|
Pennsylvania
|
|
23-2226454
|
(State or other jurisdiction of
incorporation or organization)
|
|
(I.R.S. Employer
Identification No.)
|
300 Market Street, P.O. Box 967
Williamsport, Pennsylvania
|
|
17703-0967
|
Title of each class
|
|
Name of each exchange which registered
|
Common Stock, par value $8.33 per share
|
|
The NASDAQ Stock Market LLC
|
Large accelerated filer
o
|
|
Accelerated filer
x
|
Non-accelerated filer
o
|
|
Smaller reporting company
x
|
|
|
Emerging growth company
o
|
Class
|
|
Outstanding at March 1, 2019
|
Common Stock, $8.33 Par Value
|
|
4,691,947 Shares
|
|
ITEM
|
|
PAGE
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ITEM 1
|
BUSINESS
|
ITEM 1A
|
RISK FACTORS
|
ITEM 1B
|
UNRESOLVED STAFF COMMENTS
|
ITEM 2
|
PROPERTIES
|
Luzerne Bank
|
||||
Office
|
|
Address
|
|
Ownership
|
Dallas
|
|
509 Main Road
|
|
Owned
|
|
|
Memorial Highway
|
|
|
|
|
Dallas, PA 18612
|
|
|
Lake
|
|
Corners of Rt. 118 & 415
|
|
Owned
|
|
|
Dallas, PA 18612
|
|
|
Hazle Twp.
|
|
10 Dessen Drive
|
|
Owned
|
|
|
Hazle Twp., PA 18202
|
|
|
Luzerne
|
|
118 Main Street
|
|
Owned
|
|
|
Luzerne, PA 18709
|
|
|
Plains
|
|
1077 Hwy. 315
|
|
Under Lease
|
|
|
Wilkes Barre, PA 18702
|
|
|
Swoyersville
|
|
801 Main Street
|
|
Owned
|
|
|
Swoyersville, PA 18704
|
|
|
Wilkes-Barre
|
|
67 Public Square
|
|
Under Lease
|
|
|
Wilkes-Barre, PA 18701
|
|
|
Wyoming
|
|
324 Wyoming Ave.
|
|
Owned
|
|
|
Wyoming, PA 18644
|
|
|
Conyngham Valley
|
|
669 State Route 93 STE 5
|
|
Under Lease
|
|
|
Sugarloaf, PA 18249
|
|
|
ITEM 3
|
LEGAL PROCEEDINGS
|
ITEM 4
|
MINE SAFETY DISCLOSURES
|
ITEM 5
|
MARKET FOR THE REGISTRANT’S COMMON STOCK, RELATED STOCKHOLDER MATTERS, AND ISSUER PURCHASES OF EQUITY SECURITIES
|
|
Price Range
|
|
Dividends
|
||||||||
|
High
|
|
Low
|
|
Declared
|
||||||
2018
|
|
|
|
|
|
|
|
|
|||
First quarter
|
$
|
45.56
|
|
|
$
|
39.61
|
|
|
$
|
0.47
|
|
Second quarter
|
46.92
|
|
|
41.29
|
|
|
0.47
|
|
|||
Third quarter
|
46.27
|
|
|
43.22
|
|
|
0.47
|
|
|||
Fourth quarter
|
44.18
|
|
|
38.66
|
|
|
0.47
|
|
|||
2017
|
|
|
|
|
|
|
|
|
|||
First quarter
|
$
|
49.45
|
|
|
$
|
43.28
|
|
|
$
|
0.47
|
|
Second quarter
|
43.60
|
|
|
38.17
|
|
|
0.47
|
|
|||
Third quarter
|
46.47
|
|
|
41.08
|
|
|
0.47
|
|
|||
Fourth quarter
|
49.79
|
|
|
45.65
|
|
|
0.47
|
|
|||
2016
|
|
|
|
|
|
|
|
|
|||
First quarter
|
$
|
41.32
|
|
|
$
|
36.73
|
|
|
$
|
0.47
|
|
Second quarter
|
44.70
|
|
|
37.82
|
|
|
0.47
|
|
|||
Third quarter
|
44.75
|
|
|
40.34
|
|
|
0.47
|
|
|||
Fourth quarter
|
52.03
|
|
|
41.00
|
|
|
0.47
|
|
Period
|
|
Total
Number of
Shares (or
Units)
Purchased
|
|
Average
Price Paid
per Share
(or Units)
Purchased
|
|
Total Number of
Shares (or Units)
Purchased as Part of
Publicly Announced
Plans or Programs
|
|
Maximum Number (or
Approximate Dollar Value)
of Shares (or Units) that
May Yet Be Purchased
Under the Plans or Programs
|
|||||
Month #1 (October 1 - October 31, 2018)
|
|
—
|
|
|
$
|
—
|
|
|
—
|
|
|
342,446
|
|
Month #2 (November 1 - November 30, 2018)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
342,446
|
|
|
Month #3 (December 1 - December 31, 2018)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
342,446
|
|
|
|
Period Ending
|
||||||||||||||||
Index
|
|
12/31/2013
|
|
|
12/31/2014
|
|
|
12/31/2015
|
|
|
12/31/2016
|
|
|
12/31/2017
|
|
|
12/31/2018
|
|
Penns Woods Bancorp, Inc.
|
|
100.00
|
|
|
100.61
|
|
|
90.54
|
|
|
112.42
|
|
|
108.16
|
|
|
97.51
|
|
S&P 500
|
|
100.00
|
|
|
113.69
|
|
|
115.26
|
|
|
129.05
|
|
|
157.22
|
|
|
150.33
|
|
NASDAQ Composite
|
|
100.00
|
|
|
114.75
|
|
|
122.74
|
|
|
133.62
|
|
|
173.22
|
|
|
168.30
|
|
SNL U.S. Bank NASDAQ
|
|
100.00
|
|
|
103.57
|
|
|
111.80
|
|
|
155.02
|
|
|
163.20
|
|
|
137.56
|
|
Russell 2000
|
|
100.00
|
|
|
104.89
|
|
|
100.26
|
|
|
121.63
|
|
|
139.44
|
|
|
124.09
|
|
ITEM 6
|
SELECTED FINANCIAL DATA
|
(In Thousands, Except Per Share Data Amounts)
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
||||||||||
Consolidated Statement of Income Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Interest income
|
|
$
|
58,746
|
|
|
$
|
49,977
|
|
|
$
|
46,813
|
|
|
$
|
46,124
|
|
|
$
|
45,606
|
|
Interest expense
|
|
10,936
|
|
|
5,897
|
|
|
5,567
|
|
|
5,219
|
|
|
4,962
|
|
|||||
Net interest income
|
|
47,810
|
|
|
44,080
|
|
|
41,246
|
|
|
40,905
|
|
|
40,644
|
|
|||||
Provision for loan losses
|
|
1,735
|
|
|
730
|
|
|
1,196
|
|
|
2,300
|
|
|
2,850
|
|
|||||
Net interest income after provision for loan losses
|
|
46,075
|
|
|
43,350
|
|
|
40,050
|
|
|
38,605
|
|
|
37,794
|
|
|||||
Non-interest income
|
|
9,461
|
|
|
10,744
|
|
|
12,113
|
|
|
12,765
|
|
|
14,508
|
|
|||||
Non-interest expense
|
|
38,007
|
|
|
36,862
|
|
|
35,091
|
|
|
33,736
|
|
|
33,890
|
|
|||||
Income before income tax provision
|
|
17,529
|
|
|
17,232
|
|
|
17,072
|
|
|
17,634
|
|
|
18,412
|
|
|||||
Income tax provision
|
|
2,819
|
|
|
7,459
|
|
|
4,597
|
|
|
3,736
|
|
|
3,804
|
|
|||||
Consolidated net income
|
|
14,710
|
|
|
9,773
|
|
|
12,475
|
|
|
13,898
|
|
|
14,608
|
|
|||||
Earnings attributable to noncontrolling interest
|
|
6
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Net income attributable to Penns Woods Bancorp, Inc.
|
|
14,704
|
|
|
9,773
|
|
|
12,475
|
|
|
13,898
|
|
|
14,608
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Consolidated Balance Sheet at End of Period:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total assets
|
|
$
|
1,684,771
|
|
|
$
|
1,474,492
|
|
|
$
|
1,348,590
|
|
|
$
|
1,320,057
|
|
|
$
|
1,245,011
|
|
Loans
|
|
1,384,757
|
|
|
1,246,614
|
|
|
1,093,681
|
|
|
1,045,207
|
|
|
915,579
|
|
|||||
Allowance for loan losses
|
|
(13,837
|
)
|
|
(12,858
|
)
|
|
(12,896
|
)
|
|
(12,044
|
)
|
|
(10,579
|
)
|
|||||
Deposits
|
|
1,219,903
|
|
|
1,146,320
|
|
|
1,095,214
|
|
|
1,031,880
|
|
|
981,419
|
|
|||||
Long-term debt
|
|
138,942
|
|
|
70,970
|
|
|
85,998
|
|
|
91,025
|
|
|
71,176
|
|
|||||
Shareholders’ equity
|
|
143,536
|
|
|
138,192
|
|
|
138,249
|
|
|
136,279
|
|
|
135,967
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Per Share Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Earnings per share - basic
|
|
$
|
3.14
|
|
|
$
|
2.08
|
|
|
$
|
2.64
|
|
|
$
|
2.91
|
|
|
$
|
3.03
|
|
Earnings per share - diluted
|
|
3.14
|
|
|
2.08
|
|
|
2.64
|
|
|
2.91
|
|
|
3.03
|
|
|||||
Cash dividends declared
|
|
1.88
|
|
|
1.88
|
|
|
1.88
|
|
|
1.88
|
|
|
1.88
|
|
|||||
Book value
|
|
30.60
|
|
|
29.47
|
|
|
29.20
|
|
|
28.71
|
|
|
28.30
|
|
|||||
Number of shares outstanding, at end of period
|
|
4,691,548
|
|
|
4,689,189
|
|
|
4,734,657
|
|
|
4,747,132
|
|
|
4,804,815
|
|
|||||
Weighted average number of shares outstanding - basic and diluted
|
|
4,690,254
|
|
|
4,705,602
|
|
|
4,735,457
|
|
|
4,772,239
|
|
|
4,816,149
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Selected Financial Ratios:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Return on average shareholders’ equity
|
|
10.72
|
%
|
|
6.91
|
%
|
|
8.96
|
%
|
|
10.11
|
%
|
|
10.79
|
%
|
|||||
Return on average total assets
|
|
0.94
|
%
|
|
0.69
|
%
|
|
0.93
|
%
|
|
1.08
|
%
|
|
1.19
|
%
|
|||||
Net interest margin
|
|
3.31
|
%
|
|
3.47
|
%
|
|
3.44
|
%
|
|
3.61
|
%
|
|
3.81
|
%
|
|||||
Dividend payout ratio
|
|
59.97
|
%
|
|
90.42
|
%
|
|
71.37
|
%
|
|
64.52
|
%
|
|
61.99
|
%
|
|||||
Average shareholders’ equity to average total assets
|
|
8.77
|
%
|
|
10.05
|
%
|
|
10.36
|
%
|
|
10.68
|
%
|
|
11.05
|
%
|
|||||
Loans to deposits, at end of period
|
|
113.51
|
%
|
|
108.75
|
%
|
|
99.86
|
%
|
|
101.29
|
%
|
|
93.29
|
%
|
ITEM 7
|
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
|
|
|
2018
|
|
2017
|
|
2016
|
|||||||||||||||||||||||||||
(Dollars In Thousands)
|
|
Average Balance
(1)
|
|
Interest
|
|
Average Rate
|
|
Average Balance
(1)
|
|
Interest
|
|
Average Rate
|
|
Average Balance
(1)
|
|
Interest
|
|
Average Rate
|
|||||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Tax-exempt loans
(3)
|
|
$
|
74,923
|
|
|
$
|
2,242
|
|
|
2.99
|
%
|
|
$
|
49,982
|
|
|
$
|
1,924
|
|
|
3.85
|
%
|
|
$
|
47,782
|
|
|
$
|
1,852
|
|
|
3.87
|
%
|
All other loans
(4)
|
|
1,250,521
|
|
|
52,229
|
|
|
4.18
|
%
|
|
1,099,465
|
|
|
44,563
|
|
|
4.05
|
%
|
|
1,009,384
|
|
|
40,834
|
|
|
4.05
|
%
|
||||||
Total loans
(2)
|
|
1,325,444
|
|
|
54,471
|
|
|
4.11
|
%
|
|
1,149,447
|
|
|
46,487
|
|
|
4.04
|
%
|
|
1,057,166
|
|
|
42,686
|
|
|
4.04
|
%
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Taxable securities
|
|
100,915
|
|
|
3,828
|
|
|
3.79
|
%
|
|
84,079
|
|
|
2,689
|
|
|
3.20
|
%
|
|
94,887
|
|
|
3,072
|
|
|
3.24
|
%
|
||||||
Tax-exempt securities
(3)
|
|
36,279
|
|
|
1,089
|
|
|
3.00
|
%
|
|
50,169
|
|
|
1,845
|
|
|
3.68
|
%
|
|
53,638
|
|
|
2,270
|
|
|
4.23
|
%
|
||||||
Total securities
|
|
137,194
|
|
|
4,917
|
|
|
3.58
|
%
|
|
134,248
|
|
|
4,534
|
|
|
3.38
|
%
|
|
148,525
|
|
|
5,342
|
|
|
3.60
|
%
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest-bearing deposits
|
|
3,005
|
|
|
58
|
|
|
1.93
|
%
|
|
22,461
|
|
|
237
|
|
|
1.06
|
%
|
|
36,592
|
|
|
187
|
|
|
0.51
|
%
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total interest-earning assets
|
|
1,465,643
|
|
|
59,446
|
|
|
4.06
|
%
|
|
1,306,156
|
|
|
51,258
|
|
|
3.92
|
%
|
|
1,242,283
|
|
|
48,215
|
|
|
3.88
|
%
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Other assets
|
|
97,577
|
|
|
|
|
|
|
|
|
100,481
|
|
|
|
|
|
|
|
|
99,500
|
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total assets
|
|
$
|
1,563,220
|
|
|
|
|
|
|
|
|
$
|
1,406,637
|
|
|
|
|
|
|
|
|
$
|
1,341,783
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Liabilities and shareholders’ equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Savings
|
|
$
|
164,844
|
|
|
75
|
|
|
0.05
|
%
|
|
$
|
157,851
|
|
|
62
|
|
|
0.04
|
%
|
|
$
|
151,397
|
|
|
58
|
|
|
0.04
|
%
|
|||
Super Now deposits
|
|
225,885
|
|
|
1,033
|
|
|
0.46
|
%
|
|
200,436
|
|
|
528
|
|
|
0.26
|
%
|
|
187,106
|
|
|
458
|
|
|
0.24
|
%
|
||||||
Money market deposits
|
|
240,541
|
|
|
1,214
|
|
|
0.50
|
%
|
|
274,546
|
|
|
949
|
|
|
0.35
|
%
|
|
238,175
|
|
|
648
|
|
|
0.27
|
%
|
||||||
Time deposits
|
|
259,286
|
|
|
4,048
|
|
|
1.56
|
%
|
|
210,608
|
|
|
2,544
|
|
|
1.21
|
%
|
|
221,498
|
|
|
2,383
|
|
|
1.08
|
%
|
||||||
Total interest-bearing deposits
|
|
890,556
|
|
|
6,370
|
|
|
0.72
|
%
|
|
843,441
|
|
|
4,083
|
|
|
0.48
|
%
|
|
798,176
|
|
|
3,547
|
|
|
0.44
|
%
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Short-term borrowings
|
|
85,086
|
|
|
1,757
|
|
|
2.06
|
%
|
|
25,984
|
|
|
234
|
|
|
0.89
|
%
|
|
18,518
|
|
|
46
|
|
|
0.25
|
%
|
||||||
Long-term borrowings
|
|
128,127
|
|
|
2,809
|
|
|
2.19
|
%
|
|
78,745
|
|
|
1,580
|
|
|
1.98
|
%
|
|
90,554
|
|
|
1,974
|
|
|
2.14
|
%
|
||||||
Total borrowings
|
|
213,213
|
|
|
4,566
|
|
|
2.14
|
%
|
|
104,729
|
|
|
1,814
|
|
|
1.71
|
%
|
|
109,072
|
|
|
2,020
|
|
|
1.82
|
%
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total interest-bearing liabilities
|
|
1,103,769
|
|
|
10,936
|
|
|
0.99
|
%
|
|
948,170
|
|
|
5,897
|
|
|
0.62
|
%
|
|
907,248
|
|
|
5,567
|
|
|
0.61
|
%
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Demand deposits
|
|
303,606
|
|
|
|
|
|
|
|
|
302,651
|
|
|
|
|
|
|
|
|
279,130
|
|
|
|
|
|
|
|
||||||
Other liabilities
|
|
18,742
|
|
|
|
|
|
|
|
|
14,398
|
|
|
|
|
|
|
|
|
16,152
|
|
|
|
|
|
|
|
||||||
Shareholders’ equity
|
|
137,103
|
|
|
|
|
|
|
|
|
141,418
|
|
|
|
|
|
|
|
|
139,253
|
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total liabilities and shareholders’ equity
|
|
$
|
1,563,220
|
|
|
|
|
|
|
|
|
$
|
1,406,637
|
|
|
|
|
|
|
|
|
$
|
1,341,783
|
|
|
|
|
|
|
|
|||
Interest rate spread
|
|
|
|
|
|
|
|
3.07
|
%
|
|
|
|
|
|
|
|
3.30
|
%
|
|
|
|
|
|
|
|
3.27
|
%
|
||||||
Net interest income/margin
|
|
|
|
|
$
|
48,510
|
|
|
3.31
|
%
|
|
|
|
|
$
|
45,361
|
|
|
3.47
|
%
|
|
|
|
|
$
|
42,648
|
|
|
3.44
|
%
|
1.
|
Information on this table has been calculated using average daily balance sheets to obtain average balances.
|
2.
|
Non-accrual loans have been included with loans for the purpose of analyzing net interest earnings.
|
3.
|
Income and rates on a fully taxable equivalent basis include an adjustment for the difference between annual income from tax-exempt obligations and the taxable equivalent of such income at the standard tax rate of 21% for 2018 and 34% for 2017
|
4.
|
Fees on loans are included with interest on loans as follows:
2018
- $578,000;
2017
- $1,159,000;
2016
- $873,000.
