020 Impaired loans net of valuation allowance 970 - - 970 Carrying Value Date Description Balance Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: September 30, 2021 OREO, net of valuation allowance $ 957 $ - $ - $ 957 December 31, 2020 OREO, net of valuation allowance 1,553 - - 1,553 |
Fair Value Measurement Inputs and Valuation Techniques [Table Text Block] | Impaired Loans Valuation Technique Unobservable Input Range (Weighted Average (1) ) December 31, 2020 Present value of cash flows Discount rate 5.50% – 6.50% (5.78%) September 30, 2021 Valuation Technique Unobservable Input Range (Weighted Average (1) ) OREO Discounted appraised value Selling cost 6.20% (3) December 31, 2020 Valuation Technique Unobservable Input Range (Weighted Average (1) ) OREO Discounted appraised value Selling cost 4.00% – 9.23% (4.54%) (2) OREO Discounted appraised value Discount for lack of marketability and age of appraisal 0.00% – 7.66% (0.62%) (1) |
Fair Value, by Balance Sheet Grouping [Table Text Block] | September 30, 2021 Carrying Amount Quoted Prices in Active Markets for Identical Assets Level 1 Significant Other Observable Inputs Level 2 Significant Unobservable Inputs Level 3 Financial Assets: Cash and due from banks $ 11,728 $ 11,728 $ - $ - Interest-bearing deposits 118,863 118,863 - - Securities 641,486 - 641,486 - Restricted securities 845 - 845 - Loans held for sale 235 - 235 - Loans, net 789,796 - - 777,049 Accrued interest receivable 5,161 - 5,161 - Bank-owned life insurance 42,108 - 42,108 - Forward contracts 3 - - 3 Financial Liabilities: Deposits $ 1,432,734 $ - $ 1,350,279 $ 82,626 Accrued interest payable 46 - 46 - Interest rate loan contracts 4 - - 4 December 31, 2020 Carrying Amount Quoted Prices in Active Markets for Identical Assets Level 1 Significant Other Observable Inputs Level 2 Significant Unobservable Inputs Level 3 Financial Assets: Cash and due from banks $ 13,147 $ 13,147 $ - $ - Interest-bearing deposits 120,725 120,725 - - Securities 546,742 - 546,742 - Restricted securities 1,279 - 1,279 - Loans held for sale 866 - 866 - Loans, net 760,318 - - 752,624 Accrued interest receivable 5,028 - 5,028 - Bank-owned life insurance 36,444 - 36,444 - Interest rate loan contracts 1 - - 1 Financial Liabilities: Deposits $ 1,297,143 $ - $ 1,207,561 $ 89,681 Accrued interest payable 56 - 56 - Forward contracts 11 - - 11 |
Note 7 - Components of Accumu_2
Note 7 - Components of Accumulated Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Notes Tables | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Net Unrealized Gain (Loss) on Securities Adjustments Related to Pension Benefits Accumulated Other Comprehensive Income (Loss) Balance at June 30, 2020 $ 9,518 $ (8,582 ) $ 936 Unrealized holding gain on available for sale securities, net of tax of $ 601 2,256 - 2,256 Reclassification adjustment, net of tax of ($ 3 (11 ) - (11 ) Balance at September 30, 2020 $ 11,763 $ (8,582 ) $ 3,181 Balance at June 30, 2021 $ 8,089 $ (10,147 ) $ (2,058 ) Unrealized holding loss on available for sale securities net of tax of ($ 905 (3,403 ) - (3,403 ) Balance at September 30, 2021 $ 4,686 $ (10,147 ) $ (5,461 ) Net Unrealized Gain (Loss) on Securities Adjustments Related to Pension Benefits Accumulated Other Comprehensive Income (Loss) Balance at December 31, 2019 $ 76 $ (8,582 ) $ (8,506 ) Unrealized holding gain on available for sale securities, net of tax of $ 3,127 11,763 - 11,763 Reclassification adjustment, net of tax of ($ 20 (76 ) - (76 ) Balance at September 30, 2020 $ 11,763 $ (8,582 ) $ 3,181 Balance at December 31, 2020 $ 13,167 $ (10,147 ) $ 3,020 Unrealized holding loss on available for sale securities net of tax of ($ 2,254 (8,477 ) - (8,477 ) Reclassification adjustment, net of tax of ($ 1 (4 ) - (4 ) Balance at September 30, 2021 $ 4,686 $ (10,147 ) $ (5,461 ) |
Note 8 - Revenue Recognition (T
Note 8 - Revenue Recognition (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | Three Months Ended September 30, 2021 2020 Noninterest Income In-scope of Topic 606: Service charges on deposit accounts $ 548 $ 471 Other service charges and fees 50 37 Credit and debit card fees, net 460 339 Trust income 433 423 Insurance and Investment (included within Other Income on the Consolidated Statements of Income) 99 143 Noninterest Income (in-scope of Topic 606) $ 1,590 $ 1,413 Noninterest Income (out-of-scope of Topic 606) 402 513 Total noninterest income $ 1,992 $ 1,926 Nine Months Ended September 30, 2021 2020 Noninterest Income In-scope of Topic 606: Service charges on deposit accounts $ 1,488 $ 1,430 Other service charges and fees 134 113 Credit and debit card fees, net 1,373 1,031 Trust income 1,282 1,244 Insurance and Investment (included within Other Income on the Consolidated Statements of Income) 638 332 Noninterest Income (in-scope of Topic 606) $ 4,915 $ 4,150 Noninterest Income (out-of-scope of Topic 606) 1,352 1,656 Total noninterest income $ 6,267 $ 5,806 |
Note 9 - Leases (Tables)
Note 9 - Leases (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Notes Tables | |
Lease, Cost [Table Text Block] | September 30, 2021 December 31, 2020 Lease liability $ 1,790 $ 2,016 Right-of-use asset $ 1,766 $ 1,998 Weighted average remaining lease term (in years) 6.21 6.81 Weighted average discount rate 3.05 % 3.04 % For the Three Months Ended September 30, 2021 2020 Lease Expense Operating lease expense $ 92 $ 92 Short-term lease expense 1 1 Total lease expense $ 93 $ 93 Cash paid for amounts included in lease liabilities $ 91 $ 90 Right-of-use assets obtained in exchange for operating lease liabilities commencing during the period $ - $ 23 For the Nine Months Ended September 30, 2021 2020 Lease Expense Operating lease expense $ 279 $ 277 Short-term lease expense 2 2 Total lease expense $ 281 $ 279 Cash paid for amounts included in lease liabilities $ 275 $ 272 Right-of-use assets obtained in exchange for operating lease liabilities commencing during the period $ - $ 23 |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | Undiscounted Cash Flow for the Period As of September 30, 2021 Twelve months ending September 30, 2022 $ 356 Twelve months ending September 30, 2023 350 Twelve months ending September 30, 2024 347 Twelve months ending September 30, 2025 263 Twelve months ending September 30, 2026 219 Thereafter 440 Total undiscounted cash flows $ 1,975 Less: discount (185 ) Lease liability $ 1,790 |
Note 1 - General (Details Textu
Note 1 - General (Details Textual) $ in Thousands | 18 Months Ended | |
