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x
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ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
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o
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
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Maine
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01-0413282
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(State or Other Jurisdiction of
Incorporation or Organization)
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(I.R.S. Employer
Identification No.)
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2 Elm Street, Camden, ME
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04843
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(Address of Principal Executive Offices)
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(Zip Code)
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Title of Each Class
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Name of Exchange on Which Registered
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Common Stock, without par value
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The NASDAQ Stock Market LLC
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Large accelerated filer
o
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Accelerated filer
x
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Non-accelerated filer
o
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Smaller reporting company
o
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(Do not check if a smaller reporting company)
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Page
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PART I
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PART II
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PART III
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PART IV
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•
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weakness in the United States economy in general and the regional and local economies within the New England region and Maine, which could result in a deterioration of credit quality, an increase in the allowance for loan losses or a reduced demand for the Company’s credit or fee-based products and services;
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•
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changes in trade, monetary, and fiscal policies and laws, including interest rate policies of the Board of Governors of the Federal Reserve System;
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•
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inflation, interest rate, market, and monetary fluctuations;
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•
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competitive pressures, including continued industry consolidation and the increased financial services provided by non-banks;
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•
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volatility in the securities markets that could adversely affect the value or credit quality of the Company’s assets, impairment of goodwill, the availability and terms of funding necessary to meet the Company’s liquidity needs, and could lead to impairment in the value of securities in the Company's investment portfolio;
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•
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changes in information technology that require increased capital spending;
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•
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changes in consumer spending and savings habits;
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•
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changes in tax, banking, securities and insurance laws and regulations; and
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•
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changes in accounting policies, practices and standards, as may be adopted by the regulatory agencies as well as the Financial Accounting Standards Board ("FASB"), and other accounting standard setters.
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•
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2012 —
The acquisition of 14 branches, including $287.6 million in deposits and $5.7 million in small business loans, from Bank of America, National Association, in October 2012.
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•
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2013 —
The divestiture of our five Franklin County branches, including $46.0 million in loans and $85.9 million in deposits and borrowings, in October 2013.
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•
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2014 —
The Company had $192.2 million of organic loan growth, primarily within in the commercial real estate and commercial loan portfolios. Also, in 2014, we expanded our franchise outside of Maine by opening a commercial loan office in Manchester, New Hampshire providing us with a wider reach across northern New England.
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Facility Name
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Location
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General
Character of the Physical Property
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Primary Business Segment
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Property
Status
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Property
Square Feet
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Main Office
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Camden, Maine
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3 story building
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Principal executive office
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Owned
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15,500
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Hanley Center
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Rockport, Maine
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2 story building
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Service center
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Owned
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32,360
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Bangor
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Bangor, Maine
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1 floor
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Branch
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Leased
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17,432
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(1)
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Acadia Trust
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Portland, Maine
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1 floor
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Main office
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Leased
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4,212
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(1)
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Rockland
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Rockland, Maine
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3 story building
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Branch
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Owned
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21,600
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Ellsworth
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Ellsworth, Maine
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3 story building
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Branch
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Owned
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44,000
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(2)
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Waterville
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Waterville, Maine
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3 story building
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Branch
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Owned
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17,099
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Auburn
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Auburn, Maine
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2 floors
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Branch
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Leased
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8,824
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(1)
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2014
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2013
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||||||||||||||||||||
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Market Price
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Dividends Declared per Share
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Market Price
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Dividends Declared per Share
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||||||||||||||||
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High
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Low
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High
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Low
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||||||||||||||
First Quarter
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$
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42.00
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$
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34.67
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$
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0.27
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$
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36.81
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$
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33.08
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$
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0.27
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Second Quarter
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$
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41.87
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$
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35.25
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$
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0.27
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$
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37.99
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$
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31.91
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$
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0.27
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Third Quarter
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$
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39.55
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$
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35.00
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$
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0.27
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$
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41.13
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$
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35.50
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$
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0.27
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Fourth Quarter
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$
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41.12
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$
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34.86
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$
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0.30
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$
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43.54
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$
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38.79
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$
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0.27
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Issuer's Purchases of Equity Securities
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|||||||||||||
Period
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Total
number of
shares (or units)
purchased
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Average
price paid
per share (or unit)
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Total number of
shares (or units) purchased
as part of publicly
announced plans or programs
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Maximum number (or appropriate dollar value) of shares (or units) that may yet be purchased under the plans or programs
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|||||
10/1/2014 to 10/31/2014
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—
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$
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—
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—
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500
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11/1/2014 to 11/30/2014
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—
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—
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—
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500
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12/1/2014 to 12/31/2014
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—
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—
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—
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500
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Total
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—
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$
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—
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—
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500
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At or For The Years Ended
December 31,
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||||||||||||||||||
(In Thousands, Except per Share Data)
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2014
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2013
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2012
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2011
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2010
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||||||||||
Financial Condition Data
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Investments
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$
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803,633
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$
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828,201
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$
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802,084
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$
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611,998
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$
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611,643
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Loans and loans held for sale
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1,772,610
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1,580,402
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1,563,866
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1,520,089
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1,530,280
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Allowance for loan losses
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21,116
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21,590
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23,044
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23,011
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22,293
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|||||
Total assets
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2,789,853
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2,603,829
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2,564,757
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2,302,720
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2,306,007
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Deposits
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1,932,097
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1,813,824
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1,929,469
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1,591,366
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1,515,811
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Borrowings
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577,002
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530,092
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360,163
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456,233
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559,919
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|||||
Shareholders’ equity
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245,109
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231,096
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233,815
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218,876
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205,995
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Operating Data
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|||||||
Interest income
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$
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88,421
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$
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88,217
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$
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90,947
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$
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98,372
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$
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104,507
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Interest expense
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12,128
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12,742
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17,202
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23,153
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30,217
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|||||
Net interest income
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76,293
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75,475
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73,745
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75,219
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74,290
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|||||
Provision for credit losses
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2,220
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2,028
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3,816
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4,735
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6,299
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|||||
Net interest income after provision for credit losses
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74,073
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73,447
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69,929
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70,484
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67,991
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|||||
Non-interest income
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24,334
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27,801
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23,412
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23,053
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20,825
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|||||
Non-interest expense
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62,397
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66,333
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59,031
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55,579
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52,937
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|||||
Income before income taxes
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36,010
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34,915
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34,310
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37,958
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35,879
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|||||
Income taxes
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11,440
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12,132
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10,882
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11,781
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11,113
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|||||
Net income
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$
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24,570
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$
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22,783
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$
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23,428
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$
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26,177
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$
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24,766
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Ratios
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||||||
Return on average assets
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0.92
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%
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0.88
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%
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0.98
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%
|
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1.13
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%
|
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1.09
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%
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|||||
Return on average equity
|
|
10.37
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%
|
|
9.74
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%
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10.31
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%
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12.16
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%
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12.42
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%
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|||||
Return on average tangible equity (Non-GAAP)
(1)
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13.46
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%
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14.55
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%
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13.19
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%
|
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15.67
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%
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16.40
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%
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|||||
Tangible equity to tangible assets (Non-GAAP)
(1)
|
|
7.18
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%
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7.12
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%
|
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7.19
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%
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7.69
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%
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|
7.09
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%
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|||||
Efficiency ratio (Non-GAAP)
(1)
|
|
61.58
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%
|
|
62.78
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%
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|
57.45
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%
|
|
54.63
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%
|
|
55.74
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%
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|||||
Net interest margin
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3.11
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%
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3.20
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%
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3.36
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%
|
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3.57
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%
|
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3.60
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%
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|||||
Tier I leverage capital ratio
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9.26
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%
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|
9.43
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%
|
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8.94
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%
|
|
9.59
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%
|
|
8.77
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%
|
|||||
Tier I risk-based capital ratio
|
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13.97
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%
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|
15.20
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%
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14.31
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%
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14.69
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%
|
|
13.80
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%
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|||||
Total risk-based capital ratio
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15.16
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%
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16.45
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%
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15.56
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%
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15.95
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%
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15.05
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%
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|||||
Allowance for credit losses to total loans
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1.19
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%
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1.37
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%
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1.48
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%
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1.52
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%
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1.46
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%
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|||||
Net charge-offs to average loans
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0.16
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%
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0.22
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%
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0.24
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%
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0.26
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%
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0.28
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%
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|||||
Non-performing loans to total loans
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1.19
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%
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|
1.80
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%
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|
1.78
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%
|
|
1.82
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%
|
|
1.47
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%
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|||||
Non-performing assets to total assets
|
|
0.82
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%
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|
1.18
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%
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|
1.13
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%
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|
1.27
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%
|
|
1.08
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%
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|||||
Per common share data
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|||||||
Basic earnings per share
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$
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3.29
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|
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$
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2.98
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$
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3.06
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$
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3.41
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$
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3.23
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Diluted earnings per share
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3.28
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|
2.97
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|
|
3.05
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|
|
3.40
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|
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3.23
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|
|||||
Dividends declared per share
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|
1.11
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|
1.08
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|
1.00
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1.50
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|
|
1.00
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|||||
Book value per share
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33.01
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30.49
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|
|
30.67
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28.56
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|
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26.90
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|||||
Tangible book value per share (Non-GAAP)
(1)
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26.52
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23.98
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|
23.68
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|
|
22.66
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|
|
20.91
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|
|||||
Dividend payout ratio
|
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33.73
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%
|
|
36.30
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%
|
|
32.73
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%
|
|
44.05
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%
|
|
30.95
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%
|
Acadia Trust:
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Acadia Trust, N.A., a wholly-owned subsidiary of Camden National Corporation
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Freddie Mac:
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Federal Home Loan Mortgage Corporation
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Act:
|
Medicare Prescription Drug, Improvement and Modernization Act
|
|
GAAP:
|
Generally accepted accounting principles in the United States
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AFS:
|
Available-for-sale
|
|
HTM:
|
Held-to-maturity
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ALCO:
|
Asset/Liability Committee
|
|
IRS:
|
Internal Revenue Service
|
ALL:
|
Allowance for loan losses
|
|
LIBOR:
|
London Interbank Offered Rate
|
AOCI:
|
Accumulated other comprehensive income (loss)
|
|
LTIP:
|
Long-Term Performance Share Plan
|
ASC:
|
Accounting Standards Codification
|
|
MaineHousing:
|
Maine State Housing Authority
|
ASU:
|
Accounting Standards Update
|
|
Management ALCO:
|
Management Asset/Liability Committee
|
Bank:
|
Camden National Bank, a wholly-owned subsidiary of Camden National Corporation
|
|
MSPP:
|
Management Stock Purchase Plan
|
BOLI:
|
Bank-owned life insurance
|
|
MSRs:
|
Mortgage servicing rights
|
Board ALCO:
|
Board of directors' Asset/Liability Committee
|
|
Non-Agency:
|
Non-agency private issue collateralized mortgage obligation
|
Branch Acquisition:
|
The acquisition of 14 branches from Bank of America, N.A. in 2012, after divesting of one branch as required by the Department of Justice
|
|
NRV:
|
Net realizable value
|
Branch Divestiture:
|
The divestiture of five Franklin County branches in 2013
|
|
OCC:
|
Office of the Comptroller of the Currency
|
BSA:
|
Bank Secrecy Act
|
|
OCI:
|
Other comprehensive income (loss)
|
CCTA:
|
Camden Capital Trust A, an unconsolidated entity formed by Camden National Corporation
|
|
OFAC:
|
Office of Foreign Assets Control
|
CDARS:
|
Certificate of Deposit Account Registry System
|
|
OREO:
|
Other real estate owned
|
CDs:
|
Certificate of deposits
|
|
OTTI:
|
Other-than-temporary impairment
|
CSV:
|
Cash surrender value
|
|
SERP:
|
Supplemental executive retirement plans
|
Company:
|
Camden National Corporation
|
|
TDR:
|
Troubled-debt restructuring
|
DCRP:
|
Defined Contribution Retirement Plan
|
|
UBCT:
|
Union Bankshares Capital Trust I, an unconsolidated entity formed by Union Bankshares Company that was subsequently acquired by Camden National Corporation
|
EPS:
|
Earnings per share
|
|
U.S.:
|
United States of America
|
FASB:
|
Financial Accounting Standards Board
|
|
USD:
|
United States dollar
|
FDIC:
|
Federal Deposit Insurance Corporation
|
|
2003 Plan:
|
2003 Stock Option and Incentive Plan
|
FHLB:
|
Federal Home Loan Bank
|
|
2012 Plan:
|
2012 Equity and Incentive Plan
|
FHLBB:
|
Federal Home Loan Bank of Boston
|
|
2013 Repurchase Plan:
|
2013 Common Stock Repurchase Program, approved by the Company's board of directors
|
FRB:
|
Federal Reserve Bank
|
|
2012 Repurchase Plan:
|
2012 Common Stock Repurchase Program, approved by the Company's board of directors
|
•
|
Loans 30-89 days past due to total loans decreased 20 basis points to 0.18% at December 31, 2014 compared to December 31, 2013.