|
(In Thousands)
|
|
2018
|
|
2017
|
|
2016
|
||||||
Total interest income
|
|
$
|
58,746
|
|
|
$
|
49,977
|
|
|
$
|
46,813
|
|
Total interest expense
|
|
10,936
|
|
|
5,897
|
|
|
5,567
|
|
|||
Net interest income
|
|
47,810
|
|
|
44,080
|
|
|
41,246
|
|
|||
Tax equivalent adjustment
|
|
700
|
|
|
1,281
|
|
|
1,402
|
|
|||
Net interest income (fully taxable equivalent)
|
|
$
|
48,510
|
|
|
$
|
45,361
|
|
|
$
|
42,648
|
|
|
|
Year Ended December 31,
|
||||||||||||||||||||||
|
|
2018 vs. 2017
|
|
2017 vs. 2016
|
||||||||||||||||||||
|
|
Increase (Decrease) Due To
|
|
Increase (Decrease) Due To
|
||||||||||||||||||||
(In Thousands)
|
|
Volume
|
|
Rate
|
|
Net
|
|
Volume
|
|
Rate
|
|
Net
|
||||||||||||
Interest income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Loans, tax-exempt
|
|
$
|
514
|
|
|
$
|
(196
|
)
|
|
$
|
318
|
|
|
$
|
73
|
|
|
$
|
(1
|
)
|
|
$
|
72
|
|
Loans
|
|
6,214
|
|
|
1,452
|
|
|
7,666
|
|
|
3,729
|
|
|
—
|
|
|
3,729
|
|
||||||
Taxable investment securities
|
|
593
|
|
|
546
|
|
|
1,139
|
|
|
(345
|
)
|
|
(38
|
)
|
|
(383
|
)
|
||||||
Tax-exempt investment securities
|
|
(453
|
)
|
|
(303
|
)
|
|
(756
|
)
|
|
(142
|
)
|
|
(283
|
)
|
|
(425
|
)
|
||||||
Interest-bearing deposits
|
|
(103
|
)
|
|
(76
|
)
|
|
(179
|
)
|
|
(36
|
)
|
|
86
|
|
|
50
|
|
||||||
Total interest-earning assets
|
|
6,765
|
|
|
1,423
|
|
|
8,188
|
|
|
3,279
|
|
|
(236
|
)
|
|
3,043
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Savings deposits
|
|
2
|
|
|
11
|
|
|
13
|
|
|
4
|
|
|
—
|
|
|
4
|
|
||||||
Super Now deposits
|
|
74
|
|
|
431
|
|
|
505
|
|
|
29
|
|
|
41
|
|
|
70
|
|
||||||
Money market deposits
|
|
(36
|
)
|
|
301
|
|
|
265
|
|
|
107
|
|
|
194
|
|
|
301
|
|
||||||
Time deposits
|
|
664
|
|
|
840
|
|
|
1,504
|
|
|
(35
|
)
|
|
196
|
|
|
161
|
|
||||||
Short-term borrowings
|
|
965
|
|
|
558
|
|
|
1,523
|
|
|
25
|
|
|
163
|
|
|
188
|
|
||||||
Long-term borrowings
|
|
1,051
|
|
|
178
|
|
|
1,229
|
|
|
(250
|
)
|
|
(144
|
)
|
|
(394
|
)
|
||||||
Total interest-bearing liabilities
|
|
2,720
|
|
|
2,319
|
|
|
5,039
|
|
|
(120
|
)
|
|
450
|
|
|
330
|
|
||||||
Change in net interest income
|
|
$
|
4,045
|
|
|
$
|
(896
|
)
|
|
$
|
3,149
|
|
|
$
|
3,399
|
|
|
$
|
(686
|
)
|
|
$
|
2,713
|
|
|
|
2018
|
|
2017
|
|
Change
|
|||||||||||||||
(In Thousands)
|
|
Amount
|
|
% Total
|
|
Amount
|
|
% Total
|
|
Amount
|
|
%
|
|||||||||
Service charges
|
|
$
|
2,460
|
|
|
26.00
|
%
|
|
$
|
2,222
|
|
|
20.68
|
%
|
|
$
|
238
|
|
|
10.71
|
%
|
Net securities (losses) gains, available for sale
|
|
(47
|
)
|
|
(0.50
|
)
|
|
600
|
|
|
5.58
|
|
|
(647
|
)
|
|
(107.83
|
)
|
|||
Net equity securities losses
|
|
(170
|
)
|
|
(1.80
|
)
|
|
—
|
|
|
n/a
|
|
|
(170
|
)
|
|
n/a
|
|
|||
Net securities gains (losses) gains, trading
|
|
3
|
|
|
0.03
|
|
|
(8
|
)
|
|
(0.07
|
)
|
|
11
|
|
|
137.50
|
|
|||
Bank owned life insurance
|
|
662
|
|
|
7.00
|
|
|
666
|
|
|
6.20
|
|
|
(4
|
)
|
|
(0.60
|
)
|
|||
Gain on sale of loans
|
|
1,518
|
|
|
16.04
|
|
|
1,674
|
|
|
15.58
|
|
|
(156
|
)
|
|
(9.32
|
)
|
|||
Insurance commissions
|
|
365
|
|
|
3.86
|
|
|
496
|
|
|
4.62
|
|
|
(131
|
)
|
|
(26.41
|
)
|
|||
Brokerage commissions
|
|
1,336
|
|
|
14.12
|
|
|
1,378
|
|
|
12.83
|
|
|
(42
|
)
|
|
(3.05
|
)
|
|||
Debit card income
|
|
1,534
|
|
|
16.21
|
|
|
1,960
|
|
|
18.24
|
|
|
(426
|
)
|
|
(21.73
|
)
|
|||
Other
|
|
1,800
|
|
|
19.04
|
|
|
1,756
|
|
|
16.34
|
|
|
44
|
|
|
2.51
|
|
|||
Total non-interest income
|
|
$
|
9,461
|
|
|
100.00
|
%
|
|
$
|
10,744
|
|
|
100.00
|
%
|
|
$
|
(1,283
|
)
|
|
(11.94
|
)%
|
|
|
2017
|
|
2016
|
|
Change
|
|||||||||||||||
(In Thousands)
|
|
Amount
|
|
% Total
|
|
Amount
|
|
% Total
|
|
Amount
|
|
%
|
|||||||||
Service charges
|
|
$
|
2,222
|
|
|
20.68
|
%
|
|
$
|
2,249
|
|
|
18.57
|
%
|
|
$
|
(27
|
)
|
|
(1.20
|
)%
|
Net securities gains, available for sale
|
|
600
|
|
|
5.58
|
|
|
1,611
|
|
|
13.30
|
|
|
(1,011
|
)
|
|
(62.76
|
)
|
|||
Net securities gains (losses), trading
|
|
(8
|
)
|
|
(0.07
|
)
|
|
58
|
|
|
0.48
|
|
|
(66
|
)
|
|
113.79
|
|
|||
Bank owned life insurance
|
|
666
|
|
|
6.20
|
|
|
684
|
|
|
5.65
|
|
|
(18
|
)
|
|
(2.63
|
)
|
|||
Gain on sale of loans
|
|
1,674
|
|
|
15.58
|
|
|
2,102
|
|
|
17.35
|
|
|
(428
|
)
|
|
(20.36
|
)
|
|||
Insurance commissions
|
|
496
|
|
|
4.62
|
|
|
795
|
|
|
6.56
|
|
|
(299
|
)
|
|
(37.61
|
)
|
|||
Brokerage commissions
|
|
1,378
|
|
|
12.83
|
|
|
1,098
|
|
|
9.06
|
|
|
280
|
|
|
25.50
|
|
|||
Debit card income
|
|
1,960
|
|
|
18.24
|
|
|
1,896
|
|
|
15.65
|
|
|
64
|
|
|
3.38
|
|
|||
Other
|
|
1,756
|
|
|
16.34
|
|
|
1,620
|
|
|
13.38
|
|
|
136
|
|
|
8.40
|
|
|||
Total non-interest income
|
|
$
|
10,744
|
|
|
100.00
|
%
|
|
$
|
12,113
|
|
|
100.00
|
%
|
|
$
|
(1,369
|
)
|
|
(11.30
|
)%
|
|
|
2018
|
|
2017
|
|
Change
|
|||||||||||||||
(In Thousands)
|
|
Amount
|
|
% Total
|
|
Amount
|
|
% Total
|
|
Amount
|
|
%
|
|||||||||
Salaries and employee benefits
|
|
$
|
21,083
|
|
|
55.47
|
%
|
|
$
|
18,999
|
|
|
51.54
|
%
|
|
$
|
2,084
|
|
|
10.97
|
%
|
Occupancy
|
|
2,702
|
|
|
7.11
|
|
|
2,447
|
|
|
6.64
|
|
|
255
|
|
|
10.42
|
|
|||
Furniture and equipment
|
|
3,092
|
|
|
8.14
|
|
|
2,915
|
|
|
7.91
|
|
|
177
|
|
|
6.07
|
|
|||
Software Amortization
|
|
712
|
|
|
1.87
|
|
|
974
|
|
|
2.64
|
|
|
(262
|
)
|
|
(26.90
|
)
|
|||
Pennsylvania shares tax
|
|
1,108
|
|
|
2.92
|
|
|
925
|
|
|
2.51
|
|
|
183
|
|
|
19.78
|
|
|||
Professional fees
|
|
2,106
|
|
|
5.54
|
|
|
2,353
|
|
|
6.38
|
|
|
(247
|
)
|
|
(10.50
|
)
|
|||
Federal Deposit Insurance Corporation deposit insurance
|
|
890
|
|
|
2.34
|
|
|
669
|
|
|
1.81
|
|
|
221
|
|
|
33.03
|
|
|||
Marketing
|
|
767
|
|
|
2.02
|
|
|
958
|
|
|
2.60
|
|
|
(191
|
)
|
|
(19.94
|
)
|
|||
Intangible amortization
|
|
300
|
|
|
0.79
|
|
|
337
|
|
|
0.91
|
|
|
(37
|
)
|
|
(10.98
|
)
|
|||
Other
|
|
5,247
|
|
|
13.80
|
|
|
6,285
|
|
|
17.06
|
|
|
(1,038
|
)
|
|
(16.52
|
)
|
|||
Total non-interest expense
|
|
$
|
38,007
|
|
|
100.00
|
%
|
|
$
|
36,862
|
|
|
100.00
|
%
|
|
$
|
1,145
|
|
|
3.11
|
%
|
|
|
2017
|
|
2016
|
|
Change
|
|||||||||||||||
(In Thousands)
|
|
Amount
|
|
% Total
|
|
Amount
|
|
% Total
|
|
Amount
|
|
%
|
|||||||||
Salaries and employee benefits
|
|
$
|
18,999
|
|
|
51.54
|
%
|
|
$
|
17,813
|
|
|
50.76
|
%
|
|
$
|
1,186
|
|
|
6.66
|
%
|
Occupancy
|
|
2,447
|
|
|
6.64
|
|
|
2,223
|
|
|
6.33
|
|
|
224
|
|
|
10.08
|
|
|||
Furniture and equipment
|
|
2,915
|
|
|
7.91
|
|
|
2,793
|
|
|
7.96
|
|
|
122
|
|
|
4.37
|
|
|||
Software Amortization
|
|
974
|
|
|
2.64
|
|
|
1,256
|
|
|
3.58
|
|
|
(282
|
)
|
|
(22.45
|
)
|
|||
Pennsylvania shares tax
|
|
925
|
|
|
2.51
|
|
|
873
|
|
|
2.49
|
|
|
52
|
|
|
5.96
|
|
|||
Professional fees
|
|
2,353
|
|
|
6.38
|
|
|
2,096
|
|
|
5.97
|
|
|
257
|
|
|
12.26
|
|
|||
Federal Deposit Insurance Corporation deposit insurance
|
|
669
|
|
|
1.81
|
|
|
767
|
|
|
2.19
|
|
|
(98
|
)
|
|
(12.78
|
)
|
|||
Marketing
|
|
958
|
|
|
2.60
|
|
|
740
|
|
|
2.11
|
|
|
218
|
|
|
29.46
|
|
|||
Intangible amortization
|
|
337
|
|
|
0.91
|
|
|
366
|
|
|
1.04
|
|
|
(29
|
)
|
|
(7.92
|
)
|
|||
Other
|
|
6,285
|
|
|
17.06
|
|
|
6,164
|
|
|
17.57
|
|
|
121
|
|
|
1.96
|
|
|||
Total non-interest expense
|
|
$
|
36,862
|
|
|
100.00
|
%
|
|
$
|
35,091
|
|
|
100.00
|
%
|
|
$
|
1,771
|
|
|
5.05
|
%
|
(In Thousands)
|
|
Amount recognized in tax expense
|
||
|
|
|
||
Deferred taxes related to items recognized in continuing operations
|
|
$
|
1,906
|
|
|
|
|
||
Deferred taxes related to items recognized in other comprehensive income:
|
|
|
||
Deferred taxes on net actuarial loss on defined benefit post- retirement benefit plan
|
|
809
|
|
|
Deferred taxes on net unrealized loss on securities available for sale
|
|
9
|
|
|
Net adjustment to deferred taxes
|
|
$
|
2,724
|
|
•
|
eliminates the corporate alternative minimum tax and allows the use of any net operating loss carryforward to offset regular tax liability for any taxable year;
|
•
|
limits the deduction for net interest expense incurred by U.S. corporations;
|
•
|
allows businesses to immediately expense, for tax purposes, the cost of new investments in certain qualified depreciable assets;
|
•
|
eliminates or reduces certain deductions related to meals and entertainment expenses; and
|
•
|
modifies the corporate dividends received deductions.
|
|
|
2018
|
|
2017
|
|
2016
|
|||||||||||||||
(In Thousands)
|
|
Balance
|
|
% Portfolio
|
|
Balance
|
|
% Portfolio
|
|
Balance
|
|
% Portfolio
|
|||||||||
Available for sale (AFS):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Mortgage-backed securities
|
|
$
|
6,153
|
|
|
4.52
|
%
|
|
$
|
4,213
|
|
|
3.78
|
%
|
|
$
|
9,313
|
|
|
7.57
|
%
|
Asset-backed securities
|
|
—
|
|
|
—
|
%
|
|
—
|
|
|
—
|
%
|
|
109
|
|
|
0.09
|
%
|
|||
State and political securities (tax-exempt)
|
|
27,363
|
|
|
20.11
|
%
|
|
45,149
|
|
|
40.55
|
%
|
|
45,506
|
|
|
37.00
|
%
|
|||
State and political securities (taxable)
|
|
52,178
|
|
|
38.34
|
%
|
|
11,359
|
|
|
10.20
|
%
|
|
15,428
|
|
|
12.54
|
%
|
|||
Other bonds, notes and debentures
|
|
48,591
|
|
|
35.70
|
%
|
|
47,906
|
|
|
43.03
|
%
|
|
51,118
|
|
|
41.55
|
%
|
|||
Total debt securities
|
|
134,285
|
|
|
98.67
|
%
|
|
108,627
|
|
|
97.57
|
%
|
|
121,474
|
|
|
98.75
|
%
|
|||
Equity securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Other investment equity securities
|
|
1,776
|
|
|
1.30
|
%
|
|
2,516
|
|
|
2.26
|
%
|
|
1,483
|
|
|
1.21
|
%
|
|||
Trading securities
|
|
36
|
|
|
0.03
|
%
|
|
190
|
|
|
0.17
|
%
|
|
58
|
|
|
0.05
|
%
|
|||
Total equity securities
|
|
1,812
|
|
|
1.33
|
%
|
|
2,706
|
|
|
2.43
|
%
|
|
1,541
|
|
|
1.25
|
%
|
|||
Total
|
|
$
|
136,097
|
|
|
100.00
|
%
|
|
$
|
111,333
|
|
|
100.00
|
%
|
|
$
|
123,015
|
|
|
100.00
|
%
|
(In Thousands)
|
|
Three Months or Less
|
|
Over Three Months Through One Year
|
|
Over One Year Through Five Years
|
|
Over Five Years Through Ten Years
|
|
Over Ten Years
|
|
Amortized Cost Total
|
||||||||||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
AFS Amount
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
778
|
|
|
$
|
5,607
|
|
|
$
|
6,385
|
|
Yield
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
2.01
|
%
|
|
2.94
|
%
|
|
2.83
|
%
|
||||||
State and political securities (tax-exempt):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
AFS Amount
|
|
300
|
|
|
2,385
|
|
|
7,365
|
|
|
14,024
|
|
|
3,344
|
|
|
27,418
|
|
||||||
Yield
|
|
2.00
|
%
|
|
1.94
|
%
|
|
2.18
|
%
|
|
2.79
|
%
|
|
3.41
|
%
|
|
2.62
|
%
|
||||||
State and political securities (taxable):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
AFS Amount
|
|
—
|
|
|
—
|
|
|
6,582
|
|
|
33,338
|
|
|
12,020
|
|
|
51,940
|
|
||||||
Yield
|
|
—
|
%
|
|
—
|
%
|
|
3.30
|
%
|
|
3.63
|
%
|
|
3.66
|
%
|
|
3.60
|
%
|
||||||
Other bonds, notes, and debentures:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
AFS Amount
|
|
250
|
|
|
200
|
|
|
27,976
|
|
|
21,838
|
|
|
—
|
|
|
50,264
|
|
||||||
Yield
|
|
1.90
|
%
|
|
2.84
|
%
|
|
3.18
|
%
|
|
3.57
|
%
|
|
—
|
%
|
|
3.35
|
%
|
||||||
Total Amount
|
|
$
|
550
|
|
|
$
|
2,585
|
|
|
$
|
41,923
|
|
|
$
|
69,978
|
|
|
$
|
20,971
|
|
|
136,007
|
|
|
Total Yield
|
|
1.95
|
%
|
|
2.00
|
%
|
|
3.02
|
%
|
|
3.42
|
%
|
|
3.43
|
%
|
|
3.28
|
%
|
||||||
Equity Securities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Investment Equity Amount
|
|
|
|
|
|
|
|
|
|
|
|
1,628
|
|
|||||||||||
Trading Amount
|
|
|
|
|
|
|
|
|
|
|
|
49
|
|
|||||||||||
Total Investment Portfolio Value
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
137,684
|
|
||||||
Total Investment Portfolio Yield
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.24
|
%
|
|
|
A- to AAA
|
|
B- to BBB+
|
|
C to CCC+
|
|
Not Rated
|
|
Total
|
||||||||||||||||||||||||||||||
(In Thousands)
|
|
Amortized Cost
|
|
Fair
Value
|
|
Amortized Cost
|
|
Fair Value
|
|
Amortized Cost
|
|
Fair Value
|
|
Amortized Cost
|
|
Fair Value
|
|
Amortized Cost
|
|
Fair
Value
|
||||||||||||||||||||
Available for sale
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Mortgage-backed securities
|
|
$
|
6,385
|
|
|
$
|
6,153
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
6,385
|
|
|
$
|
6,153
|
|
State and political securities
|
|
77,500
|
|
|
77,741
|
|
|
1,858
|
|
|
1,800
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
79,358
|
|
|
79,541
|
|
||||||||||
Other debt securities
|
|
27,299
|
|
|
26,530
|
|
|
16,938
|
|
|
16,357
|
|
|
—
|
|
|
—
|
|
|
6,027
|
|
|
5,704
|
|
|
50,264
|
|
|
48,591
|
|
||||||||||
Total debt securities
|
|
$
|
111,184
|
|
|
$
|
110,424
|
|
|
$
|
18,796
|
|
|
$
|
18,157
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
6,027
|
|
|
$
|
5,704
|
|
|
$
|
136,007
|
|
|
$
|
134,285
|
|
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|||||||||||||||||||||||||
(In Thousands)
|
|
Amount
|
|
% Total
|
|
Amount
|
|
% Total
|
|
Amount
|
|
% Total
|
|
Amount
|
|
% Total
|
|
Amount
|
|
% Total
|
|||||||||||||||
Commercial, financial, and agricultural
|
|
$
|
188,561
|
|
|
13.62
|
%
|
|
$
|
178,885
|
|
|
14.35
|
%
|
|
$
|
146,110
|
|
|
13.36
|
%
|
|
$
|
164,072
|
|
|
15.70
|
%
|
|
$
|
124,156
|
|
|
13.56
|
%
|
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential
|
|
622,379
|
|
|
44.94
|
|
|
597,077
|
|
|
47.90
|
|
|
564,740
|
|
|
51.63
|
|
|
526,183
|
|
|
50.34
|
|
|
457,760
|
|
|
50.00
|
|
|||||
Commercial
|
|
371,695
|
|
|
26.84
|
|
|
332,019
|
|
|
26.63
|
|
|
306,182
|
|
|
28.00
|
|
|
302,539
|
|
|
28.95
|
|
|
291,348
|
|
|
31.82
|
|
|||||
Construction
|
|
43,523
|
|
|
3.14
|
|
|
31,683
|
|
|
2.54
|
|
|
34,650
|
|
|
3.17
|
|
|
26,824
|
|
|
2.57
|
|
|
21,996
|
|
|
2.40
|
|
|||||
Consumer Automobile
|
|
133,183
|
|
|
9.63
|
|
|
79,714
|
|
|
6.40
|
|
|
14,826
|
|
|
1.36
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Other consumer installment loans
|
|
24,552
|
|
|
1.77
|
|
|
26,964
|
|
|
2.16
|
|
|
28,430
|
|
|
2.60
|
|
|
27,001
|
|
|
2.58
|
|
|
21,509
|
|
|
2.35
|
|
|||||
Net deferred loan fees and discounts
|
|
864
|
|
|
0.06
|
|
|
272
|
|
|
0.02
|
|
|