Sep. 30, 2021USD ($) | Dec. 31, 2020USD ($) | |
Number of Loan Modifications for COVID-19 Related Accommodations | 0 | |
Financing Receivable, Number of PPP Loans | 1,259 | |
Financing Receivable, PPP Loans, Amount | $ 83,023 | |
Financing Receivable, Number of PPP Loans Forgiven or Paid Off | 1,039 | |
Loans and Leases Receivable, Net Amount, Total | $ 789,796 | $ 760,318 |
SBA CARES Act Paycheck Protection Program [Member] | ||
Financing Receivable, Loans Forgiven or Paid Off, Amount | 70,228 | |
Loans and Leases Receivable, Net Amount, Total | $ 12,086 |
Note 2 - Loan Portfolio - Loan
Note 2 - Loan Portfolio - Loan Portfolio, Excluding Loans Held for Sale (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Gross loans | $ 798,606 | $ 770,027 |
Less unearned income and deferred fees and costs | (1,112) | (1,228) |
Loans, net of unearned income and deferred fees and costs | 797,494 | 768,799 |
Real Estate Construction Portfolio Segment[Member] | ||
Gross loans | 50,883 | 42,266 |
Consumer Real Estate Portfolio Segment [Member] | ||
Gross loans | 204,880 | 181,782 |
Commercial Real Estate Portfolio Segment [Member] | ||
Gross loans | 403,840 | 393,115 |
Commercial Non Real Estate Segment [Member] | ||
Gross loans | 59,082 | 78,771 |
Public Sector and IDA Portfolio Segment[Member] | ||
Gross loans | 48,345 | 40,983 |
Consumer Non Real Estate Portfolio Segment [Member] | ||
Gross loans | $ 31,576 | $ 33,110 |
Note 3 - Allowance for Loan L_3
Note 3 - Allowance for Loan Losses, Nonperforming Assets and Impaired Loans (Details Textual) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2021USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2021USD ($) | Sep. 30, 2020USD ($) | Dec. 31, 2020USD ($) | |
Ratio of Allowance for Loan Losses to End of Period Loans, Excluding PPP Loans | 0.98% | 1.13% | 1.16% | ||
Interest and Fee Income, Loans and Leases, Total | $ 9,088 | $ 8,606 | $ 26,104 | $ 25,491 | |
Financing Receivable, Troubled Debt Restructuring | $ 6,084 | $ 4,292 | $ 6,084 | $ 4,292 | $ 4,249 |
Financing Receivable, Modifications, Number of Contracts | 0 | 3 | 0 | ||
Financing Receivable, Troubled Debt Restructuring, Subsequent Default, Number of Contracts | 0 | 0 | |||
Re-amortization and Reduced Interest Rate [Member] | |||||
Financing Receivable, Modifications, Number of Contracts | 2 | ||||
Nonperforming Financial Instruments [Member] | |||||
Interest and Fee Income, Loans and Leases, Total | $ 0 | $ 0 | $ 0 |
Note 3 - Allowance for Loan L_4
Note 3 - Allowance for Loan Losses, Nonperforming Assets and Impaired Loans - Allowance for Loan Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Balance | $ 8,481 | $ 6,863 | $ 6,863 | ||
Charge-offs | (690) | (639) | (720) | ||
Recoveries | 245 | 219 | 347 | ||
Provision for (recovery of) loan losses | $ (392) | $ 154 | (338) | 1,985 | 1,991 |
Balance | 7,698 | 8,428 | 7,698 | 8,428 | 8,481 |
Real Estate Construction Portfolio Segment[Member] | |||||
Balance | 503 | 400 | 400 | ||
Provision for (recovery of) loan losses | (5) | 24 | 103 | ||
Balance | 498 | 424 | 498 | 424 | 503 |
Consumer Real Estate Portfolio Segment [Member] | |||||
Balance | 2,165 | 1,895 | 1,895 | ||
Charge-offs | (13) | (62) | (85) | ||
Recoveries | 19 | 18 | |||
Provision for (recovery of) loan losses | (203) | 311 | 337 | ||
Balance | 1,968 | 2,162 | 1,968 | 2,162 | 2,165 |
Commercial Real Estate Portfolio Segment [Member] | |||||
Balance | 3,853 | 2,559 | 2,559 | ||
Charge-offs | 0 | (15) | |||
Recoveries | 86 | 53 | 145 | ||
Provision for (recovery of) loan losses | (776) | 1,047 | 1,164 | ||
Balance | 3,163 | 3,644 | 3,163 | 3,644 | 3,853 |
Commercial Non Real Estate Segment [Member] | |||||
Balance | 670 | 555 | 555 | ||
Charge-offs | (526) | (372) | (372) | ||
Recoveries | 31 | 6 | 9 | ||
Provision for (recovery of) loan losses | 743 | 510 | 478 | ||
Balance | 918 | 699 | 918 | 699 | 670 |
Public Sector and IDA Portfolio Segment[Member] | |||||
Balance | 339 | 478 | 478 | ||
Provision for (recovery of) loan losses | (27) | 53 | (139) | ||
Balance | 312 | 531 | 312 | 531 | 339 |
Consumer Non Real Estate Portfolio Segment [Member] | |||||
Balance | 555 | 650 | 650 | ||
Charge-offs | (151) | (190) | (248) | ||
Recoveries | 109 | 142 | 175 | ||
Provision for (recovery of) loan losses | (39) | (5) | (22) | ||
Balance | 474 | 597 | 474 | 597 | 555 |
Unallocated Financing Receivables [Member] | |||||
Balance | 396 | 326 | 326 | ||
Provision for (recovery of) loan losses | (31) | 45 | 70 | ||
Balance | $ 365 | $ 371 | $ 365 | $ 371 | $ 396 |
Note 3 - Allowance for Loan L_5
Note 3 - Allowance for Loan Losses, Nonperforming Assets and Impaired Loans - Loans and Allowance for Loan Losses by Evaluation Method (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | Dec. 31, 2019 |
Allowance for loan losses, Individually evaluated for impairment | $ 0 | $ 75 | ||
Allowance for loan losses, Collectively evaluated for impairment | 7,698 | 8,406 | ||
Allowance for loan losses | 7,698 | 8,481 | $ 8,428 | $ 6,863 |
Loans | 798,606 | 770,027 | ||
Consumer Real Estate Portfolio Segment [Member] | ||||
Allowance for loan losses, Individually evaluated for impairment | 0 | 2 | ||
Allowance for loan losses, Collectively evaluated for impairment | 1,968 | 2,163 | ||
Allowance for loan losses | 1,968 | 2,165 | 2,162 | 1,895 |
Loans, Individually evaluated for impairment | 192 | 194 | ||
Loans, Collectively evaluated for impairment | 204,688 | 181,588 | ||
Loans | 204,880 | 181,782 | ||
Commercial Non Real Estate Segment [Member] | ||||
Allowance for loan losses, Individually evaluated for impairment | 0 | 73 | ||
Allowance for loan losses, Collectively evaluated for impairment | 918 | 597 | ||
Allowance for loan losses | 918 | 670 | 699 | 555 |
Loans, Individually evaluated for impairment | 308 | 851 | ||
Loans, Collectively evaluated for impairment | 58,774 | 77,920 | ||
Loans | 59,082 | 78,771 | ||
Commercial Real Estate Portfolio Segment [Member] | ||||
Allowance for loan losses, Individually evaluated for impairment | 0 | |||
Allowance for loan losses, Collectively evaluated for impairment | 3,163 | 3,853 | ||
Allowance for loan losses | 3,163 | 3,853 | 3,644 | 2,559 |
Loans, Individually evaluated for impairment | 5,583 | 3,856 | ||
Loans, Collectively evaluated for impairment | 398,257 | 389,259 | ||
Loans | 403,840 | 393,115 | ||
Consumer Non Real Estate Portfolio Segment [Member] | ||||
Allowance for loan losses, Individually evaluated for impairment | 0 | |||