|
|
|
For The Years Ended
December 31,
|
||||||||||||||||||
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
|
2010
|
||||||||||
Non-interest expense, as presented
|
|
$
|
62,397
|
|
|
$
|
66,333
|
|
|
$
|
59,031
|
|
|
$
|
55,579
|
|
|
$
|
52,937
|
|
Less: Branch Acquisition and Divestiture costs
|
|
—
|
|
|
374
|
|
|
2,324
|
|
|
—
|
|
|
—
|
|
|||||
Less: prepayment penalties on borrowings
|
|
—
|
|
|
—
|
|
|
2,030
|
|
|
2,318
|
|
|
—
|
|
|||||
Less: goodwill impairment
|
|
—
|
|
|
2,830
|
|
|
—
|
|
|
50
|
|
|
—
|
|
|||||
Adjusted non-interest expense
|
|
$
|
62,397
|
|
|
$
|
63,129
|
|
|
$
|
54,677
|
|
|
$
|
53,211
|
|
|
$
|
52,937
|
|
Net interest income, as presented
|
|
$
|
76,293
|
|
|
$
|
75,475
|
|
|
$
|
73,745
|
|
|
$
|
75,219
|
|
|
$
|
74,290
|
|
Effect of tax-exempt income
|
|
1,157
|
|
|
808
|
|
|
988
|
|
|
1,212
|
|
|
1,452
|
|
|||||
Non-interest income
|
|
24,334
|
|
|
27,801
|
|
|
23,412
|
|
|
23,053
|
|
|
20,825
|
|
|||||
Less: net gains or (losses) on sale of securities, net of OTTI
|
|
451
|
|
|
785
|
|
|
2,498
|
|
|
2,076
|
|
|
(409
|
)
|
|||||
Less: gain on Branch Divestiture
|
|
—
|
|
|
2,742
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Less: gain on sale of branch facility
|
|
—
|
|
|
—
|
|
|
479
|
|
|
—
|
|
|
—
|
|
|||||
Less: legal settlement proceeds
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,000
|
|
|||||
Adjusted net interest income plus
non-interest income
|
|
$
|
101,333
|
|
|
$
|
100,557
|
|
|
$
|
95,168
|
|
|
$
|
97,408
|
|
|
$
|
94,976
|
|
Non-GAAP efficiency ratio
|
|
61.58
|
%
|
|
62.78
|
%
|
|
57.45
|
%
|
|
54.63
|
%
|
|
55.74
|
%
|
|||||
GAAP efficiency ratio
|
|
62.01
|
%
|
|
64.23
|
%
|
|
60.76
|
%
|
|
56.49
|
%
|
|
55.53
|
%
|
|
|
For The Years Ended
December 31,
|
||||||||||||||||||
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
|
2010
|
||||||||||
Net interest income, as presented
|
|
$
|
76,293
|
|
|
$
|
75,475
|
|
|
$
|
73,745
|
|
|
$
|
75,219
|
|
|
$
|
74,290
|
|
Effect of tax-exempt income
|
|
1,157
|
|
|
808
|
|
|
988
|
|
|
1,212
|
|
|
1,452
|
|
|||||
Net interest income, tax equivalent
|
|
$
|
77,450
|
|
|
$
|
76,283
|
|
|
$
|
74,733
|
|
|
$
|
76,431
|
|
|
$
|
75,742
|
|
|
|
For The Years Ended
December 31,
|
||||||||||||||||||
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
|
2010
|
||||||||||
Net income, as presented
|
|
$
|
24,570
|
|
|
$
|
22,783
|
|
|
$
|
23,428
|
|
|
$
|
26,177
|
|
|
$
|
24,766
|
|
Tax effected amortization of intangible assets
|
|
746
|
|
|
747
|
|
|
427
|
|
|
375
|
|
|
375
|
|
|||||
Goodwill impairment
|
|
—
|
|
|
2,830
|
|
|
—
|
|
|
50
|
|
|
—
|
|
|||||
Net income, adjusted
|
|
$
|
25,316
|
|
|
$
|
26,360
|
|
|
$
|
23,855
|
|
|
$
|
26,602
|
|
|
$
|
25,141
|
|
Average equity
|
|
$
|
236,849
|
|
|
$
|
233,888
|
|
|
$
|
227,129
|
|
|
$
|
215,311
|
|
|
$
|
199,428
|
|
Less: average goodwill and other intangible assets
|
|
48,735
|
|
|
52,708
|
|
|
46,253
|
|
|
45,533
|
|
|
46,115
|
|
|||||
Average tangible equity
|
|
$
|
188,114
|
|
|
$
|
181,180
|
|
|
$
|
180,876
|
|
|
$
|
169,778
|
|
|
$
|
153,313
|
|
Return on average tangible equity
|
|
13.46
|
%
|
|
14.55
|
%
|
|
13.19
|
%
|
|
15.67
|
%
|
|
16.40
|
%
|
|||||
Return on average equity
|
|
10.37
|
%
|
|
9.74
|
%
|
|
10.31
|
%
|
|
12.16
|
%
|
|
12.42
|
%
|
|
|
December 31,
|
||||||||||||||||||
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
|
2010
|
||||||||||
Shareholders’ equity
|
|
$
|
245,109
|
|
|
$
|
231,096
|
|
|
$
|
233,815
|
|
|
$
|
218,876
|
|
|
$
|
205,995
|
|
Less: goodwill and other intangibles
|
|
48,171
|
|
|
49,319
|
|
|
53,299
|
|
|
45,194
|
|
|
45,821
|
|
|||||
Tangible shareholders’ equity
|
|
$
|
196,938
|
|
|
$
|
181,777
|
|
|
$
|
180,516
|
|
|
$
|
173,682
|
|
|
$
|
160,174
|
|
Shares outstanding at period end
|
|
7,426,222
|
|
|
7,579,913
|
|
|
7,622,750
|
|
|
7,664,975
|
|
|
7,658,496
|
|
|||||
Tangible book value per share
|
|
$
|
26.52
|
|
|
$
|
23.98
|
|
|
$
|
23.68
|
|
|
$
|
22.66
|
|
|
$
|
20.91
|
|
Book value per share
|
|
$
|
33.01
|
|
|
$
|
30.49
|
|
|
$
|
30.67
|
|
|
$
|
28.56
|
|
|
$
|
26.90
|
|
|
|
December 31,
|
||||||||||||||||||
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
|
2010
|
||||||||||
Shareholders’ equity
|
|
$
|
245,109
|
|
|
$
|
231,096
|
|
|
$
|
233,815
|
|
|
$
|
218,876
|
|
|
$
|
205,995
|
|
Less: goodwill and other intangibles
|
|
48,171
|
|
|
49,319
|
|
|
53,299
|
|
|
45,194
|
|
|
45,821
|
|
|||||
Tangible equity
|
|
$
|
196,938
|
|
|
$
|
181,777
|
|
|
$
|
180,516
|
|
|
$
|
173,682
|
|
|
$
|
160,174
|
|
Total assets
|
|
$
|
2,789,853
|
|
|
$
|
2,603,829
|
|
|
$
|
2,564,757
|
|
|
$
|
2,302,720
|
|
|
$
|
2,306,007
|
|
Less: goodwill and other intangibles
|
|
48,171
|
|
|
49,319
|
|
|
53,299
|
|
|
45,194
|
|
|
45,821
|
|
|||||
Tangible assets
|
|
$
|
2,741,682
|
|
|
$
|
2,554,510
|
|
|
$
|
2,511,458
|
|
|
$
|
2,257,526
|
|
|
$
|
2,260,186
|
|
Tangible equity to tangible assets
|
|
7.18
|
%
|
|
7.12
|
%
|
|
7.19
|
%
|
|
7.69
|
%
|
|
7.09
|
%
|
|||||
Shareholders' equity to assets
|
|
8.79
|
%
|
|
8.88
|
%
|
|
9.12
|
%
|
|
9.51
|
%
|
|
8.93
|
%
|
|
|
For The Years Ended
December 31,
|
|
|
|
|
|||||||||||||||||||||||||
|
|
2013
|
|
2014
|
|
|
|
|
|||||||||||||||||||||||
|
|
GAAP,
as reported
|
|
Franklin County
Operating Results
|
|
Goodwill
Impairment
|
|
Branch Acquisition
and Divestiture Costs
|
|
Normalized Operating
Results,
as adjusted
|
|
GAAP,
as reported
|
|
Change
($)
|
|
Change
(%)
|
|||||||||||||||
Net interest income
|
|
$
|
75,475
|
|
|
$
|
1,305
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
74,170
|
|
|
$
|
76,293
|
|
|
$
|
2,123
|
|
|
3
|
%
|
Provision for credit losses
|
|
2,028
|
|
|
36
|
|
|
—
|
|
|
—
|
|
|
1,992
|
|
|
2,220
|
|
|
228
|
|
|
11
|
%
|
|||||||
Non-interest income
|
|
27,801
|
|
|
3,301
|
|
|
—
|
|
|
—
|
|
|
24,500
|
|
|
24,334
|
|
|
(166
|
)
|
|
(1
|
)%
|
|||||||
Non-interest expense
|
|
66,333
|
|
|
1,063
|
|
|
2,830
|
|
|
374
|
|
|
62,066
|
|
|
62,397
|
|
|
331
|
|
|
1
|
%
|
|||||||
Income before income taxes
|
|
34,915
|
|
|
3,507
|
|
|
(2,830
|
)
|
|
(374
|
)
|
|
34,612
|
|
|
36,010
|
|
|
1,398
|
|
|
4
|
%
|
|||||||
Income tax expense
(1)
|
|
12,132
|
|
|
1,227
|
|
|
—
|
|
|
(131
|
)
|
|
11,036
|
|
|
11,440
|
|
|
404
|
|
|
4
|
%
|
|||||||
Net income
|
|
$
|
22,783
|
|
|
$
|
2,280
|
|
|
$
|
(2,830
|
)
|
|
$
|
(243
|
)
|
|
$
|
23,576
|
|
|
$
|
24,570
|
|
|
$
|
994
|
|
|
4
|
%
|
Diluted EPS
|
|
$
|
2.97
|
|
|
$
|
0.30
|
|
|
(0.37
|
)
|
|
$
|
(0.03
|
)
|
|
$
|
3.07
|
|
|
$
|
3.28
|
|
|
$
|
0.21
|
|
|
7
|
%
|
|
|
Average Balance, Interest and Yield/Rate Analysis
|
|||||||||||||||||||||||||||||||
|
|
For The Years Ended
December 31,
|
|||||||||||||||||||||||||||||||
|
|
2014
|
|
2013
|
|
2012
|
|||||||||||||||||||||||||||
|
|
Average Balance
|
|
Interest
|
|
Yield/Rate
|
|
Average Balance
|
|
Interest
|
|
Yield/Rate
|
|
Average Balance
|
|
Interest
|
|
Yield/Rate
|
|||||||||||||||
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Securities – taxable
|
|
$
|
770,202
|
|
|
$
|
16,474
|
|
|
2.14
|
%
|
|
$
|
772,095
|
|
|
$
|
16,751
|
|
|
2.17
|
%
|
|
$
|
640,779
|
|
|
$
|
16,646
|
|
|
2.60
|
%
|
Securities – nontaxable
(1)
|
|
37,499
|
|
|
1,932
|
|
|
5.15
|
%
|
|
30,672
|
|
|
1,799
|
|
|
5.87
|
%
|
|
37,163
|
|
|
2,130
|
|
|
5.73
|
%
|
||||||
Trading account assets
|
|
2,405
|
|
|
36
|
|
|
1.50
|
%
|
|
2,295
|
|
|
34
|
|
|
1.48
|
%
|
|
2,214
|
|
|
43
|
|
|
1.94
|
%
|
||||||
Federal funds sold
|
|
—
|
|
|
—
|
|
|
—
|
%
|
|
—
|
|
|
—
|
|
|
—
|
%
|
|
5,601
|
|
|
14
|
|
|
0.25
|
%
|
||||||
Loans
(2)
:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Residential real estate
|
|
571,593
|
|
|
24,036
|
|
|
4.21
|
%
|
|
571,291
|
|
|
25,209
|
|
|
4.41
|
%
|
|
573,227
|
|
|
27,210
|
|
|
4.75
|
%
|
||||||
Commercial real estate
|
|
594,224
|
|
|
26,976
|
|
|
4.54
|
%
|
|
515,501
|
|
|
24,764
|
|
|
4.80
|
%
|
|
491,732
|
|
|
24,572
|
|
|
5.00
|
%
|
||||||
Commercial
(1)
|
|
211,722
|
|
|
8,346
|
|
|
3.94
|
%
|
|
173,933
|
|
|
7,591
|
|
|
4.36
|
%
|
|
169,043
|
|
|
7,961
|
|
|
4.71
|
%
|
||||||
Municipal
(1)
|
|
13,794
|
|
|
486
|
|
|
3.52
|
%
|
|
11,799
|
|
|
508
|
|
|
4.31
|
%
|
|
14,473
|
|
|
694
|
|
|
4.80
|
%
|
||||||
Consumer
|
|
289,964
|
|
|
11,292
|
|
|
3.89
|
%
|
|
308,335
|
|
|
12,369
|
|
|
4.01
|
%
|
|
287,173
|
|
|
12,665
|
|
|
4.41
|
%
|
||||||
Total loans
|
|
1,681,297
|
|
|
71,136
|
|
|
4.23
|
%
|
|
1,580,859
|
|
|
70,441
|
|
|
4.46
|
%
|
|
1,535,648
|
|
|
73,102
|
|
|
4.76
|
%
|
||||||
Total interest-earning assets
|
|
2,491,403
|
|
|
89,578
|
|
|
3.60
|
%
|
|
2,385,921
|
|
|
89,025
|
|
|
3.73
|
%
|
|
2,221,405
|
|
|
91,935
|
|
|
4.14
|
%
|
||||||
Cash and due from banks
|
|
44,276
|
|
|
|
|
|
|
|
|
43,879
|
|
|
|
|
|
|
|
|
42,165
|
|
|
|
|
|
|
|
||||||
Other assets
|
|
168,799
|
|
|
|
|
|
|
|
|
167,557
|
|
|
|
|
|
|
|
|
154,970
|
|
|
|
|
|
|
|
||||||
Less: ALL
|
|
(21,691
|
)
|
|
|
|
|
|
(22,968
|
)
|
|
|
|
|
|
(23,050
|
)
|
|
|
|
|
||||||||||||
Total assets
|
|
$
|
2,682,787
|
|
|
|
|
|
|
$
|
2,574,389
|
|
|
|
|
|
|
$
|
2,395,490
|
|
|
|
|
|
|||||||||
LIABILITIES & SHAREHOLDERS’ EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Demand
|
|
$
|
251,609
|
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
241,520
|
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
240,369
|
|
|
$
|
—
|
|
|
—
|
%
|
Interest checking
|
|
465,740
|
|
|
325
|
|
|
0.07
|
%
|
|
476,448
|
|
|
324
|
|
|
0.07
|
%
|
|
351,232
|
|
|
336
|
|
|
0.10
|
%
|
||||||
Savings
|
|
250,148
|
|
|
142
|
|
|
0.06
|
%
|
|
237,110
|
|
|
133
|
|
|
0.06
|
%
|
|
195,800
|
|
|
285
|
|
|
0.15
|
%
|
||||||
Money market
|
|
413,712
|
|
|
1,206
|
|
|
0.29
|
%
|
|
442,908
|
|
|
1,346
|
|
|
0.30
|
%
|
|
382,274
|
|
|
2,019
|
|
|
0.53
|
%
|
||||||
Certificates of deposit
|
|
328,887
|
|
|
3,116
|
|
|
0.95
|
%
|
|
387,816
|
|
|
3,856
|
|
|
0.99
|
%
|
|
385,666
|
|
|
4,998
|
|
|
1.30
|
%
|
||||||
Total deposits
|
|
1,710,096
|
|
|
4,789
|
|
|
0.28
|
%
|
|
1,785,802
|
|
|
5,659
|
|
|
0.32
|
%
|
|
1,555,341
|
|
|
7,638
|
|
|
0.49
|
%
|
||||||
Borrowings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Brokered deposits
|
|
157,265
|
|
|
1,478
|
|
|
0.94
|
%
|
|
118,423
|
|
|
1,414
|
|
|
1.19
|
%
|
|
117,815
|
|
|
1,655
|
|
|
1.40
|
%
|
||||||
Junior subordinated debentures
|
|
43,973
|
|
|
2,532
|
|
|
5.76
|
%
|
|
43,871
|
|
|
2,532
|
|
|
5.77
|
%
|
|
43,769
|
|
|
2,546
|
|
|
5.82
|
%
|
||||||
Other borrowings
|
|
504,803
|
|
|
3,329
|
|
|
0.66
|
%
|
|
360,948
|
|
|
3,137
|
|
|
0.87
|
%
|
|
414,566
|
|
|
5,363
|
|
|
1.29
|
%
|
||||||
Total borrowings
|
|
706,041
|
|
|
7,339
|
|
|
1.04
|
%
|
|
523,242
|
|
|
7,083
|
|
|
1.35
|
%
|
|
576,150
|
|
|
9,564
|
|
|
1.66
|
%
|
||||||
Total funding liabilities
|
|
2,416,137
|
|
|
12,128
|
|
|
0.50
|
%
|
|
2,309,044
|
|
|
12,742
|
|
|
0.55
|
%
|
|
2,131,491
|
|
|
17,202
|
|
|
0.81
|
%
|
||||||
Other liabilities
|
|
29,801
|
|
|
|
|
|
|
|
|
31,457
|
|
|
|
|
|
|
|
|
36,870
|
|
|
|
|
|
|
|
||||||
Shareholders’ equity
|
|
236,849
|
|
|
|
|
|
|
233,888
|
|
|
|
|
|
|
227,129
|
|
|
|
|
|
||||||||||||
Total liabilities and
shareholders’ equity
|
|
$
|
2,682,787
|
|
|
|
|
|
|
$
|
2,574,389
|
|
|
|
|
|
|
$
|
2,395,490
|
|
|
|
|
|
|||||||||
Net interest income
(fully-taxable equivalent)
|
|
|
|
|
77,450
|
|
|
|
|
|
|
|
|
76,283
|
|
|
|
|
|
|
|
|
74,733
|
|
|
|
|
||||||
Less: fully-taxable
equivalent adjustment
|
|
|
|
(1,157
|
)
|
|
|
|
|
|
(808
|
)
|
|
|
|
|
|
(988
|
)
|
|
|
||||||||||||
Net interest income
|
|
|
|
$
|
76,293
|
|
|
|
|
|
|
$
|
75,475
|
|
|
|
|
|
|
$
|
73,745
|
|
|
|
|||||||||
Net interest rate spread
(fully-taxable equivalent)
|
|
|
|
|
|
3.10
|
%
|
|
|
|
|
|
3.18
|
%
|
|
|
|
|
|
3.33
|
%
|
||||||||||||
Net interest margin
(fully-taxable equivalent)
|
|
|
|
|
|
3.11
|
%
|
|
|
|
|
|
3.20
|
%
|
|
|
|
|
|
3.36
|
%
|
|
|
December 31, 2014 vs. 2013
Increase (Decrease) Due to:
|
|
December 31, 2013 vs. 2012
Increase (Decrease) Due to: |
||||||||||||||||||||
|
|
Volume
|
|
Rate
|
|
Total
|
|
Volume
|
|
Rate
|
|
Total
|
||||||||||||
Interest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Securities – taxable
|
|
$
|
(41
|
)
|
|
$
|
(236
|
)
|
|
$
|
(277
|
)
|
|
$
|
3,414
|
|
|
$
|
(3,309
|
)
|
|
$
|
105
|
|
Securities – nontaxable
|
|
401
|
|
|
(268
|
)
|
|
133
|
|
|
(372
|
)
|
|
41
|
|
|
(331
|
)
|
||||||
Trading account assets
|
|
2
|
|
|
—
|
|
|
2
|
|
|
2
|
|
|
(11
|
)
|
|
(9
|
)
|
||||||
Federal funds sold
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(14
|
)
|
|
—
|
|
|
(14
|
)
|
||||||
Residential real estate
|
|
13
|
|
|
(1,186
|
)
|
|
(1,173
|
)
|
|
(92
|
)
|
|
(1,909
|
)
|
|
(2,001
|
)
|
||||||
Commercial real estate
|
|
3,779
|
|
|
(1,567
|
)
|
|
2,212
|
|
|
1,188
|
|
|
(996
|
)
|
|
192
|
|
||||||
Commercial
|
|
1,648
|
|
|
(893
|
)
|
|
755
|
|
|
230
|
|
|
(600
|
)
|
|
(370
|
)
|
||||||
Municipal
|
|
86
|
|
|
(108
|
)
|
|
(22
|
)
|
|
(128
|
)
|
|
(58
|
)
|
|
(186
|
)
|
||||||
Consumer
|
|
(737
|
)
|
|
(340
|
)
|
|
(1,077
|
)
|
|
933
|
|
|
(1,229
|
)
|
|
(296
|
)
|
||||||
Total interest income
|
|
5,151
|
|
|
(4,598
|
)
|
|
553
|
|
|
5,161
|
|
|
(8,071
|
)
|
|
(2,910
|
)
|
||||||
Interest-bearing liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest checking
|
|
(7
|
)
|
|
8
|
|
|
1
|
|
|
120
|
|
|
(132
|
)
|
|
(12
|
)
|
||||||
Savings
|
|
8
|
|
|
1
|
|
|
9
|
|
|
62
|
|
|
(214
|
)
|
|
(152
|
)
|
||||||
Money market
|
|
(88
|
)
|
|
(52
|
)
|
|
(140
|
)
|
|
321
|
|
|
(994
|
)
|
|
(673
|
)
|
||||||
Certificates of deposit
|
|
(583
|
)
|
|
(157
|
)
|
|
(740
|
)
|
|
28
|
|
|
(1,170
|
)
|
|
(1,142
|
)
|
||||||
Brokered deposits
|
|
462
|
|
|
(398
|
)
|
|
64
|
|
|
9
|
|
|
(250
|
)
|
|
(241
|
)
|
||||||
Junior subordinated debentures
|
|
6
|
|
|
(6
|
)
|
|
—
|
|
|
6
|
|
|
(20
|
)
|
|
(14
|
)
|
||||||
Other borrowings
|
|
1,252
|
|
|
(1,060
|
)
|
|
192
|
|
|
(692
|
)
|
|
(1,534
|
)
|
|
(2,226
|
)
|
||||||
Total interest expense
|
|
1,050
|
|
|
(1,664
|
)
|
|
(614
|
)
|
|
(146
|
)
|
|
(4,314
|
)
|
|
(4,460
|
)
|
||||||
Net interest income (fully-taxable equivalent)
|
|
$
|
4,101
|
|
|
$
|
(2,934
|
)
|
|
$
|
1,167
|
|
|
$
|
5,307
|
|
|
$
|
(3,757
|
)
|
|
$
|
1,550
|
|
|
|
For The Years Ended
December 31,
|
||||||||||||||||||||||||
|
|
2014
|
|
2013
|
|
Change from
|
|
2012
|
|
Change from
|
||||||||||||||||
|
|
|
|
2014 to 2013
|
|
|
2013 to 2012
|
|||||||||||||||||||
|
|
|
|
$
|
|
%
|
|
|
$
|
|
%
|
|||||||||||||||
Service charges on deposit accounts
|
|
$
|
6,229
|
|
|
$
|
6,740
|
|
|
$
|
(511
|
)
|
|
(8
|
)%
|
|
$
|
5,557
|
|
|
$
|
1,183
|
|
|
21
|
%
|
Other service charges and fees
|
|
6,136
|
|
|
5,971
|
|
|
165
|
|
|
3
|
%
|
|
4,061
|
|
|
1,910
|
|
|
47
|
%
|
|||||
Income from fiduciary services
|
|
4,989
|
|
|
4,751
|
|
|
238
|
|
|
5
|
%
|
|
5,038
|
|
|
(287
|
)
|
|
(6
|
)%
|
|||||
Brokerage and insurance commissions
|
|
1,766
|
|
|
1,697
|
|
|
69
|
|
|
4
|
%
|
|
1,491
|
|
|
206
|
|
|
14
|
%
|
|||||
Bank-owned life insurance
|
|
1,437
|
|
|
1,310
|
|
|
127
|
|
|
10
|
%
|
|
1,382
|
|
|
(72
|
)
|
|
(5
|
)%
|
|||||
Mortgage banking income, net
|
|
282
|
|
|
1,406
|
|
|
(1,124
|
)
|
|
(80
|
)%
|
|
588
|
|
|
818
|
|
|
139
|
%
|
|||||
Gain on Branch Divestiture
|
|
—
|
|
|
2,742
|
|
|
(2,742
|
)
|
|
(100
|
)%
|
|
—
|
|
|
2,742
|
|
|
—
|
|
|||||
Net gain on sale of securities
|
|
451
|
|
|
785
|
|
|
(334
|
)
|
|
(43
|
)%
|
|
2,498
|
|
|
(1,713
|
)
|
|
(69
|
)%
|
|||||
Other income
|
|
3,044
|
|
|
2,399
|
|
|
645
|
|
|
27
|
%
|
|
2,797
|
|
|
(398
|
)
|
|
(14
|
)%
|
|||||
Total non-interest income
|
|
$
|
24,334
|
|
|
$
|
27,801
|
|
|
$
|
(3,467
|
)
|
|
(12
|
)%
|
|
$
|
23,412
|
|
|
$
|
4,389
|
|
|
19
|
%
|
Non-interest income as a percentage of total revenues
(1)
|
|
24
|
%
|
|
27
|
%
|
|
|
|
|
|
24
|
%
|
|
|
|
|
•
|
A $2.7 million gain was recognized in 2013 on the sale of our five Franklin County branches.