(1,257
|
)
|
|
(0.12
|
)
|
|
(1,412
|
)
|
|
(0.14
|
)
|
|
(1,190
|
)
|
|
(0.13
|
)
|
|||||
Gross loans
|
|
$
|
1,384,757
|
|
|
100.00
|
%
|
|
$
|
1,246,614
|
|
|
100.00
|
%
|
|
$
|
1,093,681
|
|
|
100.00
|
%
|
|
$
|
1,045,207
|
|
|
100.00
|
%
|
|
$
|
915,579
|
|
|
100.00
|
%
|
|
|
Commercial, financial, and agricultural
|
|
Real Estate
|
|
Consumer automobile
|
|
Other consumer installment
|
|
|
||||||||||||||||||
(In Thousands)
|
|
|
Residential
|
|
Commercial
|
|
Construction
|
|
|
|
Total
|
|||||||||||||||||
Loans with variable interest rates:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
1 year or less
|
|
$
|
33,017
|
|
|
$
|
14,252
|
|
|
$
|
21,445
|
|
|
$
|
2,373
|
|
|
—
|
|
|
$
|
1,013
|
|
|
$
|
72,100
|
|
|
1 through 5 years
|
|
2,689
|
|
|
3,783
|
|
|
8,773
|
|
|
251
|
|
|
—
|
|
|
—
|
|
|
15,496
|
|
|||||||
5 through 10 years
|
|
59,531
|
|
|
26,030
|
|
|
42,389
|
|
|
2,426
|
|
|
—
|
|
|
6
|
|
|
130,382
|
|
|||||||
After 10 years
|
|
42,048
|
|
|
554,441
|
|
|
273,033
|
|
|
32,952
|
|
|
—
|
|
|
2,650
|
|
|
905,124
|
|
|||||||
Total floating interest rate loans
|
|
137,285
|
|
|
598,506
|
|
|
345,640
|
|
|
38,002
|
|
|
—
|
|
|
3,669
|
|
|
1,123,102
|
|
|||||||
Loans with fixed interest rates:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
1 year or less
|
|
1,259
|
|
|
1,344
|
|
|
1,044
|
|
|
103
|
|
|
108
|
|
|
1,011
|
|
|
4,869
|
|
|||||||
1 through 5 years
|
|
35,300
|
|
|
4,860
|
|
|
8,675
|
|
|
1,850
|
|
|
49,980
|
|
|
15,323
|
|
|
115,988
|
|
|||||||
5 through 10 years
|
|
14,531
|
|
|
10,286
|
|
|
15,574
|
|
|
485
|
|
|
83,095
|
|
|
3,070
|
|
|
127,041
|
|
|||||||
After 10 years
|
|
186
|
|
|
7,383
|
|
|
762
|
|
|
3,083
|
|
|
—
|
|
|
1,479
|
|
|
12,893
|
|
|||||||
Total fixed interest rate loans
|
|
51,276
|
|
|
23,873
|
|
|
26,055
|
|
|
5,521
|
|
|
133,183
|
|
|
20,883
|
|
|
260,791
|
|
|||||||
Total
|
|
$
|
188,561
|
|
|
$
|
622,379
|
|
|
$
|
371,695
|
|
|
$
|
43,523
|
|
|
$
|
133,183
|
|
|
$
|
24,552
|
|
|
1,383,893
|
|
|
Net deferred loan fees and discounts
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
864
|
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
1,384,757
|
|
|
|
2018
|
|
2017
|
|
2016
|
||||||||||||||||||||||||||||||
(In Thousands)
|
|
Accrual
|
|
Nonaccrual
|
|
Total
|
|
Accrual
|
|
Nonaccrual
|
|
Total
|
|
Accrual
|
|
Nonaccrual
|
|
Total
|
||||||||||||||||||
Commercial, financial, and agricultural
|
|
$
|
—
|
|
|
$
|
1,127
|
|
|
$
|
1,127
|
|
|
$
|
5
|
|
|
$
|
114
|
|
|
$
|
119
|
|
|
$
|
109
|
|
|
$
|
132
|
|
|
$
|
241
|
|
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Residential
|
|
2,225
|
|
|
159
|
|
|
2,384
|
|
|
2,151
|
|
|
273
|
|
|
2,424
|
|
|
1,491
|
|
|
541
|
|
|
2,032
|
|
|||||||||
Commercial
|
|
3,959
|
|
|
2,129
|
|
|
6,088
|
|
|
4,429
|
|
|
2,076
|
|
|
6,505
|
|
|
4,723
|
|
|
2,184
|
|
|
6,907
|
|
|||||||||
Construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||||
Other consumer installment loans
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||||
|
|
$
|
6,184
|
|
|
$
|
3,415
|
|
|
$
|
9,599
|
|
|
$
|
6,585
|
|
|
$
|
2,463
|
|
|
$
|
9,048
|
|
|
$
|
6,323
|
|
|
$
|
2,857
|
|
|
$
|
9,180
|
|
Allocation of the Allowance For Loan Losses
|
|||||||||||||||||||||||||||||||||||
|
|
December 31, 2018
|
|
December 31, 2017
|
|
December 31, 2016
|
|
December 31, 2015
|
|
December 31, 2014
|
|||||||||||||||||||||||||
(In Thousands)
|
|
Amount
|
|
% Total
|
|
Amount
|
|
% Total
|
|
Amount
|
|
% Total
|
|
Amount
|
|
% Total
|
|
Amount
|
|
% Total
|
|||||||||||||||
Balance at end of period applicable to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Commercial, financial, and agricultural
|
|
$
|
1,680
|
|
|
13.63
|
%
|
|
$
|
1,177
|
|
|
14.35
|
%
|
|
$
|
1,554
|
|
|
13.34
|
%
|
|
$
|
1,532
|
|
|
15.68
|
%
|
|
$
|
1,124
|
|
|
13.54
|
%
|
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential
|
|
5,616
|
|
|
44.97
|
|
|
5,679
|
|
|
47.91
|
|
|
5,383
|
|
|
51.58
|
|
|
5,116
|
|
|
50.27
|
|
|
3,755
|
|
|
49.93
|
|
|||||
Commercial
|
|
4,047
|
|
|
26.86
|
|
|
4,277
|
|
|
26.64
|
|
|
4,975
|
|
|
27.96
|
|
|
4,217
|
|
|
28.91
|
|
|
4,205
|
|
|
31.78
|
|
|||||
Construction
|
|
143
|
|
|
3.14
|
|
|
155
|
|
|
2.54
|
|
|
178
|
|
|
3.17
|
|
|
160
|
|
|
2.56
|
|
|
786
|
|
|
2.40
|
|
|||||
Consumer automobiles
|
|
1,328
|
|
|
9.62
|
|
|
804
|
|
|
6.40
|
|
|
143
|
|
|
1.35
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Other consumer installment loans
|
|
259
|
|
|
1.78
|
|
|
271
|
|
|
2.16
|
|
|
273
|
|
|
2.60
|
|
|
243
|
|
|
2.58
|
|
|
245
|
|
|
2.35
|
|
|||||
Unallocated
|
|
764
|
|
|
—
|
|
|
495
|
|
|
—
|
|
|
390
|
|
|
—
|
|
|
776
|
|
|
—
|
|
|
464
|
|
|
—
|
|
|||||
|
|
$
|
13,837
|
|
|
100.00
|
%
|
|
$
|
12,858
|
|
|
100.00
|
%
|
|
$
|
12,896
|
|
|
100.00
|
%
|
|
$
|
12,044
|
|
|
100.00
|
%
|
|
$
|
10,579
|
|
|
100.00
|
%
|
|
|
Total Nonperforming Loans
|
||||||||||
(In Thousands)
|
|
90 Days Past Due
|
|
Nonaccrual
|
|
Total
|
||||||
2018
|
|
$
|
1,274
|
|
|
$
|
15,298
|
|
|
$
|
16,572
|
|
2017
|
|
509
|
|
|
6,759
|
|
|
7,268
|
|
|||
2016
|
|
870
|
|
|
10,756
|
|
|
11,626
|
|
|||
2015
|
|
979
|
|
|
8,467
|
|
|
9,446
|
|
|||
2014
|
|
387
|
|
|
11,861
|
|
|
12,248
|
|
|
|
2018
|
|
2017
|
|
2016
|
|||||||||||||||
(In Thousands)
|
|
Average
Amount
|
|
Rate
|
|
Average
Amount
|
|
Rate
|
|
Average
Amount
|
|
Rate
|
|||||||||
Noninterest-bearing
|
|
$
|
303,606
|
|
|
0.00
|
%
|
|
$
|
302,651
|
|
|
0.00
|
%
|
|
$
|
279,130
|
|
|
0.00
|
%
|
Savings
|
|
164,844
|
|
|
0.05
|
|
|
157,851
|
|
|
0.04
|
|
|
151,397
|
|
|
0.04
|
|
|||
Super Now
|
|
225,885
|
|
|
0.46
|
|
|
200,436
|
|
|
0.26
|
|
|
187,106
|
|
|
0.24
|
|
|||
Money Market
|
|
240,541
|
|
|
0.50
|
|
|
274,546
|
|
|
0.35
|
|
|
238,175
|
|
|
0.27
|
|
|||
Time
|
|
259,286
|
|
|
1.56
|
|
|
210,608
|
|
|
1.21
|
|
|
221,498
|
|
|
1.08
|
|
|||
Total average deposits
|
|
$
|
1,194,162
|
|
|
0.53
|
%
|
|
$
|
1,146,092
|
|
|
0.36
|
%
|
|
$
|
1,077,306
|
|
|
0.33
|
%
|
|
Corporation
|
|
Jersey Shore State Bank
|
|
Luzerne Bank
|
|
Minimum
Standards
|
||||
Common equity tier 1 capital to risk-weighted assets
|
10.178
|
%
|
|
9.879
|
%
|
|
10.061
|
%
|
|
6.375
|
%
|
Tier 1 capital to risk-weighted assets
|
10.178
|
%
|
|
9.879
|
%
|
|
10.061
|
%
|
|
7.875
|
%
|
Total capital to risk-weighted assets
|
10.972
|
%
|
|
10.764
|
%
|
|
10.603
|
%
|
|
9.875
|
%
|
Tier 1 capital to average assets
|
8.176
|
%
|
|
7.724
|
%
|
|
8.655
|
%
|
|
4.000
|
%
|
|
2018
|
|
2017
|
|
2016
|
|||
Percentage of net income to:
|
|
|
|
|
|
|
|
|
Average total assets
|
0.94
|
%
|
|
0.69
|
%
|
|
0.93
|
%
|
Average shareholders’ equity
|
10.72
|
%
|
|
6.91
|
%
|
|
8.96
|
%
|
Percentage of dividends declared to net income
|
59.97
|
%
|
|
90.42
|
%
|
|
71.37
|
%
|
Percentage of average shareholders’ equity to average total assets
|
8.77
|
%
|
|
10.05
|
%
|
|
10.38
|
%
|
|
|
Parallel Rate Shock in Basis Points
|
||||||||||||||||||||||||||
(In Thousands)
|
|
(200)
|
|
(100)
|
|
Static
|
|
100
|
|
200
|
|
300
|
|
400
|
||||||||||||||
Net interest income
|
|
$
|
50,175
|
|
|
$
|
51,778
|
|
|
$
|
52,800
|
|
|
$
|
53,391
|
|
|
$
|
53,804
|
|
|
$
|
54,070
|
|
|
$
|
54,378
|
|
Change from static
|
|
(2,625
|
)
|
|
(1,022
|
)
|
|
—
|
|
|
591
|
|
|
1,004
|
|
|
1,270
|
|
|
1,578
|
|
|||||||
Percent change from static
|
|
-4.97
|
%
|
|
-1.94
|
%
|
|
—
|
|
|
1.12
|
%
|
|
1.90
|
%
|
|
2.41
|
%
|
|
2.99
|
%
|
|
|
Payments Due In
|
||||||||||||||||||
(In Thousands)
|
|
One Year or Less
|
|
One to Three Years
|
|
Three to Five Years
|
|
Over Five Years
|
|
Total
|
||||||||||
Deposits without a stated maturity
|
|
$
|
933,292
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
933,292
|
|
Time deposits
|
|
133,985
|
|
|
146,099
|
|
|
5,284
|
|
|
1,243
|
|
|
286,611
|
|
|||||
Repurchase agreements
|
|
5,662
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,662
|
|
|||||
Short-term borrowings
|
|
162,203
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
162,203
|
|
|||||
Long-term borrowings
|
|
32,321
|
|
|
43,363
|
|
|
30,031
|
|
|
33,227
|
|
|
138,942
|
|
|||||
Operating leases
|
|
546
|
|
|
1,123
|
|
|
1,057
|
|
|
2,117
|
|
|
4,843
|
|
ITEM 7A
|
QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
|
ITEM 8
|
FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
|
|
|
December 31,
|
||||||
(In Thousands, Except Share Data)
|
|
2018
|
|
2017
|
||||
ASSETS:
|
|
|
|
|
|
|
||
Noninterest-bearing balances
|
|
$
|
24,325
|
|
|
$
|
25,692
|
|
Interest-bearing deposits in other financial institutions
|
|
42,417
|
|
|
1,551
|
|
||
Total cash and cash equivalents
|
|
66,742
|
|
|
27,243
|
|
||
|
|
|
|
|
||||
Investment debt securities, available for sale, at fair value
|
|
134,285
|
|
|
108,627
|
|
||
Investment equity securities, at fair value
|
|
1,776
|
|
|
2,516
|
|
||
Investment securities, trading
|
|
36
|
|
|
190
|
|
||
Restricted investment in bank stock, at fair value
|
|
18,862
|
|
|
13,332
|
|
||
Loans held for sale
|
|
2,929
|
|
|
1,196
|
|
||
Loans
|
|
1,384,757
|
|
|
1,246,614
|
|
||
Allowance for loan losses
|
|
(13,837
|
)
|
|
(12,858
|
)
|
||
Loans, net
|
|
1,370,920
|
|
|
1,233,756
|
|
||
Premises and equipment, net
|
|
27,580
|
|
|
27,386
|
|
||
Accrued interest receivable
|
|
5,334
|
|
|
4,321
|
|
||
Bank-owned life insurance
|
|
28,627
|
|
|
27,982
|
|
||
Goodwill
|
|
17,104
|
|
|
17,104
|
|
||
Intangibles
|
|
1,162
|
|
|
1,462
|
|
||
Deferred tax asset
|
|
5,154
|
|
|
4,388
|
|
||
Other assets
|
|
4,260
|
|
|
4,989
|
|
||
TOTAL ASSETS
|
|
$
|
1,684,771
|
|
|
$
|
1,474,492
|
|
|
|
|
|
|
||||
LIABILITIES:
|
|
|
|
|
|
|
||
Interest-bearing deposits
|
|
$
|
899,089
|
|
|
$
|
843,004
|
|
Noninterest-bearing deposits
|
|
320,814
|
|
|
303,316
|
|
||
Total deposits
|
|
1,219,903
|
|
|
1,146,320
|
|
||
|
|
|
|
|
||||
Short-term borrowings
|
|
167,865
|
|
|
100,748
|
|
||
Long-term borrowings
|
|
138,942
|
|
|
70,970
|
|
||
Accrued interest payable
|
|
1,150
|
|
|
502
|
|
||
Other liabilities
|
|
13,367
|
|
|
17,758
|
|
||
TOTAL LIABILITIES
|
|
1,541,227
|
|
|
1,336,298
|
|
||
|
|
|
|
|
||||
SHAREHOLDERS’ EQUITY:
|
|
|
|
|
|
|
||
Preferred stock, no par value, 3,000,000 shares authorized; no shares issued
|
|
—
|
|
|
—
|
|
||
Common stock, par value $8.33, 15,000,000 shares authorized;
5,011,698
and 5,009,339 shares issued; 4,691,548 and 4,689,189 shares outstanding
|
|
41,763
|
|
|
41,744
|
|
||
Additional paid-in capital
|
|
50,737
|
|
|
50,173
|
|
||
Retained earnings
|
|
69,787
|
|
|
63,364
|
|
||
Accumulated other comprehensive loss:
|
|
|
|
|
|
|
||
Net unrealized loss on available for sale securities
|
|
(1,360
|
)
|
|
(54
|
)
|
||
Defined benefit plan
|
|
(5,276
|
)
|
|
(4,920
|
)
|
||
Treasury stock at cost, 320,150 shares
|
|
(12,115
|
)
|
|
(12,115
|
)
|
||
TOTAL PENNS WOODS BANCORP, INC. SHAREHOLDERS’ EQUITY
|
|
143,536
|
|
|
138,192
|
|
||
Non controlling interest
|
|
8
|
|
|
2
|
|
||
TOTAL SHAREHOLDERS' EQUITY
|
|
143,544
|
|
|
138,194
|
|
||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY
|
|
$
|
1,684,771
|
|
|
$
|
1,474,492
|
|
|
Year Ended December 31,
|
||||||||||
(In Thousands, Except Per Share Data)
|
2018
|
|
2017
|
|
2016
|
||||||
INTEREST AND DIVIDEND INCOME:
|
|
|
|
|
|
|
|
|
|||
Loans, including fees
|
$
|
54,000
|
|
|
$
|
45,833
|
|
|
$
|
42,056
|
|
Investment securities:
|
|
|
|
|
|
|
|
|
|||
Taxable
|
2,784
|
|
|
2,182
|
|
|
2,424
|
|
|||
Tax-exempt
|
860
|
|
|
1,218
|
|
|
1,498
|
|
|||
Dividend and other interest income
|
1,102
|
|
|
744
|
|
|
835
|
|
|||
TOTAL INTEREST AND DIVIDEND INCOME
|
58,746
|
|
|
49,977
|
|
|
46,813
|
|
|||
|
|
|
|
|
|
||||||
INTEREST EXPENSE:
|
|
|
|
|
|
|
|
|
|||
Deposits
|
6,370
|
|
|
4,083
|
|
|
3,547
|
|
|||
Short-term borrowings
|
1,757
|
|
|
234
|
|
|
46
|
|
|||
Long-term borrowings
|
2,809
|
|
|
1,580
|
|
|
1,974
|
|
|||
TOTAL INTEREST EXPENSE
|
10,936
|
|
|
5,897
|
|
|
5,567
|
|
|||
|
|
|
|
|
|
||||||
NET INTEREST INCOME
|
47,810
|
|
|
44,080
|
|
|
41,246
|
|
|||
|
|
|
|
|
|
||||||
PROVISION FOR LOAN LOSSES
|
1,735
|
|
|
730
|
|
|
1,196
|
|
|||
|
|
|
|
|
|
||||||
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES
|
46,075
|
|
|
43,350
|
|
|
40,050
|
|
|||
|
|
|
|
|
|
||||||
NON-INTEREST INCOME:
|
|
|
|
|
|
|
|
|
|||
Service charges
|
2,460
|
|
|
2,222
|
|
|
2,249
|
|
|||
Net debt securities (losses) gains, available for sale
|
(47
|
)
|
|
600
|
|
|
1,611
|
|
|||
Net equity securities losses
|
(170
|
)
|
|
—
|
|
|
—
|
|
|||
Net securities gains (losses), trading
|
3
|
|
|
(8
|
)
|
|
58
|
|
|||
Bank-owned life insurance
|
662
|
|
|
666
|
|
|
684
|
|
|||
Gain on sale of loans
|
1,518
|
|
|
1,674
|
|
|
2,102
|
|
|||
Insurance commissions
|
365
|
|
|
496
|
|
|
795
|
|
|||
Brokerage commissions
|
1,336
|
|
|
1,378
|
|
|
1,098
|
|
|||
Debit card income
|
1,534
|
|
|
1,960
|
|
|
1,896
|
|
|||
Other
|
1,800
|
|
|
1,756
|
|
|
1,620
|
|
|||
TOTAL NON-INTEREST INCOME
|
9,461
|
|
|
10,744
|
|
|
12,113
|
|
|||
|
|
|
|
|
|
||||||
NON-INTEREST EXPENSE:
|
|
|
|
|
|
|
|
|
|||
Salaries and employee benefits
|
21,083
|
|
|
18,999
|
|
|
17,813
|
|
|||
Occupancy
|
2,702
|
|
|
2,447
|
|
|
2,223
|
|
|||
Furniture and equipment
|
3,092
|
|
|
2,915
|
|
|
2,793
|
|
|||
Software amortization
|
712
|
|
|
974
|
|
|
1,256
|
|
|||
Pennsylvania shares tax
|
1,108
|
|
|
925
|
|
|
873
|
|
|||
Professional Fees
|
2,106
|
|
|
2,353
|
|
|
2,096
|
|
|||
Federal Deposit Insurance Corporation deposit insurance
|
890
|
|
|
669
|
|
|
767
|
|
|||
Marketing
|
767
|
|
|
958
|
|
|
740
|
|
|||
Intangible amortization
|
300
|
|
|
337
|
|
|
366
|
|
|||
Other
|
5,247
|
|
|
6,285
|
|
|
6,164
|
|
|||
TOTAL NON-INTEREST EXPENSE
|
38,007
|
|
|
36,862
|
|
|
35,091
|
|
|||
|
|
|
|
|
|
||||||
INCOME BEFORE INCOME TAX PROVISION
|
17,529
|
|
|
17,232
|
|
|
17,072
|
|
|||
INCOME TAX PROVISION
|
2,819
|
|
|
7,459
|
|
|
4,597
|
|
|||
CONSOLIDATED NET INCOME
|
$
|
14,710
|
|
|
$
|
9,773
|
|
|
$
|
12,475
|
|
Earnings attributable to noncontrolling interest
|
6
|
|
|
—
|
|
|
—
|
|
|||
NET INCOME ATTRIBUTABLE TO PENNS WOODS BANCORP, INC.