Allowance for loan losses, Collectively evaluated for impairment | 474 | 555 | ||
Allowance for loan losses | 474 | 555 | 597 | 650 |
Loans, Individually evaluated for impairment | 1 | 2 | ||
Loans, Collectively evaluated for impairment | 31,575 | 33,108 | ||
Loans | 31,576 | 33,110 | ||
Real Estate Construction Portfolio Segment[Member] | ||||
Allowance for loan losses, Collectively evaluated for impairment | 498 | 503 | ||
Allowance for loan losses | 498 | 503 | 424 | 400 |
Loans, Individually evaluated for impairment | 0 | 0 | ||
Loans, Collectively evaluated for impairment | 50,883 | 42,266 | ||
Loans | 50,883 | 42,266 | ||
Public Sector and IDA Portfolio Segment[Member] | ||||
Allowance for loan losses, Collectively evaluated for impairment | 312 | 339 | ||
Allowance for loan losses | 312 | 339 | 531 | 478 |
Loans, Individually evaluated for impairment | 0 | 0 | ||
Loans, Collectively evaluated for impairment | 48,345 | 40,983 | ||
Loans | 48,345 | 40,983 | ||
Unallocated Financing Receivables [Member] | ||||
Allowance for loan losses, Collectively evaluated for impairment | 365 | 396 | ||
Allowance for loan losses | 365 | 396 | $ 371 | $ 326 |
Loans, Individually evaluated for impairment | 6,084 | 4,903 | ||
Loans, Collectively evaluated for impairment | 792,522 | 765,124 | ||
Loans | $ 798,606 | $ 770,027 |
Note 3 - Allowance for Loan L_6
Note 3 - Allowance for Loan Losses, Nonperforming Assets and Impaired Loans - Ratios of Allowance for Loan Losses (Details) | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | ||
Ratio of allowance for loan losses to the end of period loans, net of unearned income and deferred fees and costs(1) | [1] | 0.97% | 1.05% | 1.10% |
Ratio of net charge-offs to average loans, net of unearned income and deferred fees and costs(2) | [2] | 0.08% | 0.07% | 0.05% |
[1] | The ratio of the allowance for loan losses to the end of period loans, net of unearned income and deferred fees and costs at September 30, 2021, December 31, 2020 and September 30, 2020 includes government-guaranteed SBA PPP loans, which do not require an allowance for loan losses. Excluding the PPP loans, the ratio would be 0.98% at September 30, 2021, 1.16% at December 31, 2020 and 1.13% at September 30, 2020. | |||
[2] | Net charge-offs are on an annualized basis. |
Note 3 - Allowance for Loan L_7
Note 3 - Allowance for Loan Losses, Nonperforming Assets and Impaired Loans - Nonperforming Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | |||
Nonaccrual loans | $ 39 | $ 846 | $ 736 | |||
Restructured loans in nonaccrual | 3,075 | 2,839 | 2,866 | |||
Total nonperforming loans | 3,114 | [1] | 3,685 | [2] | 3,602 | |
Other real estate owned, net | 957 | 1,553 | 1,553 | |||
Total nonperforming assets | $ 4,071 | $ 5,238 | $ 5,155 | |||
Ratio of nonperforming assets to loans, net of unearned income and deferred fees and costs, plus other real estate owned | 0.51% | 0.68% | 0.64% | |||
Ratio of allowance for loan losses to nonperforming loans(1) | [3] | 247.21% | 230.15% | 233.98% | ||
[1] | Includes current and past due loans in nonaccrual status. Includes impaired loans in nonaccrual status. | |||||
[2] | Includes current and past due loans in nonaccrual status. Includes impaired loans in nonaccrual status. | |||||
[3] | The Company defines nonperforming loans as nonaccrual loans and restructured loans that are nonaccrual. Loans 90 days past due and still accruing and accruing restructured loans are excluded. |
Note 3 - Allowance for Loan L_8
Note 3 - Allowance for Loan Losses, Nonperforming Assets and Impaired Loans - Loans Past Due 90 Days or More and Impaired Loans (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | ||||
Loans past due 90 days or more and still accruing | $ 62 | $ 236 | $ 17 | |||
Ratio of loans past due 90 days or more and still accruing to loans, net of unearned income and deferred fees and costs | 0.01% | 0.03% | 0.00% | |||
Accruing restructured loans | $ 3,009 | $ 1,426 | $ 1,410 | |||
Impaired loans: | ||||||
Impaired loans with no valuation allowance | 6,084 | [1] | 3,939 | 3,858 | [1] | |
Impaired loans with a valuation allowance | 0 | [1] | 1,056 | 1,045 | [1] | |
Total impaired loans | 6,084 | [1] | 4,995 | 4,903 | [1] | |
Valuation allowance | 0 | (104) | (75) | |||
Impaired loans, net of allowance | 6,084 | 4,891 | 4,828 | |||
Average recorded investment in impaired loans(1) | [1] | 6,108 | 5,227 | 5,093 | ||
Interest income recognized on impaired loans, after designation as impaired | $ 175 | $ 49 | $ 54 | |||
[1] | Recorded investment is net of charge-offs and interest paid while a loan is in nonaccrual status. |
Note 3 - Allowance for Loan L_9
Note 3 - Allowance for Loan Losses, Nonperforming Assets and Impaired Loans - Impaired Loans and Associated Reserves (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | |||
Principal balance | $ 6,709 | $ 5,453 | ||||
Total recorded investment | 6,084 | [1] | 4,903 | [1] | $ 4,995 | |
Recorded investment for which there is a related allowance | 0 | [1] | 1,045 | [1] | 1,056 | |
Related allowance | 0 | 75 | 104 | |||
Recorded investment for which there is no related allowance | 6,084 | [1] | 3,858 | [1] | $ 3,939 | |
Consumer Real Estate Portfolio Segment [Member] | Investor Owned Residential Real Estate [Member] | ||||||
Principal balance | [2] | 192 | 194 | |||
Total recorded investment | [1],[2] | 192 | 194 | |||
Recorded investment for which there is a related allowance | [1],[2] | 0 | 194 | |||
Related allowance | [2] | 0 | 2 | |||
Recorded investment for which there is no related allowance | [1],[2] | 0 | ||||
Commercial Real Estate Portfolio Segment [Member] | Commercial Real Estate, Owner Occupied [Member] | ||||||
Principal balance | [2] | 3,481 | 3,752 | |||
Total recorded investment | [1],[2] | 2,861 | 3,202 | |||
Recorded investment for which there is no related allowance | [1],[2] | 2,861 | 3,202 | |||
Commercial Real Estate Portfolio Segment [Member] | Commercial Real Estate Other [Member] | ||||||
Principal balance | [2] | 2,722 | 654 | |||
Total recorded investment | [1],[2] | 2,722 | 654 | |||
Recorded investment for which there is no related allowance | [1],[2] | 2,722 | 654 | |||
Commercial Non Real Estate Segment [Member] | Commercial and Industrial [Member] | ||||||
Principal balance | [2] | 313 | 851 | |||
Total recorded investment | [1],[2] | 308 | 851 | |||
Recorded investment for which there is a related allowance | [1],[2] | 0 | 851 | |||
Related allowance | [2] | 0 | 73 | |||