|
•
|
A decrease in mortgage banking income of $1.1 million was due to our decision to retain most of our 30-year fixed rate residential mortgage production in 2014. In 2013, much of our 30-year fixed rate residential mortgage production was sold on the secondary market with servicing rights retained, which resulted in gains on the sale and income from capitalizing the servicing rights. In 2014, we recorded gains on the sale of our 30-year mortgages of $31,000 and servicing rights fees of $15,000, compared to $728,000 and $466,000, respectively, in 2013.
|
•
|
An increase in other income of $645,000 was primarily driven by loan interest rate swap income of $480,000 recognized in 2014.
|
•
|
A decrease in service charges on deposit accounts of $511,000 was driven by the sale of our five Franklin County branches in the fourth quarter of 2013, which contributed $353,000 of service charges income in 2013. Also, we continue to see certain customers migrating away from deposit product accounts that charge regular service fees.
|
•
|
A decrease in net gain on sale of securities during 2014 of $334,000.
|
•
|
An increase in deposit-related services of $3.1 million was primarily due to the full year benefit in volume and activity resulting from the Branch Acquisition that occurred in the fourth quarter of 2012 that included over 25,000 new customer accounts.
|
•
|
A $2.7 million gain was recognized in 2013 on the sale of our five Franklin County branches.
|
•
|
A decrease in net gain on sale of securities during 2013 of $1.7 million.
|
•
|
An increase in mortgage banking income of $818,000 was due to an increase in net gains recognized on the sale of 30-year fixed rate mortgage production of $460,000, and an associated increase in servicing rights fees of $358,000 as the rights to service the loans sold were retained.
|
|
|
For The Years Ended
December 31,
|
||||||||||||||||||||||||
|
|
2014
|
|
2013
|
|
Change from
|
|
2012
|
|
Change from
|
||||||||||||||||
|
|
|
|
2014 to 2013
|
|
|
2013 to 2012
|
|||||||||||||||||||
|
|
|
|
$
|
|
%
|
|
|
$
|
|
%
|
|||||||||||||||
Salaries and employee benefits
|
|
$
|
32,669
|
|
|
$
|
32,609
|
|
|
$
|
60
|
|
|
—
|
%
|
|
$
|
29,689
|
|
|
$
|
2,920
|
|
|
10
|
%
|
Furniture, equipment and data processing
|
|
7,316
|
|
|
7,051
|
|
|
265
|
|
|
4
|
%
|
|
5,079
|
|
|
1,972
|
|
|
39
|
%
|
|||||
Net occupancy
|
|
5,055
|
|
|
5,449
|
|
|
(394
|
)
|
|
(7
|
)%
|
|
4,365
|
|
|
1,084
|
|
|
25
|
%
|
|||||
Consulting and professional fees
|
|
2,368
|
|
|
2,337
|
|
|
31
|
|
|
1
|
%
|
|
1,818
|
|
|
519
|
|
|
29
|
%
|
|||||
Other real estate owned and collection costs
|
|
2,289
|
|
|
2,162
|
|
|
127
|
|
|
6
|
%
|
|
2,284
|
|
|
(122
|
)
|
|
(5
|
)%
|
|||||
Regulatory assessments
|
|
1,982
|
|
|
1,997
|
|
|
(15
|
)
|
|
(1
|
)%
|
|
1,793
|
|
|
204
|
|
|
11
|
%
|
|||||
Amortization of intangible assets
|
|
1,148
|
|
|
1,150
|
|
|
(2
|
)
|
|
—
|
%
|
|
657
|
|
|
493
|
|
|
75
|
%
|
|||||
Prepayment fees on borrowings
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
%
|
|
2,030
|
|
|
(2,030
|
)
|
|
(100
|
)%
|
|||||
Goodwill impairment
|
|
—
|
|
|
2,830
|
|
|
(2,830
|
)
|
|
(100
|
)%
|
|
—
|
|
|
2,830
|
|
|
—
|
%
|
|||||
Branch Acquisition and Divestiture costs
|
|
—
|
|
|
374
|
|
|
(374
|
)
|
|
(100
|
)%
|
|
2,324
|
|
|
(1,950
|
)
|
|
(84
|
)%
|
|||||
Other expenses
|
|
9,570
|
|
|
10,374
|
|
|
(804
|
)
|
|
(8
|
)%
|
|
8,992
|
|
|
1,382
|
|
|
15
|
%
|
|||||
Total non-interest expenses
|
|
$
|
62,397
|
|
|
$
|
66,333
|
|
|
$
|
(3,936
|
)
|
|
(6
|
)%
|
|
$
|
59,031
|
|
|
$
|
7,302
|
|
|
12
|
%
|
Efficiency ratio (Non-GAAP)
(1)
|
|
61.58
|
%
|
|
62.78
|
%
|
|
|
|
|
|
57.45
|
%
|
|
|
|
|
•
|
A $2.8 million goodwill impairment charge was recorded in 2013 related to our financial services reporting unit. Refer to Note 5 of the consolidated financial statements for discussion of our goodwill impairment process and results, including significant assumptions used within our 2013 analysis to record the goodwill impairment.
|
•
|
A decrease in other expenses of $804,000 was primarily attributable to a receivable write-down of $348,000 that occurred in 2013 and the sale of our five Franklin County branches in 2013 for which related operating costs totaled $295,000 in 2013.
|
•
|
A decrease in net occupancy costs of $394,000 was due to the sale of our five Franklin County branches in 2013 for which related occupancy costs totaled $173,000 in 2013 as well as lower repairs and maintenance costs on our branch facilities in 2014.
|
•
|
A decrease in Branch Acquisition and Divestiture costs of $374,000 as we did not have any acquisition or divestiture activity in 2014.
|
•
|
An increase in furniture, equipment and data processing and net occupancy costs totaling $3.1 million was primarily attributable to the additional costs associated with maintaining and operating 12 additional branch facilities, including, but not limited to, rent expense and building maintenance, depreciation and amortization expense, and data processing fees. Also, with a full year impact of the Branch Acquisition, adding over 25,000 customers and ongoing upgrades to our on-line banking platform, our on-line and mobile banking fees increased $723,000 in 2013 compared to 2012.
|
•
|
An increase in salaries and employee benefits of $2.9 million was primarily due to the addition of approximately 75 employees for a full year as part of the Branch Acquisition that occurred in October 2012. The increase in employees was necessary to support operations at the additional branches and operational resources to support the increase in production and activities.
|
•
|
An increase of $2.8 million resulting from a goodwill impairment charge recorded in 2013 related to our financial services reporting unit.
|
•
|
A decrease in Branch Acquisition and Divestiture costs of $2.0 million as the majority of costs incurred related to conversion and integration of the 14 branches acquired occurred in 2012 and were one-time costs.
|
•
|
A decrease of $2.0 million in costs associated with the prepayment of borrowings in 2012.
|
|
|
December 31,
|
|||||||||||||||||||
|
|
2014
|
|
2013
|
|
2012
|
|||||||||||||||
|
|
Carrying Value
|
|
Percent of Reported Balance
|
|
Carrying Value
|
|
Percent of Reported Balance
|
|
Carrying Value
|
|
Percent of Reported Balance
|
|||||||||
AFS Securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Obligations of U.S. government sponsored enterprises
|
|
$
|
5,027
|
|
|
1
|
%
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
—
|
|
|
—
|
%
|
Obligations of states and political subdivisions
|
|
26,777
|
|
|
3
|
%
|
|
31,207
|
|
|
4
|
%
|
|
33,040
|
|
|
4
|
%
|
|||
Mortgage-backed securities issued or guaranteed by U.S. government-sponsored enterprises
|
|
381,308
|
|
|
50
|
%
|
|
395,903
|
|
|
49
|
%
|
|
358,148
|
|
|
46
|
%
|
|||
Collateralized mortgage obligations issued or guaranteed by U.S. government-sponsored enterprises
|
|
343,897
|
|
|
45
|
%
|
|
374,435
|
|
|
46
|
%
|
|
381,688
|
|
|
49
|
%
|
|||
Private issue collateralized mortgage obligations
|
|
6,054
|
|
|
1
|
%
|
|
6,932
|
|
|
1
|
%
|
|
8,174
|
|
|
1
|
%
|
|||
Total AFS securities
|
|
763,063
|
|
|
100
|
%
|
|
808,477
|
|
|
100
|
%
|
|
781,050
|
|
|
100
|
%
|
|||
HTM Securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Obligations of states and political subdivisions
|
|
20,179
|
|
|
100
|
%
|
|
—
|
|
|
—
|
%
|
|
—
|
|
|
—
|
%
|
|||
Total HTM securities
|
|
20,179
|
|
|
100
|
%
|
|
—
|
|
|
—
|
%
|
|
—
|
|
|
—
|
%
|
|||
Total
|
|
$
|
783,242
|
|
|
|
|
$
|
808,477
|
|
|
|
|
$
|
781,050
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
2014
|
|
2013
|
|
2012
|
||||||||||||||
|
|
Due in
1 year or less
|
|
Due in
1 – 5 years
|
|
Due in
5 – 10 years
|
|
Due in
over 10 years
|
|
Carrying Amount
|
|
Carrying Amount
|
|
Carrying Amount
|
||||||||||||||
AFS Securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Obligations of U.S. government sponsored enterprises
|
|
$
|
—
|
|
|
$
|
5,027
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
5,027
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Obligations of states and political subdivisions
|
|
2,416
|
|
|
14,941
|
|
|
7,507
|
|
|
1,913
|
|
|
26,777
|
|
|
31,207
|
|
|
33,040
|
|
|||||||
Mortgage-backed securities issued or guaranteed by U.S. government-sponsored enterprises
|
|
—
|
|
|
58,428
|
|
|
47,290
|
|
|
275,590
|
|
|
381,308
|
|
|
395,903
|
|
|
358,148
|
|
|||||||
Collateralized mortgage obligations issued or guaranteed by U.S. government-sponsored enterprises
|
|
—
|
|
|
19,045
|
|
|
43,226
|
|
|
281,626
|
|
|
343,897
|
|
|
374,435
|
|
|
381,688
|
|
|||||||
Private issue collateralized mortgage obligations
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6,054
|
|
|
6,054
|
|
|
6,932
|
|
|
8,174
|
|
|||||||
Total AFS securities
|
|
2,416
|
|
|
97,441
|
|
|
98,023
|
|
|
565,183
|
|
|
763,063
|
|
|
808,477
|
|
|
781,050
|
|
|||||||
Weighted-Average Yield on AFS Securities
|
|
4.17
|
%
|
|
2.28
|
%
|
|
2.57
|
%
|
|
2.07
|
%
|
|
2.21
|
%
|
|
2.26
|
%
|
|
2.41
|
%
|
|||||||
HTM Securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Obligations of states and political subdivisions
|
|
—
|
|
|
—
|
|
|
2,316
|
|
|
17,863
|
|
|
20,179
|
|
|
—
|
|
|
—
|
|
|||||||
Total HTM securities
|
|
—
|
|
|
—
|
|
|
2,316
|
|
|
17,863
|
|
|
20,179
|
|
|
—
|
|
|
—
|
|
|||||||
Weighted-Average Yield on HTM Securities
|
|
—
|
%
|
|
—
|
%
|
|
2.19
|
%
|
|
3.66
|
%
|
|
3.49
|
%
|
|
—
|
%
|
|
—
|
%
|
|||||||
Total Investment Portfolio
|
|
$
|
2,416
|
|
|
$
|
97,441
|
|
|
$
|
100,339
|
|
|
$
|
583,046
|
|
|
$
|
783,242
|
|
|
$
|
808,477
|
|
|
$
|
781,050
|
|
Weighted-Average Yield on Investment Portfolio
|
|
4.17
|
%
|
|
2.28
|
%
|
|
2.56
|
%
|
|
2.12
|
%
|
|
2.25
|
%
|
|
2.26
|
%
|
|
2.41
|
%
|
|
|
December 31,
|
|||||||||||||||||||||||||||||||||
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
|
2010
|
|||||||||||||||||||||||||
Residential real estate
|
|
$
|
585,468
|
|
|
33
|
%
|
|
$
|
569,819
|
|
|
36
|
%
|
|
$
|
572,173
|
|
|
37
|
%
|
|
$
|
578,262
|
|
|
38
|
%
|
|
$
|
596,308
|
|
|
39
|
%
|
Commercial real estate
|
|
640,661
|
|
|
36
|
%
|
|
541,099
|
|
|
34
|
%
|
|
506,231
|
|
|
32
|
%
|
|
470,061
|
|
|
31
|
%
|
|
464,037
|
|
|
30
|
%
|
|||||
Commercial
|
|
257,515
|
|
|
15
|
%
|
|
179,203
|
|
|
11
|
%
|
|
190,454
|
|
|
12
|
%
|
|
185,045
|
|
|
12
|
%
|
|
180,592
|
|
|
12
|
%
|
|||||
Consumer and home equity
|
|
288,966
|
|
|
16
|
%
|
|
290,281
|
|
|
19
|
%
|
|
295,008
|
|
|
19
|
%
|
|
280,660
|
|
|
19
|
%
|
|
283,815
|
|
|
19
|
%
|
|||||
Total loans
|
|
$
|
1,772,610
|
|
|
100
|
%
|
|
$
|
1,580,402
|
|
|
100
|
%
|
|
$
|
1,563,866
|
|
|
100
|
%
|
|
$
|
1,514,028
|
|
|
100
|
%
|
|
$
|
1,524,752
|
|
|
100
|
%
|
|
|
December 31,
|
||||||||||||||||||
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
|
2010
|
||||||||||
Non-accrual loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential real estate loans
|
|
$
|
6,056
|
|
|
$
|
10,520
|
|
|
$
|
10,584
|
|
|
$
|
9,503
|
|
|
$
|
7,225
|
|
Commercial real estate
|
|
7,043
|
|
|
7,799
|
|
|
6,719
|
|
|
7,830
|
|
|
6,072
|
|
|||||
Commercial loans
|
|
1,529
|
|
|
2,146
|
|
|
3,409
|
|
|
3,955
|
|
|
4,421
|
|
|||||
Consumer and home equity loans
|
|
2,011
|
|
|
2,012
|
|
|
1,771
|
|
|
2,822
|
|
|
1,721
|
|
|||||
Non-accrual loans
|
|
16,639
|
|
|
22,477
|
|
|
22,483
|
|
|
24,110
|
|
|
19,439
|
|
|||||
Accruing loans past due 90 days
|
|
—
|
|
|
455
|
|
|
611
|
|
|
236
|
|
|
711
|
|
|||||
Accruing renegotiated loans not included above
|
|
4,539
|
|
|
5,468
|
|
|
4,674
|
|
|
3,276
|
|
|
2,295
|
|
|||||
Total non-performing loans
|
|
21,178
|
|
|
28,400
|
|
|
27,768
|
|
|
27,622
|
|
|
22,445
|
|
|||||
Other real estate owned
|
|
1,587
|
|
|
2,195
|
|
|
1,313
|
|
|
1,682
|
|
|
2,387
|
|
|||||
Total non-performing assets
|
|
$
|
22,765
|
|
|
$
|
30,595
|
|
|
$
|
29,081
|
|
|
$
|
29,304
|
|
|
$
|
24,832
|
|
Non-accrual loans to total loans
|
|
0.94
|
%
|
|
1.42
|
%
|
|
1.44
|
%
|
|
1.59
|
%
|
|
1.27
|
%
|
|||||
Non-performing loans to total loans