|
$
|
14,704
|
|
|
$
|
9,773
|
|
|
$
|
12,475
|
|
|
|
|
|
|
|
||||||
EARNINGS PER SHARE - BASIC AND DILUTED
|
$
|
3.14
|
|
|
$
|
2.08
|
|
|
$
|
2.64
|
|
|
|
|
|
|
|
||||||
WEIGHTED AVERAGE SHARES OUTSTANDING - BASIC AND DILUTED
|
4,690,254
|
|
|
4,705,602
|
|
|
4,735,457
|
|
|||
|
|
|
|
|
|
||||||
DIVIDENDS PER SHARE
|
$
|
1.88
|
|
|
$
|
1.88
|
|
|
$
|
1.88
|
|
|
|
Year Ended December 31,
|
||||||||||
(In Thousands)
|
|
2018
|
|
2017
|
|
2016
|
||||||
Net Income
|
|
$
|
14,704
|
|
|
$
|
9,773
|
|
|
$
|
12,475
|
|
Other comprehensive income (loss):
|
|
|
|
|
|
|
|
|
|
|||
Change in unrealized gain (loss) on available for sale securities
|
|
(1,022
|
)
|
|
1,500
|
|
|
252
|
|
|||
Tax effect
|
|
216
|
|
|
(510
|
)
|
|
(85
|
)
|
|||
Net realized loss (gain) included in net income
|
|
47
|
|
|
(600
|
)
|
|
(1,611
|
)
|
|||
Tax effect
|
|
(10
|
)
|
|
204
|
|
|
547
|
|
|||
(Accretion) amortization of unrecognized pension and post-retirement items
|
|
(451
|
)
|
|
270
|
|
|
(352
|
)
|
|||
Tax effect
|
|
95
|
|
|
(92
|
)
|
|
120
|
|
|||
Total other comprehensive income (loss)
|
|
(1,125
|
)
|
|
772
|
|
|
(1,129
|
)
|
|||
Comprehensive income
|
|
$
|
13,579
|
|
|
$
|
10,545
|
|
|
$
|
11,346
|
|
(In Thousands, Except Per Share Data)
|
|
COMMON STOCK
|
|
ADDITIONAL
PAID-IN CAPITAL |
|
RETAINED EARNINGS
|
|
ACCUMULATED
OTHER COMPREHENSIVE LOSS |
|
TREASURY STOCK
|
|
NON-CONTROLLING INTEREST
|
|
TOTAL
SHAREHOLDERS’ EQUITY |
|||||||||||||||||
SHARES
|
|
AMOUNT
|
|||||||||||||||||||||||||||||
Balance, December 31, 2015
|
|
5,004,984
|
|
|
$
|
41,708
|
|
|
$
|
49,992
|
|
|
$
|
58,038
|
|
|
$
|
(3,799
|
)
|
|
$
|
(9,660
|
)
|
|
$
|
—
|
|
|
$
|
136,279
|
|
Net income
|
|
|
|
|
|
|
|
|
|
|
12,475
|
|
|
|
|
|
|
|
|
|
|
12,475
|
|
||||||||
Other comprehensive loss
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1,129
|
)
|
|
|
|
|
|
|
(1,129
|
)
|
||||||||
Stock-based compensation recognized in earnings
|
|
|
|
|
|
19
|
|
|
|
|
|
|
|
|
|
|
19
|
|
|||||||||||||
Dividends declared, ($1.88 per share)
|
|
|
|
|
|
|
|
|
|
|
(8,903
|
)
|
|
|
|
|
|
|
|
|
|
(8,903
|
)
|
||||||||
Common shares issued for employee stock purchase plan
|
|
2,125
|
|
|
18
|
|
|
64
|
|
|
|
|
|
|
|
|
|
|
82
|
|
|||||||||||
Purchase of treasury stock (14,600 shares)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(574
|
)
|
|
|
|
(574
|
)
|
||||||||
Balance, December 31, 2016
|
|
5,007,109
|
|
|
41,726
|
|
|
50,075
|
|
|
61,610
|
|
|
(4,928
|
)
|
|
(10,234
|
)
|
|
—
|
|
|
138,249
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net income
|
|
|
|
|
|
|
|
|
|
|
9,773
|
|
|
|
|
|
|
|
|
|
|
9,773
|
|
||||||||
Reclassification of certain income tax effects from accumulated other comprehensive loss
|
|
|
|
|
|
|
|
818
|
|
|
(818
|
)
|
|
|
|
|
|
—
|
|
||||||||||||
Other comprehensive income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
772
|
|
|
|
|
|
|
|
772
|
|
||||||||
Stock-based compensation recognized in earnings
|
|
|
|
|
|
29
|
|
|
|
|
|
|
|
|
|
|
29
|
|
|||||||||||||
Dividends declared, ($1.88 per share)
|
|
|
|
|
|
|
|
|
|
|
(8,837
|
)
|
|
|
|
|
|
|
|
|
|
(8,837
|
)
|
||||||||
Noncontrolling investment in joint venture
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2
|
|
|
2
|
|
|||||||||||||
Common shares issued for employee stock purchase plan
|
|
2,230
|
|
|
18
|
|
|
69
|
|
|
|
|
|
|
|
|
|
|
|
|
|
87
|
|
||||||||
Purchase of treasury stock (47,698 shares)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1,881
|
)
|
|
|
|
(1,881
|
)
|
||||||||
Balance, December 31, 2017
|
|
5,009,339
|
|
|
41,744
|
|
|
50,173
|
|
|
63,364
|
|
|
(4,974
|
)
|
|
(12,115
|
)
|
|
2
|
|
|
138,194
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net income
|
|
|
|
|
|
|
|
|
|
|
14,704
|
|
|
|
|
|
|
|
|
6
|
|
|
14,710
|
|
|||||||
Adoption of ASU 2016-01
|
|
|
|
|
|
|
|
537
|
|
|
(537
|
)
|
|
|
|
|
|
—
|
|
||||||||||||
Other comprehensive loss
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1,125
|
)
|
|
|
|
|
|
|
(1,125
|
)
|
||||||||
Stock-based compensation recognized in earnings
|
|
|
|
|
|
486
|
|
|
|
|
|
|
|
|
|
|
486
|
|
|||||||||||||
Dividends declared, ($1.88 per share)
|
|
|
|
|
|
|
|
|
|
|
(8,818
|
)
|
|
|
|
|
|
|
|
|
|
(8,818
|
)
|
||||||||
Common shares issued for employee stock purchase plan
|
|
2,359
|
|
|
19
|
|
|
78
|
|
|
|
|
|
|
|
|
|
|
|
|
|
97
|
|
||||||||
Balance, December 31, 2018
|
|
5,011,698
|
|
|
$
|
41,763
|
|
|
$
|
50,737
|
|
|
$
|
69,787
|
|
|
$
|
(6,636
|
)
|
|
$
|
(12,115
|
)
|
|
$
|
8
|
|
|
$
|
143,544
|
|
|
|
Year Ended December 31,
|
||||||||||
(In Thousands)
|
|
2018
|
|
2017
|
|
2016
|
||||||
OPERATING ACTIVITIES:
|
|
|
|
|
|
|
|
|
|
|||
Net Income
|
|
$
|
14,704
|
|
|
$
|
9,773
|
|
|
$
|
12,475
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
|
|
|
|
|||
Depreciation and amortization
|
|
2,515
|
|
|
2,632
|
|
|
3,146
|
|
|||
Amortization of intangible assets
|
|
300
|
|
|
337
|
|
|
366
|
|
|||
Provision for loan losses
|
|
1,735
|
|
|
730
|
|
|
1,196
|
|
|||
Amortization of investment security discounts and premiums, net
|
|
776
|
|
|
893
|
|
|
870
|
|
|||
Securities losses (gains), available for sale
|
|
47
|
|
|
(600
|
)
|
|
(1,611
|
)
|
|||
Originations of loans held for sale
|
|
(55,283
|
)
|
|
(53,407
|
)
|
|
(68,362
|
)
|
|||
Proceeds of loans held for sale
|
|
55,068
|
|
|
55,838
|
|
|
69,268
|
|
|||
Gain on sale of loans
|
|
(1,518
|
)
|
|
(1,674
|
)
|
|
(2,102
|
)
|
|||
Net equity securities losses
|
|
170
|
|
|
—
|
|
|
—
|
|
|||
Net securities (gains) losses, trading
|
|
(3
|
)
|
|
8
|
|
|
(58
|
)
|
|||
Proceeds from sales of trading securities
|
|
466
|
|
|
426
|
|
|
3,826
|
|
|||
Purchases of trading securities
|
|
(309
|
)
|
|
(566
|
)
|
|
(3,753
|
)
|
|||
Earnings on bank-owned life insurance
|
|
(662
|
)
|
|
(666
|
)
|
|
(684
|
)
|
|||
(Increase) decrease in deferred tax asset
|
|
(324
|
)
|
|
1,769
|
|
|
1,543
|
|
|||
Other, net
|
|
(412
|
)
|
|
2,200
|
|
|
(7
|
)
|
|||
Net cash provided by operating activities
|
|
17,270
|
|
|
17,693
|
|
|
16,113
|
|
|||
INVESTING ACTIVITIES:
|
|
|
|
|
|
|
|
|
|
|||
Investment debt securities available for sale:
|
|
|
|
|
|
|
|
|
|
|||
Proceeds from sales
|
|
19,296
|
|
|
25,528
|
|
|
44,829
|
|
|||
Proceeds from calls and maturities
|
|
8,033
|
|
|
11,564
|
|
|
25,558
|
|
|||
Purchases
|
|
(58,725
|
)
|
|
(22,986
|
)
|
|
(28,322
|
)
|
|||
Proceeds from sales of equity securities
|
|
570
|
|
|
—
|
|
|
—
|
|
|||
Net increase in loans
|
|
(139,776
|
)
|
|
(152,806
|
)
|
|
(49,590
|
)
|
|||
Acquisition of bank premises and equipment
|
|
(2,005
|
)
|
|
(4,999
|
)
|
|
(4,061
|
)
|
|||
Proceeds from the sale of foreclosed assets
|
|
445
|
|
|
1,108
|
|
|
859
|
|
|||
Purchase of bank-owned life insurance
|
|
(30
|
)
|
|
(34
|
)
|
|
(27
|
)
|
|||
Capital contribution from non-controlling interest
|
|
—
|
|
|
2
|
|
|
—
|
|
|||
Proceeds from redemption of regulatory stock
|
|
15,352
|
|
|
7,677
|
|
|
3,160
|
|
|||
Purchases of regulatory stock
|
|
(20,882
|
)
|
|
(12,158
|
)
|
|
(3,178
|
)
|
|||
Net cash used for investing activities
|
|
(177,722
|
)
|
|
(147,104
|
)
|
|
(10,772
|
)
|
|||
FINANCING ACTIVITIES:
|
|
|
|
|
|
|
|
|
|
|||
Net increase in interest-bearing deposits
|
|
56,085
|
|
|
51,067
|
|
|
40,140
|
|
|||
Net increase in noninterest-bearing deposits
|
|
17,498
|
|
|
39
|
|
|
23,194
|
|
|||
Proceeds from long-term borrowings
|
|
80,000
|
|
|
30,000
|
|
|
—
|
|
|||
Repayment of long-term borrowings
|
|
(12,028
|
)
|
|
(45,028
|
)
|
|
(5,027
|
)
|
|||
Net increase (decrease) in short-term borrowings
|
|
67,117
|
|
|
87,507
|
|
|
(33,397
|
)
|
|||
Dividends paid
|
|
(8,818
|
)
|
|
(8,837
|
)
|
|
(8,903
|
)
|
|||
Issuance of common stock
|
|
97
|
|
|
116
|
|
|
101
|
|
|||
Purchase of treasury stock
|
|
—
|
|
|
(1,881
|
)
|
|
(574
|
)
|
|||
Net cash provided by financing activities
|
|
199,951
|
|
|
112,983
|
|
|
15,534
|
|
|||
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS
|
|
39,499
|
|
|
(16,428
|
)
|
|
20,875
|
|
|||
CASH AND CASH EQUIVALENTS, BEGINNING
|
|
27,243
|
|
|
43,671
|
|
|
22,796
|
|
|||
CASH AND CASH EQUIVALENTS, ENDING
|
|
$
|
66,742
|
|
|
$
|
27,243
|
|
|
$
|
43,671
|
|
|
|
Year Ended December 31,
|
||||||||||
(In Thousands)
|
|
2018
|
|
2017
|
|
2016
|
||||||
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
|
|
|
|
|
|
|
||||||
Interest paid
|
|
$
|
10,288
|
|
|
$
|
5,850
|
|
|
$
|
5,538
|
|
Income taxes paid
|
|
2,350
|
|
|
4,450
|
|
|
4,025
|
|
|||
Transfer of loans to foreclosed real estate
|
|
877
|
|
|
593
|
|
|
772
|
|
|||
Transfer due to adoption of ASU 2016-01, equity securities fair value adjust, reclassification from AOCI to Retained Earnings, net of tax
|
|
537
|
|
|
—
|
|
|
—
|
|
|||
Transfer due to adoption of ASU 2018-02, income statement - reporting comprehensive income, reclassification of certain tax effects from accumulated other comprehensive income
|
|
—
|
|
|
818
|
|
|
—
|
|
•
|
management judges the asset to be uncollectible;
|
•
|
repayment is deemed to be protracted beyond reasonable time frames;
|
•
|
the asset has been classified as a loss by either the internal loan review process or external examiners;
|
•
|
the borrower has filed bankruptcy and the loss becomes evident due to a lack of assets; or
|
•
|
the loan is
180
days past due unless both well secured and in the process of collection.
|
|
|
Twelve Months Ended
December 31, 2018 |
|
Twelve Months Ended
December 31, 2017 |
|
Twelve Months Ended
December 31, 2016 |
||||||||||||||||||||||||||||||
(In Thousands)
|
|
Net Unrealized Gain (Loss) on Available
for Sale Securities * |
|
Defined
Benefit
Plan*
|
|
Total*
|
|
Net Unrealized Gain (Loss) on Available
for Sale Securities * |
|
Defined
Benefit Plan * |
|
Total
*
|
|
Net Unrealized Gain (Loss) on Available
for Sale Securities * |
|
Defined
Benefit Plan * |
|
Total
*
|
||||||||||||||||||
Beginning balance
|
|
$
|
(54
|
)
|
|
$
|
(4,920
|
)
|
|
$
|
(4,974
|
)
|
|
$
|
(639
|
)
|
|
$
|
(4,289
|
)
|
|
$
|
(4,928
|
)
|
|
$
|
258
|
|
|
$
|
(4,057
|
)
|
|
$
|
(3,799
|
)
|
Other comprehensive income (loss) before reclassifications
|
|
(806
|
)
|
|
(486
|
)
|
|
(1,292
|
)
|
|
990
|
|
|
63
|
|
|
1,053
|
|
|
167
|
|
|
(333
|
)
|
|
(166
|
)
|
|||||||||
Amounts reclassified from accumulated other comprehensive (loss) income
|
|
37
|
|
|
130
|
|
|
167
|
|
|
(396
|
)
|
|
115
|
|
|
(281
|
)
|
|
(1,064
|
)
|
|
101
|
|
|
(963
|
)
|
|||||||||
Net current-period other comprehensive income (loss)
|
|
(769
|
)
|
|
(356
|
)
|
|
(1,125
|
)
|
|
594
|
|
|
178
|
|
|
772
|
|
|
(897
|
)
|
|
(232
|
)
|
|
(1,129
|
)
|
|||||||||
Reclassification of certain income tax effects from accumulated other comprehensive loss
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(9
|
)
|
|
(809
|
)
|
|
(818
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||||
Reclassification from adoption of 2016-01
|
|
(537
|
)
|
|
—
|
|
|
(537
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||||
Ending balance
|
|
$
|
(1,360
|
)
|
|
$
|
(5,276
|
)
|
|
$
|
(6,636
|
)
|
|
$
|
(54
|
)
|
|
$
|
(4,920
|
)
|
|
$
|
(4,974
|
)
|
|
$
|
(639
|
)
|
|
$
|
(4,289
|
)
|
|
$
|
(4,928
|
)
|
(In Thousands)
|
|
Amount Reclassified from Accumulated Other Comprehensive Income
|
|
|
||||||||||
Details about Accumulated Other Comprehensive Income Components
|
|
Twelve Months Ended
|
|
Affected Line Item
in the Consolidated
Statement of Income
|
||||||||||
|
December 31, 2018
|
|
December 31, 2017
|
|
December 31, 2016
|
|
||||||||
Net realized (loss) gain on available for sale securities
|
|
$
|
(47
|
)
|
|
$
|
600
|
|
|
$
|
1,611
|
|
|
Securities gains (losses), net
|
Income tax effect
|
|
10
|
|
|
(204
|
)
|
|
(547
|
)
|
|
Income tax provision
|
|||
|
|
$
|
(37
|
)
|
|
$
|
396
|
|
|
$
|
1,064
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Net unrecognized pension income (expense)
|
|
$
|
(165
|
)
|
|
$
|
(174
|
)
|
|
$
|
(153
|
)
|
|
Salaries and employee benefits
|
Income tax effect
|
|
35
|
|
|
59
|
|
|
52
|
|
|
Income tax provision
|
|||
|
|
$
|
(130
|
)
|
|
$
|
(115
|
)
|
|
$
|
(101
|
)
|
|
|
|
|
Year Ended December 31,
|
|||||||
|
|
2018
|
|
2017
|
|
2016
|
|||
Weighted average common shares issued
|
|
5,010,404
|
|
|
5,008,073
|
|
|
5,005,971
|
|
Average treasury stock shares
|
|
(320,150
|
)
|
|
(302,471
|
)
|
|
(270,514
|
)
|
Weighted average common shares used to calculate basic and diluted earnings per share
|
|
4,690,254
|
|
|
4,705,602
|
|
|
4,735,457
|
|
|
|
2018
|
||||||||||||||
(In Thousands)
|
|
Amortized Cost
|
|
Gross Unrealized Gains
|
|
Gross Unrealized Losses
|
|
Fair Value
|
||||||||
Available for sale (AFS):
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Mortgage-backed securities
|
|
$
|
6,385
|
|
|
$
|
8
|
|
|
$
|
(240
|
)
|
|
$
|
6,153
|
|
State and political securities
|
|
79,358
|
|
|
609
|
|
|
(426
|
)
|
|
79,541
|
|
||||
Other debt securities
|
|
50,264
|
|
|
17
|
|
|
(1,690
|
)
|
|
48,591
|
|
||||
Total debt securities
|
|
$
|
136,007
|
|
|
$
|
634
|
|
|
$
|
(2,356
|
)
|
|
$
|
134,285
|
|
|
|
|
|
|
|
|
|
|
||||||||
Investment equity securities:
|
|
|
|
|
|
|
|
|
||||||||
Financial institution equity securities
|
|
$
|
328
|
|
|
$
|
224
|
|
|
$
|
—
|
|
|
$
|
552
|
|
Other equity securities
|
|
1,300
|
|
|
—
|
|
|
(76
|
)
|
|
1,224
|
|
||||
Total equity securities
|
|
$
|
1,628
|
|
|
$
|
224
|
|
|
$
|
(76
|
)
|
|
$
|
1,776
|
|
|
|
|
|
|
|
|
|
|
||||||||
Trading:
|
|
|
|
|
|
|
|
|
||||||||
Other equity securities
|
|
$
|
49
|
|
|
$
|
—
|
|
|
$
|
(13
|
)
|
|
$
|
36
|
|
Trading investment equity securities
|
|
$
|
49
|
|
|
$
|
—
|
|
|
$
|
(13
|
)
|
|
$
|
36
|
|
|
|
|
|
|
|
|
|
|
|
|
2017
|
||||||||||||||
(In Thousands)
|
|
Amortized Cost
|
|
Gross Unrealized Gains
|
|
Gross Unrealized Losses
|
|
Fair Value
|
||||||||
Available for sale (AFS):
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Mortgage-backed securities
|
|
$
|
4,273
|
|
|
$
|
51
|
|
|
$
|
(111
|
)
|
|
$
|
4,213
|
|
State and political securities
|
|
56,295
|
|
|
411
|
|
|
(198
|
)
|
|
56,508
|
|
||||
Other debt securities
|
|
48,806
|
|
|
180