Consumer Non Real Estate Portfolio Segment [Member] | Automobile Loan [Member] | ||||||
Principal balance | [2] | 1 | 2 | |||
Total recorded investment | [1],[2] | 1 | 2 | |||
Recorded investment for which there is no related allowance | [1],[2] | $ 1 | $ 2 | |||
[1] | Recorded investment is net of charge-offs and interest paid while a loan is in nonaccrual status. | |||||
[2] | Only classes with impaired loans are shown. |
Note 3 - Allowance for Loan _10
Note 3 - Allowance for Loan Losses, Nonperforming Assets and Impaired Loans - Impaired Loans, Average Investment and Interest Income (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | ||
Average recorded investment in impaired loans(1) | [1] | $ 6,108 | $ 5,227 | $ 5,093 |
Interest income recognized on impaired loans, after designation as impaired | 175 | $ 49 | 54 | |
Investor Owned Residential Real Estate [Member] | Consumer Real Estate Portfolio Segment [Member] | ||||
Average recorded investment in impaired loans(1) | [1],[2] | 193 | 196 | |
Interest income recognized on impaired loans, after designation as impaired | [2] | 9 | 13 | |
Commercial Real Estate, Owner Occupied [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||
Average recorded investment in impaired loans(1) | [1],[2] | 2,866 | 3,217 | |
Interest income recognized on impaired loans, after designation as impaired | [2] | 72 | 19 | |
Commercial Real Estate Other [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||
Average recorded investment in impaired loans(1) | [1],[2] | 2,724 | 790 | |
Interest income recognized on impaired loans, after designation as impaired | [2] | 83 | 0 | |
Commercial and Industrial [Member] | Commercial Non Real Estate Segment [Member] | ||||
Average recorded investment in impaired loans(1) | [1],[2] | 324 | 887 | |
Interest income recognized on impaired loans, after designation as impaired | [2] | 11 | 22 | |
Automobile Loan [Member] | Consumer Non Real Estate Portfolio Segment [Member] | ||||
Average recorded investment in impaired loans(1) | [1],[2] | $ 1 | $ 3 | |
[1] | Recorded investment is net of charge-offs and interest paid while a loan is in nonaccrual status. | |||
[2] | Only classes with impaired loans are shown. |
Note 3 - Allowance for Loan _11
Note 3 - Allowance for Loan Losses, Nonperforming Assets and Impaired Loans - Past Due and Nonaccrual Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | |||
Gross loans | $ 798,606 | $ 770,027 | ||||
Loans past due 90 days or more and still accruing | 62 | 17 | $ 236 | |||
Nonaccruals | 3,114 | [1] | 3,685 | [2] | $ 3,602 | |
Financing Receivables 30 to 89 Days Past Due [Member] | ||||||
Gross loans | 1,223 | 1,497 | ||||
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | ||||||
Gross loans | 815 | 1,331 | ||||
Real Estate Construction Portfolio Segment[Member] | ||||||
Gross loans | 50,883 | 42,266 | ||||
Loans past due 90 days or more and still accruing | [3] | 0 | ||||
Nonaccruals | [1],[3] | 0 | ||||
Real Estate Construction Portfolio Segment[Member] | Financing Receivables 30 to 89 Days Past Due [Member] | ||||||
Gross loans | [3] | 115 | ||||
Real Estate Construction Portfolio Segment[Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | ||||||
Gross loans | [3] | 0 | ||||
Consumer Real Estate Portfolio Segment [Member] | ||||||
Gross loans | 204,880 | 181,782 | ||||
Consumer Real Estate Portfolio Segment [Member] | Closed End First Liens [Member] | ||||||
Loans past due 90 days or more and still accruing | [3] | 39 | 0 | |||
Nonaccruals | [3] | 0 | [1] | 62 | [2] | |
Consumer Real Estate Portfolio Segment [Member] | Investor Owned Residential Real Estate [Member] | ||||||
Loans past due 90 days or more and still accruing | [3] | 0 | 0 | |||
Nonaccruals | [3] | 0 | [1] | 0 | [2] | |
Consumer Real Estate Portfolio Segment [Member] | Equity Lines [Member] | ||||||
Loans past due 90 days or more and still accruing | [3] | 0 | ||||
Nonaccruals | [1],[3] | 0 | ||||
Consumer Real Estate Portfolio Segment [Member] | Financing Receivables 30 to 89 Days Past Due [Member] | Closed End First Liens [Member] | ||||||
Gross loans | [3] | 489 | 365 | |||
Consumer Real Estate Portfolio Segment [Member] | Financing Receivables 30 to 89 Days Past Due [Member] | Investor Owned Residential Real Estate [Member] | ||||||
Gross loans | [3] | 102 | 106 | |||
Consumer Real Estate Portfolio Segment [Member] | Financing Receivables 30 to 89 Days Past Due [Member] | Equity Lines [Member] | ||||||
Gross loans | [3] | 29 | ||||
Consumer Real Estate Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Closed End First Liens [Member] | ||||||
Gross loans | [3] | 39 | 62 | |||
Consumer Real Estate Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Investor Owned Residential Real Estate [Member] | ||||||
Gross loans | [3] | 0 | 0 | |||
Consumer Real Estate Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Equity Lines [Member] | ||||||
Gross loans | [3] | 0 | ||||
Commercial Real Estate Portfolio Segment [Member] | ||||||
Gross loans | 403,840 | 393,115 | ||||
Commercial Real Estate Portfolio Segment [Member] | Commercial Real Estate, Owner Occupied [Member] | ||||||
Loans past due 90 days or more and still accruing | [3] | 0 | 0 | |||
Nonaccruals | [3] | 2,767 | [1] | 2,941 | [2] | |
Commercial Real Estate Portfolio Segment [Member] | Commercial Real Estate Other [Member] | ||||||
Loans past due 90 days or more and still accruing | [3] | 0 | 0 | |||
Nonaccruals | [3] | 0 | [1] | 654 | [2] | |
Commercial Real Estate Portfolio Segment [Member] | Financing Receivables 30 to 89 Days Past Due [Member] | Commercial Real Estate, Owner Occupied [Member] | ||||||
Gross loans | [3] | 147 | 15 | |||
Commercial Real Estate Portfolio Segment [Member] | Financing Receivables 30 to 89 Days Past Due [Member] | Commercial Real Estate Other [Member] | ||||||
Gross loans | [3] | 0 | 0 | |||
Commercial Real Estate Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Commercial Real Estate, Owner Occupied [Member] | ||||||
Gross loans | [3] | 445 | 571 | |||
Commercial Real Estate Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Commercial Real Estate Other [Member] | ||||||
Gross loans | [3] | 0 | 654 | |||
Commercial Non Real Estate Segment [Member] | ||||||
Gross loans | 59,082 | 78,771 | ||||
Commercial Non Real Estate Segment [Member] | Commercial and Industrial [Member] | ||||||
Loans past due 90 days or more and still accruing | [3] | 10 | 0 | |||
Nonaccruals | [3] | 347 | [1] | 28 | [2] | |