|
|
1.19
|
%
|
|
1.80
|
%
|
|
1.78
|
%
|
|
1.82
|
%
|
|
1.47
|
%
|
|||||
Allowance for credit losses to non-performing loans
|
|
99.79
|
%
|
|
76.09
|
%
|
|
83.15
|
%
|
|
83.38
|
%
|
|
99.44
|
%
|
|||||
Non-performing assets to total assets
|
|
0.82
|
%
|
|
1.18
|
%
|
|
1.13
|
%
|
|
1.27
|
%
|
|
1.08
|
%
|
|||||
Allowance for credit losses to non-performing assets
|
|
92.83
|
%
|
|
70.63
|
%
|
|
79.40
|
%
|
|
78.59
|
%
|
|
89.88
|
%
|
|
|
For The Years Ended
December 31,
|
||||||||||
|
|
2014
|
|
2013
|
|
2012
|
||||||
Foregone interest income
|
|
$
|
842
|
|
|
$
|
990
|
|
|
$
|
1,130
|
|
Interest income recognized on non-performing loans and performing TDRs
|
|
216
|
|
|
239
|
|
|
186
|
|
|
|
December 31,
|
||||||
|
|
2014
|
|
2013
|
||||
Loans 30 – 89 days past due:
|
|
|
|
|
|
|
||
Residential real estate loans
|
|
$
|
1,303
|
|
|
$
|
1,551
|
|
Commercial real estate loans
|
|
381
|
|
|
2,595
|
|
||
Commercial loans
|
|
656
|
|
|
313
|
|
||
Consumer and home equity loans
|
|
891
|
|
|
1,571
|
|
||
Total loans 30 – 89 days past due
|
|
$
|
3,231
|
|
|
$
|
6,030
|
|
Loans 30 – 89 days past due to total loans
|
|
0.18
|
%
|
|
0.38
|
%
|
|
|
At or For the Years Ended
December 31,
|
||||||||||||||||||
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
|
2010
|
||||||||||
ALL at the beginning of period
|
|
$
|
21,590
|
|
|
$
|
23,044
|
|
|
$
|
23,011
|
|
|
$
|
22,293
|
|
|
$
|
20,246
|
|
Provision for loan losses
|
|
2,224
|
|
|
2,052
|
|
|
3,791
|
|
|
4,741
|
|
|
6,325
|
|
|||||
Charge-offs:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential real estate loans
|
|
785
|
|
|
1,059
|
|
|
1,197
|
|
|
1,216
|
|
|
1,262
|
|
|||||
Commercial real estate loans
|
|
361
|
|
|
952
|
|
|
593
|
|
|
1,633
|
|
|
1,382
|
|
|||||
Commercial loans
|
|
1,544
|
|
|
1,426
|
|
|
1,393
|
|
|
1,256
|
|
|
1,502
|
|
|||||
Consumer and home equity loans
|
|
754
|
|
|
837
|
|
|
1,319
|
|
|
920
|
|
|
1,401
|
|
|||||
Total loan charge-offs
|
|
3,444
|
|
|
4,274
|
|
|
4,502
|
|
|
5,025
|
|
|
5,547
|
|
|||||
Recoveries:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential real estate loans
|
|
165
|
|
|
35
|
|
|
73
|
|
|
120
|
|
|
225
|
|
|||||
Commercial real estate loans
|
|
135
|
|
|
121
|
|
|
222
|
|
|
374
|
|
|
232
|
|
|||||
Commercial loans
|
|
395
|
|
|
495
|
|
|
406
|
|
|
296
|
|
|
553
|
|
|||||
Consumer and home equity loans
|
|
51
|
|
|
117
|
|
|
43
|
|
|
212
|
|
|
259
|
|
|||||
Total loan recoveries
|
|
746
|
|
|
768
|
|
|
744
|
|
|
1,002
|
|
|
1,269
|
|
|||||
Net charge-offs
|
|
2,698
|
|
|
3,506
|
|
|
3,758
|
|
|
4,023
|
|
|
4,278
|
|
|||||
ALL at the end of the period
|
|
$
|
21,116
|
|
|
$
|
21,590
|
|
|
$
|
23,044
|
|
|
$
|
23,011
|
|
|
$
|
22,293
|
|
Components of allowance for credit losses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
ALL
|
|
$
|
21,116
|
|
|
$
|
21,590
|
|
|
$
|
23,044
|
|
|
$
|
23,011
|
|
|
$
|
22,293
|
|
Liability for unfunded credit commitments
|
|
17
|
|
|
21
|
|
|
45
|
|
|
20
|
|
|
25
|
|
|||||
Balance of allowance for credit losses at end of the period
|
|
$
|
21,133
|
|
|
$
|
21,611
|
|
|
$
|
23,089
|
|
|
$
|
23,031
|
|
|
$
|
22,318
|
|
Average loans outstanding
|
|
$
|
1,681,297
|
|
|
$
|
1,580,859
|
|
|
$
|
1,535,648
|
|
|
$
|
1,530,640
|
|
|
$
|
1,534,069
|
|
Net charge-offs to average loans outstanding
|
|
0.16
|
%
|
|
0.22
|
%
|
|
0.24
|
%
|
|
0.26
|
%
|
|
0.28
|
%
|
|||||
Provision for credit losses to average loans outstanding
|
|
0.13
|
%
|
|
0.13
|
%
|
|
0.25
|
%
|
|
0.31
|
%
|
|
0.41
|
%
|
|||||
ALL to total loans
|
|
1.19
|
%
|
|
1.37
|
%
|
|
1.48
|
%
|
|
1.52
|
%
|
|
1.46
|
%
|
|||||
Allowance for credit losses to net charge-offs
|
|
783.11
|
%
|
|
616.57
|
%
|
|
614.45
|
%
|
|
572.59
|
%
|
|
521.61
|
%
|
|
|
December 31,
|
|||||||||||||||||||||||||||||||||
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
|
2010
|
|||||||||||||||||||||||||
|
|
Amount
|
|
Percent of Loans in Each Category to Total Loans
|
|
Amount
|
|
Percent of Loans in Each Category to Total Loans
|
|
Amount
|
|
Percent of Loans in Each Category to Total Loans
|
|
Amount
|
|
Percent of Loans in Each Category to Total Loans
|
|
Amount
|
|
Percent of Loans in Each Category to Total Loans
|
|||||||||||||||
Residential real estate loans
|
|
$
|
4,899
|
|
|
33
|
%
|
|
$
|
5,603
|
|
|
36
|
%
|
|
$
|
6,996
|
|
|
37
|
%
|
|
$
|
6,398
|
|
|
38
|
%
|
|
$
|
3,273
|
|
|
39
|
%
|
Commercial real estate loans
|
|
4,482
|
|
|
36
|
%
|
|
4,374
|
|
|
34
|
%
|
|
4,549
|
|
|
32
|
%
|
|
5,702
|
|
|
31
|
%
|
|
8,198
|
|
|
30
|
%
|
|||||
Commercial loans
|
|
6,823
|
|
|
15
|
%
|
|
6,220
|
|
|
11
|
%
|
|
5,933
|
|
|
12
|
%
|
|
4,846
|
|
|
12
|
%
|
|
5,633
|
|
|
12
|
%
|
|||||
Consumer and home equity loans
|
|
2,528
|
|
|
16
|
%
|
|
2,722
|
|
|
19
|
%
|
|
2,704
|
|
|
19
|
%
|
|
3,124
|
|
|
19
|
%
|
|
2,253
|
|
|
19
|
%
|
|||||
Unallocated
|
|
2,384
|
|
|
—
|
|
|
2,671
|
|
|
—
|
|
|
2,862
|
|
|
—
|
|
|
2,941
|
|
|
—
|
|
|
2,936
|
|
|
—
|
|
|||||
|
|
$
|
21,116
|
|
|
100
|
%
|
|
$
|
21,590
|
|
|
100
|
%
|
|
$
|
23,044
|
|
|
100
|
%
|
|
$
|
23,011
|
|
|
100
|
%
|
|
$
|
22,293
|
|
|
100
|
%
|
|
|
For the Years Ended
December 31,
|
|||||||||||||||||||
|
|
2014
|
|
2013
|
|
2012
|
|||||||||||||||
|
|
Average
Balance
|
|
Average
Rate Paid
|
|
Average
Balance
|
|
Average
Rate Paid
|
|
Average
Balance
|
|
Average
Rate Paid
|
|||||||||
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Demand
|
|
$
|
251,609
|
|
|
—
|
%
|
|
$
|
241,520
|
|
|
—
|
%
|
|
$
|
240,369
|
|
|
—
|
%
|
Interest checking
|
|
465,740
|
|
|
0.07
|
%
|
|
476,448
|
|
|
0.07
|
%
|
|
351,232
|
|
|
0.10
|
%
|
|||
Savings
|
|
250,148
|
|
|
0.06
|
%
|
|
237,110
|
|
|
0.06
|
%
|
|
195,800
|
|
|
0.15
|
%
|
|||
Money market
|
|
413,712
|
|
|
0.29
|
%
|
|
442,908
|
|
|
0.30
|
%
|
|
382,274
|
|
|
0.53
|
%
|
|||
Total core deposits
|
|
1,381,209
|
|
|
0.12
|
%
|
|
1,397,986
|
|
|
0.13
|
%
|
|
1,169,675
|
|
|
0.23
|
%
|
|||
Certificates of deposit
|
|
328,887
|
|
|
0.95
|
%
|
|
387,816
|
|
|
0.99
|
%
|
|
385,666
|
|
|
1.30
|
%
|
|||
Total deposits
|
|
1,710,096
|
|
|
0.28
|
%
|
|
1,785,802
|
|
|
0.32
|
%
|
|
1,555,341
|
|
|
0.49
|
%
|
|||
Brokered deposits
|
|
157,265
|
|
|
0.94
|
%
|
|
118,423
|
|
|
1.19
|
%
|
|
117,815
|
|
|
1.40
|
%
|
|||
Total deposits, including brokered deposits
|
|
$
|
1,867,361
|
|
|
0.34
|
%
|
|
$
|
1,904,225
|
|
|
0.37
|
%
|
|
$
|
1,673,156
|
|
|
0.56
|
%
|
•
|
Net income of $24.6 million for 2014, partially offset by dividends declared during the year of $8.3 million.
|
•
|
Net unrealized gains of $3.9 million, net of tax, on AFS securities, postretirement plans, and derivative instruments recorded within OCI primarily attributable to the decrease in interest rates during the fourth quarter of 2014 compared to December 31, 2013.
|
•
|
The repurchase of 181,355 shares of the Company's common stock during 2014 under the Company's 2013 Repurchase Plan. The Company paid $7.2 million for these shares at a weighted-average price of $39.45.
|
|
|
December 31,
|
||||||||||
|
|
2014
|
|
2013
|
|
2012
|
||||||
Return on average assets
|
|
0.92
|
%
|
|
0.88
|
%
|
|
0.98
|
%
|
|||
Return on average equity
|
|
10.37
|
%
|
|
9.74
|
%
|
|
10.31
|
%
|
|||
Average equity to average assets
|
|
8.83
|
%
|
|
9.09
|
%
|
|
9.48
|
%
|
|||
Dividend payout ratio
|
|
33.73
|
%
|
|
36.30
|
%
|
|
32.73
|
%
|
|||
Dividends declared per share
|
|
$
|
1.11
|
|
|
$
|
1.08
|
|
|
$
|
1.00
|
|
Time remaining until maturity:
|
|
December 31, 2014
|
||
Less than 3 months
|
|
$
|
33,578
|
|
3 months through 6 months
|
|
14,279
|
|
|
6 months through 12 months
|
|
25,096
|
|
|
Over 12 months
|
|
94,625
|
|
|
|
|
$
|
167,578
|
|
|
|
< 1 Year
|
|
1 - 5 Years
|
|
More than
5 Years
|
|
Total
|
||||||||
Maturity Distribution:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Fixed Rate:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Residential real estate
|
|
$
|
1,732
|
|
|
$
|
10,306
|
|
|
$
|
434,978
|
|
|
$
|
447,016
|
|
Commercial real estate
|
|
10,357
|
|
|
76,122
|
|
|
70,338
|
|
|
156,817
|
|
||||
Commercial
|
|
7,689
|
|
|
34,768
|
|
|
54,063
|
|
|
96,520
|
|
||||
Consumer and home equity
|
|
1,812
|
|
|
15,136
|
|
|
91,779
|
|
|
108,727
|
|
||||
Total fixed rate
|
|
21,590
|
|
|
136,332
|
|
|
651,158
|
|
|
809,080
|
|
||||
Variable Rate:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Residential real estate
|
|
9
|
|
|
1,100
|
|
|
137,343
|
|
|
$
|
138,452
|
|
|||
Commercial real estate
|
|
17,772
|
|
|
59,131
|
|
|
406,941
|
|
|
483,844
|
|
||||
Commercial
|
|
57,221
|
|
|
47,031
|
|
|
56,743
|
|
|
160,995
|
|
||||
Consumer and home equity
|
|
1,048
|
|
|
736
|
|
|
178,455
|
|
|
180,239
|
|
||||
Total variable rate
|
|
76,050
|
|
|
107,998
|
|
|
779,482
|
|
|
963,530
|
|
||||
|
|
$
|
97,640
|
|
|
$
|
244,330
|
|
|
$
|
1,430,640
|
|
|
$
|
1,772,610
|
|
|
|
At December 31,
|
|
Minimum Regulatory Capital Required
|
|
Minimum Regulatory Provision To Be Well Capitalized
|
||||||
|
|
2014
|
|
2013
|
||||||||
Total risk-based capital
|
|
15.16
|
%
|
|
16.45
|
%
|
|
8.00
|
%
|
|
10.00
|
%
|
Tier I capital
|
|
13.97
|
%
|
|
15.20
|
%
|
|
4.00
|
%
|
|
6.00
|
%
|
Tier I leverage capital ratio
|
|
9.26
|
%
|
|
9.43
|
%
|
|
4.00
|
%
|
|
5.00
|
%
|
|
|
Total Amount Committed
|
|
Commitment Expires in:
|
||||||||||||||||
|
|
|
< 1 Year
|
|
1 – 3 Years
|
|
4 – 5 Years
|
|
> 5 Years
|
|||||||||||
Home equity line of credit commitments
|
|
$
|
303,815
|
|
|
$
|
101,720
|
|
|
$
|
15,537
|
|
|
$
|
8,993
|
|
|
$
|
177,565
|
|
Commercial commitment letters
|
|
47,066
|
|
|
47,066
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Residential loan origination
|
|
10,975
|
|
|
10,975
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Letters of credit
|
|
3,103
|
|
|
3,103
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Other commitments to extend credit
|
|
1,305
|
|
|
1,305
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Total
|
|
$
|
366,264
|
|
|
$
|
164,169
|
|
|
$
|
15,537
|
|
|
$
|
8,993
|
|
|
$
|
177,565
|
|
|
|
Total Amount Committed
|
|
Payments Due per Period
|
|
||||||||||||||||
(Dollars in Thousands)
|
|
|
< 1 Year
|
|
1 – 3 Years
|
|
4 – 5 Years
|
|
> 5 Years
|
||||||||||||
Operating leases
|
|
$
|
6,598
|
|
|
$
|
1,274
|
|
|
$
|
2,154
|
|
|
$
|
1,346
|
|
|
$
|
1,824
|
|
|
Capital leases
|
|
1,446
|
|
|
129
|
|
|
253
|
|
|
252
|
|
|
812
|
|
(1)
|
|||||
FHLBB borrowings – overnight
|
|
43,100
|
|
|
43,100
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
FHLBB borrowings – advances
|
|
301,039
|
|
|
256,039
|
|
|
45,000
|
|
|
—
|
|
|
—
|
|
|
|||||
Commercial repurchase agreements
|
|
30,097
|
|
|
—
|
|
|
30,097
|
|
|
—
|
|
|
—
|
|
|
|||||
Retail repurchase agreements
|
|
157,758
|
|
|
157,758
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Junior subordinated debentures
|
|
44,024
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
44,024
|
|
|
|||||
Other contractual obligations
|
|
317
|
|
|
317
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Total
|
|
$
|
584,379
|
|
|
$
|
458,617
|
|
|
$
|
77,504
|
|
|
$
|
1,598
|
|
|
$
|
46,660
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
|
||||||||
|
|
|
|
|
|
|
|
|
|
2014
|
|
2013
|
||||||
Notional Amount
|
|
Trade Date
|
|
Maturity Date
|
|
Variable Index
Received
|
|
Fixed Rate
Paid
|
|
Fair Value
(1)
|
|
Fair Value
(1)
|
||||||
$
|
10,000
|
|
|
3/18/2009
|
|
6/30/2021
|
|
3-Month USD LIBOR
|
|
5.09%
|
|
$
|
(1,092
|
)
|
|
(807
|
)
|
|
10,000
|
|
|
7/8/2009
|
|
6/30/2029
|
|
3-Month USD LIBOR
|
|
5.84%
|
|
(2,511
|
)
|
|
(1,121
|
)
|
|||
10,000
|
|
|
5/6/2010
|
|
6/30/2030
|
|
3-Month USD LIBOR
|
|
5.71%
|
|
(2,434
|
)
|
|
(944
|
)
|
|||
5,000
|
|
|
3/14/2011
|
|
3/30/2031
|
|
3-Month USD LIBOR
|
|
4.35%
|
|
(1,279
|
)
|
|
(493
|
)
|
|||
8,000
|
|
|
5/4/2011
|
|
7/7/2031
|
|
3-Month USD LIBOR
|
|
4.14%
|
|
(1,827
|
)
|
|
(547
|
)
|
|||
$
|
43,000
|
|
|
|
|
|
|
|
|
|
|
$
|
(9,143
|
)
|
|
$
|
(3,912
|
)
|
|
|
Estimated Changes in
|
||||
|
|
Net Interest Income
|
||||
Rate Change from Year 1 – Base
|
|
2014
|
|
2013
|
||
Year 1
|
|
|
|
|
|