|
|
|
(1,080
|
)
|
|
47,906
|
|
||||
Total debt securities
|
|
$
|
109,374
|
|
|
$
|
642
|
|
|
$
|
(1,389
|
)
|
|
$
|
108,627
|
|
|
|
|
|
|
|
|
|
|
||||||||
Investment equity securities:
|
|
|
|
|
|
|
|
|
||||||||
Financial institution equity securities
|
|
$
|
537
|
|
|
$
|
728
|
|
|
$
|
—
|
|
|
$
|
1,265
|
|
Other equity securities
|
|
1,300
|
|
|
—
|
|
|
(49
|
)
|
|
1,251
|
|
||||
Total equity securities
|
|
$
|
1,837
|
|
|
$
|
728
|
|
|
$
|
(49
|
)
|
|
$
|
2,516
|
|
|
|
|
|
|
|
|
|
|
||||||||
Trading:
|
|
|
|
|
|
|
|
|
||||||||
Financial institution equity securities
|
|
$
|
20
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
20
|
|
Other equity securities
|
|
192
|
|
|
2
|
|
|
(24
|
)
|
|
170
|
|
||||
Trading investment equity securities
|
|
$
|
212
|
|
|
$
|
2
|
|
|
$
|
(24
|
)
|
|
$
|
190
|
|
|
|
|
|
|
|
|
|
|
|
|
2018
|
||||||||||||||||||||||
|
|
Less than Twelve Months
|
|
Twelve Months or Greater
|
|
Total
|
||||||||||||||||||
|
|
|
|
Gross
|
|
|
|
Gross
|
|
|
|
Gross
|
||||||||||||
|
|
Fair
|
|
Unrealized
|
|
Fair
|
|
Unrealized
|
|
Fair
|
|
Unrealized
|
||||||||||||
(In Thousands)
|
|
Value
|
|
Losses
|
|
Value
|
|
Losses
|
|
Value
|
|
Losses
|
||||||||||||
Available for Sale (AFS)
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Mortgage-backed securities
|
|
$
|
3,023
|
|
|
$
|
(75
|
)
|
|
$
|
2,930
|
|
|
$
|
(165
|
)
|
|
$
|
5,953
|
|
|
$
|
(240
|
)
|
State and political securities
|
|
14,819
|
|
|
(128
|
)
|
|
13,648
|
|
|
(298
|
)
|
|
28,467
|
|
|
(426
|
)
|
||||||
Other debt securities
|
|
10,133
|
|
|
(153
|
)
|
|
34,776
|
|
|
(1,537
|
)
|
|
44,909
|
|
|
(1,690
|
)
|
||||||
Total Debt Securities AFS
|
|
$
|
27,975
|
|
|
$
|
(356
|
)
|
|
$
|
51,354
|
|
|
$
|
(2,000
|
)
|
|
$
|
79,329
|
|
|
$
|
(2,356
|
)
|
|
|
2017
|
||||||||||||||||||||||
|
|
Less than Twelve Months
|
|
Twelve Months or Greater
|
|
Total
|
||||||||||||||||||
|
|
|
|
Gross
|
|
|
|
Gross
|
|
|
|
Gross
|
||||||||||||
|
|
Fair
|
|
Unrealized
|
|
Fair
|
|
Unrealized
|
|
Fair
|
|
Unrealized
|
||||||||||||
(In Thousands)
|
|
Value
|
|
Losses
|
|
Value
|
|
Losses
|
|
Value
|
|
Losses
|
||||||||||||
Available for Sale (AFS)
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Mortgage-backed securities
|
|
$
|
981
|
|
|
$
|
(12
|
)
|
|
$
|
2,276
|
|
|
$
|
(99
|
)
|
|
$
|
3,257
|
|
|
$
|
(111
|
)
|
State and political securities
|
|
15,691
|
|
|
(104
|
)
|
|
3,018
|
|
|
(94
|
)
|
|
18,709
|
|
|
(198
|
)
|
||||||
Other debt securities
|
|
7,512
|
|
|
(148
|
)
|
|
28,517
|
|
|
(932
|
)
|
|
36,029
|
|
|
(1,080
|
)
|
||||||
Total Debt Securities AFS
|
|
$
|
24,184
|
|
|
$
|
(264
|
)
|
|
$
|
33,811
|
|
|
$
|
(1,125
|
)
|
|
$
|
57,995
|
|
|
$
|
(1,389
|
)
|
(In Thousands)
|
|
Amortized Cost
|
|
Fair Value
|
||||
Due in one year or less
|
|
$
|
3,135
|
|
|
$
|
3,134
|
|
Due after one year to five years
|
|
41,923
|
|
|
40,883
|
|
||
Due after five years to ten years
|
|
69,978
|
|
|
69,316
|
|
||
Due after ten years
|
|
20,971
|
|
|
20,952
|
|
||
Total
|
|
$
|
136,007
|
|
|
$
|
134,285
|
|
|
|
Year Ended December 31,
|
||||||||||
(In Thousands)
|
|
2018
|
|
2017
|
|
2016
|
||||||
Gross realized gains:
|
|
|
|
|
|
|
|
|
|
|||
U.S. Government and agency securities
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
11
|
|
Mortgage-backed securities
|
|
27
|
|
|
69
|
|
|
35
|
|
|||
State and political securities
|
|
19
|
|
|
408
|
|
|
787
|
|
|||
Other debt securities
|
|
3
|
|
|
53
|
|
|
283
|
|
|||
Total gross realized gains
|
|
$
|
49
|
|
|
$
|
530
|
|
|
$
|
1,116
|
|
Gross realized losses:
|
|
|
|
|
|
|
|
|
|
|||
U.S. Government and agency securities
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
5
|
|
Asset-backed securities
|
|
—
|
|
|
—
|
|
|
13
|
|
|||
State and political securities
|
|
86
|
|
|
18
|
|
|
1
|
|
|||
Other debt securities
|
|
10
|
|
|
51
|
|
|
189
|
|
|||
Total gross realized losses
|
|
$
|
96
|
|
|
$
|
69
|
|
|
$
|
208
|
|
|
|
|
|
|
|
|
||||||
Gross realized gains:
|
|
|
|
|
|
|
||||||
Financial institution equity securities
|
|
—
|
|
|
288
|
|
|
572
|
|
|||
Other equity securities
|
|
—
|
|
|
—
|
|
|
217
|
|
|||
Total gross realized gains
|
|
$
|
—
|
|
|
$
|
288
|
|
|
$
|
789
|
|
Gross realized losses:
|
|
|
|
|
|
|
||||||
Financial institution equity securities
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Other equity securities
|
|
—
|
|
|
149
|
|
|
86
|
|
|||
Total gross realized losses
|
|
$
|
—
|
|
|
$
|
149
|
|
|
$
|
86
|
|
(In Thousands)
|
|
2018
|
||
Net losses recognized in equity securities during the period
|
|
$
|
(170
|
)
|
Less: Net gains realized on the sale of equity securities during the period
|
|
361
|
|
|
Unrealized losses recognized in equity securities held at reporting date
|
|
$
|
(531
|
)
|
|
|
|
(In Thousands)
|
|
2018
|
|
2017
|
|
2016
|
||||||
Net (losses) gain on sales transaction
|
|
$
|
(6
|
)
|
|
$
|
16
|
|
|
$
|
51
|
|
Net mark-to-market gains (losses)
|
|
9
|
|
|
(24
|
)
|
|
7
|
|
|||
Net gain (loss) on trading account securities
|
|
$
|
3
|
|
|
$
|
(8
|
)
|
|
$
|
58
|
|
|
|
|
|
|
|
|
|
|
2018
|
||||||||||||||||||
(In Thousands)
|
|
Current
|
|
Past Due
30 To 89
Days
|
|
Past Due 90
Days Or More
& Still Accruing
|
|
Non-Accrual
|
|
Total
|
||||||||||
Commercial, financial, and agricultural
|
|
$
|
182,651
|
|
|
$
|
616
|
|
|
$
|
—
|
|
|
$
|
5,294
|
|
|
$
|
188,561
|
|
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential
|
|
611,281
|
|
|
7,688
|
|
|
1,238
|
|
|
2,172
|
|
|
622,379
|
|
|||||
Commercial
|
|
361,624
|
|
|
2,349
|
|
|
—
|
|
|
7,722
|
|
|
371,695
|
|
|||||
Construction
|
|
43,144
|
|
|
305
|
|
|
—
|
|
|
74
|
|
|
43,523
|
|
|||||
Consumer automobile loans
|
|
132,713
|
|
|
412
|
|
|
27
|
|
|
31
|
|
|
133,183
|
|
|||||
Other consumer installment loans
|
|
23,902
|
|
|
636
|
|
|
9
|
|
|
5
|
|
|
24,552
|
|
|||||
|
|
1,355,315
|
|
|
$
|
12,006
|
|
|
$
|
1,274
|
|
|
$
|
15,298
|
|
|
1,383,893
|
|
||
Net deferred loan fees and discounts
|
|
864
|
|
|
|
|
|
|
|
|
|
|
|
864
|
|
|||||
Allowance for loan losses
|
|
(13,837
|
)
|
|
|
|
|
|
|
|
|
|
|
(13,837
|
)
|
|||||
Loans, net
|
|
$
|
1,342,342
|
|
|
|
|
|
|
|
|
|
|
|
$
|
1,370,920
|
|
|
|
2017
|
||||||||||||||||||
(In Thousands)
|
|
Current
|
|
Past Due
30 To 89
Days
|
|
Past Due 90
Days Or More
& Still Accruing
|
|
Non-Accrual
|
|
Total
|
||||||||||
Commercial, financial, and agricultural
|
|
$
|
178,022
|
|
|
$
|
663
|
|
|
$
|
86
|
|
|
$
|
114
|
|
|
$
|
178,885
|
|
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential
|
|
588,278
|
|
|
6,853
|
|
|
318
|
|
|
1,628
|
|
|
597,077
|
|
|||||
Commercial
|
|
325,148
|
|
|
1,823
|
|
|
80
|
|
|
4,968
|
|
|
332,019
|
|
|||||
Construction
|
|
31,547
|
|
|
116
|
|
|
20
|
|
|
—
|
|
|
31,683
|
|
|||||
Consumer automobile loans
|
|
79,595
|
|
|
87
|
|
|
—
|
|
|
32
|
|
|
79,714
|
|
|||||
Other consumer installment loans
|
|
26,740
|
|
|
202
|
|
|
5
|
|
|
17
|
|
|
26,964
|
|
|||||
|
|
1,229,330
|
|
|
$
|
9,744
|
|
|
$
|
509
|
|
|
$
|
6,759
|
|
|
1,246,342
|
|
||
Net deferred loan fees and discounts
|
|
272
|
|
|
|
|
|
|
|
|
|
|
|
272
|
|
|||||
Allowance for loan losses
|
|
(12,858
|
)
|
|
|
|
|
|
|
|
|
|
|
(12,858
|
)
|
|||||
Loans, net
|
|
$
|
1,216,744
|
|
|
|
|
|
|
|
|
|
|
|
$
|
1,233,756
|
|
|
|
Year Ended December 31,
|
||||||||||||||||||||||
|
|
2018
|
|
2017
|
|
2016
|
||||||||||||||||||
(In Thousands)
|
|
Interest Income That Would Have Been Recorded Based on
Original Term and Rate
|
|
Interest
Income
Recorded on
a Cash Basis
|
|
Interest Income That
Would Have Been
Recorded Based on
Original Term and Rate
|
|
Interest
Income
Recorded on
a Cash Basis
|
|
Interest Income That
Would Have Been
Recorded Based on
Original Term and Rate
|
|
Interest
Income
Recorded on
a Cash Basis
|
||||||||||||
Commercial, financial, and agricultural
|
|
$
|
289
|
|
|
$
|
235
|
|
|
$
|
23
|
|
|
$
|
15
|
|
|
$
|
6
|
|
|
$
|
—
|
|
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Residential
|
|
123
|
|
|
88
|
|
|
147
|
|
|
98
|
|
|
151
|
|
|
101
|
|
||||||
Commercial
|
|
405
|
|
|
212
|
|
|
390
|
|
|
238
|
|
|
496
|
|
|
105
|
|
||||||
Construction
|
|
5
|
|
|
4
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Consumer automobile loans
|
|
7
|
|
|
5
|
|
|
1
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Other consumer installment loans
|
|
1
|
|
|
1
|
|
|
4
|
|
|
3
|
|
|
3
|
|
|
2
|
|
||||||
|
|
$
|
830
|
|
|
$
|
545
|
|
|
$
|
565
|
|
|
$
|
354
|
|
|
$
|
656
|
|
|
$
|
208
|
|
|
|
2018
|
||||||||||
(In Thousands)
|
|
Recorded Investment
|
|
Unpaid Principal Balance
|
|
Related Allowance
|
||||||
With no related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|||
Commercial, financial, and agricultural
|
|
$
|
1,152
|
|
|
$
|
1,152
|
|
|
$
|
—
|
|
Real estate mortgage:
|
|
|
|
|
|
|
||||||
Residential
|
|
2,619
|
|
|
2,619
|
|
|
—
|
|
|||
Commercial
|
|
2,457
|
|
|
2,457
|
|
|
—
|
|
|||
Construction
|
|
74
|
|
|
74
|
|
|
—
|
|
|||
Consumer automobile loans
|
|
31
|
|
|
31
|
|
|
—
|
|
|||
Other consumer installment loans
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
|
|
6,333
|
|
|
6,333
|
|
|
—
|
|
|||
With an allowance recorded:
|
|
|
|
|
|
|
|
|
|
|||
Commercial, financial, and agricultural
|
|
4,111
|
|
|
4,111
|
|
|
650
|
|
|||
Real estate mortgage:
|
|
|
|
|
|
|
||||||
Residential
|
|
1,591
|
|
|
1,591
|
|
|
168
|
|
|||
Commercial
|
|
9,207
|
|
|
9,207
|
|
|
1,720
|
|
|||
Construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Consumer automobile loans
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Other consumer installment loans
|
|
5
|
|
|
5
|
|
|
5
|
|
|||
|
|
14,914
|
|
|
14,914
|
|
|
2,543
|
|
|||
Total:
|
|
|
|
|
|
|
|
|
|
|||
Commercial, financial, and agricultural
|
|
5,263
|
|
|
5,263
|
|
|
650
|
|
|||
Real estate mortgage:
|
|
|
|
|
|
|
||||||
Residential
|
|
4,210
|
|
|
4,210
|
|
|
168
|
|
|||
Commercial
|
|
11,664
|
|
|
11,664
|
|
|
1,720
|
|
|||
Construction
|
|
74
|
|
|
74
|
|
|
—
|
|
|||
Consumer automobile loans
|
|
31
|
|
|
31
|
|
|
—
|
|
|||
Other consumer installment loans
|
|
5
|
|
|
5
|
|
|
5
|
|
|||
|
|
$
|
21,247
|
|
|
$
|
21,247
|
|
|
$
|
2,543
|
|
|
|
|
|
|
|
|
|
|
2017
|
||||||||||
(In Thousands)
|
|
Recorded Investment
|
|
Unpaid Principal Balance
|
|
Related Allowance
|
||||||
With no related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|||
Commercial, financial, and agricultural
|
|
$
|
1,033
|
|
|
$
|
1,033
|
|
|
$
|
—
|
|
Real estate mortgage:
|
|
|
|
|
|
|
||||||
Residential
|
|
1,428
|
|
|
1,428
|
|
|
—
|
|
|||
Commercial
|
|
1,465
|
|
|
1,465
|
|
|
—
|
|
|||
Construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Consumer automobile loans
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Other consumer installment loans
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
|
|
3,926
|
|
|
3,926
|
|
|
—
|
|
|||
With an allowance recorded:
|
|
|
|
|
|
|
|
|
|
|||
Commercial, financial, and agricultural
|
|
235
|
|
|
235
|
|
|
96
|
|
|||
Real estate mortgage:
|
|
|
|
|
|
|
||||||
Residential
|
|
2,304
|
|
|
2,353
|
|
|
367
|
|
|||
Commercial
|
|
7,981
|
|
|
8,031
|
|
|
1,721
|
|
|||
Construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Consumer automobile loans
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Other consumer installment loans
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
|
|
10,520
|
|
|
10,619
|
|
|
2,184
|
|
|||
Total:
|
|
|
|
|
|
|
|
|
|
|||
Commercial, financial, and agricultural
|
|
1,268
|
|
|
1,268
|
|
|
96
|
|
|||
Real estate mortgage:
|
|
|
|
|
|
|
||||||
Residential
|
|
3,732
|
|
|
3,781
|
|
|
367
|
|
|||
Commercial
|
|
9,446
|
|
|
9,496
|
|
|
1,721
|
|
|||
Construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Consumer automobile loans
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Other consumer installment loans
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
|
|
$
|
14,446
|
|
|
$
|
14,545
|
|
|
$
|
2,184
|
|
|
|
|
|
|
|
|
|
|
2018
|
||||||||||
(In Thousands)
|
|
Average
Investment in
Impaired Loans
|
|
Interest Income
Recognized on an
Accrual Basis on
Impaired Loans
|
|
Interest Income
Recognized on a
Cash Basis on
Impaired Loans
|
||||||
Commercial, financial, and agricultural
|
|
$
|
2,018
|
|
|
$
|
71
|
|
|
$
|
168
|
|
Real estate mortgage:
|
|
|
|
|
|
|
|
|||||
Residential
|
|
3,962
|
|
|
134
|
|
|
87
|
|
|||
Commercial
|
|
9,524
|
|
|
235
|
|
|
194
|
|
|||
Construction
|
|
15
|
|
|
—
|
|
|
4
|
|
|||
Consumer automobile loans
|
|
14
|
|
|
—
|
|
|
1
|
|
|||
Other consumer installment loans
|
|
1
|
|
|
—
|
|
|
1
|
|
|||
|
|
$
|
15,534
|
|
|
$
|
440
|
|
|
$
|
455
|
|
|
|
2017
|
||||||||||
(In Thousands)
|
|
Average
Investment in
Impaired Loans
|
|
Interest Income
Recognized on an
Accrual Basis on
Impaired Loans
|
|
Interest Income
Recognized on a
Cash Basis on
Impaired Loans
|
||||||
Commercial, financial, and agricultural
|
|
$
|
727
|
|
|
$
|
41
|
|
|
$
|
7
|
|
Real estate mortgage:
|
|
|
|
|
|
|
|
|||||
Residential
|
|
3,233
|
|
|
75
|
|
|
91
|
|
|||
Commercial
|
|
11,551
|
|
|
186
|
|
|
233
|
|
|||
Construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Consumer automobile loans
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Other consumer installment loans
|
|
5
|
|
|
—
|
|
|
1
|
|
|||
|
|
$
|
15,516
|
|
|
$
|
302
|
|
|
$
|
332
|
|
|
|
2016
|
||||||||||
(In Thousands)
|
|
Average
Investment in
Impaired Loans
|
|
Interest Income
Recognized on an
Accrual Basis on
Impaired Loans
|
|
Interest Income
Recognized on a
Cash Basis on
Impaired Loans
|
||||||
Commercial, financial, and agricultural
|
|
$
|
400
|
|
|
$
|
16
|
|
|
$
|
1
|
|
Real estate mortgage:
|
|
|
|
|
|
|
|
|||||
Residential
|
|
3,471
|
|
|
89
|
|
|
101
|
|
|||
Commercial
|
|
12,887
|
|
|
187
|
|
|
110
|
|
|||
Construction
|
|
138
|
|
|
—
|
|
|
—
|
|
|||
Consumer automobile loans
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Other consumer installment loans
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
|
|
$
|
16,896
|
|
|
$
|
292
|
|
|
$
|
212
|
|
|
|
Year Ended December 31,
|
||||||||||||||||||||
|
|
2018
|
|
2017
|