Commercial Non Real Estate Segment [Member] | Financing Receivables 30 to 89 Days Past Due [Member] | Commercial and Industrial [Member] | ||||||
Gross loans | [3] | 29 | 730 | |||
Commercial Non Real Estate Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Commercial and Industrial [Member] | ||||||
Gross loans | [3] | 318 | 27 | |||
Consumer Non Real Estate Portfolio Segment [Member] | ||||||
Gross loans | 31,576 | 33,110 | ||||
Consumer Non Real Estate Portfolio Segment [Member] | Credit Card Receivable [Member] | ||||||
Loans past due 90 days or more and still accruing | [3] | 1 | 3 | |||
Nonaccruals | [3] | 0 | [1] | 0 | [2] | |
Consumer Non Real Estate Portfolio Segment [Member] | Automobile Loan [Member] | ||||||
Loans past due 90 days or more and still accruing | [3] | 0 | 1 | |||
Nonaccruals | [3] | 0 | [1] | 0 | [2] | |
Consumer Non Real Estate Portfolio Segment [Member] | Other Consumer Loans [Member] | ||||||
Loans past due 90 days or more and still accruing | [3] | 12 | 13 | |||
Nonaccruals | [3] | 0 | [1] | 0 | [2] | |
Consumer Non Real Estate Portfolio Segment [Member] | Financing Receivables 30 to 89 Days Past Due [Member] | Credit Card Receivable [Member] | ||||||
Gross loans | [3] | 3 | 7 | |||
Consumer Non Real Estate Portfolio Segment [Member] | Financing Receivables 30 to 89 Days Past Due [Member] | Automobile Loan [Member] | ||||||
Gross loans | [3] | 91 | 144 | |||
Consumer Non Real Estate Portfolio Segment [Member] | Financing Receivables 30 to 89 Days Past Due [Member] | Other Consumer Loans [Member] | ||||||
Gross loans | [3] | 218 | 130 | |||
Consumer Non Real Estate Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Credit Card Receivable [Member] | ||||||
Gross loans | [3] | 1 | 3 | |||
Consumer Non Real Estate Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Automobile Loan [Member] | ||||||
Gross loans | [3] | 0 | 1 | |||
Consumer Non Real Estate Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Other Consumer Loans [Member] | ||||||
Gross loans | [3] | $ 12 | $ 13 | |||
[1] | Includes current and past due loans in nonaccrual status. Includes impaired loans in nonaccrual status. | |||||
[2] | Includes current and past due loans in nonaccrual status. Includes impaired loans in nonaccrual status. | |||||
[3] | Only classes with past-due or nonaccrual loans are shown. |
Note 3 - Allowance for Loan _12
Note 3 - Allowance for Loan Losses, Nonperforming Assets and Impaired Loans - Loans by Credit Quality Indicator (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 | ||
Real Estate Construction Portfolio Segment[Member] | ||||
Loans, Collectively evaluated for impairment | $ 50,883 | $ 42,266 | ||
Consumer Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | 204,688 | 181,588 | ||
Commercial Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | 398,257 | 389,259 | ||
Commercial Non Real Estate Segment [Member] | ||||
Loans, Collectively evaluated for impairment | 58,774 | 77,920 | ||
Consumer Non Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | 31,575 | 33,108 | ||
Pass [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 787,654 | 756,616 | |
Pass [Member] | States Political Subdivisions [Member] | ||||
Loans, Collectively evaluated for impairment | 48,345 | 40,983 | ||
Special Mention [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 4,376 | 8,035 | |
Classified Excluding Impaired [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 492 | 473 | |
Construction, 1-4 Family Residential [Member] | Pass [Member] | Real Estate Construction Portfolio Segment[Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 10,498 | 8,195 | |
Construction, Other [Member] | Pass [Member] | Real Estate Construction Portfolio Segment[Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 40,385 | 34,071 | |
Equity Lines [Member] | Pass [Member] | Consumer Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 13,962 | 13,903 | |
Closed End First Liens [Member] | Pass [Member] | Consumer Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | 106,806 | 92,241 | [1] | |
Closed End First Liens [Member] | Special Mention [Member] | Consumer Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | 0 | 66 | [1] | |
Closed End First Liens [Member] | Classified Excluding Impaired [Member] | Consumer Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | 284 | 284 | [1] | |
Closed End Junior Liens [Member] | Pass [Member] | Consumer Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | 2,773 | 3,003 | [1] | |
Closed End Junior Liens [Member] | Special Mention [Member] | Consumer Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | 0 | 0 | [1] | |
Closed End Junior Liens [Member] | Classified Excluding Impaired [Member] | Consumer Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | 0 | 0 | [1] | |
Investor Owned Residential Real Estate [Member] | Pass [Member] | Consumer Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 80,244 | 71,450 | |
Investor Owned Residential Real Estate [Member] | Special Mention [Member] | Consumer Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 619 | 641 | |
Investor Owned Residential Real Estate [Member] | Classified Excluding Impaired [Member] | Consumer Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 0 | ||
Multifamily Real Estate [Member] | Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 106,368 | 87,455 | |
Multifamily Real Estate [Member] | Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 0 | 265 | |
Multifamily Real Estate [Member] | Classified Excluding Impaired [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 0 | ||
Commercial Real Estate, Owner Occupied [Member] | Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 137,965 | 146,900 | |
Commercial Real Estate, Owner Occupied [Member] | Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 0 | 543 | |
Commercial Real Estate, Owner Occupied [Member] | Classified Excluding Impaired [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 36 | 140 | |
Commercial Real Estate Other [Member] | Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 150,131 | 147,436 | |
Commercial Real Estate Other [Member] | Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 3,757 | 6,520 | |
Commercial Real Estate Other [Member] | Classified Excluding Impaired [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 0 | ||
Commercial and Industrial [Member] | Pass [Member] | Commercial Non Real Estate Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 58,726 | 77,892 | |