|
+400 bp
|
|
(5.97
|
)%
|
|
(5.10
|
)%
|
+200 bp
|
|
(6.13
|
)%
|
|
(5.10
|
)%
|
-100 bp
|
|
(0.79
|
)%
|
|
(0.50
|
)%
|
Year 2
|
|
|
|
|
|
|
Base
|
|
(0.48
|
)%
|
|
(1.20
|
)%
|
+400 bp
|
|
(11.64
|
)%
|
|
(10.50
|
)%
|
+200 bp
|
|
(6.12
|
)%
|
|
(5.70
|
)%
|
-100 bp
|
|
(5.09
|
)%
|
|
(4.60
|
)%
|
|
|
December 31,
|
||||||
(In Thousands, Except Number of Shares)
|
|
2014
|
|
2013
|
||||
ASSETS
|
|
|
|
|
|
|
||
Cash and due from banks
|
|
$
|
60,813
|
|
|
$
|
51,355
|
|
Securities:
|
|
|
|
|
|
|||
Available-for-sale securities, at fair value
|
|
763,063
|
|
|
808,477
|
|
||
Held-to-maturity securities, at amortized cost
|
|
20,179
|
|
|
—
|
|
||
Federal Home Loan Bank and Federal Reserve Bank stock, at cost
|
|
20,391
|
|
|
19,724
|
|
||
Total securities
|
|
803,633
|
|
|
828,201
|
|
||
Trading account assets
|
|
2,457
|
|
|
2,488
|
|
||
Loans
|
|
1,772,610
|
|
|
1,580,402
|
|
||
Less: allowance for loan losses
|
|
(21,116
|
)
|
|
(21,590
|
)
|
||
Net loans
|
|
1,751,494
|
|
|
1,558,812
|
|
||
Bank-owned life insurance
|
|
57,800
|
|
|
46,363
|
|
||
Goodwill and other intangible assets
|
|
48,171
|
|
|
49,319
|
|
||
Premises and equipment, net
|
|
23,886
|
|
|
25,727
|
|
||
Deferred tax asset
|
|
14,434
|
|
|
16,047
|
|
||
Interest receivable
|
|
6,017
|
|
|
5,808
|
|
||
Other real estate owned
|
|
1,587
|
|
|
2,195
|
|
||
Other assets
|
|
19,561
|
|
|
17,514
|
|
||
Total assets
|
|
$
|
2,789,853
|
|
|
$
|
2,603,829
|
|
|
|
|
|
|
||||
LIABILITIES AND SHAREHOLDERS’ EQUITY
|
|
|
|
|
|
|
||
Deposits:
|
|
|
|
|
|
|
||
Demand
|
|
$
|
263,013
|
|
|
$
|
241,866
|
|
Interest checking
|
|
480,521
|
|
|
453,909
|
|
||
Savings and money market
|
|
653,708
|
|
|
675,679
|
|
||
Retail certificates of deposit
|
|
317,123
|
|
|
343,034
|
|
||
Brokered deposits
|
|
217,732
|
|
|
99,336
|
|
||
Total deposits
|
|
1,932,097
|
|
|
1,813,824
|
|
||
Federal Home Loan Bank advances
|
|
56,039
|
|
|
56,112
|
|
||
Other borrowed funds
|
|
476,939
|
|
|
430,058
|
|
||
Junior subordinated debentures
|
|
44,024
|
|
|
43,922
|
|
||
Accrued interest and other liabilities
|
|
35,645
|
|
|
28,817
|
|
||
Total liabilities
|
|
2,544,744
|
|
|
2,372,733
|
|
||
Commitments and Contingencies
|
|
|
|
|
|
|
||
Shareholders’ Equity
|
|
|
|
|
||||
Common stock, no par value: authorized 20,000,000 shares, issued and outstanding 7,426,222 and 7,579,913 shares on December 31, 2014 and 2013, respectively
|
|
41,555
|
|
|
47,783
|
|
||
Retained earnings
|
|
211,979
|
|
|
195,660
|
|
||
Accumulated other comprehensive loss:
|
|
|
|
|
||||
Net unrealized losses on available-for-sale securities, net of tax
|
|
(319
|
)
|
|
(7,964
|
)
|
||
Net unrealized losses on derivative instruments, at fair value, net of tax
|
|
(5,943
|
)
|
|
(2,542
|
)
|
||
Net unrecognized losses on postretirement plans, net of tax
|
|
(2,163
|
)
|
|
(1,841
|
)
|
||
Total accumulated other comprehensive loss
|
|
(8,425
|
)
|
|
(12,347
|
)
|
||
Total shareholders’ equity
|
|
245,109
|
|
|
231,096
|
|
||
Total liabilities and shareholders’ equity
|
|
$
|
2,789,853
|
|
|
$
|
2,603,829
|
|
|
|
For The Years Ended
December 31,
|
||||||||||
(In Thousands, Except Number of Shares and per Share Data)
|
|
2014
|
|
2013
|
|
2012
|
||||||
Interest Income
|
|
|
|
|
|
|
|
|
|
|||
Interest and fees on loans
|
|
$
|
70,654
|
|
|
$
|
70,262
|
|
|
$
|
72,859
|
|
Interest on U.S. government and sponsored enterprise obligations
|
|
16,118
|
|
|
16,587
|
|
|
16,452
|
|
|||
Interest on state and political subdivision obligations
|
|
1,256
|
|
|
1,170
|
|
|
1,385
|
|
|||
Interest on federal funds sold and other investments
|
|
393
|
|
|
198
|
|
|
251
|
|
|||
Total interest income
|
|
88,421
|
|
|
88,217
|
|
|
90,947
|
|
|||
Interest Expense
|
|
|
|
|
|
|
|
|
|
|||
Interest on deposits
|
|
6,267
|
|
|
7,073
|
|
|
9,293
|
|
|||
Interest on borrowings
|
|
3,329
|
|
|
3,137
|
|
|
5,363
|
|
|||
Interest on junior subordinated debentures
|
|
2,532
|
|
|
2,532
|
|
|
2,546
|
|
|||
Total interest expense
|
|
12,128
|
|
|
12,742
|
|
|
17,202
|
|
|||
Net interest income
|
|
76,293
|
|
|
75,475
|
|
|
73,745
|
|
|||
Provision for credit losses
|
|
2,220
|
|
|
2,028
|
|
|
3,816
|
|
|||
Net interest income after provision for credit losses
|
|
74,073
|
|
|
73,447
|
|
|
69,929
|
|
|||
Non-Interest Income
|
|
|
|
|
|
|
|
|
|
|||
Service charges on deposit accounts
|
|
6,229
|
|
|
6,740
|
|
|
5,557
|
|
|||
Other service charges and fees
|
|
6,136
|
|
|
5,971
|
|
|
4,061
|
|
|||
Income from fiduciary services
|
|
4,989
|
|
|
4,751
|
|
|
5,038
|
|
|||
Brokerage and insurance commissions
|
|
1,766
|
|
|
1,697
|
|
|
1,491
|
|
|||
Bank-owned life insurance
|
|
1,437
|
|
|
1,310
|
|
|
1,382
|
|
|||
Mortgage banking income, net
|
|
282
|
|
|
1,406
|
|
|
588
|
|
|||
Gain on branch divestiture
|
|
—
|
|
|
2,742
|
|
|
—
|
|
|||
Net gain on sale of securities
|
|
451
|
|
|
785
|
|
|
2,498
|
|
|||
Other income
|
|
3,044
|
|
|
2,399
|
|
|
2,797
|
|
|||
Total non-interest income
|
|
24,334
|
|
|
27,801
|
|
|
23,412
|
|
|||
Non-Interest Expense
|
|
|
|
|
|
|
|
|
|
|||
Salaries and employee benefits
|
|
32,669
|
|
|
32,609
|
|
|
29,689
|
|
|||
Furniture, equipment and data processing
|
|
7,316
|
|
|
7,051
|
|
|
5,079
|
|
|||
Net occupancy
|
|
5,055
|
|
|
5,449
|
|
|
4,365
|
|
|||
Consulting and professional fees
|
|
2,368
|
|
|
2,337
|
|
|
1,818
|
|
|||
Other real estate owned and collection costs
|
|
2,289
|
|
|
2,162
|
|
|
2,284
|
|
|||
Regulatory assessments
|
|
1,982
|
|
|
1,997
|
|
|
1,793
|
|
|||
Amortization of intangible assets
|
|
1,148
|
|
|
1,150
|
|
|
657
|
|
|||
Prepayment fees on borrowings
|
|
—
|
|
|
—
|
|
|
2,030
|
|
|||
Goodwill impairment
|
|
—
|
|
|
2,830
|
|
|
—
|
|
|||
Branch acquisition and divestiture costs
|
|
—
|
|
|
374
|
|
|
2,324
|
|
|||
Other expenses
|
|
9,570
|
|
|
10,374
|
|
|
8,992
|
|
|||
Total non-interest expense
|
|
62,397
|
|
|
66,333
|
|
|
59,031
|
|
|||
Income before income tax
|
|
36,010
|
|
|
34,915
|
|
|
34,310
|
|
|||
Income Tax Expense
|
|
11,440
|
|
|
12,132
|
|
|
10,882
|
|
|||
Net income
|
|
$
|
24,570
|
|
|
$
|
22,783
|
|
|
$
|
23,428
|
|
Per Share Data:
|
|
|
|
|
|
|
|
|
|
|||
Basic earnings per share
|
|
$
|
3.29
|
|
|
$
|
2.98
|
|
|
$
|
3.06
|
|
Diluted earnings per share
|
|
$
|
3.28
|
|
|
$
|
2.97
|
|
|
$
|
3.05
|
|
Weighted average number of common shares outstanding
|
|
7,450,980
|
|
|
7,634,455
|
|
|
7,646,861
|
|
|||
Diluted weighted average number of common shares outstanding
|
|
7,470,593
|
|
|
7,653,270
|
|
|
7,661,273
|
|
|
|
For The Years Ended
December 31,
|
||||||||||
(In Thousands)
|
|
2014
|
|
2013
|
|
2012
|
||||||
Net Income
|
|
$
|
24,570
|
|
|
$
|
22,783
|
|
|
$
|
23,428
|
|
Other comprehensive income (loss):
|
|
|
|
|
|
|
|
|
|
|||
Net change in unrealized gains (losses) on available-for-sale securities:
|
|
|
|
|
|
|
|
|
|
|||
Net change in unrealized gain (loss) on available-for-sale securities, net of tax of $(4,275), $10,982, and $(1,851), respectively
|
|
7,938
|
|
|
(20,397
|
)
|
|
3,439
|
|
|||
Net reclassification adjustment for gains included in net income, net of tax of $158, $275, and $874, respectively
(1)
|
|
(293
|
)
|
|
(510
|
)
|
|
(1,624
|
)
|
|||
Net change in unrealized gains (losses) on available-for-sale securities, net of tax
|
|
7,645
|
|
|
(20,907
|
)
|
|
1,815
|
|
|||
Net change in unrealized gains (losses) on cash flow hedging derivatives, net of tax of $1,831, $(2,510), and $(32), respectively
|
|
(3,401
|
)
|
|
4,663
|
|
|
59
|
|
|||
Postretirement plans:
|
|
|
|
|
|
|
|
|
|
|||
Net actuarial (loss) gain, net of tax of $225, $(391), and $563, respectively
|
|
(418
|
)
|
|
726
|
|
|
(1,046
|
)
|
|||
Reclassification of amortization of net unrecognized actuarial loss and of prior service cost included in net periodic cost, net of tax of $(51), $(94), and $(56), respectively
(2)
|
|
96
|
|
|
174
|
|
|
108
|
|
|||
Net gain (loss) on postretirement plans, net of tax
|
|
(322
|
)
|
|
900
|
|
|
(938
|
)
|
|||
Other comprehensive income (loss)
|
|
3,922
|
|
|
(15,344
|
)
|
|
936
|
|
|||
Comprehensive Income
|
|
$
|
28,492
|
|
|
$
|
7,439
|
|
|
$
|
24,364
|
|
|
|
Common Stock
|
|
Retained Earnings
|
|
Accumulated Other Comprehensive Income (Loss)
|
|
Total Shareholders’ Equity
|
|||||||||||
(In Thousands, Except Number of Shares and Per Share Data)
|
|
Shares Outstanding
|
|
Amount
|
|
||||||||||||||
Balance at December 31, 2011
|
|
7,664,975
|
|
|
$
|
51,438
|
|
|
$
|
165,377
|
|
|
$
|
2,061
|
|
|
$
|
218,876
|
|
Net income for 2012
|
|
—
|
|
|
—
|
|
|
23,428
|
|
|
—
|
|
|
23,428
|
|
||||
Other comprehensive income, net of tax
|
|
—
|
|
|
—
|
|
|
—
|
|
|
936
|
|
|
936
|
|
||||
Stock-based compensation expense
|
|
—
|
|
|
538
|
|
|
—
|
|
|
—
|
|
|
538
|
|
||||
Exercise of stock options and issuance of restricted stock, net of repurchase for tax withholdings and tax benefit
|
|
23,355
|
|
|
(212
|
)
|
|
—
|
|
|
—
|
|
|
(212
|
)
|
||||
Common stock repurchased
|
|
(65,580
|
)
|
|
(2,097
|
)
|
|
—
|
|
|
—
|
|
|
(2,097
|
)
|
||||
Cash dividends declared ($1.00 per share)
|
|
—
|
|
|
|
|
|
(7,654
|
)
|
|
—
|
|
|
(7,654
|
)
|
||||
Balance at December 31, 2012
|
|
7,622,750
|
|
|
49,667
|
|
|
181,151
|
|
|
2,997
|
|
|
233,815
|
|
||||
Net income for 2013
|
|
—
|
|
|
—
|
|
|
22,783
|
|
|
—
|
|
|
22,783
|
|
||||
Other comprehensive loss, net of tax
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(15,344
|
)
|
|
(15,344
|
)
|
||||
Stock-based compensation expense
|
|
—
|
|
|
596
|
|
|
—
|
|
|
—
|
|
|
596
|
|
||||
Exercise of stock options and issuance of restricted stock, net of repurchase for tax withholdings and tax benefit
|
|
25,308
|
|
|
300
|
|
|
—
|
|
|
—
|
|
|
300
|
|
||||
Common stock repurchased
|
|
(68,145
|
)
|
|
(2,780
|
)
|
|
—
|
|
|
—
|
|
|
(2,780
|
)
|
||||
Cash dividends declared ($1.08 per share)
|
|
—
|
|
|
—
|
|
|
(8,274
|
)
|
|
—
|
|
|
(8,274
|
)
|
||||
Balance at December 31, 2013
|
|
7,579,913
|
|
|
47,783
|
|
|
195,660
|
|
|
(12,347
|
)
|
|
231,096
|
|
||||
Net income for 2014
|
|
—
|
|
|
—
|
|
|
24,570
|
|
|
—
|
|
|
24,570
|
|
||||
Other comprehensive income, net of tax
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,922
|
|
|
3,922
|
|
||||
Stock-based compensation expense
|
|
—
|
|
|
599
|
|
|
—
|
|
|
—
|
|
|
599
|
|
||||
Exercise of stock options and issuance of restricted stock, net of repurchase for tax withholdings and tax benefit
|
|
27,664
|
|
|
328
|
|
|
—
|
|
|
—
|
|
|
328
|
|
||||
Common stock repurchased
|
|
(181,355
|
)
|
|
(7,155
|
)
|
|
—
|
|
|
—
|
|
|
(7,155
|
)
|
||||
Cash dividends declared ($1.11 per share)
|
|
—
|
|
|
—
|
|
|
(8,251
|
)
|
|
—
|
|
|
(8,251
|
)
|
||||
Balance at December 31, 2014
|
|
7,426,222
|
|
|
$
|
41,555
|
|
|
$
|
211,979
|
|
|
$
|
(8,425
|
)
|
|
$
|
245,109
|
|
|
|
For The Years Ended
December 31,
|
||||||||||
(In Thousands)
|
|
2014
|
|
2013
|
|
2012
|
||||||
Operating Activities
|
|
|
|
|
|
|
|
|
|
|||
Net income
|
|
$
|
24,570
|
|
|
$
|
22,783
|
|
|
$
|
23,428
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
|
|
|
|
|||
Provision for credit losses
|
|
2,220
|
|
|
2,028
|
|
|
3,816
|
|
|||
Depreciation and amortization expense
|
|
3,051
|
|
|
3,004
|
|
|
2,500
|
|
|||
Investment securities amortization and accretion, net
|
|
1,784
|
|
|
2,166
|
|
|
2,207
|
|
|||
Stock-based compensation expense
|
|
599
|
|
|
596
|
|
|
538
|
|
|||
Amortization of intangible assets
|
|
1,148
|
|
|
1,150
|
|
|
657
|
|
|||
Net gains on sale of securities
|
|
(451
|
)
|
|
(785
|
)
|
|
(2,498
|
)
|
|||
Net increase in other real estate owned valuation allowance and loss on disposition
|
|
215
|
|
|
130
|
|
|
479
|
|
|||
Originations of mortgage loans held for sale
|
|
(799
|
)
|
|
(33,254
|
)
|
|
(10,886
|
)
|
|||
Proceeds from the sale of mortgage loans
|
|
830
|
|
|
33,982
|
|
|
17,215
|
|
|||
Gain on sale of mortgage loans
|
|
(31
|
)
|
|
(728
|
)
|
|
(268
|
)
|
|||
Gain on branch divestiture
|
|
—
|
|
|
(2,742
|
)
|
|
—
|
|
|||
Goodwill impairment
|
|
—
|
|
|
2,830
|
|
|
—
|
|
|||
Gain on sale of branch facility
|
|
—
|
|
|
—
|
|
|
(479
|
)
|
|||