||||||||||||||||||
(In Thousands, Except Number of Contracts)
|
|
Number
of
Contracts
|
|
Pre-Modification
Outstanding
Recorded
Investment
|
|
Post-Modification
Outstanding
Recorded
Investment
|
|
Number
of
Contracts
|
|
Pre-Modification
Outstanding
Recorded
Investment
|
|
Post-Modification
Outstanding
Recorded
Investment
|
||||||||||
Commercial, financial, and agricultural
|
|
1
|
|
|
$
|
1,027
|
|
|
$
|
1,027
|
|
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Residential
|
|
3
|
|
|
419
|
|
|
419
|
|
|
6
|
|
|
1,015
|
|
|
1,015
|
|
||||
Commercial
|
|
1
|
|
|
106
|
|
|
106
|
|
|
2
|
|
|
371
|
|
|
371
|
|
||||
Construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Other consumer installment loans
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Total
|
|
5
|
|
|
$
|
1,552
|
|
|
$
|
1,552
|
|
|
8
|
|
|
$
|
1,386
|
|
|
$
|
1,386
|
|
|
|
Year Ended December 31, 2018
|
|||||
(In Thousands, Except Number of Contracts)
|
|
Number of Contracts
|
|
Recorded Investment
|
|||
Commercial, financial, and agricultural
|
|
—
|
|
|
$
|
—
|
|
Real estate mortgage:
|
|
|
|
|
|||
Residential
|
|
1
|
|
|
1
|
|
|
Commercial
|
|
—
|
|
|
—
|
|
|
Total
|
|
1
|
|
|
$
|
1
|
|
|
|
2018
|
||||||||||||||||||||||||||
|
|
Commercial, Finance, and Agricultural
|
|
Real Estate Mortgages
|
|
Consumer automobile
|
|
Other consumer installment
|
|
|
||||||||||||||||||
(In Thousands)
|
|
|
Residential
|
|
Commercial
|
|
Construction
|
|
|
|
Totals
|
|||||||||||||||||
Pass
|
|
$
|
179,840
|
|
|
$
|
619,800
|
|
|
$
|
351,703
|
|
|
$
|
43,523
|
|
|
$
|
133,183
|
|
|
$
|
24,552
|
|
|
$
|
1,352,601
|
|
Special Mention
|
|
3,426
|
|
|
694
|
|
|
6,587
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
10,707
|
|
|||||||
Substandard
|
|
5,295
|
|
|
1,885
|
|
|
13,405
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
20,585
|
|
|||||||
Total
|
|
$
|
188,561
|
|
|
$
|
622,379
|
|
|
$
|
371,695
|
|
|
$
|
43,523
|
|
|
$
|
133,183
|
|
|
$
|
24,552
|
|
|
$
|
1,383,893
|
|
|
|
2017
|
||||||||||||||||||||||||||
|
|
Commercial, Finance, and Agricultural
|
|
Real Estate Mortgages
|
|
Consumer automobile
|
|
Other consumer installment
|
|
|
||||||||||||||||||
(In Thousands)
|
|
|
Residential
|
|
Commercial
|
|
Construction
|
|
|
|
Totals
|
|||||||||||||||||
Pass
|
|
$
|
175,603
|
|
|
$
|
593,828
|
|
|
$
|
311,209
|
|
|
$
|
31,535
|
|
|
$
|
79,714
|
|
|
$
|
26,964
|
|
|
$
|
1,218,853
|
|
Special Mention
|
|
738
|
|
|
1,043
|
|
|
7,337
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
9,118
|
|
|||||||
Substandard
|
|
2,544
|
|
|
2,206
|
|
|
13,473
|
|
|
148
|
|
|
—
|
|
|
—
|
|
|
18,371
|
|
|||||||
Total
|
|
$
|
178,885
|
|
|
$
|
597,077
|
|
|
$
|
332,019
|
|
|
$
|
31,683
|
|
|
$
|
79,714
|
|
|
$
|
26,964
|
|
|
$
|
1,246,342
|
|
|
|
2018
|
||||||||||||||||||||||||||||||
|
|
Commercial, Finance, and Agricultural
|
|
Real Estate Mortgages
|
|
Consumer automobile
|
|
Other consumer installment
|
|
|
|
|
||||||||||||||||||||
(In Thousands)
|
|
|
Residential
|
|
Commercial
|
|
Construction
|
|
|
|
Unallocated
|
|
Totals
|
|||||||||||||||||||
Beginning Balance
|
|
$
|
1,177
|
|
|
$
|
5,679
|
|
|
$
|
4,277
|
|
|
$
|
155
|
|
|
$
|
804
|
|
|
$
|
271
|
|
|
$
|
495
|
|
|
$
|
12,858
|
|
Charge-offs
|
|
(82
|
)
|
|
(276
|
)
|
|
(56
|
)
|
|
—
|
|
|
(246
|
)
|
|
(303
|
)
|
|
—
|
|
|
(963
|
)
|
||||||||
Recoveries
|
|
36
|
|
|
74
|
|
|
—
|
|
|
7
|
|
|
16
|
|
|
74
|
|
|
—
|
|
|
207
|
|
||||||||
Provision
|
|
549
|
|
|
139
|
|
|
(174
|
)
|
|
(19
|
)
|
|
754
|
|
|
217
|
|
|
269
|
|
|
1,735
|
|
||||||||
Ending Balance
|
|
$
|
1,680
|
|
|
$
|
5,616
|
|
|
$
|
4,047
|
|
|
$
|
143
|
|
|
$
|
1,328
|
|
|
$
|
259
|
|
|
$
|
764
|
|
|
$
|
13,837
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2017
|
||||||||||||||||||||||||||||||
|
|
Commercial, Finance, and Agricultural
|
|
Real Estate Mortgages
|
|
Consumer automobile
|
|
Other consumer installment
|
|
|
|
|
||||||||||||||||||||
(In Thousands)
|
|
|
Residential
|
|
Commercial
|
|
Construction
|
|
|
|
Unallocated
|
|
Totals
|
|||||||||||||||||||
Beginning Balance
|
|
$
|
1,554
|
|
|
$
|
5,383
|
|
|
$
|
4,975
|
|
|
$
|
178
|
|
|
$
|
143
|
|
|
$
|
273
|
|
|
$
|
390
|
|
|
$
|
12,896
|
|
Charge-offs
|
|
(106
|
)
|
|
(578
|
)
|
|
(58
|
)
|
|
—
|
|
|
(57
|
)
|
|
(246
|
)
|
|
—
|
|
|
(1,045
|
)
|
||||||||
Recoveries
|
|
135
|
|
|
55
|
|
|
1
|
|
|
9
|
|
|
2
|
|
|
75
|
|
|
—
|
|
|
277
|
|
||||||||
Provision
|
|
(406
|
)
|
|
819
|
|
|
(641
|
)
|
|
(32
|
)
|
|
716
|
|
|
169
|
|
|
105
|
|
|
730
|
|
||||||||
Ending Balance
|
|
$
|
1,177
|
|
|
$
|
5,679
|
|
|
$
|
4,277
|
|
|
$
|
155
|
|
|
$
|
804
|
|
|
$
|
271
|
|
|
$
|
495
|
|
|
$
|
12,858
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2016
|
||||||||||||||||||||||||||||||
|
|
Commercial, Finance, and Agricultural
|
|
Real Estate Mortgages
|
|
Consumer automobile
|
|
Other consumer installment
|
|
|
|
|
||||||||||||||||||||
(In Thousands)
|
|
|
Residential
|
|
Commercial
|
|
Construction
|
|
|
|
Unallocated
|
|
Totals
|
|||||||||||||||||||
Beginning Balance
|
|
$
|
1,532
|
|
|
$
|
5,116
|
|
|
$
|
4,217
|
|
|
$
|
160
|
|
|
$
|
—
|
|
|
$
|
243
|
|
|
$
|
776
|
|
|
$
|
12,044
|
|
Charge-offs
|
|
(167
|
)
|
|
(39
|
)
|
|
(93
|
)
|
|
(2
|
)
|
|
—
|
|
|
(229
|
)
|
|
—
|
|
|
(530
|
)
|
||||||||
Recoveries
|
|
62
|
|
|
15
|
|
|
8
|
|
|
9
|
|
|
—
|
|
|
92
|
|
|
—
|
|
|
186
|
|
||||||||
Provision
|
|
127
|
|
|
291
|
|
|
843
|
|
|
11
|
|
|
143
|
|
|
167
|
|
|
(386
|
)
|
|
1,196
|
|
||||||||
Ending Balance
|
|
$
|
1,554
|
|
|
$
|
5,383
|
|
|
$
|
4,975
|
|
|
$
|
178
|
|
|
$
|
143
|
|
|
$
|
273
|
|
|
$
|
390
|
|
|
$
|
12,896
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2018
|
|
2017
|
||
Owners of residential rental properties
|
|
14.61
|
%
|
|
15.16
|
%
|
Owners of commercial rental properties
|
|
12.24
|
%
|
|
13.57
|
%
|
|
|
2018
|
||||||||||||||||||||||||||||||
|
Commercial, Finance, and Agricultural
|
|
Real Estate Mortgages
|
|
Consumer automobile
|
|
Other consumer installment
|
|
Unallocated
|
|
Totals
|
|||||||||||||||||||||
(In Thousands)
|
Residential
|
|
Commercial
|
|
Construction
|
|
||||||||||||||||||||||||||
Allowance for Loan Losses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Ending allowance balance attributable to loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Individually evaluated for impairment
|
|
$
|
650
|
|
|
$
|
168
|
|
|
$
|
1,720
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
5
|
|
|
$
|
—
|
|
|
$
|
2,543
|
|
Collectively evaluated for impairment
|
|
1,030
|
|
|
5,448
|
|
|
2,327
|
|
|
143
|
|
|
1,328
|
|
|
254
|
|
|
764
|
|
|
11,294
|
|
||||||||
Total ending allowance balance
|
|
$
|
1,680
|
|
|
$
|
5,616
|
|
|
$
|
4,047
|
|
|
$
|
143
|
|
|
$
|
1,328
|
|
|
$
|
259
|
|
|
$
|
764
|
|
|
$
|
13,837
|
|
Loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Individually evaluated for impairment
|
|
$
|
5,263
|
|
|
$
|
4,210
|
|
|
$
|
11,664
|
|
|
$
|
74
|
|
|
$
|
31
|
|
|
$
|
5
|
|
|
|
|
|
$
|
21,247
|
|
|
Collectively evaluated for impairment
|
|
183,298
|
|
|
618,169
|
|
|
360,031
|
|
|
43,449
|
|
|
133,152
|
|
|
24,547
|
|
|
|
|
|
1,362,646
|
|
||||||||
Total ending loans balance
|
|
$
|
188,561
|
|
|
$
|
622,379
|
|
|
$
|
371,695
|
|
|
$
|
43,523
|
|
|
$
|
133,183
|
|
|
$
|
24,552
|
|
|
|
|
|
$
|
1,383,893
|
|
|
|
2017
|
||||||||||||||||||||||||||||||
|
Commercial, Finance, and Agricultural
|
|
Real Estate Mortgages
|
|
Consumer automobile
|
|
Other consumer installment
|
|
Unallocated
|
|
Totals
|
|||||||||||||||||||||
(In Thousands)
|
Residential
|
|
Commercial
|
|
Construction
|
|
||||||||||||||||||||||||||
Allowance for Loan Losses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Ending allowance balance attributable to loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Individually evaluated for impairment
|
|
$
|
96
|
|
|
$
|
367
|
|
|
$
|
1,721
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
2,184
|
|
Collectively evaluated for impairment
|
|
1,081
|
|
|
5,312
|
|
|
2,556
|
|
|
155
|
|
|
804
|
|
|
271
|
|
|
495
|
|
|
10,674
|
|
||||||||
Total ending allowance balance
|
|
$
|
1,177
|
|
|
$
|
5,679
|
|
|
$
|
4,277
|
|
|
$
|
155
|
|
|
$
|
804
|
|
|
$
|
271
|
|
|
$
|
495
|
|
|
$
|
12,858
|
|
Loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Individually evaluated for impairment
|
|
$
|
1,268
|
|
|
$
|
3,732
|
|
|
$
|
9,446
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
$
|
14,446
|
|
|
Collectively evaluated for impairment
|
|
177,617
|
|
|
593,345
|
|
|
322,573
|
|
|
31,683
|
|
|
79,714
|
|
|
26,964
|
|
|
|
|
|
1,231,896
|
|
||||||||
Total ending loans balance
|
|
$
|
178,885
|
|
|
$
|
597,077
|
|
|
$
|
332,019
|
|
|
$
|
31,683
|
|
|
$
|
79,714
|
|
|
$
|
26,964
|
|
|
|
|
|
$
|
1,246,342
|
|
(In Thousands)
|
|
2018
|
|
2017
|
||||
Land
|
|
$
|
7,111
|
|
|
$
|
7,107
|
|
Premises
|
|
21,640
|
|
|
20,808
|
|
||
Furniture and equipment
|
|
10,369
|
|
|
9,895
|
|
||
Leasehold improvements
|
|
2,911
|
|
|
2,311
|
|
||
Total
|
|
42,031
|
|
|
40,121
|
|
||
Less accumulated depreciation and amortization
|
|
14,451
|
|
|
12,735
|
|
||
Net premises and equipment
|
|
$
|
27,580
|
|
|
$
|
27,386
|
|
(In Thousands)
|
|
Core Deposit Intangible
|
|
Trade Name Intangible
|
|
Book of Business Intangible
|
||||||
2019
|
|
$
|
151
|
|
|
$
|
11
|
|
|
$
|
102
|
|
2020
|
|
117
|
|
|
8
|
|
|
102
|
|
|||
2021
|
|
83
|
|
|
6
|
|
|
102
|
|
|||
2022
|
|
48
|
|
|
4
|
|
|
102
|
|
|||
2023
|
|
14
|
|
|
1
|
|
|
102
|
|
|||
2024
|
|
—
|
|
|
—
|
|
|
102
|
|
|||
2025
|
|
—
|
|
|
—
|
|
|
102
|
|
|||
2026
|
|
—
|
|
|
—
|
|
|
5
|
|
|||
|
|
$
|
413
|
|
|
$
|
30
|
|
|
$
|
719
|
|
(In Thousands)
|
|
2018
|
||
Three months or less
|
|
$
|
38,367
|
|
Three months to six months
|
|
28,102
|
|
|
Six months to twelve months
|
|
23,534
|
|
|
Over twelve months
|
|
83,750
|
|
|
Total
|
|
$
|
173,753
|
|
(In Thousands)
|
|
2018
|
||
2019
|
|
$
|
133,985
|
|
2020
|
|
74,062
|
|
|
2021
|
|
57,159
|
|
|
2022
|
|
14,878
|
|
|
2023
|
|
5,225
|
|
|
Thereafter
|
|
1,302
|
|
|
Total
|
|
$
|
286,611
|
|
(In Thousands)
|
|
2018
|
|
2017
|
|
2016
|
||||||
Repurchase Agreements:
|
|
|
|
|
|
|
|
|
|
|||
Balance at year end
|
|
$
|
5,662
|
|
|
$
|
7,878
|
|
|
$
|
13,241
|
|
Maximum amount outstanding at any month end
|
|
8,431
|
|
|
13,782
|
|
|
17,827
|
|
|||
Average balance outstanding during the year
|
|
7,043
|
|
|
10,425
|
|
|
15,394
|
|
|||
Weighted-average interest rate:
|
|
|
|
|
|
|
|
|
|
|||
At year end
|
|
0.20
|
%
|
|
0.13
|
%
|
|
0.16
|
%
|
|||
Paid during the year
|
|
0.13
|
%
|
|
0.14
|
%
|
|
0.18
|
%
|
|||
Overnight:
|
|
|
|
|
|
|
|
|
|
|||
Balance at year end
|
|
$
|
162,203
|
|
|
$
|
92,870
|
|
|
$
|
—
|
|
Maximum amount outstanding at any month end
|
|
162,203
|
|
|
92,870
|
|
|
24,346
|
|
|||
Average balance outstanding during the year
|
|
78,043
|
|
|
15,559
|
|
|
3,124
|
|
|||
Weighted-average interest rate:
|
|
|
|
|
|
|
|
|
|
|||
At year end
|
|
2.62
|
%
|
|
1.54
|
%
|
|
—
|
%
|
|||
Paid during the year
|
|
2.24
|
%
|
|
1.41
|
%
|
|
0.57
|
%
|
|
|
2018
|
|
2017
|
||||
|
|
Remaining Contractual Maturity of the Agreements
|
||||||
(In Thousands)
|
|
Overnight and Continuous
|
|
Overnight and Continuous
|
||||
Repurchase Agreements:
|
|
|
|
|
||||
Mortgage-backed securities
|
|
$
|
778
|
|
|
$
|
1,898
|
|
State and political securities
|
|
1,003
|
|
|
6,894
|
|
||
Other debt securities
|
|
6,599
|
|
|
8,662
|
|
||
Total carrying value of collateral pledged
|
|
$
|
8,380
|
|
|
$
|
17,454
|
|
|
|
|
|
|
||||
Total liability recognized for repurchase agreements
|
|
$
|
5,662
|
|
|
$
|
7,878
|
|
(In Thousands)
|
|
|
|
Weighted Average Interest Rate
|
|
Stated Interest Rate Range
|
|
|
|
|
||||||||||||
Description
|
|
Maturity
|
|
2018
|
|
2017
|
|
From
|
|
To
|
|
2018
|
|
2017
|
||||||||
Variable
|
|
2018
|
|
—
|
%
|
|
3.18
|
%
|
|
3.18
|
%
|
|
3.18
|
%
|
|
$
|
—
|
|
|
$
|
10,000
|
|
Total Variable
|
|
|
|
—
|
%
|
|
3.18
|
%
|
|
|
|
|
|
|
|
—
|
|
|
10,000
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Fixed
|
|
2018
|
|
—
|
%
|
|
1.13
|
%
|
|
1.13
|
%
|
|
1.13
|
%
|
|
—
|
|
|
2,000
|
|
||
Fixed
|
|
2019
|
|
1.84
|
%
|
|
1.59
|
%
|
|
1.54
|
%
|
|
2.12
|
%
|
|
32,292
|
|
|
17,292
|
|
||
Fixed
|
|
2020
|
|
1.91
|
%
|
|
1.71
|
%
|
|
1.62
|
%
|
|
2.29
|
%
|
|
43,333
|
|
|
28,333
|
|
||
Fixed
|
|
2021
|
|
2.73
|
%
|
|
—
|
%
|
|
2.45
|
%
|
|
3.00
|
%
|
|
30,000
|
|
|
—
|
|
||
Fixed
|
|
2022
|
|
2.24
|
%
|
|
1.99
|
%
|
|
1.98
|
%
|
|
2.56
|
%
|
|
23,000
|
|
|
13,000
|
|
||
Fixed
|
|
2023
|
|
3.10
|
%
|
|
—
|
%
|
|
3.10
|
%
|
|
3.10
|
%
|
|
10,000
|
|
|
—
|
|
||
Total Fixed
|
|
|
|
2.21
|
%
|
|
1.72
|
%
|
|
|
|
|
|
|
|
138,625
|
|
|
60,625
|
|
||
Total
|
|
|
|
2.21
|
%
|
|
1.92
|
%
|
|
|
|
|
|
|
|
$
|
138,625
|
|
|
$
|
70,625
|
|
(In Thousands)
Year Ending December 31,
|
|
Amount
|
|
Weighted Average Rate
|
|||
2019
|
|
$
|
32,292
|
|
|
1.84
|
%
|
2020
|
|
43,333
|
|
|
1.91
|
%
|
|
2021
|
|
30,000
|
|
|
2.73
|
%
|
|
2022
|
|
23,000
|
|
|
2.24
|
%
|
|
2023
|
|
10,000
|
|
|
3.10
|
%
|
|
|
|
$
|
138,625
|
|
|
2.21
|
%
|
(In Thousands)
|
|
Lease Payment
|
|
Interest
|
|
Present Value of Minimum Lease Payment
|
||||||
2019
|
|
$
|
38
|
|
|
$
|
9
|
|
|
$
|
29
|
|
2020
|
|
38
|
|
|
7
|
|
|
31
|
|
|||
2021
|
|
38
|
|
|
7
|
|
|
31
|
|
|||
2022
|
|
37
|
|
|
6
|
|
|
31
|
|
|||
2023
|
|
200
|
|
|
5
|
|
|
195
|
|
|||
|
|
$
|
351
|
|
|
$
|
34
|
|
|
$
|
317
|
|
(In Thousands)
|
|
2018
|
|
2017
|
||||
Deferred tax assets:
|
|
|
|
|
|
|
||
Allowance for loan losses
|
|
$
|
2,909
|
|
|
$
|
2,714
|
|
Deferred compensation
|
|
1,339
|
|
|
1,235
|
|
||
Defined pension
|
|
624
|
|
|
684
|
|
||
Deferred loan fees and discounts
|
|
274
|
|
|
211
|
|
||
Investment securities allowance
|
|
52
|
|
|
45
|
|
||
Unrealized loss on available for sale securities
|
|
362
|
|
|
14
|
|
||
Other
|
|
752
|
|
|
727
|
|
||
Total
|
|
6,312
|
|
|
5,630
|
|
||
Deferred tax liabilities:
|
|
|
|
|
|
|
||
Investment security accretion
|
|
104
|
|
|
95
|
|
||
Depreciation
|
|
451
|
|
|
537
|
|
||
Amortization
|
|
603
|
|
|
610
|
|
||
Total
|
|
1,158
|
|
|
1,242
|
|
||
Deferred tax asset, net