Commercial and Industrial [Member] | Special Mention [Member] | Commercial Non Real Estate Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 0 | ||
Commercial and Industrial [Member] | Classified Excluding Impaired [Member] | Commercial Non Real Estate Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 48 | 28 | |
Credit Card Receivable [Member] | Pass [Member] | Consumer Non Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 4,270 | 4,665 | |
Automobile Loan [Member] | Pass [Member] | Consumer Non Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 11,653 | 12,024 | |
Automobile Loan [Member] | Classified Excluding Impaired [Member] | Consumer Non Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 0 | 6 | |
Other Consumer Loans [Member] | Pass [Member] | Consumer Non Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | 15,528 | 16,398 | |
Other Consumer Loans [Member] | Classified Excluding Impaired [Member] | Consumer Non Real Estate Portfolio Segment [Member] | ||||
Loans, Collectively evaluated for impairment | [1] | $ 124 | $ 15 | |
[1] | Excludes impaired, if any. |
Note 3 - Allowance for Loan _13
Note 3 - Allowance for Loan Losses, Nonperforming Assets and Impaired Loans - Restructurings By Class (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2021USD ($) | Sep. 30, 2020 | |
Number of contracts | 0 | 3 | 0 |
Pre-modification outstanding principal balance | $ 2,826 | ||
Post-modification outstanding principal balance | $ 2,826 | ||
Commercial Real Estate Portfolio Segment [Member] | Commercial Real Estate, Owner Occupied [Member] | |||
Number of contracts | 1 | ||
Pre-modification outstanding principal balance | $ 102 | ||
Post-modification outstanding principal balance | $ 102 | ||
Commercial Real Estate Portfolio Segment [Member] | Commercial Real Estate Other [Member] | |||
Number of contracts | 2 | ||
Pre-modification outstanding principal balance | $ 2,724 | ||
Post-modification outstanding principal balance | $ 2,724 |
Note 4 - Securities (Details Te
Note 4 - Securities (Details Textual) $ in Thousands | Sep. 30, 2021USD ($) | Dec. 31, 2020USD ($) |
Number of Temporarily Impaired Securities | 229 | |
Available-for-sale and Held to Maturity Securities Continuous Unrealized Loss Position Fair Value | $ 254,651 | |
Continuous Unrealized Loss Position Aggregate Losses | $ 5,644 | |
Number of Temporarily Impaired Securities Greater than Twelve Months | 10 | |
Continuous Unrealized Loss Position Twelve Months or Longer Fair Value | $ 15,116 | $ 4,695 |
Continuous Unrealized Loss Position 12 Months or Longer Aggregate Losses | 513 | 5 |
National Bank of Blacksburg [Member] | Federal Home Loan Bank of Atlanta [Member] | ||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Collateral Pledged | 596,772 | |
Restricted Stock [Member] | ||
Restricted Investments | $ 845 | 1,279 |
US Government Agencies Debt Securities [Member] | ||
Number of Temporarily Impaired Securities | 1 | |
Available-for-sale and Held to Maturity Securities Continuous Unrealized Loss Position Fair Value | $ 944 | |
Continuous Unrealized Loss Position Aggregate Losses | 53 | |
Continuous Unrealized Loss Position Twelve Months or Longer Fair Value | 944 | 0 |
Continuous Unrealized Loss Position 12 Months or Longer Aggregate Losses | $ 53 | 0 |
US States and Political Subdivisions Debt Securities [Member] | ||
Number of Temporarily Impaired Securities | 6 | |
Continuous Unrealized Loss Position Twelve Months or Longer Fair Value | $ 9,026 | 635 |
Continuous Unrealized Loss Position 12 Months or Longer Aggregate Losses | $ 313 | $ 3 |
Collateralized Mortgage Backed Securities [Member] | ||
Number of Temporarily Impaired Securities | 3 | |
Available-for-sale and Held to Maturity Securities Continuous Unrealized Loss Position Fair Value | $ 5,146 | |
Continuous Unrealized Loss Position Twelve Months or Longer Fair Value | $ 147 |
Note 4 - Securities - Securitie
Note 4 - Securities - Securities Available-for-sale (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Securities available-for-sale, amortized costs | $ 635,555 | $ 530,075 |
Securities available-for-sale, gross unrealized gains | 11,575 | 17,170 |
Securities available-for-sale, gross unrealized losses | 5,644 | 503 |
Securities available for sale, at fair value | 641,486 | 546,742 |
US Government Agencies Debt Securities [Member] | ||
Securities available-for-sale, amortized costs | 220,372 | 86,859 |
Securities available-for-sale, gross unrealized gains | 3,062 | 4,477 |
Securities available-for-sale, gross unrealized losses | 3,243 | 173 |
Securities available for sale, at fair value | 220,191 | 91,163 |
US States and Political Subdivisions Debt Securities [Member] | ||
Securities available-for-sale, amortized costs | 196,518 | 196,435 |
Securities available-for-sale, gross unrealized gains | 4,970 | 7,778 |
Securities available-for-sale, gross unrealized losses | 2,181 | 252 |
Securities available for sale, at fair value | 199,307 | 203,961 |
Collateralized Mortgage Backed Securities [Member] | ||
Securities available-for-sale, amortized costs | 215,661 | 244,780 |
Securities available-for-sale, gross unrealized gains | 3,284 | 4,473 |
Securities available-for-sale, gross unrealized losses | 193 | 78 |
Securities available for sale, at fair value | 218,752 | 249,175 |
Corporate Debt Securities [Member] | ||
Securities available-for-sale, amortized costs | 3,004 | 2,001 |
Securities available-for-sale, gross unrealized gains | 259 | 442 |
Securities available-for-sale, gross unrealized losses | 27 | |
Securities available for sale, at fair value | $ 3,236 | $ 2,443 |
Note 4 - Securities - Securit_2
Note 4 - Securities - Securities by Contractual Maturity (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Amortized cost, due in one year or less, available for sale securities | $ 1,864 | |
Fair value, due in one year or less, available for sale securities | 1,902 | |
Amortized cost, due after one year through five years, available for sale securities | 8,722 | |
Fair value, due after one year through five years, available for sale securities | 8,785 | |
Amortized cost, due after five years through ten years, available for sale securities | 264,217 | |
Fair value, due after five years through ten years, available for sale securities | 265,751 | |
Amortized cost, due after ten years, available for sale securities | 360,752 | |
Fair value, due after ten years, available for sale securities | 365,048 | |