(Increase) decrease in trading assets
|
|
31
|
|
|
(188
|
)
|
|
(56
|
)
|
|||
(Increase) decrease in other assets
|
|
(3,380
|
)
|
|
193
|
|
|
1,556
|
|
|||
Increase (decrease) in other liabilities
|
|
99
|
|
|
(1,433
|
)
|
|
4,120
|
|
|||
Net cash provided by operating activities
|
|
29,886
|
|
|
29,732
|
|
|
42,329
|
|
|||
Investing Activities
|
|
|
|
|
|
|
|
|
|
|||
Net cash settlement in branch acquisition and branch divestiture
|
|
—
|
|
|
(39,648
|
)
|
|
267,689
|
|
|||
Proceeds from sales and maturities of available-for-sale securities
|
|
134,358
|
|
|
147,373
|
|
|
274,621
|
|
|||
Purchase of available-for-sale securities
|
|
(78,355
|
)
|
|
(208,344
|
)
|
|
(462,552
|
)
|
|||
Purchase of securities held-to-maturity
|
|
(20,338
|
)
|
|
—
|
|
|
—
|
|
|||
Net increase in loans
|
|
(196,670
|
)
|
|
(67,826
|
)
|
|
(50,194
|
)
|
|||
Purchase of premises and equipment
|
|
(1,316
|
)
|
|
(1,490
|
)
|
|
(3,403
|
)
|
|||
Purchase of Federal Home Loan Bank and Federal Reserve Bank stock
|
|
(718
|
)
|
|
—
|
|
|
—
|
|
|||
Proceeds from sale of Federal Reserve Bank stock
|
|
51
|
|
|
1,310
|
|
|
928
|
|
|||
Proceeds from sale of other real estate owned
|
|
1,730
|
|
|
946
|
|
|
2,070
|
|
|||
Recoveries of previously charged-off loans
|
|
746
|
|
|
768
|
|
|
744
|
|
|||
Proceeds from sale of building
|
|
—
|
|
|
—
|
|
|
2,235
|
|
|||
Purchase of bank-owned life insurance
|
|
(10,000
|
)
|
|
—
|
|
|
—
|
|
|||
Net cash (used) provided by investing activities
|
|
(170,512
|
)
|
|
(166,911
|
)
|
|
32,138
|
|
|||
Financing Activities
|
|
|
|
|
|
|
|
|
|
|||
Net increase (decrease) in deposits
|
|
118,435
|
|
|
(29,380
|
)
|
|
50,544
|
|
|||
Repayments on Federal Home Loan Bank long-term advances
|
|
(60,073
|
)
|
|
(289
|
)
|
|
(80,456
|
)
|
|||
Proceeds from Federal Home Loan Bank long-term advances
|
|
60,000
|
|
|
—
|
|
|
—
|
|
|||
Net increase (decrease) in other borrowed funds
|
|
46,954
|
|
|
170,194
|
|
|
(15,614
|
)
|
|||
Common stock repurchase
|
|
(7,475
|
)
|
|
(2,460
|
)
|
|
(2,097
|
)
|
|||
Exercise of stock options and issuance of restricted stock, net of repurchase for tax withholdings and tax benefit
|
|
328
|
|
|
300
|
|
|
(212
|
)
|
|||
Cash dividends paid on common stock
|
|
(8,085
|
)
|
|
(8,121
|
)
|
|
(7,667
|
)
|
|||
Net cash provided (used) by financing activities
|
|
150,084
|
|
|
130,244
|
|
|
(55,502
|
)
|
|||
Net increase (decrease) in cash and cash equivalents
|
|
9,458
|
|
|
(6,935
|
)
|
|
18,965
|
|
|||
Cash and cash equivalents at beginning of year
|
|
51,355
|
|
|
58,290
|
|
|
39,325
|
|
|||
Cash and cash equivalents at end of year
|
|
$
|
60,813
|
|
|
$
|
51,355
|
|
|
$
|
58,290
|
|
Supplemental information:
|
|
|
|
|
|
|
|
|
|
|||
Interest paid
|
|
$
|
12,158
|
|
|
$
|
13,014
|
|
|
$
|
17,456
|
|
Income taxes paid
|
|
13,365
|
|
|
10,640
|
|
|
6,363
|
|
|||
Transfer of loans and premises and equipment to other real estate owned
|
|
1,337
|
|
|
1,958
|
|
|
1,767
|
|
|||
Common stock repurchased not yet settled
|
|
—
|
|
|
320
|
|
|
—
|
|
Acadia Trust:
|
Acadia Trust, N.A., a wholly-owned subsidiary of Camden National Corporation
|
|
Freddie Mac:
|
Federal Home Loan Mortgage Corporation
|
Act:
|
Medicare Prescription Drug, Improvement and Modernization Act
|
|
GAAP:
|
Generally accepted accounting principles in the United States
|
AFS:
|
Available-for-sale
|
|
HTM:
|
Held-to-maturity
|
ALCO:
|
Asset/Liability Committee
|
|
IRS:
|
Internal Revenue Service
|
ALL:
|
Allowance for loan losses
|
|
LIBOR:
|
London Interbank Offered Rate
|
AOCI:
|
Accumulated other comprehensive income (loss)
|
|
LTIP:
|
Long-Term Performance Share Plan
|
ASC:
|
Accounting Standards Codification
|
|
MaineHousing:
|
Maine State Housing Authority
|
ASU:
|
Accounting Standards Update
|
|
Management ALCO:
|
Management Asset/Liability Committee
|
Bank:
|
Camden National Bank, a wholly-owned subsidiary of Camden National Corporation
|
|
MSPP:
|
Management Stock Purchase Plan
|
BOLI:
|
Bank-owned life insurance
|
|
MSRs:
|
Mortgage servicing rights
|
Board ALCO:
|
Board of directors' Asset/Liability Committee
|
|
Non-Agency:
|
Non-agency private issue collateralized mortgage obligation
|
Branch Acquisition:
|
The acquisition of 14 branches from Bank of America, N.A. in 2012, after divesting of one branch as required by the Department of Justice
|
|
NRV:
|
Net realizable value
|
Branch Divestiture:
|
The divestiture of five Franklin County branches in 2013
|
|
OCC:
|
Office of the Comptroller of the Currency
|
BSA:
|
Bank Secrecy Act
|
|
OCI:
|
Other comprehensive income (loss)
|
CCTA:
|
Camden Capital Trust A, an unconsolidated entity formed by Camden National Corporation
|
|
OFAC:
|
Office of Foreign Assets Control
|
CDARS:
|
Certificate of Deposit Account Registry System
|
|
OREO:
|
Other real estate owned
|
CDs:
|
Certificate of deposits
|
|
OTTI:
|
Other-than-temporary impairment
|
CSV:
|
Cash surrender value
|
|
SERP:
|
Supplemental executive retirement plans
|
Company:
|
Camden National Corporation
|
|
TDR:
|
Troubled-debt restructuring
|
DCRP:
|
Defined Contribution Retirement Plan
|
|
UBCT:
|
Union Bankshares Capital Trust I, an unconsolidated entity formed by Union Bankshares Company that was subsequently acquired by Camden National Corporation
|
EPS:
|
Earnings per share
|
|
U.S.:
|
United States of America
|
FASB:
|
Financial Accounting Standards Board
|
|
USD:
|
United States dollar
|
FDIC:
|
Federal Deposit Insurance Corporation
|
|
2003 Plan:
|
2003 Stock Option and Incentive Plan
|
FHLB:
|
Federal Home Loan Bank
|
|
2012 Plan:
|
2012 Equity and Incentive Plan
|
FHLBB:
|
Federal Home Loan Bank of Boston
|
|
2013 Repurchase Plan:
|
2013 Common Stock Repurchase Program, approved by the Company's board of directors
|
FRB:
|
Federal Reserve Bank
|
|
2012 Repurchase Plan:
|
2012 Common Stock Repurchase Program, approved by the Company's board of directors
|
|
Amortized Cost
|
|
Unrealized Gains
|
|
Unrealized Losses
|
|
Fair
Value
|
||||||||
December 31, 2014:
|
|
|
|
|
|
|
|
|
|
|
|
||||
AFS Securities:
|
|
|
|
|
|
|
|
||||||||
Obligations of U.S. government-sponsored enterprises
|
$
|
4,962
|
|
|
$
|
65
|
|
|
$
|
—
|
|
|
$
|
5,027
|
|
Obligations of states and political subdivisions
|
26,080
|
|
|
697
|
|
|
—
|
|
|
26,777
|
|
||||
Mortgage-backed securities issued or guaranteed by U.S. government-sponsored enterprises
|
377,657
|
|
|
5,656
|
|
|
(2,005
|
)
|
|
381,308
|
|
||||
Collateralized mortgage obligations issued or guaranteed by U.S. government-sponsored enterprises
|
348,855
|
|
|
953
|
|
|
(5,911
|
)
|
|
343,897
|
|
||||
Private issue collateralized mortgage obligations
|
5,999
|
|
|
63
|
|
|
(8
|
)
|
|
6,054
|
|
||||
Total AFS securities
|
$
|
763,553
|
|
|
$
|
7,434
|
|
|
$
|
(7,924
|
)
|
|
$
|
763,063
|
|
HTM Securities:
|
|
|
|
|
|
|
|
||||||||
Obligations of states and political subdivisions
|
$
|
20,179
|
|
|
$
|
265
|
|
|
$
|
(19
|
)
|
|
$
|
20,425
|
|
Total HTM securities
|
$
|
20,179
|
|
|
$
|
265
|
|
|
$
|
(19
|
)
|
|
$
|
20,425
|
|
December 31, 2013:
|
|
|
|
|
|
|
|
|
|
|
|
||||
AFS Securities:
|
|
|
|
|
|
|
|
||||||||
Obligations of states and political subdivisions
|
$
|
30,143
|
|
|
$
|
1,075
|
|
|
$
|
(11
|
)
|
|
$
|
31,207
|
|
Mortgage-backed securities issued or guaranteed by U.S. government-sponsored enterprises
|
397,409
|
|
|
5,528
|
|
|
(7,034
|
)
|
|
395,903
|
|
||||
Collateralized mortgage obligations issued or guaranteed by U.S. government-sponsored enterprises
|
385,847
|
|
|
912
|
|
|
(12,324
|
)
|
|
374,435
|
|
||||
Private issue collateralized mortgage obligations
|
7,329
|
|
|
10
|
|
|
(407
|
)
|
|
6,932
|
|
||||
Total AFS securities
|
$
|
820,728
|
|
|
$
|
7,525
|
|
|
$
|
(19,776
|
)
|
|
$
|
808,477
|
|
|
Less Than 12 Months
|
|
12 Months or More
|
|
Total
|
||||||||||||||||||
|
Fair Value
|
|
Unrealized Losses
|
|
Fair Value
|
|
Unrealized Losses
|
|
Fair Value
|
|
Unrealized Losses
|
||||||||||||
December 31, 2014:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
AFS Securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Mortgage-backed securities issued or guaranteed by U.S. government-sponsored enterprises
|
$
|
42,856
|
|
|
$
|
(171
|
)
|
|
$
|
125,439
|
|
|
$
|
(1,834
|
)
|
|
$
|
168,295
|
|
|
$
|
(2,005
|
)
|
Collateralized mortgage obligations issued or guaranteed by U.S. government-sponsored enterprises
|
75,723
|
|
|
(432
|
)
|
|
182,512
|
|
|
(5,479
|
)
|
|
258,235
|
|
|
(5,911
|
)
|
||||||
Private issue collateralized mortgage obligations
|
1,785
|
|
|
(8
|
)
|
|
—
|
|
|
—
|
|
|
1,785
|
|
|
(8
|
)
|
||||||
Total AFS securities
|
$
|
120,364
|
|
|
$
|
(611
|
)
|
|
$
|
307,951
|
|
|
$
|
(7,313
|
)
|
|
$
|
428,315
|
|
|
$
|
(7,924
|
)
|
HTM Securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Obligations of states and political subdivisions
|
$
|
5,756
|
|
|
$
|
(19
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
5,756
|
|
|
$
|
(19
|
)
|
Total HTM securities
|
$
|
5,756
|
|
|
$
|
(19
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
5,756
|
|
|
$
|
(19
|
)
|
December 31, 2013:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
AFS Securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Obligations of states and political subdivisions
|
$
|
2,143
|
|
|
$
|
(11
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
2,143
|
|
|
$
|
(11
|
)
|
Mortgage-backed securities issued or guaranteed by U.S. government-sponsored enterprises
|
145,424
|
|
|
(4,189
|
)
|
|
43,915
|
|
|
(2,845
|
)
|
|
189,339
|
|
|
(7,034
|
)
|
||||||
Collateralized mortgage obligations issued or guaranteed by U.S. government-sponsored enterprises
|
239,278
|
|
|
(7,738
|
)
|
|
73,376
|
|
|
(4,586
|
)
|
|
312,654
|
|
|
(12,324
|
)
|
||||||
Private issue collateralized mortgage obligations
|
122
|
|
|
(4
|
)
|
|
4,945
|
|
|
(403
|
)
|
|
5,067
|
|
|
(407
|
)
|
||||||
Total AFS securities
|
$
|
386,967
|
|
|
$
|
(11,942
|
)
|
|
$
|
122,236
|
|
|
$
|
(7,834
|
)
|
|
$
|
509,203
|
|
|
$
|
(19,776
|
)
|
|
For The Years Ended
December 31,
|
||||||||||
|
2014
|
|
2013
|
|
2012
|
||||||
Proceeds from sales of securities
|
$
|
25,695
|
|
|
$
|
17,613
|
|
|
$
|
115,493
|
|
Gross realized gains
|
451
|
|
|
785
|
|
|
2,826
|
|
|||
Gross realized losses
|
—
|
|
|
—
|
|
|
(289
|
)
|
|||
OTTI
|
—
|
|
|
—
|
|
|
(39
|
)
|
|
Amortized Cost
|
|
Fair
Value
|
||||
AFS Securities
|
|
|
|
||||
Due in one year or less
|
$
|
2,381
|
|
|
$
|
2,416
|
|
Due after one year through five years
|
97,183
|
|
|
97,441
|
|
||
Due after five years through ten years
|
96,658
|
|
|
98,023
|
|
||
Due after ten years
|
567,331
|
|
|
565,183
|
|
||
|
$
|
763,553
|
|
|
$
|
763,063
|
|
HTM Securities
|
|
|
|
||||
Due in one year or less
|
$
|
—
|
|
|
$
|
—
|
|
Due after one year through five years
|
—
|
|
|
—
|
|
||
Due after five years through ten years
|
2,316
|
|
|
2,330
|
|
||
Due after ten years
|
17,863
|
|
|
18,095
|
|
||
|
$
|
20,179
|
|
|
$
|
20,425
|
|
|
December 31,
|
||||||
|
2014
|
|
2013
|
||||
Residential real estate loans
|
$
|
585,996
|
|
|
$
|
570,391
|
|
Commercial real estate loans
|
640,661
|
|
|
541,099
|
|
||
Commercial loans
|
257,515
|
|
|
179,203
|
|
||
Home equity loans
|
271,709
|
|
|
272,630
|
|
||
Consumer loans
|
17,257
|
|
|
17,651
|
|
||
Deferred loan fees net of costs
|
(528
|
)
|
|
(572
|
)
|
||
Total loans
|
$
|
1,772,610
|
|
|
$
|
1,580,402
|
|
|
December 31,
|
||||||
|
2014
|
|
2013
|
||||
Balance at beginning of year
|
$
|
17,428
|
|
|
$
|
14,590
|
|
Loans made/advanced and additions
|
251
|
|
|
4,317
|
|
||
Repayments and reductions
|
(210
|
)
|
|
(1,479
|
)
|
||
Balance at end of year
|
$
|
17,469
|
|
|
$
|
17,428
|
|
|
Residential Real Estate
|
|
Commercial Real Estate
|
|
Commercial
|
|
Home
Equity
|
|
Consumer
|
|
Unallocated
|
|
Total
|
||||||||||||||
For The Year Ended
December 31, 2014:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
ALL:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Beginning balance
|
$
|
5,603
|
|
|
$
|
4,374
|
|
|
$
|
6,220
|
|
|
$
|
2,403
|
|
|
$
|
319
|
|
|
$
|
2,671
|
|
|
$
|
21,590
|
|
Loans charged off