|
|
$
|
5,154
|
|
|
$
|
4,388
|
|
(In Thousands)
|
|
2018
|
|
2017
|
|
2016
|
||||||
Currently payable
|
|
$
|
3,143
|
|
|
$
|
5,690
|
|
|
$
|
3,054
|
|
Deferred benefit
|
|
(324
|
)
|
|
(955
|
)
|
|
1,543
|
|
|||
Change in corporate tax rate
|
|
—
|
|
|
2,724
|
|
|
—
|
|
|||
Total provision
|
|
$
|
2,819
|
|
|
$
|
7,459
|
|
|
$
|
4,597
|
|
|
|
2018
|
|
2017
|
|
2016
|
|||||||||||||||
(In Thousands)
|
|
Amount
|
|
%
|
|
Amount
|
|
%
|
|
Amount
|
|
%
|
|||||||||
Provision at expected rate
|
|
$
|
3,681
|
|
|
21.00
|
%
|
|
$
|
5,859
|
|
|
34.00
|
%
|
|
$
|
5,804
|
|
|
34.00
|
%
|
(Decrease) increase in tax resulting from:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Tax-exempt income
|
|
(633
|
)
|
|
(3.61
|
)
|
|
(811
|
)
|
|
(4.71
|
)
|
|
(1,092
|
)
|
|
(6.40
|
)
|
|||
Tax credits
|
|
(177
|
)
|
|
(1.01
|
)
|
|
(177
|
)
|
|
(1.03
|
)
|
|
(312
|
)
|
|
(1.83
|
)
|
|||
Change in corporate tax rate
|
|
—
|
|
|
—
|
|
|
2,724
|
|
|
15.81
|
|
|
—
|
|
|
—
|
|
|||
Other, net
|
|
(52
|
)
|
|
(0.30
|
)
|
|
(136
|
)
|
|
(0.78
|
)
|
|
197
|
|
|
1.16
|
|
|||
Effective income tax provision and rate
|
|
$
|
2,819
|
|
|
16.08
|
%
|
|
$
|
7,459
|
|
|
43.29
|
%
|
|
$
|
4,597
|
|
|
26.93
|
%
|
(In Thousands)
|
|
2018
|
|
2017
|
||||
Change in benefit obligation:
|
|
|
|
|
|
|
||
Benefit obligation at beginning of year
|
|
$
|
20,669
|
|
|
$
|
19,289
|
|
Interest cost
|
|
706
|
|
|
756
|
|
||
Actuarial loss
|
|
141
|
|
|
159
|
|
||
Benefits paid
|
|
(797
|
)
|
|
(782
|
)
|
||
Other, change in actuarial assumptions
|
|
(1,697
|
)
|
|
1,247
|
|
||
Benefit obligation at end of year
|
|
$
|
19,022
|
|
|
$
|
20,669
|
|
|
|
|
|
|
||||
Change in plan assets:
|
|
|
|
|
|
|
||
Fair value of plan assets at beginning of year
|
|
$
|
17,486
|
|
|
$
|
15,090
|
|
Actual return on plan assets
|
|
(1,078
|
)
|
|
2,424
|
|
||
Employer contribution
|
|
750
|
|
|
750
|
|
||
Benefits paid
|
|
(797
|
)
|
|
(782
|
)
|
||
Adjustment to fair value of plan assets
|
|
5
|
|
|
4
|
|
||
Fair value of plan assets at end of year
|
|
16,366
|
|
|
17,486
|
|
||
Funded status
|
|
$
|
(2,656
|
)
|
|
$
|
(3,183
|
)
|
|
|
|
|
|
||||
Accounts recognized on balance sheet as:
|
|
|
|
|
|
|
||
Total liabilities
|
|
$
|
(2,656
|
)
|
|
$
|
(3,183
|
)
|
|
|
|
|
|
||||
Amounts not yet recognized as a component of net periodic pension cost:
|
|
|
|
|
|
|
||
Amounts recognized in accumulated other comprehensive income (loss) consist of:
|
|
|
|
|
|
|
||
Net loss
|
|
$
|
6,678
|
|
|
$
|
6,227
|
|
(In Thousands)
|
|
2018
|
|
2017
|
|
2016
|
||||||
Net periodic pension cost:
|
|
|
|
|
|
|
|
|
|
|||
Service cost
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
55
|
|
Interest cost
|
|
706
|
|
|
756
|
|
|
775
|
|
|||
Expected return on plan assets
|
|
(1,098
|
)
|
|
(926
|
)
|
|
(989
|
)
|
|||
Amortization of unrecognized net loss
|
|
165
|
|
|
174
|
|
|
153
|
|
|||
Net periodic (benefit) cost
|
|
$
|
(227
|
)
|
|
$
|
4
|
|
|
$
|
(6
|
)
|
|
2018
|
|
2017
|
|
2016
|
|||
Discount rate
|
4.10
|
%
|
|
3.47
|
%
|
|
3.98
|
%
|
Rate of compensation increase
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
2018
|
|
2017
|
|
2016
|
|||
Discount rate
|
3.47
|
%
|
|
3.98
|
%
|
|
4.17
|
%
|
Expected long-term return on plan assets
|
7.00
|
%
|
|
7.00
|
%
|
|
7.00
|
%
|
Asset Category
|
|
2018
|
|
2017
|
||
Cash
|
|
4.70
|
%
|
|
4.96
|
%
|
Fixed income securities
|
|
12.98
|
%
|
|
11.42
|
%
|
Equity
|
|
64.26
|
%
|
|
66.90
|
%
|
Inflation Hedges/Real Assets
|
|
5.90
|
%
|
|
5.82
|
%
|
Hedged Strategies
|
|
12.16
|
%
|
|
10.90
|
%
|
Total
|
|
100.00
|
%
|
|
100.00
|
%
|
|
|
2018
|
||||||||||||||
(In Thousands)
|
|
Level I
|
|
Level II
|
|
Level III
|
|
Total
|
||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Cash and cash equivalents
|
|
$
|
770
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
770
|
|
Mutual funds - taxable fixed income
|
|
2,120
|
|
|
—
|
|
|
—
|
|
|
2,120
|
|
||||
Mutual funds - domestic equity
|
|
8,550
|
|
|
—
|
|
|
—
|
|
|
8,550
|
|
||||
Mutual funds - international equity
|
|
1,970
|
|
|
—
|
|
|
—
|
|
|
1,970
|
|
||||
Inflation Hedges/Real Assets
|
|
965
|
|
|
—
|
|
|
—
|
|
|
965
|
|
||||
Hedged Strategies
|
|
1,991
|
|
|
—
|
|
|
—
|
|
|
1,991
|
|
||||
Total assets at fair value
|
|
$
|
16,366
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
16,366
|
|
|
|
2017
|
||||||||||||||
(In Thousands)
|
|
Level I
|
|
Level II
|
|
Level III
|
|
Total
|
||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Cash and cash equivalents
|
|
$
|
868
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
868
|
|
Mutual funds - taxable fixed income
|
|
1,992
|
|
|
—
|
|
|
—
|
|
|
1,992
|
|
||||
Mutual funds - domestic equity
|
|
9,358
|
|
|
—
|
|
|
—
|
|
|
9,358
|
|
||||
Mutual funds - international equity
|
|
2,343
|
|
|
—
|
|
|
—
|
|
|
2,343
|
|
||||
Inflation Hedges/Real Assets
|
|
1,019
|
|
|
—
|
|
|
—
|
|
|
1,019
|
|
||||
Hedged Strategies
|
|
1,906
|
|
|
—
|
|
|
—
|
|
|
1,906
|
|
||||
Total assets at fair value
|
|
$
|
17,486
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
17,486
|
|
|
|
|
|
|
|
|
||||||||
|
|
Shares
|
|
Weighted Average Exercise Price
|
|
Weighted Average Remaining Contractual Term
|
|
Aggregate Intrinsic Value
|
||||||
Outstanding at December 31, 2015
|
|
34,750
|
|
|
42.03
|
|
|
9.67
|
|
|
14,943
|
|
||
Granted
|
|
—
|
|
|
—
|
|
|
|
|
|
|
|||
Exercised
|
|
—
|
|
|
—
|
|
|
|
|
|
||||
Forfeited
|
|
(8,250
|
)
|
|
42.03
|
|
|
|
|
|
||||
Expired
|
|
—
|
|
|
—
|
|
|
|
|
|
||||
Outstanding at December 31, 2016
|
|
26,500
|
|
|
42.03
|
|
|
8.66
|
|
|
224,455
|
|
||
Granted
|
|
70,000
|
|
|
44.21
|
|
|
9.23
|
|
|
|
|||
Exercised
|
|
—
|
|
|
—
|
|
|
|
|
|
||||
Forfeited
|
|
(3,000
|
)
|
|
44.21
|
|
|
|
|
|
||||
Expired
|
|
—
|
|
|
—
|
|
|
|
|
|
||||
Outstanding at December 31, 2017
|
|
93,500
|
|
|
$
|
43.59
|
|
|
8.79
|
|
|
$
|
279,365
|
|
Granted
|
|
174,700
|
|
|
45.87
|
|
|
9.56
|
|
|
|
|||
Exercised
|
|
—
|
|
|
—
|
|
|
|
|
|
||||
Forfeited
|
|
(4,500
|
)
|
|
42.76
|
|
|
|
|
|
||||
Expired
|
|
—
|
|
|
—
|
|
|
|
|
|
||||
Outstanding at December 31, 2018
|
|
263,700
|
|
|
$
|
45.12
|
|
|
8.97
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
||||||
Options exercisable at December 31, 2018
|
|
—
|
|
|
$
|
—
|
|
|
—
|
|
|
$
|
—
|
|
Stock Options Granted
|
|||||||||||||||||
Date
|
|
Shares
|
|
Forfeited
|
|
Outstanding
|
|
Strike Price
|
|
Vesting Period
|
|
Expiration
|
|||||
August 24, 2018
|
|
50,200
|
|
|
—
|
|
|
50,200
|
|
|
$
|
46.00
|
|
|
3 years
|
|
10 years
|
August 24, 2018
|
|
99,500
|
|
|
—
|
|
|
99,500
|
|
|
46.00
|
|
|
5 years
|
|
10 years
|
|
January 5, 2018
|
|
12,500
|
|
|
—
|
|
|
12,500
|
|
|
45.11
|
|
|
3 years
|
|
10 years
|
|
January 5, 2018
|
|
12,500
|
|
|
—
|
|
|
12,500
|
|
|
45.11
|
|
|
5 years
|
|
10 years
|
|
March 24, 2017
|
|
46,250
|
|
|
(4,500
|
)
|
|
41,750
|
|
|
44.21
|
|
|
3 years
|
|
10 years
|
|
March 24, 2017
|
|
23,750
|
|
|
—
|
|
|
23,750
|
|
|
44.21
|
|
|
5 years
|
|
10 years
|
|
August 27, 2015
|
|
38,750
|
|
|
(15,250
|
)
|
|
23,500
|
|
|
42.03
|
|
|
5 years
|
|
10 years
|
|
2018
|
|
2017
|
||||
Risk-free interest rate
|
2.68
|
%
|
|
1.90
|
%
|
||
Expected volatility
|
24.78
|
%
|
|
27.63
|
%
|
||
Expected dividend yield
|
2.16
|
%
|
|
4.20
|
%
|
||
Expected life
|
7.15 years
|
|
|
6.84 years
|
|
||
Weighted average grant date fair value per option
|
$
|
7.72
|
|
|
$
|
8.99
|
|
(In Thousands)
|
|
Beginning Balance
|
|
New Loans
|
|
Repayments
|
|
Ending Balance
|
||||||||
2017
|
|
$
|
8,877
|
|
|
$
|
13,147
|
|
|
$
|
(3,013
|
)
|
|
$
|
19,011
|
|
2018
|
|
19,011
|
|
|
5,602
|
|
|
(6,822
|
)
|
|
17,791
|
|
(In Thousands)
|
|
||
2019
|
$
|
546
|
|
2020
|
560
|
|
|
2021
|
563
|
|
|
2022
|
456
|
|
|
2023
|
601
|
|
|
Thereafter
|
2,117
|
|
|
|
$
|
4,843
|
|
(In Thousands)
|
|
2018
|
|
2017
|
||||
Commitments to extend credit
|
|
$
|
166,417
|
|
|
$
|
264,982
|
|
Standby letters of credit
|
|
10,566
|
|
|
10,406
|
|
||
Credit exposure from the sale of assets with recourse
|
|
6,152
|
|
|
4,893
|
|
Consolidated Corporation
|
||||||||||||||
|
|
|
|
|
|
|
|
|
||||||
|
|
2018
|
|
2017
|
||||||||||
(In Thousands)
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
||||||
Common Equity Tier I Capital (to Risk-weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Actual
|
|
$
|
132,543
|
|
|
10.178
|
%
|
|
$
|
125,513
|
|
|
11.254
|
%
|
For Capital Adequacy Purposes
|
|
58,601
|
|
|
4.500
|
%
|
|
50,187
|
|
|
4.500
|
%
|
||
Minimum To Maintain Capital Conservation Buffer
|
|
83,018
|
|
|
6.375
|
%
|
|
64,128
|
|
|
5.750
|
%
|
||
To Be Well Capitalized
|
|
84,646
|
|
|
6.500
|
%
|
|
72,493
|
|
|
6.500
|
%
|
||
Total Capital (to Risk-weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Actual
|
|
$
|
142,876
|
|
|
10.972
|
%
|
|
$
|
132,094
|
|
|
11.844
|
%
|
For Capital Adequacy Purposes
|
|
104,175
|
|
|
8.000
|
%
|
|
89,223
|
|
|
8.000
|
%
|
||
Minimum To Maintain Capital Conservation Buffer
|
|
128,591
|
|
|
9.875
|
%
|
|
103,164
|
|
|
9.250
|
%
|
||
To Be Well Capitalized
|
|
130,219
|
|
|
10.000
|
%
|
|
111,528
|
|
|
10.000
|
%
|
||
Tier I Capital (to Risk-weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Actual
|
|
$
|
132,543
|
|
|
10.178
|
%
|
|
$
|
125,513
|
|
|
11.254
|
%
|
For Capital Adequacy Purposes
|
|
78,135
|
|
|
6.000
|
%
|
|
66,916
|
|
|
6.000
|
%
|
||
Minimum To Maintain Capital Conservation Buffer
|
|
102,552
|
|
|
7.875
|
%
|
|
80,857
|
|
|
7.250
|
%
|
||
To Be Well Capitalized
|
|
104,180
|
|
|
8.000
|
%
|
|
89,222
|
|
|
8.000
|
%
|
||
Tier I Capital (to Average Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Actual
|
|
$
|
132,543
|
|
|
8.176
|
%
|
|
$
|
125,513
|
|
|
8.766
|
%
|
For Capital Adequacy Purposes
|
|
64,845
|
|
|
4.000
|
%
|
|
57,273
|
|
|
4.000
|
%
|
||
To Be Well Capitalized
|
|
81,056
|
|
|
5.000
|
%
|
|
71,591
|
|
|
5.000
|
%
|
Jersey Shore State Bank
|
||||||||||||||
|
|
|
|
|
||||||||||
|
|
2018
|
|
2017
|
||||||||||
(In Thousands)
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
||||||
Common Equity Tier I Capital (to Risk-weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Actual
|
|
$
|
94,105
|
|
|
9.879
|
%
|
|
$
|
88,289
|
|
|
10.120
|
%
|
For Capital Adequacy Purposes
|
|
42,866
|
|
|
4.500
|
%
|
|
39,259
|
|
|
4.500
|
%
|
||
Minimum To Maintain Capital Conservation Buffer
|
|
60,727
|
|
|
6.375
|
%
|
|
50,164
|
|
|
5.750
|
%
|
||
To Be Well Capitalized
|
|
61,917
|
|
|
6.500
|
%
|
|
56,707
|
|
|
6.500
|
%
|
||
Total Capital (to Risk-weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Actual
|
|
$
|
102,534
|
|
|
10.764
|
%
|
|
$
|
93,145
|
|
|
10.677
|
%
|
For Capital Adequacy Purposes
|
|
76,205
|
|
|
8.000
|
%
|
|
69,791
|
|
|
8.000
|
%
|
||
Minimum To Maintain Capital Conservation Buffer
|
|
94,066
|
|
|
9.875
|
%
|
|
80,696
|
|
|
9.250
|
%
|
||
To Be Well Capitalized
|
|
95,256
|
|
|
10.000
|
%
|
|
87,239
|
|
|
10.000
|
%
|
||
Tier I Capital (to Risk-weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Actual
|
|
$
|
94,105
|
|
|
9.879
|
%
|
|
$
|
88,289
|
|
|
10.120
|
%
|
For Capital Adequacy Purposes
|
|
57,155
|
|
|
6.000
|
%
|
|
52,345
|
|
|
6.000
|
%
|
||
Minimum To Maintain Capital Conservation Buffer
|
|
75,015
|
|
|
7.875
|
%
|
|
63,251
|
|
|
7.250
|
%
|
||
To Be Well Capitalized
|
|
76,206
|
|
|
8.000
|
%
|
|
69,794
|
|
|
8.000
|
%
|
||
Tier I Capital (to Average Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Actual
|
|
$
|
94,105
|
|
|
7.724
|
%
|
|
$
|
88,289
|
|
|
8.235
|
%
|
For Capital Adequacy Purposes
|
|
48,734
|
|
|
4.000
|
%
|
|
42,885
|
|
|
4.000
|
%
|
||
To Be Well Capitalized
|
|
60,917
|
|
|
5.000
|
%
|
|
53,606
|
|
|
5.000
|
%
|
Luzerne Bank
|
||||||||||||||
|
|
|
|
|
|
|
||||||||
|
|
2018
|
|
2017
|
||||||||||
(In Thousands)
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
||||||
Common Equity Tier I Capital (to Risk-weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
||||
Actual
|
|
$
|
35,378
|
|
|
10.061
|
%
|
|
$
|
31,116
|
|
|
9.731
|
%
|
For Capital Adequacy Purposes
|
|
15,824
|
|
|
4.500
|
%
|
|
14,389
|
|
|
4.500
|
%
|
||
Minimum To Maintain Capital Conservation Buffer
|
|
22,417
|
|
|
6.375
|
%
|
|
18,386
|
|
|
5.750
|
%
|
||
To Be Well Capitalized
|
|
22,856
|
|
|
6.500
|
%
|
|
20,785
|
|
|
6.500
|
%
|
||
Total Capital (to Risk-weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Actual
|
|
$
|
37,283
|
|
|
10.603
|
%
|
|
$
|
32,533
|
|
|
10.174
|
%
|
For Capital Adequacy Purposes
|
|
28,130
|
|
|
8.000
|
%
|
|
25,581
|
|
|
8.000
|
%
|
||
Minimum To Maintain Capital Conservation Buffer
|
|
34,723
|
|
|
9.875
|
%
|
|
29,578
|
|
|
9.250
|
%
|
||
To Be Well Capitalized
|
|
35,163
|
|
|
10.000
|
%
|
|
31,977
|
|
|
10.000
|
%
|
||
Tier I Capital (to Risk-weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Actual
|
|
$
|
35,378
|
|
|
10.061
|
%
|
|
$
|
31,116
|
|
|
9.731
|
%
|
For Capital Adequacy Purposes
|
|
21,098
|
|
|
6.000
|
%
|
|
19,186
|
|
|
6.000
|
%
|
||
Minimum To Maintain Capital Conservation Buffer
|
|
27,691
|
|
|
7.875
|
%
|
|
23,183
|
|
|
7.250
|
%
|
||
To Be Well Capitalized
|
|
28,131
|
|
|
8.000
|
%
|
|
25,581
|
|
|
8.000
|
%
|
||
Tier I Capital (to Average Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Actual
|
|
$
|
35,378
|
|
|
8.655
|
%
|
|
$
|
31,116
|
|
|
8.384
|
%
|
For Capital Adequacy Purposes
|
|
16,350
|
|
|
4.000
|
%
|
|
14,845
|
|
|
4.000
|
%
|
||
To Be Well Capitalized
|
|
20,438
|
|
|
5.000
|
%
|
|
18,557
|
|
|
5.000
|
%
|
Level I:
|
|
Quoted prices are available in active markets for identical assets or liabilities as of the reported date.
|
|
|
|
Level II:
|
|
Pricing inputs are other than quoted prices in active markets, which are either directly or indirectly observable as of the reported date. The nature of these assets and liabilities includes items for which quoted prices are available but traded less frequently, and items that are fair valued using other financial instruments, the parameters of which can be directly observed.
|
|
|
|
Level III:
|
|
Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable.