Amortized cost, total securities available for sale | 635,555 | $ 530,075 |
Fair value, total securities available for sale | $ 641,486 | $ 546,742 |
Note 4 - Securities - Securit_3
Note 4 - Securities - Securities in a Continuous Loss Position (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Temporarily impaired securities, less than 12 months, fair value | $ 239,535 | $ 69,967 |
Temporarily impaired securities, less than 12 months unrealized loss | 5,131 | 498 |
Temporarily impaired securities, 12 months or more fair value | 15,116 | 4,695 |
Temporarily impaired securities, 12 months or more unrealized loss | 513 | 5 |
US Government Agencies Debt Securities [Member] | ||
Temporarily impaired securities, less than 12 months, fair value | 156,418 | 28,798 |
Temporarily impaired securities, less than 12 months unrealized loss | 3,190 | 173 |
Temporarily impaired securities, 12 months or more fair value | 944 | 0 |
Temporarily impaired securities, 12 months or more unrealized loss | 53 | 0 |
US States and Political Subdivisions Debt Securities [Member] | ||
Temporarily impaired securities, less than 12 months, fair value | 71,912 | 32,353 |
Temporarily impaired securities, less than 12 months unrealized loss | 1,868 | 249 |
Temporarily impaired securities, 12 months or more fair value | 9,026 | 635 |
Temporarily impaired securities, 12 months or more unrealized loss | 313 | 3 |
Commercial Mortgage Backed Securities [Member] | ||
Temporarily impaired securities, less than 12 months, fair value | 10,229 | 8,816 |
Temporarily impaired securities, less than 12 months unrealized loss | 46 | 76 |
Temporarily impaired securities, 12 months or more fair value | 5,146 | 4,060 |
Temporarily impaired securities, 12 months or more unrealized loss | 147 | $ 2 |
Corporate Debt Securities [Member] | ||
Temporarily impaired securities, less than 12 months, fair value | 976 | |
Temporarily impaired securities, less than 12 months unrealized loss | 27 | |
Temporarily impaired securities, 12 months or more fair value | 0 | |
Temporarily impaired securities, 12 months or more unrealized loss | $ 0 |
Note 5 - Defined Benefit Plan_2
Note 5 - Defined Benefit Plan (Details Textual) $ in Thousands | 9 Months Ended |
Sep. 30, 2021USD ($) | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 0 |
Note 5 - Defined Benefit Plan -
Note 5 - Defined Benefit Plan - Defined Benefit Plan Activity (Details) - Pension Plan [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Service cost | $ 361 | $ 270 | $ 1,083 | $ 810 |
Interest cost | 184 | 205 | 552 | 615 |
Expected return on plan assets | (555) | (420) | (1,665) | (1,260) |
Amortization of prior service cost | (3) | (27) | (9) | (81) |
Recognized net actuarial loss | 208 | 177 | 624 | 531 |
Net periodic benefit cost | $ 195 | $ 205 | $ 585 | $ 615 |
Note 6 - Fair Value Measureme_3
Note 6 - Fair Value Measurements (Details Textual) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2021 | Dec. 31, 2020 | |
Loans Held-for-sale [Member] | Changes Measurement [Member] | Fair Value, Nonrecurring [Member] | ||
Assets, Fair Value Adjustment | $ 0 | $ 0 |
Note 6 - Fair Value Measureme_4
Note 6 - Fair Value Measurements - Assets and Liabilities at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Securities available for sale | $ 641,486 | $ 546,742 |
Fair Value, Inputs, Level 2 [Member] | ||
Securities available for sale | 641,486 | 546,742 |
US Government Agencies Debt Securities [Member] | ||
Securities available for sale | 220,191 | 91,163 |
US Government Agencies Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Securities available for sale | 220,191 | 91,163 |
US States and Political Subdivisions Debt Securities [Member] | ||
Securities available for sale | 199,307 | 203,961 |
US States and Political Subdivisions Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Securities available for sale | 199,307 | 203,961 |
Collateralized Mortgage Backed Securities [Member] | ||
Securities available for sale | 218,752 | 249,175 |
Collateralized Mortgage Backed Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Securities available for sale | 218,752 | 249,175 |
Corporate Debt Securities [Member] | ||
Securities available for sale | 3,236 | 2,443 |
Corporate Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Securities available for sale | $ 3,236 | $ 2,443 |
Note 6 - Fair Value Measureme_5
Note 6 - Fair Value Measurements - Interest Rate Loan Contracts and Forward Contracts Fair Value Measurement (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Reported Value Measurement [Member] | ||
Interest rate loan contracts | $ (4) | $ (11) |
Forward contracts | 3 | 1 |
Forward contracts | (4) | (11) |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Interest rate loan contracts | (4) | (11) |
Forward contracts | 3 | 1 |
Forward contracts | (4) | (11) |
Interest Rate Contract [Member] | Reported Value Measurement [Member] | ||
Interest rate loan contracts | (4) | |
Forward contracts | 1 | |
Forward contracts | (4) | |
Interest Rate Contract [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Interest rate loan contracts | (4) | |
Forward contracts | (4) | |
Interest Rate Contract [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Forward contracts | 1 | |
Forward Contracts [Member] | Reported Value Measurement [Member] | ||
Interest rate loan contracts | (11) | |
Forward contracts | (11) | |
Forward Contracts [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Interest rate loan contracts | (11) | |
Forward contracts | 3 | |
Forward contracts | $ (11) | |
Forward Contracts [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Forward contracts | $ 3 |
Note 6 - Fair Value Measureme_6
Note 6 - Fair Value Measurements - Change in Fair Value Measurement Impacts Net Income (Details) - Valuation, Market Approach [Member] - Current Reference Price [Member] | Sep. 30, 2021 | Dec. 31, 2020 |
Interest Rate Contract [Member] | Minimum [Member] | ||
Derivative asset (liability) | 1.0037 | 1.0191 |
Interest Rate Contract [Member] | Maximum [Member] | ||
Derivative asset (liability) | 1.0113 | 1.0302 |
Forward Contract [Member] | Minimum [Member] | ||
Derivative asset (liability) | 1.0037 | 1.0191 |
Forward Contract [Member] | Maximum [Member] | ||
Derivative asset (liability) | 1.0267 | 1.0319 |
Note 6 - Fair Value Measureme_7
Note 6 - Fair Value Measurements - Impaired Loans and Other Real Estate Owned Measured at Fair Value on Nonrecurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Impaired loans net of valuation allowance | $ 970 | |