|
(785
|
)
|
|
(361
|
)
|
|
(1,544
|
)
|
|
(611
|
)
|
|
(143
|
)
|
|
—
|
|
|
(3,444
|
)
|
|||||||
Recoveries
|
165
|
|
|
135
|
|
|
395
|
|
|
19
|
|
|
32
|
|
|
—
|
|
|
746
|
|
|||||||
Provision (credit)
|
(84
|
)
|
|
334
|
|
|
1,752
|
|
|
436
|
|
|
73
|
|
|
(287
|
)
|
|
2,224
|
|
|||||||
Ending balance
|
$
|
4,899
|
|
|
$
|
4,482
|
|
|
$
|
6,823
|
|
|
$
|
2,247
|
|
|
$
|
281
|
|
|
$
|
2,384
|
|
|
$
|
21,116
|
|
ALL balance attributable loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Individually evaluated for impairment
|
$
|
1,220
|
|
|
$
|
251
|
|
|
$
|
168
|
|
|
$
|
496
|
|
|
$
|
104
|
|
|
$
|
—
|
|
|
$
|
2,239
|
|
Collectively evaluated for impairment
|
3,679
|
|
|
4,231
|
|
|
6,655
|
|
|
1,751
|
|
|
177
|
|
|
2,384
|
|
|
18,877
|
|
|||||||
Total ending ALL
|
$
|
4,899
|
|
|
$
|
4,482
|
|
|
$
|
6,823
|
|
|
$
|
2,247
|
|
|
$
|
281
|
|
|
$
|
2,384
|
|
|
$
|
21,116
|
|
Loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Individually evaluated for impairment
|
$
|
9,656
|
|
|
$
|
7,658
|
|
|
$
|
1,853
|
|
|
$
|
1,741
|
|
|
$
|
271
|
|
|
$
|
—
|
|
|
$
|
21,179
|
|
Collectively evaluated for impairment
|
575,812
|
|
|
633,003
|
|
|
255,662
|
|
|
269,968
|
|
|
16,986
|
|
|
—
|
|
|
1,751,431
|
|
|||||||
Total ending loans balance
|
$
|
585,468
|
|
|
$
|
640,661
|
|
|
$
|
257,515
|
|
|
$
|
271,709
|
|
|
$
|
17,257
|
|
|
$
|
—
|
|
|
$
|
1,772,610
|
|
For The Year Ended
December 31, 2013:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
ALL:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Beginning balance
|
$
|
6,996
|
|
|
$
|
4,549
|
|
|
$
|
5,933
|
|
|
$
|
2,520
|
|
|
$
|
184
|
|
|
$
|
2,862
|
|
|
$
|
23,044
|
|
Loans charged off
|
(1,059
|
)
|
|
(952
|
)
|
|
(1,426
|
)
|
|
(647
|
)
|
|
(190
|
)
|
|
—
|
|
|
(4,274
|
)
|
|||||||
Recoveries
|
35
|
|
|
121
|
|
|
495
|
|
|
56
|
|
|
61
|
|
|
—
|
|
|
768
|
|
|||||||
Provision (credit)
|
(369
|
)
|
|
656
|
|
|
1,218
|
|
|
474
|
|
|
264
|
|
|
(191
|
)
|
|
2,052
|
|
|||||||
Ending balance
|
$
|
5,603
|
|
|
$
|
4,374
|
|
|
$
|
6,220
|
|
|
$
|
2,403
|
|
|
$
|
319
|
|
|
$
|
2,671
|
|
|
$
|
21,590
|
|
ALL balance attributable loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Individually evaluated for impairment
|
$
|
1,750
|
|
|
$
|
526
|
|
|
$
|
132
|
|
|
$
|
433
|
|
|
$
|
140
|
|
|
$
|
—
|
|
|
$
|
2,981
|
|
Collectively evaluated for impairment
|
3,853
|
|
|
3,848
|
|
|
6,088
|
|
|
1,970
|
|
|
179
|
|
|
2,671
|
|
|
18,609
|
|
|||||||
Total ending ALL
|
$
|
5,603
|
|
|
$
|
4,374
|
|
|
$
|
6,220
|
|
|
$
|
2,403
|
|
|
$
|
319
|
|
|
$
|
2,671
|
|
|
$
|
21,590
|
|
Loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Individually evaluated for impairment
|
$
|
14,435
|
|
|
$
|
8,864
|
|
|
$
|
2,635
|
|
|
$
|
1,571
|
|
|
$
|
442
|
|
|
$
|
—
|
|
|
$
|
27,947
|
|
Collectively evaluated for impairment
|
555,384
|
|
|
532,235
|
|
|
176,568
|
|
|
271,059
|
|
|
17,209
|
|
|
—
|
|
|
1,552,455
|
|
|||||||
Total ending loans balance
|
$
|
569,819
|
|
|
$
|
541,099
|
|
|
$
|
179,203
|
|
|
$
|
272,630
|
|
|
$
|
17,651
|
|
|
$
|
—
|
|
|
$
|
1,580,402
|
|
For The Year Ended
December 31, 2012:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Beginning balance
|
$
|
6,398
|
|
|
$
|
5,702
|
|
|
$
|
4,846
|
|
|
$
|
2,704
|
|
|
$
|
420
|
|
|
$
|
2,941
|
|
|
$
|
23,011
|
|
Loans charged off
|
(1,197
|
)
|
|
(593
|
)
|
|
(1,393
|
)
|
|
(1,234
|
)
|
|
(85
|
)
|
|
—
|
|
|
(4,502
|
)
|
|||||||
Recoveries
|
73
|
|
|
222
|
|
|
406
|
|
|
23
|
|
|
20
|
|
|
—
|
|
|
744
|
|
|||||||
Provision (credit)
|
1,722
|
|
|
(782
|
)
|
|
2,074
|
|
|
1,027
|
|
|
(171
|
)
|
|
(79
|
)
|
|
3,791
|
|
|||||||
Ending balance
|
$
|
6,996
|
|
|
$
|
4,549
|
|
|
$
|
5,933
|
|
|
$
|
2,520
|
|
|
$
|
184
|
|
|
$
|
2,862
|
|
|
$
|
23,044
|
|
ALL balance attributable loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Individually evaluated for impairment
|
$
|
2,255
|
|
|
$
|
265
|
|
|
$
|
286
|
|
|
$
|
261
|
|
|
$
|
39
|
|
|
$
|
—
|
|
|
$
|
3,106
|
|
Collectively evaluated for impairment
|
4,741
|
|
|
4,284
|
|
|
5,647
|
|
|
2,259
|
|
|
145
|
|
|
2,862
|
|
|
19,938
|
|
|||||||
Total ending ALL
|
$
|
6,996
|
|
|
$
|
4,549
|
|
|
$
|
5,933
|
|
|
$
|
2,520
|
|
|
$
|
184
|
|
|
$
|
2,862
|
|
|
$
|
23,044
|
|
Loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Individually evaluated for impairment
|
$
|
13,805
|
|
|
$
|
7,968
|
|
|
$
|
3,610
|
|
|
$
|
1,515
|
|
|
$
|
259
|
|
|
$
|
—
|
|
|
$
|
27,157
|
|
Collectively evaluated for impairment
|
558,368
|
|
|
498,263
|
|
|
186,844
|
|
|
276,860
|
|
|
16,374
|
|
|
—
|
|
|
1,536,709
|
|
|||||||
Total ending loans balance
|
$
|
572,173
|
|
|
$
|
506,231
|
|
|
$
|
190,454
|
|
|
$
|
278,375
|
|
|
$
|
16,633
|
|
|
$
|
—
|
|
|
$
|
1,563,866
|
|
•
|
Grade 1 through 6 — Grades 1 through 6 represent loans that are not subject to adverse criticism as defined in regulatory guidance. Loans in these groups exhibit characteristics that represent low to moderate risks, which is measured using a variety of credit risk criteria, such as cash flow coverage, debt service coverage, balance sheet leverage, liquidity, management experience, industry position, prevailing economic conditions, support from secondary sources of repayment and other credit factors that may be relevant to a specific loan. In general, these loans are support by properly margined collateral and guarantees of principal parties.
|
•
|
Grade 7 — Loans with potential weakness (Special Mention). Loans in this category are currently protected based on collateral and repayment capacity and do not constitute undesirable credit risk, but have potential weakness that may result in deterioration of the repayment process at some future date. This classification is used if a negative trend is evident in the obligor’s financial situation. Special mention loans do not sufficiently expose the Company to warrant adverse classification.
|
•
|
Grade 8 — Loans with definite weakness (Substandard). Loans classified as substandard are inadequately protected by the current sound worth and paying capacity of the obligor or by collateral pledged. Borrowers experience difficulty in meeting debt repayment requirements. Deterioration is sufficient to cause the Company to look to the sale of collateral.
|
•
|
Grade 9 — Loans with potential loss (Doubtful). Loans classified as doubtful have all the weaknesses inherent in the substandard grade with the added characteristic that the weaknesses make collection or liquidation of the loan in full highly questionable and improbable. The possibility of some loss is extremely high, but because of specific pending factors that may work to the advantage and strengthening of the asset, its classification as an estimated loss is deferred until its more exact status may be determined.
|
•
|
Grade 10 — Loans with definite loss (Loss). Loans classified as loss are considered uncollectible. The loss classification does not mean that the asset has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer writing off the asset because recovery and collection time may be protracted.
|
|
Residential Real Estate
|
|
Commercial Real Estate
|
|
Commercial
|
|
Home Equity
|
|
Consumer
|
|
Total
|
||||||||||||
December 31, 2014:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Pass (Grades 1 – 6)
|
$
|
572,589
|
|
|
$
|
606,387
|
|
|
$
|
244,930
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,423,906
|
|
Performing
|
—
|
|
|
—
|
|
|
—
|
|
|
269,968
|
|
|
16,986
|
|
|
286,954
|
|
||||||
Special Mention (Grade 7)
|
3,579
|
|
|
4,690
|
|
|
6,023
|
|
|
—
|
|
|
—
|
|
|
14,292
|
|
||||||
Substandard (Grade 8)
|
9,300
|
|
|
29,584
|
|
|
6,562
|
|
|
—
|
|
|
—
|
|
|
45,446
|
|
||||||
Non-performing
|
—
|
|
|
—
|
|
|
—
|
|
|
1,741
|
|
|
271
|
|
|
2,012
|
|
||||||
Total
|
$
|
585,468
|
|
|
$
|
640,661
|
|
|
$
|
257,515
|
|
|
$
|
271,709
|
|
|
$
|
17,257
|
|
|
$
|
1,772,610
|
|
December 31, 2013:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Pass (Grades 1 – 6)
|
$
|
551,035
|
|
|
$
|
496,257
|
|
|
$
|
155,851
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,203,143
|
|
Performing
|
—
|
|
|
—
|
|
|
—
|
|
|
271,059
|
|
|
17,210
|
|
|
288,269
|
|
||||||
Special Mention (Grade 7)
|
3,196
|
|
|
7,749
|
|
|
11,315
|
|
|
—
|
|
|
—
|
|
|
22,260
|
|
||||||
Substandard (Grade 8)
|
15,588
|
|
|
37,093
|
|
|
12,037
|
|
|
—
|
|
|
—
|
|
|
64,718
|
|
||||||
Non-performing
|
—
|
|
|
—
|
|
|
—
|
|
|
1,571
|
|
|
441
|
|
|
2,012
|
|
||||||
Total
|
$
|
569,819
|
|
|
$
|
541,099
|
|
|
$
|
179,203
|
|
|
$
|
272,630
|
|
|
$
|
17,651
|
|
|
$
|
1,580,402
|
|
|
30 – 59 Days Past Due
|
|
60 – 89 Days Past Due
|
|
Greater Than 90 Days
|
|
Total Past Due
|
|
Current
|
|
Total Loans Outstanding
|
|
Loans > 90 Days Past Due and Accruing
|
|
Non-Accrual Loans
|
||||||||||||||||
December 31, 2014:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Residential real estate
|
$
|
1,206
|
|
|
$
|
426
|
|
|
$
|
4,531
|
|
|
$
|
6,163
|
|
|
$
|
579,305
|
|
|
585,468
|
|
|
$
|
—
|
|
|
$
|
6,056
|
|
|
Commercial real estate
|
1,696
|
|
|
—
|
|
|
3,791
|
|
|
5,487
|
|
|
635,174
|
|
|
640,661
|
|
|
—
|
|
|
7,043
|
|
||||||||
Commercial
|
456
|
|
|
269
|
|
|
1,139
|
|
|
1,864
|
|
|
255,651
|
|
|
257,515
|
|
|
—
|
|
|
1,529
|
|
||||||||
Home equity
|
889
|
|
|
88
|
|
|
1,129
|
|
|
2,106
|
|
|
269,603
|
|
|
271,709
|
|
|
—
|
|
|
1,740
|
|
||||||||
Consumer
|
28
|
|
|
—
|
|
|
254
|
|
|
282
|
|
|
16,975
|
|
|
17,257
|
|
|
—
|
|
|
271
|
|
||||||||
Total
|
$
|
4,275
|
|
|
$
|
783
|
|
|
$
|
10,844
|
|
|
$
|
15,902
|
|
|
$
|
1,756,708
|
|
|
$
|
1,772,610
|
|
|
$
|
—
|
|
|
$
|
16,639
|
|
December 31, 2013:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Residential real estate
|
$
|
3,218
|
|
|
$
|
684
|
|
|
$
|
7,269
|
|
|
$
|
11,171
|
|
|
$
|
558,648
|
|
|
$
|
569,819
|
|
|
$
|
—
|
|
|
$
|
10,520
|
|
Commercial real estate
|
926
|
|
|
2,036
|
|
|
3,301
|
|
|
6,263
|
|
|
534,836
|
|
|
541,099
|
|
|
257
|
|
|
7,799
|
|
||||||||
Commercial
|
159
|
|
|
237
|
|
|
1,980
|
|
|
2,376
|
|
|
176,827
|
|
|
179,203
|
|
|
198
|
|
|
2,146
|
|
||||||||
Home equity
|
1,395
|
|
|
388
|
|
|
1,007
|
|
|
2,790
|
|
|
269,840
|
|
|
272,630
|
|
|
—
|
|
|
1,571
|
|
||||||||
Consumer
|
63
|
|
|
21
|
|
|
418
|
|
|
502
|
|
|
17,149
|
|
|
17,651
|
|
|
—
|
|
|
441
|
|
||||||||
Total
|
$
|
5,761
|
|
|
$
|
3,366
|
|
|
$
|
13,975
|
|
|
$
|
23,102
|
|
|
$
|
1,557,300
|
|
|
$
|
1,580,402
|
|
|
$
|
455
|
|
|
$
|
22,477
|
|
|
|
Number of Contracts
|
|
Current Balance
|
|
Specific Reserve
|
||||||||||||||||
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
Residential real estate
|
|
24
|
|
|
26
|
|
|
$
|
3,800
|
|
|
$
|
4,089
|
|
|
$
|
635
|
|
|
$
|
525
|
|
Commercial real estate
|
|
7
|
|
|
10
|
|
|
1,704
|
|
|
2,558
|
|
|
—
|
|
|
131
|
|
||||
Commercial
|
|
9
|
|
|
7
|
|
|
426
|
|
|
488
|
|
|
10
|
|
|
—
|
|
||||
Consumer and home equity
|
|
1
|
|
|
1
|
|
|
30
|
|
|
1
|
|
|
—
|
|
|
—
|
|
||||
Total
|
|
41
|
|
|
44
|
|
|
$
|
5,960
|
|
|
$
|
7,136
|
|
|
$
|
645
|
|
|
$
|
656
|
|
|
|
Number of Contracts
|
|
Pre-Modification
Outstanding
Recorded Investment
|
|
Post-Modification
Outstanding
Recorded Investment
|
|
Specific Reserve
|
||||||||||||||||||||||
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||||||
Residential real estate
|
|
1
|
|
|
6
|
|
|
$
|
136
|
|
|
$
|
836
|
|
|
$
|
149
|
|
|
$
|
878
|
|
|
$
|
43
|
|
|
$
|
119
|
|
Commercial real estate
|
|
1
|
|
|
2
|
|
|
235
|
|
|
279
|
|
|
235
|
|
|
286
|
|
|
—
|
|
|
—
|
|
||||||
Commercial
|
|
3
|
|
|
4
|
|
|
77
|
|
|
255
|
|
|
77
|
|
|
255
|
|
|
6
|
|
|
3
|
|
||||||
Consumer and home equity
|
|
1
|
|
|
—
|
|
|
40
|
|
|
—
|
|
|
30
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total
|
|
6
|
|
|
12
|
|
|
$
|
488
|
|
|
$
|
1,370
|
|
|
$
|
491
|
|
|
$
|
1,419
|
|
|
$
|
49
|
|
|
$
|
122
|
|
|
2014
|
|
2013
|
||||||||||
|
Number of Contracts
|
|
Recorded Investment
|
|
Number of Contracts
|
|
Recorded Investment
|
||||||
Commercial real estate
|
—
|
|
|
$
|
—
|
|
|
1
|
|
|
$
|
113
|
|
Total
|
—
|
|
|
$
|
—
|
|
|
1
|
|
|
$
|
113
|
|
|
|
Recorded Investment
|
|
Unpaid Principal Balance
|
|