|
|
|
2018
|
||||||||||||||
(In Thousands)
|
|
Level I
|
|
Level II
|
|
Level III
|
|
Total
|
||||||||
Assets measured on a recurring basis:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investment securities, available for sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Mortgage-backed securities
|
|
$
|
—
|
|
|
$
|
6,153
|
|
|
$
|
—
|
|
|
$
|
6,153
|
|
State and political securities
|
|
—
|
|
|
79,541
|
|
|
—
|
|
|
79,541
|
|
||||
Other debt securities
|
|
—
|
|
|
48,591
|
|
|
—
|
|
|
48,591
|
|
||||
Investment equity securities:
|
|
|
|
|
|
|
|
|
||||||||
Financial institution equity securities
|
|
552
|
|
|
—
|
|
|
—
|
|
|
552
|
|
||||
Other equity securities
|
|
1,224
|
|
|
—
|
|
|
—
|
|
|
1,224
|
|
||||
Investment securities, trading:
|
|
|
|
|
|
|
|
|
||||||||
Other equity securities
|
|
36
|
|
|
—
|
|
|
—
|
|
|
36
|
|
|
|
2017
|
||||||||||||||
(In Thousands)
|
|
Level I
|
|
Level II
|
|
Level III
|
|
Total
|
||||||||
Assets measured on a recurring basis:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investment securities, available for sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Mortgage-backed securities
|
|
$
|
—
|
|
|
$
|
4,213
|
|
|
$
|
—
|
|
|
$
|
4,213
|
|
State and political securities
|
|
—
|
|
|
56,508
|
|
|
—
|
|
|
56,508
|
|
||||
Other debt securities
|
|
—
|
|
|
47,906
|
|
|
—
|
|
|
47,906
|
|
||||
Investment equity securities:
|
|
|
|
|
|
|
|
|
||||||||
Financial institution equity securities
|
|
1,265
|
|
|
—
|
|
|
—
|
|
|
1,265
|
|
||||
Other equity securities
|
|
1,251
|
|
|
—
|
|
|
—
|
|
|
1,251
|
|
||||
Investment securities, trading:
|
|
|
|
|
|
|
|
|
||||||||
Other equity securities
|
|
190
|
|
|
—
|
|
|
—
|
|
|
190
|
|
|
|
2018
|
||||||||||||||
(In Thousands)
|
|
Level I
|
|
Level II
|
|
Level III
|
|
Total
|
||||||||
Assets measured on a non-recurring basis:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Impaired loans
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
18,704
|
|
|
$
|
18,704
|
|
Other real estate owned
|
|
—
|
|
|
—
|
|
|
402
|
|
|
402
|
|
|
|
2017
|
||||||||||||||
(In Thousands)
|
|
Level I
|
|
Level II
|
|
Level III
|
|
Total
|
||||||||
Assets measured on a non-recurring basis:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Impaired loans
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
12,262
|
|
|
$
|
12,262
|
|
Other real estate owned
|
|
—
|
|
|
—
|
|
|
143
|
|
|
143
|
|
|
|
2018
|
||||||||||
|
|
Quantitative Information About Level III Fair Value Measurements
|
||||||||||
(In Thousands)
|
|
Fair Value
|
|
Valuation Technique(s)
|
|
Unobservable Inputs
|
|
Range
|
|
Weighted Average
|
||
Impaired loans
|
|
$
|
12,929
|
|
|
Discounted cash flow
|
|
Temporary reduction in payment amount
|
|
7% to (70)%
|
|
(6)%
|
|
|
|
|
|
|
|
Probability of default
|
|
—%
|
|
|
|
|
|
5,775
|
|
|
Appraisal of collateral
(1)
|
|
Appraisal adjustments
(1)
|
|
0 to (90)%
|
|
(20)%
|
|
Other real estate owned
|
|
$
|
402
|
|
|
Appraisal of collateral
(1)
|
|
Appraisal adjustments
(1)
|
|
(20)%
|
|
(20)%
|
|
|
2017
|
||||||||||
|
|
Quantitative Information About Level III Fair Value Measurements
|
||||||||||
(In Thousands)
|
|
Fair Value
|
|
Valuation Technique(s)
|
|
Unobservable Inputs
|
|
Range
|
|
Weighted Average
|
||
Impaired loans
|
|
$
|
6,583
|
|
|
Discounted cash flow
|
|
Temporary reduction in payment amount
|
|
3% to (70)%
|
|
(4)%
|
|
|
|
|
|
|
|
Probability of default
|
|
—%
|
|
|
|
|
|
5,679
|
|
|
Appraisal of collateral
(1)
|
|
Appraisal adjustments
(1)
|
|
0 to (20)%
|
|
(17)%
|
|
Other real estate owned
|
|
$
|
143
|
|
|
Appraisal of collateral
(1)
|
|
Appraisal adjustments
(1)
|
|
(20)%
|
|
(20)%
|
|
|
|
|
|
|
Fair Value Measurements at December 31, 2018
|
||||||||||||||
(In Thousands)
|
|
Carrying Value
|
|
Fair Value
|
|
Quoted Prices in Active Markets for Identical Assets (Level I)
|
|
Significant Other Observable Inputs (Level II)
|
|
Significant Unobservable Inputs
(Level III)
|
||||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Cash and cash equivalents
(1)
|
|
$
|
66,742
|
|
|
$
|
66,742
|
|
|
$
|
66,742
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Restricted investment in bank stock
|
|
18,862
|
|
|
18,862
|
|
|
18,862
|
|
|
—
|
|
|
—
|
|
|||||
Loans held for sale
(1)
|
|
2,929
|
|
|
2,929
|
|
|
2,929
|
|
|
—
|
|
|
—
|
|
|||||
Loans, net
|
|
1,370,920
|
|
|
1,381,581
|
|
|
—
|
|
|
—
|
|
|
1,381,581
|
|
|||||
Bank-owned life insurance
(1)
|
|
28,627
|
|
|
28,627
|
|
|
28,627
|
|
|
—
|
|
|
—
|
|
|||||
Accrued interest receivable
(1)
|
|
5,334
|
|
|
5,334
|
|
|
5,334
|
|
|
—
|
|
|
—
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest-bearing deposits
|
|
$
|
899,089
|
|
|
$
|
882,108
|
|
|
$
|
612,478
|
|
|
$
|
—
|
|
|
$
|
269,630
|
|
Noninterest-bearing deposits
(1)
|
|
320,814
|
|
|
320,814
|
|
|
320,814
|
|
|
—
|
|
|
—
|
|
|||||
Short-term borrowings
(1)
|
|
167,865
|
|
|
167,865
|
|
|
167,865
|
|
|
—
|
|
|
—
|
|
|||||
Long-term borrowings
|
|
138,942
|
|
|
137,773
|
|
|
—
|
|
|
—
|
|
|
137,773
|
|
|||||
Accrued interest payable
(1)
|
|
1,150
|
|
|
1,150
|
|
|
1,150
|
|
|
—
|
|
|
—
|
|
|
|
|
|
|
|
Fair Value Measurements at December 31, 2017
|
||||||||||||||
(In Thousands)
|
|
Carrying Value
|
|
Fair Value
|
|
Quoted Prices in Active Markets for Identical Assets (Level I)
|
|
Significant Other Observable Inputs (Level II)
|
|
Significant Unobservable Inputs (Level III)
|
||||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Cash and cash equivalents
|
|
$
|
27,243
|
|
|
$
|
27,243
|
|
|
$
|
27,243
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Restricted investment in bank stock
|
|
13,332
|
|
|
13,332
|
|
|
13,332
|
|
|
|
|
|
|
|
|||||
Loans held for sale
|
|
1,196
|
|
|
1,196
|
|
|
1,196
|
|
|
—
|
|
|
—
|
|
|||||
Loans, net
|
|
1,233,756
|
|
|
1,264,584
|
|
|
—
|
|
|
—
|
|
|
1,264,584
|
|
|||||
Bank-owned life insurance
|
|
27,982
|
|
|
27,982
|
|
|
27,982
|
|
|
—
|
|
|
—
|
|
|||||
Accrued interest receivable
|
|
4,321
|
|
|
4,321
|
|
|
4,321
|
|
|
—
|
|
|
—
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Interest-bearing deposits
|
|
$
|
843,004
|
|
|
$
|
838,441
|
|
|
$
|
611,187
|
|
|
$
|
—
|
|
|
$
|
227,254
|
|
Noninterest-bearing deposits
|
|
303,316
|
|
|
303,316
|
|
|
303,316
|
|
|
—
|
|
|
—
|
|
|||||
Short-term borrowings
|
|
100,748
|
|
|
100,748
|
|
|
100,748
|
|
|
—
|
|
|
—
|
|
|||||
Long-term borrowings
|
|
70,970
|
|
|
70,280
|
|
|
—
|
|
|
—
|
|
|
70,280
|
|
|||||
Accrued interest payable
|
|
502
|
|
|
502
|
|
|
502
|
|
|
—
|
|
|
—
|
|
(In Thousands)
|
|
2018
|
|
2017
|
||||
ASSETS:
|
|
|
|
|
|
|
||
Cash
|
|
$
|
247
|
|
|
$
|
132
|
|
Investment in subsidiaries:
|
|
|
|
|
|
|
||
Bank
|
|
140,476
|
|
|
131,637
|
|
||
Non-bank
|
|
2,694
|
|
|
5,685
|
|
||
Other assets
|
|
295
|
|
|
889
|
|
||
Total Assets
|
|
$
|
143,712
|
|
|
$
|
138,343
|
|
LIABILITIES AND SHAREHOLDERS’ EQUITY:
|
|
|
|
|
|
|
||
Other liabilities
|
|
$
|
176
|
|
|
$
|
149
|
|
Shareholders’ equity
|
|
143,536
|
|
|
138,194
|
|
||
Total liability and shareholders’ equity
|
|
$
|
143,712
|
|
|
$
|
138,343
|
|
(In Thousands)
|
|
2018
|
|
2017
|
|
2016
|
||||||
Operating income:
|
|
|
|
|
|
|
|
|
|
|||
Dividends from subsidiaries
|
|
$
|
9,091
|
|
|
$
|
11,352
|
|
|
$
|
10,007
|
|
Equity in undistributed earnings of subsidiaries
|
|
6,973
|
|
|
(908
|
)
|
|
3,128
|
|
|||
Operating expenses
|
|
(1,360
|
)
|
|
(671
|
)
|
|
(660
|
)
|
|||
Net income
|
|
$
|
14,704
|
|
|
$
|
9,773
|
|
|
$
|
12,475
|
|
Comprehensive income
|
|
$
|
13,579
|
|
|
$
|
10,545
|
|
|
$
|
11,346
|
|
(In Thousands)
|
|
2018
|
|
2017
|
|
2016
|
||||||
OPERATING ACTIVITIES:
|
|
|
|
|
|
|
|
|
|
|||
Net income
|
|
$
|
14,704
|
|
|
$
|
9,773
|
|
|
$
|
12,475
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
|
|
|
|
|||
Equity in undistributed earnings of subsidiaries
|
|
(6,973
|
)
|
|
908
|
|
|
(3,128
|
)
|
|||
Other, net
|
|
620
|
|
|
(525
|
)
|
|
344
|
|
|||
Net cash provided by operating activities
|
|
8,351
|
|
|
10,156
|
|
|
9,691
|
|
|||
FINANCING ACTIVITIES:
|
|
|
|
|
|
|
|
|
|
|||
Dividends paid
|
|
(8,818
|
)
|
|
(8,837
|
)
|
|
(8,903
|
)
|
|||
Issuance of common stock
|
|
582
|
|
|
116
|
|
|
101
|
|
|||
Purchase of treasury stock
|
|
—
|
|
|
(1,881
|
)
|
|
(574
|
)
|
|||
Net cash used for financing activities
|
|
(8,236
|
)
|
|
(10,602
|
)
|
|
(9,376
|
)
|
|||
NET INCREASE (DECREASE) IN CASH
|
|
115
|
|
|
(446
|
)
|
|
315
|
|
|||
CASH, BEGINNING OF YEAR
|
|
132
|
|
|
578
|
|
|
263
|
|
|||
CASH, END OF YEAR
|
|
$
|
247
|
|
|
$
|
132
|
|
|
$
|
578
|
|
(In Thousands, Except Per Share Data)
|
|
For the Three Months Ended
|
||||||||||||||
2018
|
|
March 31,
|
|
June 30,
|
|
Sept. 30,
|
|
Dec. 31,
|
||||||||
Interest income
|
|
$
|
13,201
|
|
|
$
|
14,111
|
|
|
$
|
15,198
|
|
|
$
|
16,236
|
|
Interest expense
|
|
2,048
|
|
|
2,408
|
|
|
2,943
|
|
|
3,537
|
|
||||
Net interest income
|
|
11,153
|
|
|
11,703
|
|
|
12,255
|
|
|
12,699
|
|
||||
Provision for loan losses
|
|
160
|
|
|
335
|
|
|
480
|
|
|
760
|
|
||||
Non-interest income, excluding securities gains
|
|
2,121
|
|
|
2,347
|
|
|
2,613
|
|
|
2,594
|
|
||||
Securities gains (losses), net
|
|
(40
|
)
|
|
15
|
|
|
(24
|
)
|
|
(165
|
)
|
||||
Non-interest expense
|
|
9,277
|
|
|
9,517
|
|
|
9,681
|
|
|
9,532
|
|
||||
Income before income tax provision
|
|
3,797
|
|
|
4,213
|
|
|
4,683
|
|
|
4,836
|
|
||||
Income tax provision
|
|
589
|
|
|
733
|
|
|
857
|
|
|
640
|
|
||||
Consolidated net income
|
|
$
|
3,208
|
|
|
$
|
3,480
|
|
|
$
|
3,826
|
|
|
$
|
4,196
|
|
Earnings per share - basic
|
|
$
|
0.68
|
|
|
$
|
0.74
|
|
|
$
|
0.82
|
|
|
$
|
0.89
|
|
Earnings per share - diluted
|
|
$
|
0.68
|
|
|
$
|
0.74
|
|
|
$
|
0.82
|
|
|
$
|
0.89
|
|
(In Thousands, Except Per Share Data)
|
|
For the Three Months Ended
|
||||||||||||||
2017
|
|
March 31,
|
|
June 30,
|
|
Sept. 30,
|
|
Dec. 31,
|
||||||||
Interest income
|
|
$
|
11,682
|
|
|
$
|
12,209
|
|
|
$
|
12,948
|
|
|
$
|
13,138
|
|
Interest expense
|
|
1,346
|
|
|
1,385
|
|
|
1,496
|
|
|
1,670
|
|
||||
Net interest income
|
|
10,336
|
|
|
10,824
|
|
|
11,452
|
|
|
11,468
|
|
||||
Provision for loan losses
|
|
330
|
|
|
215
|
|
|
60
|
|
|
125
|
|
||||
Non-interest income, excluding securities gains
|
|
2,452
|
|
|
2,775
|
|
|
2,442
|
|
|
2,483
|
|
||||
Securities gains, net
|
|
199
|
|
|
(12
|
)
|
|
298
|
|
|
107
|
|
||||
Non-interest expense
|
|
8,985
|
|
|
9,063
|
|
|
9,566
|
|
|
9,248
|
|
||||
Income before income tax provision
|
|
3,672
|
|
|
4,309
|
|
|
4,566
|
|
|
4,685
|
|
||||
Income tax provision
|
|
986
|
|
|
1,223
|
|
|
1,282
|
|
|
3,968
|
|
||||
Consolidated net income
|
|
$
|
2,686
|
|
|
$
|
3,086
|
|
|
$
|
3,284
|
|
|
$
|
717
|
|
Earnings per share - basic
|
|
$
|
0.57
|
|
|
$
|
0.65
|
|
|
$
|
0.70
|
|
|
$
|
0.16
|
|
Earnings per share - diluted
|
|
$
|
0.56
|
|
|
$
|
0.65
|
|
|
$
|
0.70
|
|
|
$
|
0.15
|
|
(In Thousands)
|
|
2018
|
|
2017
|
|
2016
|
||||||
Debit card transaction fees
|
|
$
|
2,117
|
|
|
$
|
1,960
|
|
|
$
|
1,896
|
|
Other processing service fees
|
|
275
|
|
|
263
|
|
|
314
|
|
|||
Gross interchange and card based transaction fees
|
|
2,392
|
|
|
2,223
|
|
|
2,210
|
|
|||
Network costs
|
|
858
|
|
|
911
|
|
|
883
|
|
|||
Net interchange and card based transaction fees
|
|
$
|
1,534
|
|
|
$
|
1,312
|
|
|
$
|
1,327
|
|
ITEM 9
|
CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE
|
ITEM 9A
|
CONTROLS AND PROCEDURES
|
Date:
|
March 12, 2019
|
/s/ Richard A. Grafmyre
|
|
/s/ Brian L. Knepp
|
|
|
Chief Executive Officer
|
|
President and Chief Financial Officer
|
|
|
|
|
(Principal Financial Officer)
|
ITEM 9B
|
OTHER INFORMATION
|
ITEM 10
|
DIRECTORS, EXECUTIVE OFFICERS, AND CORPORATE GOVERNANCE
|
ITEM 11
|
EXECUTIVE COMPENSATION
|
ITEM 12
|
SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS
|
|
|
|
|
|
|
|
||||
|
|
Number of Securities to be issued upon exercise of outstanding options, warrants and rights
|
|
Weighted average exercise price of outstanding options, warrants and rights
|
|
Number of securities remaining available for issuance under equity plans (excluding securities reflected in first column)
|
||||
|
|
|
|
|
|
|
||||
Equity compensation plan approved by security holders
|
|
263,700
|
|
|
$
|
45.12
|
|
|
319,050
|
|
Equity compensation plan not approved by security holders
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Total
|
|
263,700
|
|
|
$
|
45.12
|
|
|
319,050
|
|
ITEM 13
|
CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE
|
ITEM 14
|
PRINCIPAL ACCOUNTING FEES AND SERVICES
|
ITEM 15
|
EXHIBITS AND FINANCIAL STATEMENT SCHEDULES
|
Articles of Incorporation of the Registrant, as presently in effect.
|
|
Bylaws of the Registrant (incorporated by reference to Exhibit 3(ii) of the Registrant’s Annual Report on Form 10-K for the year ended December 31, 2011).
|
|
Form of First Amendment to the Jersey Shore State Bank Amendment and Restatement of the Director Fee Agreement, dated as of October 1, 2004 (incorporated by reference to Exhibit 10.7 of the Registrant’s Current Report on Form 8-K filed on June 29, 2006).
|
|
Employment Agreement, dated December 31, 2018, among Penns Woods Bancorp, Inc. and Brian L. Knepp (incorporated by reference to Exhibit 10.1 of the Registrant’s Current Report on Form 8-K filed on December 31, 2018).*
|
|
Amended and Restated Employment Agreement, dated September 27, 2018, among Penns Woods Bancorp, Inc., Jersey Shore State Bank and Richard A. Grafmyre (incorporated by reference to Exhibit 10.1 of the Registrant’s Current Report on Form 8-K filed on September 28, 2018).*
|
|
Employment Agreement, dated February 1, 2014, among Penns Woods Bancorp, Inc., Jersey Shore State Bank and Aron M. Carter (incorporated by reference to Exhibit 10.5 of the Registrant's Annual Report on Form 10-K for the year ended December 31, 2016).*
|
|
Employment Agreement, dated February 1, 2014, among Penns Woods Bancorp, Inc., Jersey Shore State Bank and Michelle M. Karas (incorporated by reference to Exhibit 10.6 of the Registrant's Annual Report on Form 10-K for the year ended December 31, 2016).*
|
|
Subsidiaries of the Registrant.
|
|
Consent of Independent Certified Public Accountants.
|
|
Rule 13a-14(a)/Rule 15d-14(a) Certification of Chief Executive Officer.
|
|
Rule 13a-14(a)/Rule 15d-14(a) Certification of Principal Financial Officer.
|
|
Section 1350 Certification of Chief Executive Officer.
|
|
Section 1350 Certification of Principal Financial Officer.
|
|
Exhibit 101
|
Interactive data file containing the following financial statements formatted in XBRL (Extensible Business Reporting Language): (i) the Consolidated Balance Sheet at December 31, 2018 and December 31, 2017; (ii) the Consolidated Statement of Income for the years ended December 31, 2018, 2017 and 2016; (iii) the Consolidated Statements of Shareholders’ Equity for the years ended December 31, 2018, 2017, and 2016; (iv) the Consolidated Statement of Comprehensive Income for the years ended December 31, 2018, 2017 and 2016; (v) the Consolidated Statement of Cash Flows for the years ended December 31, 2018, 2017, and 2016; and (vi) the Notes to Consolidated Financial Statements, tagged as blocks of text. As provided in Rule 406T of Regulation S-T, this interactive data file shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, and shall not be deemed “filed” or part of any registration statement or prospectus for purposes of Section 11 or 12 under the Securities Act of 1933, or otherwise subject to liability under those sections.
|
* Denotes compensatory plan or arrangement.
|
(3) (i)
|
|
Articles of Incorporation of the Registrant, as presently in effect
|
(21)
|
|
Subsidiaries of the Registrant.
|
(23)
|
|
Consent of Independent Certified Public Accountants.
|
(31) (i)
|
|
Rule 13a-14(a)/Rule 15d-14(a) Certification of Chief Executive Officer.
|
(31) (ii)
|
|
Rule 13a-14(a)/Rule 15d-14(a) Certification of Principal Financial Officer.
|
(32) (i)
|
|
Section 1350 Certification of Chief Executive Officer.
|
(32) (ii)
|
|
Section 1350 Certification of Principal Financial Officer.
|
Exhibit 101
|
|
Interactive data file containing the following financial statements formatted in XBRL (Extensible Business Reporting Language): (i) the Consolidated Balance Sheet at December 31, 2018 and December 31, 2017; (ii) the Consolidated Statement of Income for the years ended December 31, 2018, 2017 and 2016; (iii) the Consolidated Statements of Shareholders’ Equity for the years ended December 31, 2018, 2017, and 2016; (iv) the Consolidated Statement of Comprehensive Income for the years ended December 31, 2018, 2017 and 2016; (v) the Consolidated Statement of Cash Flows for the years ended December 31, 2018, 2017, and 2016; and (vi) the Notes to Consolidated Financial Statements, tagged as blocks of text. As provided in Rule 406T of Regulation S-T, this interactive data file shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, and shall not be deemed “filed” or part of any registration statement or prospectus for purposes of Section 11 or 12 under the Securities Act of 1933, or otherwise subject to liability under those sections.
|
March 12, 2019
|
PENNS WOODS BANCORP, INC.
|
|
/s/ Richard A. Grafmyre
|
|
Chief Executive Officer
|
/s/ Richard A. Grafmyre
|
|
|
Richard A. Grafmyre, Chief Executive Officer and Director
|
|
March 12, 2019
|
(Principal Executive Officer)
|
|
|
|
|
|
/s/ Brian L. Knepp
|
|
|
Brian L. Knepp, President and Chief Financial Officer and Director (Principal Financial and Accounting Officer)
|
|
March 12, 2019
|
|
|
|
/s/ R. Edward Nestlerode, Jr.
|
|
|
R. Edward Nestlerode, Jr., Chairman of the Board
|
|
March 12, 2019
|
|
|
|
/s/ Daniel K. Brewer
|
|
|
Daniel K. Brewer, Director
|
|
March 12, 2019
|
|
|
|
/s/ Michael J. Casale, Jr.
|
|
|
Michael J. Casale, Jr., Director
|
|
March 12, 2019
|
|
|
|
/s/ William J. Edwards
|
|
|
William J. Edwards, Director
|
|
March 12, 2019
|
|
|
|
/s/ James M. Furey, II
|
|
|
James M. Furey, II, Director
|
|
March 12, 2019
|
|
|
|
/s/ D. Michael Hawbaker
|
|
|
D. Michael Hawbaker, Director
|
|
March 12, 2019
|
|
|
|
/s/ Cameron W. Kephart
|
|
|
Cameron W. Kephart, Director
|
|
March 12, 2019
|
|
|
|
/s/ Leroy H. Keiler, III
|
|
|
Leroy H. Keiler, III, Director
|
|
March 12, 2019
|
|
|
|
/s/ Joseph E. Kluger
|
|
|
Joseph E. Kluger, Director
|
|
March 12, 2019
|
|
|
|
/s/ John G. Nackley
|
|
|
John G. Nackley, Director
|
|
March 12, 2019
|
|
|
|
/s/ Jill F. Schwartz
|
|
|
Jill F. Schwartz, Director
|
|
March 12, 2019
|
|
|
|
/s/ William H. Rockey
|
|
|
William H. Rockey, Director
|
|
March 12, 2019
|
|
|
|
/s/ Ronald A. Walko
|
|
|
Ronald A. Walko, Director
|
|
March 12, 2019
|
Name
|
|
Address
|
|
No. and Class of Shares
|
Theodore H. Reich
|
|
226 Front Street, Jersey Shore, PA 17740
|
|
1
|
Raymond D. Eck
|
|
R.D. 2 Jersey Shore, PA 17740
|
|
1
|
Howard N. Thompson
|
|
P.O. Box 504 Jersey Shore, PA 17740
|
|
1
|
|
State or Jurisdiction Under the Law of Which Organized
|
Jersey Shore State Bank
|
Pennsylvania
|
|
|
Luzerne Bank
|
Pennsylvania
|
|
|
Woods Real Estate Development Company, Inc.
|
Pennsylvania
|
|
|
Woods Investment Company, Inc.
|
Delaware
|
|
|
The M Group (subsidiary of the Jersey Shore State Bank)
|
Pennsylvania
|
|
|
United Insurance Solutions, LLC
|
Pennsylvania
|
Date:
|
March 12, 2019
|
/s/ Richard A. Grafmyre
|
|
|
Richard A. Grafmyre
|
|
|
Chief Executive Officer
|
|
|
(Principal Executive Officer)
|
Date:
|
March 12, 2019
|
/s/ Brian L. Knepp
|
|
|
Brian L. Knepp
|
|
|
President and Chief Financial Officer
|
|
|
(Principal Financial Officer and Principal Accounting Officer)
|
(1)
|
the Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
(2)
|
the information contained in the Report fairly presents, in all material respects, the financial condition and result of operations of the Company.
|
/s/ Richard A. Grafmyre
|
|
Richard A. Grafmyre
|
|
Chief Executive Officer
|
|
March 12, 2019
|
|
(1)
|
the Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
(2)
|
the information contained in the Report fairly presents, in all material respects, the financial condition and result of operations of the Company.
|
/s/ Brian L. Knepp
|
|
Brian L. Knepp
|
|
Chief Financial Officer
|
|
March 12, 2019
|
|