Other real estate owned net of valuation allowance | $ 957 | 1,553 |
Fair Value, Inputs, Level 3 [Member] | ||
Impaired loans net of valuation allowance | 970 | |
Other real estate owned net of valuation allowance | $ 957 | $ 1,553 |
Note 6 - Fair Value Measureme_8
Note 6 - Fair Value Measurements - Level 3 Fair Value Measurements (Details) - Valuation, Market Approach [Member] | Dec. 31, 2020 | |
Measurement Input, Discount Rate [Member] | Minimum [Member] | ||
Impaired loans | 0.0550 | [1] |
OREO | 0 | [2] |
Measurement Input, Discount Rate [Member] | Maximum [Member] | ||
Impaired loans | 0.0650 | [1] |
OREO | 0.0766 | [2] |
Measurement Input, Discount Rate [Member] | Weighted Average [Member] | ||
Impaired loans | 0.0578 | [1] |
Measurement Input, Cost to Sell [Member] | Minimum [Member] | ||
OREO | 0.0400 | [2] |
Measurement Input, Cost to Sell [Member] | Maximum [Member] | ||
OREO | 0.0923 | [2] |
[1] | Unobservable inputs were weighted by the relative fair value of the impaired loans. | |
[2] | Discounts were weighted by the relative appraised value of the OREO properties. |
Note 6 - Fair Value Measureme_9
Note 6 - Fair Value Measurements - Financial Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Reported Value Measurement [Member] | ||
Cash and due from banks | $ 11,728 | $ 13,147 |
Interest-bearing deposits | 118,863 | 120,725 |
Securities | 641,486 | 546,742 |
Restricted securities | 845 | 1,279 |
Loans held for sale | 235 | 866 |
Loans, net | 789,796 | 760,318 |
Accrued interest receivable | 5,161 | 5,028 |
Bank-owned life insurance | 42,108 | 36,444 |
Forward contracts | 3 | 1 |
Deposits | 1,432,734 | 1,297,143 |
Accrued interest payable | 46 | 56 |
Interest rate loan contracts | 4 | 11 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Cash and due from banks | 11,728 | 13,147 |
Interest-bearing deposits | 118,863 | 120,725 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Securities | 641,486 | 546,742 |
Restricted securities | 845 | 1,279 |
Loans held for sale | 235 | 866 |
Accrued interest receivable | 5,161 | 5,028 |
Bank-owned life insurance | 42,108 | 36,444 |
Deposits | 1,350,279 | 1,207,561 |
Accrued interest payable | 46 | 56 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Loans, net | 777,049 | 752,624 |
Forward contracts | 3 | 1 |
Deposits | 82,626 | 89,681 |
Interest rate loan contracts | $ 4 | $ 11 |
Note 7 - Components of Accumu_3
Note 7 - Components of Accumulated Other Comprehensive Income (Loss) - Components of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Balance | $ 191,235 | $ 195,781 | $ 200,607 | $ 183,726 |
Balance | 190,853 | 202,194 | 190,853 | 202,194 |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent [Member] | ||||
Balance | 8,089 | 9,518 | 13,167 | 76 |
Unrealized holding gain (loss) on available for sale securities, net of tax | (3,403) | 2,256 | (8,477) | 11,763 |
Reclassification adjustment, net of tax | (11) | (4) | (76) | |
Balance | 4,686 | 11,763 | 4,686 | 11,763 |
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | ||||
Balance | (10,147) | (8,582) | (10,147) | (8,582) |
Balance | (10,147) | (8,582) | (10,147) | (8,582) |
AOCI Attributable to Parent [Member] | ||||
Balance | (2,058) | 936 | 3,020 | (8,506) |
Unrealized holding gain (loss) on available for sale securities, net of tax | (3,403) | 2,256 | (8,477) | 11,763 |
Reclassification adjustment, net of tax | (11) | (4) | (76) | |
Balance | $ (5,461) | $ 3,181 | $ (5,461) | $ 3,181 |
Note 7 - Components of Accumu_4
Note 7 - Components of Accumulated Other Comprehensive Income (Loss) - Components of Accumulated Other Comprehensive Income (Loss) (Details) (Parentheticals) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent [Member] | ||||
Unrealized holding gain (loss) on available for sale securities, tax | $ (905) | $ 601 | $ (2,254) | $ 3,127 |
Reclassification adjustment for gain included in net income, taxes | (3) | (1) | (20) | |
AOCI Attributable to Parent [Member] | ||||
Unrealized holding gain (loss) on available for sale securities, tax | $ (905) | 601 | (2,254) | 3,127 |
Reclassification adjustment for gain included in net income, taxes | $ (3) | $ (1) | $ (20) |
Note 8 - Revenue Recognition -
Note 8 - Revenue Recognition - Noninterest Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Noninterest Income (in-scope of Topic 606) | $ 1,590 | $ 1,413 | $ 4,915 | $ 4,150 |
Noninterest Income (out-of-scope of Topic 606) | 402 | 513 | 1,352 | 1,656 |
Total noninterest income | 1,992 | 1,926 | 6,267 | 5,806 |
Deposit Account [Member] | ||||
Noninterest Income (in-scope of Topic 606) | 548 | 471 | 1,488 | 1,430 |
Product and Service, Other [Member] | ||||
Noninterest Income (in-scope of Topic 606) | 50 | 37 | 134 | 113 |
Credit and Debit Card [Member] | ||||
Noninterest Income (in-scope of Topic 606) | 460 | 339 | 1,373 | 1,031 |
Fiduciary and Trust [Member] | ||||
Noninterest Income (in-scope of Topic 606) | 433 | 423 | 1,282 | 1,244 |
Insurance and Investment [Member] | ||||
Noninterest Income (in-scope of Topic 606) | $ 99 | $ 143 | $ 638 | $ 332 |
Note 9 - Leases - Lease Informa
Note 9 - Leases - Lease Information and Expenses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Right-of-use asset | $ 1,766 | $ 1,766 | $ 1,998 | ||
Weighted average remaining lease term (in years) (Year) | 6 years 2 months 15 days | 6 years 2 months 15 days | 6 years 9 months 21 days | ||
Weighted average discount rate | 3.05% | 3.05% | 3.04% | ||
Operating lease expense | $ 92 | $ 92 | $ 279 | $ 277 | |
Short-term lease expense | 1 | 1 | 2 | 2 | |
Total lease expense | 93 | 93 | 281 | 279 | |
Cash paid for amounts included in lease liabilities | 91 | 90 | 275 | 272 | |
Right-of-use assets obtained in exchange for operating lease liabilities commencing during the period | 0 | $ 23 | 0 | $ 23 | |
Other Liabilities [Member] | |||||
Lease liability | $ 1,790 | $ 1,790 | $ 2,016 |
Note 9 - Leases - Lease Liabili
Note 9 - Leases - Lease Liability Maturity Schedule (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Twelve months ending September 30, 2022 | $ 356 | |
Twelve months ending September 30, 2023 | 350 | |
Twelve months ending September 30, 2024 | 347 | |
Twelve months ending September 30, 2025 | 263 | |
Twelve months ending September 30, 2026 | 219 | |
Thereafter | 440 | |
Total undiscounted cash flows | 1,975 | |
Less: discount | (185) | |
Other Liabilities [Member] | ||
Lease liability | $ 1,790 | $ 2,016 |