Related Allowance
|
|
Average Recorded Investment
|
|
Interest Income Recognized
|
||||||||||
December 31, 2014:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
With related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential real estate
|
|
$
|
7,713
|
|
|
$
|
7,713
|
|
|
$
|
1,220
|
|
|
$
|
9,524
|
|
|
$
|
125
|
|
Commercial real estate
|
|
3,419
|
|
|
3,419
|
|
|
251
|
|
|
4,911
|
|
|
—
|
|
|||||
Commercial
|
|
1,390
|
|
|
1,390
|
|
|
168
|
|
|
2,466
|
|
|
8
|
|
|||||
Home equity
|
|
1,410
|
|
|
1,410
|
|
|
496
|
|
|
1,545
|
|
|
—
|
|
|||||
Consumer
|
|
254
|
|
|
254
|
|
|
104
|
|
|
358
|
|
|
—
|
|
|||||
Ending Balance
|
|
$
|
14,186
|
|
|
$
|
14,186
|
|
|
$
|
2,239
|
|
|
$
|
18,804
|
|
|
$
|
133
|
|
Without related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential real estate
|
|
$
|
1,943
|
|
|
$
|
2,604
|
|
|
$
|
—
|
|
|
$
|
2,257
|
|
|
$
|
13
|
|
Commercial real estate
|
|
4,239
|
|
|
4,502
|
|
|
—
|
|
|
2,869
|
|
|
59
|
|
|||||
Commercial
|
|
463
|
|
|
606
|
|
|
—
|
|
|
791
|
|
|
11
|
|
|||||
Home equity
|
|
331
|
|
|
581
|
|
|
—
|
|
|
399
|
|
|
—
|
|
|||||
Consumer
|
|
17
|
|
|
37
|
|
|
—
|
|
|
21
|
|
|
—
|
|
|||||
Ending Balance
|
|
$
|
6,993
|
|
|
$
|
8,330
|
|
|
$
|
—
|
|
|
$
|
6,337
|
|
|
$
|
83
|
|
Total impaired loans
|
|
$
|
21,179
|
|
|
$
|
22,516
|
|
|
$
|
2,239
|
|
|
$
|
25,141
|
|
|
$
|
216
|
|
December 31, 2013:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
With related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential real estate
|
|
$
|
11,902
|
|
|
$
|
11,902
|
|
|
$
|
1,750
|
|
|
$
|
10,411
|
|
|
$
|
118
|
|
Commercial real estate
|
|
6,805
|
|
|
6,805
|
|
|
526
|
|
|
5,517
|
|
|
20
|
|
|||||
Commercial
|
|
1,876
|
|
|
1,876
|
|
|
132
|
|
|
2,543
|
|
|
10
|
|
|||||
Home equity
|
|
1,228
|
|
|
1,228
|
|
|
433
|
|
|
1,291
|
|
|
—
|
|
|||||
Consumer
|
|
425
|
|
|
425
|
|
|
140
|
|
|
460
|
|
|
—
|
|
|||||
Ending Balance
|
|
$
|
22,236
|
|
|
$
|
22,236
|
|
|
$
|
2,981
|
|
|
$
|
20,222
|
|
|
$
|
148
|
|
Without related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential real estate
|
|
$
|
2,533
|
|
|
$
|
3,846
|
|
|
$
|
—
|
|
|
$
|
2,925
|
|
|
$
|
28
|
|
Commercial real estate
|
|
2,059
|
|
|
2,782
|
|
|
—
|
|
|
3,362
|
|
|
55
|
|
|||||
Commercial
|
|
759
|
|
|
871
|
|
|
—
|
|
|
765
|
|
|
8
|
|
|||||
Home equity
|
|
343
|
|
|
479
|
|
|
—
|
|
|
334
|
|
|
—
|
|
|||||
Consumer
|
|
17
|
|
|
37
|
|
|
—
|
|
|
11
|
|
|
—
|
|
|||||
Ending Balance
|
|
$
|
5,711
|
|
|
$
|
8,015
|
|
|
$
|
—
|
|
|
$
|
7,397
|
|
|
$
|
91
|
|
Total impaired loans
|
|
$
|
27,947
|
|
|
$
|
30,251
|
|
|
$
|
2,981
|
|
|
$
|
27,619
|
|
|
$
|
239
|
|
|
|
Recorded Investment
|
|
Unpaid Principal Balance
|
|
Related Allowance
|
|
Average Recorded Investment
|
|
Interest Income Recognized
|
||||||||||
December 31, 2012:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
With related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential real estate
|
|
$
|
11,021
|
|
|
$
|
11,021
|
|
|
$
|
2,255
|
|
|
$
|
10,585
|
|
|
$
|
114
|
|
Commercial real estate
|
|
4,296
|
|
|
4,296
|
|
|
265
|
|
|
5,551
|
|
|
—
|
|
|||||
Commercial
|
|
2,971
|
|
|
2,971
|
|
|
286
|
|
|
3,927
|
|
|
—
|
|
|||||
Home equity
|
|
1,236
|
|
|
1,236
|
|
|
261
|
|
|
1,289
|
|
|
—
|
|
|||||
Consumer
|
|
257
|
|
|
257
|
|
|
39
|
|
|
239
|
|
|
—
|
|
|||||
Ending Balance
|
|
$
|
19,781
|
|
|
$
|
19,781
|
|
|
$
|
3,106
|
|
|
$
|
21,591
|
|
|
$
|
114
|
|
Without related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential real estate
|
|
$
|
2,784
|
|
|
$
|
3,841
|
|
|
$
|
—
|
|
|
$
|
2,548
|
|
|
$
|
26
|
|
Commercial real estate
|
|
3,672
|
|
|
4,127
|
|
|
—
|
|
|
2,056
|
|
|
33
|
|
|||||
Commercial
|
|
639
|
|
|
956
|
|
|
—
|
|
|
389
|
|
|
13
|
|
|||||
Home equity
|
|
279
|
|
|
550
|
|
|
—
|
|
|
617
|
|
|
—
|
|
|||||
Consumer
|
|
2
|
|
|
2
|
|
|
—
|
|
|
6
|
|
|
—
|
|
|||||
Ending Balance
|
|
$
|
7,376
|
|
|
$
|
9,476
|
|
|
$
|
—
|
|
|
$
|
5,616
|
|
|
$
|
72
|
|
Total impaired loans
|
|
$
|
27,157
|
|
|
$
|
29,257
|
|
|
$
|
3,106
|
|
|
$
|
27,207
|
|
|
$
|
186
|
|
|
Banking
|
|
Financial Services
|
|
Total
|
||||||
December 31, 2012:
|
|
|
|
|
|
|
|
|
|||
Goodwill
|
$
|
40,902
|
|
|
$
|
7,474
|
|
|
$
|
48,376
|
|
Accumulated impairment losses
|
—
|
|
|
(740
|
)
|
|
(740
|
)
|
|||
Reported goodwill
|
40,902
|
|
|
6,734
|
|
|
47,636
|
|
|||
2013 activity
|
—
|
|
|
(2,830
|
)
|
|
(2,830
|
)
|
|||
December 31, 2013:
|
|
|
|
|
|
|
|
|
|||
Goodwill
|
40,902
|
|
|
7,474
|
|
|
48,376
|
|
|||
Accumulated impairment losses
|
—
|
|
|
(3,570
|
)
|
|
(3,570
|
)
|
|||
Reported goodwill
|
40,902
|
|
|
3,904
|
|
|
44,806
|
|
|||
2014 activity
|
—
|
|
|
—
|
|
|
—
|
|
|||
December 31, 2014:
|
|
|
|
|
|
||||||
Goodwill
|
40,902
|
|
|
7,474
|
|
|
48,376
|
|
|||
Accumulated impairment losses
|
—
|
|
|
(3,570
|
)
|
|
(3,570
|
)
|
|||
Reported goodwill
|
$
|
40,902
|
|
|
$
|
3,904
|
|
|
$
|
44,806
|
|
Valuation Methodology
|
|
Unobservable Input
|
|
Input Used
|
Discounted cash flow
|
|
Revenue growth rate
|
|
5.0%
|
|
|
Margin percentage
|
|
8.3%
|
|
|
Discount rate
|
|
16.5%
|
|
|
Fair value weighting
|
|
50.0%
|
Market approach
|
|
Fair value weighting
|
|
50.0%
|
|
Core Deposit Intangible
|
|
Trust Relationship Intangible
|
||||||||||||||||||||
|
Total
|
|
Accumulated Amortization
|
|
Net
|
|
Total
|
|
Accumulated Amortization
|
|
Net
|
||||||||||||
Balance at December 31, 2012
|
$
|
17,300
|
|
|
$
|
(12,014
|
)
|
|
$
|
5,286
|
|
|
$
|
753
|
|
|
$
|
(376
|
)
|
|
$
|
377
|
|
2013 activity
|
—
|
|
|
(1,074
|
)
|
|
(1,074
|
)
|
|
—
|
|
|
(76
|
)
|
|
(76
|
)
|
||||||
Balance at December 31, 2013
|
17,300
|
|
|
(13,088
|
)
|
|
4,212
|
|
|
753
|
|
|
(452
|
)
|
|
301
|
|
||||||
2014 activity
|
—
|
|
|
(1,073
|
)
|
|
(1,073
|
)
|
|
—
|
|
|
(75
|
)
|
|
(75
|
)
|
||||||
Balance at December 31, 2014
|
$
|
17,300
|
|
|
$
|
(14,161
|
)
|
|
$
|
3,139
|
|
|
$
|
753
|
|
|
$
|
(527
|
)
|
|
$
|
226
|
|
|
Core Deposit
Intangible
|
|
Trust Relationship
Intangible
|
||||
2015
|
$
|
1,073
|
|
|
$
|
75
|
|
2016
|
1,073
|
|
|
75
|
|
||
2017
|
993
|
|
|
76
|
|
||
Total
|
$
|
3,139
|
|
|
$
|
226
|
|
|
2014
|
|
2013
|
||||
Land and land improvements
|
$
|
3,046
|
|
|
$
|
3,019
|
|
Buildings and leasehold improvements
|
29,984
|
|
|
29,772
|
|
||
Furniture, fixtures and equipment
|
19,950
|
|
|
19,792
|
|
||
Total cost
|
52,980
|
|
|
52,583
|
|
||
Accumulated depreciation and amortization
|
(29,094
|
)
|
|
(26,856
|
)
|
||
Net premises and equipment
|
$
|
23,886
|
|
|
$
|
25,727
|
|
|
Operating
|
|
Capital
|
||||
2015
|
$
|
1,274
|
|
|
$
|
129
|
|
2016
|
1,198
|
|
|
127
|
|
||
2017
|
956
|
|
|
126
|
|
||
2018
|
714
|
|
|
126
|
|
||
2019
|
632
|
|
|
126
|
|
||
Thereafter
|
1,824
|
|
|
812
|
|
||
Total minimum lease payments
|
$
|
6,598
|
|
|
$
|
1,446
|
|
Less: amount representing interest
(1)
|
|
|
462
|
|
|||
Present value of net minimum lease payments
(2)
|
|
|
$
|
984
|
|
|
2014
|
|
2013
|
|
2012
|
||||||
Balance at beginning of year
|
$
|
2,195
|
|
|
$
|
1,313
|
|
|
$
|
1,682
|
|
Additions
|
1,337
|
|
|
1,958
|
|
|
2,180
|
|
|||
Disposals
|
(1,759
|
)
|
|
(906
|
)
|
|
(2,388
|
)
|
|||
Write-downs
|
(186
|
)
|
|
(170
|
)
|
|
(161
|
)
|
|||
Balance at end of year
|
$
|
1,587
|
|
|
$
|
2,195
|
|
|
$
|
1,313
|
|
|
2014
|
|
2013
|
||||||||||
|
Number of Properties
|
|
Carrying Value
|
|
Number of Properties
|
|
Carrying Value
|
||||||
Residential
|
11
|
|
|
$
|
575
|
|
|
10
|
|
|
$
|
1,043
|
|
Commercial
|
6
|
|
|
1,012
|
|
|
6
|
|
|
1,152
|
|
||
Total
|
17
|
|
|
$
|
1,587
|
|
|
16
|
|
|
$
|
2,195
|
|
|
2014
|
|
2013
|
|
2012
|
||||||
MSRs:
|
|
|
|
|
|
|
|
|
|||
Balance at beginning of year
|
$
|
726
|
|
|
$
|
542
|
|
|
$
|
768
|
|
Capitalized upon sale
|
15
|
|
|
466
|
|
|
153
|
|
|||
Amortization charged against mortgage servicing fee income
|
(262
|
)
|
|
(340
|
)
|
|
(349
|
)
|
|||
Valuation adjustment
|
14
|
|
|
58
|
|
|
(30
|
)
|
|||
Balance at end of year
|
$
|
493
|
|
|
$
|
726
|
|
|
$
|
542
|
|
Valuation Allowance:
|
|
|
|
|
|
|
|
|
|||
Balance at beginning of year
|
$
|
(15
|
)
|
|
$
|
(73
|
)
|
|
$
|
(43
|
)
|
Increase in impairment reserve
|
—
|
|
|
(34
|
)
|
|
(174
|
)
|
|||
Reduction of impairment reserve
|
14
|
|
|
92
|
|
|
144
|
|
|||
Balance at end of year
|
$
|
(1
|
)
|
|
$
|
(15
|
)
|
|
$
|
(73
|
)
|
Fair value, beginning of year
(1)
|
$
|
1,494
|
|
|
$
|
879
|
|
|
$
|
1,138
|
|
Fair value, end of year
(1)
|
1,447
|
|
|
1,494
|
|
|
879
|
|
|
Retail
|
|
Brokered
|
|
Total
|
||||||
2015
|
$
|
175,860
|
|
|
$
|
24,982
|
|
|
$
|
200,842
|
|
2016
|
61,094
|
|
|
28,622
|
|
|
89,716
|
|
|||
2017
|
20,303
|
|
|
6,545
|
|
|
26,848
|
|
|||
2018
|
7,635
|
|
|
—
|
|
|
7,635
|
|
|||
2019
|
38,549
|
|
|
—
|
|
|
38,549
|
|
|||
Thereafter
|
13,682
|
|
|
—
|
|
|
13,682
|
|
|||
Total
|
$
|
317,123
|
|
|
$
|
60,149
|
|
|
$
|
377,272
|
|
|
December 31,
|
||||||
|
2014
|
|
2013
|
||||
Short-Term Borrowings:
|
|
|
|
|
|
||
Securities sold under repurchase agreements – retail
|
$
|
157,758
|
|
|
$
|
130,047
|
|
FHLBB advances less than 90 days
|
245,000
|
|
|
230,000
|
|
||
FHLBB and correspondent bank overnight borrowings
|
43,100
|
|
|
38,800
|
|
||
Capital lease obligation
|
63
|
|
|
60
|
|
||
Notes payable
|
—
|
|
|
25
|
|
||
Total short-term borrowings
|
445,921
|
|
|
398,932
|
|
||
Long-Term Borrowings:
|
|
|
|
|
|
||
Securities sold under repurchase agreements – commercial
|
30,097
|
|
|
30,142
|
|
||
Capital lease obligation
|
921
|
|
|
984
|
|
||
Total long-term borrowings
|
31,018
|
|
|
31,126
|
|
||
Total other borrowed funds
|
$
|
476,939
|
|
|
$
|
430,058
|
|
|
December 31,
|
||||||||||
|
2014
|
|
2013
|
|
2012
|
||||||
Balance outstanding at end of year
|
$
|
445,921
|
|
|
$
|
398,932
|
|
|
$
|
192,681
|
|
Average daily balance outstanding
|
417,585
|
|
|
271,281
|
|
|
261,335
|
|
|||
Maximum balance outstanding at any month end
|
467,811
|
|
|
398,932
|
|
|
346,786
|
|
|||
Weighted average interest rate for the year
|
0.19
|
%
|
|
0.19
|
%
|
|
0.21
|
%
|
|||
Weighted average interest rate at end of year
|
0.20
|
%
|
|
0.16
|
%
|
|
0.18
|
%
|
|
Amount
|
|
Rate
|
|
Callable
|
|||
2016
|
$
|
25,000
|
|
|
2.61
|
%
|
|
2015
|
2017
|
5,097
|
|
|
4.67
|
%
|
|
2015
|
|
Total
|
$
|
30,097
|
|
|
2.96
|
%
|
|
|
|
|
Interest
Rate Range
|
|
Weighted-Average
Interest Rate
|
|
December 31, 2014
|
|
December 31, 2013
|
||||||||||||||||||
|
|
|
|
Balance
|
|
Callable
|
|
Call Amount
|
|
Balance
|
|
Callable
|
|
Call Amount
|
||||||||||||
2015
|
|
2.75% - 4.75%
|
|
2.94%
|
|
$
|
11,039
|
|
|
2015
|
|
|
$
|
10,000
|
|
|
$
|
11,112
|
|
|
2015
|
|
|
$
|
10,000
|
|
2016
|
|
1.80% - 1.95%
|
|
1.92%
|
|
25,000
|
|
|
—
|
|
|
—
|
|
|
25,000
|
|
|
—
|
|
|
—
|
|
||||
2017
|
|
3.99% - 4.06%
|
|
4.03%
|
|
20,000
|
|
|
2015
|
|
|
20,000
|
|
|
20,000
|
|
|
2015
|
|
|
20,000
|
|
||||
Total
|
|
|
|
|
|
$
|
56,039
|
|
|
|
|
$
|
30,000
|
|
|
$
|
56,112
|
|
|
|
|
|
$
|
30,000
|
|
|
For The Years Ended
December 31,
|
||||||||||
|
2014
|
|
2013
|
|
2012
|
||||||
Current:
|
|
|
|
|
|
|
|
|
|||
Federal
|
$
|
11,435
|
|
|
$
|
11,853
|
|
|
$
|
5,107
|
|
State
|
505
|
|
|
400
|
|
|
457
|
|
|||
|
11,940
|
|
|
12,253
|
|
|
5,564
|
|
|||
Deferred:
|
|
|
|
|
|
|
|
|
|||
Federal
|
(500
|
)
|
|
(121
|
)
|
|
5,318
|
|
|||
Income tax expense
|
$
|
11,440
|
|
|
$
|
12,132
|
|
|
$
|
10,882
|
|
|
For The Years Ended
December 31,
|
||||||||||
|
2014
|
|
2013
|
|
2012
|
||||||
Computed tax expense
|
$
|
12,604
|
|
|
$
|
12,220
|
|
|
$
|
12,008
|
|
Increase (reduction) in income taxes resulting from:
|
|
|
|
|
|
|
|
|
|||
Tax exempt income
|
(704
|
)
|
|
(510
|
)
|
|
(623
|
)
|
|||
Income from life insurance
|
(503
|
)
|
|
(459
|
)
|
|
(484
|
)
|
|||
State taxes, net of federal benefit
|
328
|
|
|
260
|
|
|
297
|
|
|||
Low income housing credits
|
(286
|
)
|
|
(299
|
)
|
|
(328
|
)
|
|||
Goodwill impairment
|
—
|
|
|
991
|
|
|
—
|
|
|||
Other
|
1
|
|
|
(71
|
)
|
|
12
|
|
|||
Income tax expense
|
$
|
11,440
|
|
|
$
|
12,132
|
|
|
$
|
10,882
|
|
|
December 31,
|
||||||||||||||
|
2014
|
|
2013
|
||||||||||||
|
Asset
|
|
Liability
|
|
Asset
|
|
Liability
|
||||||||
Allowance for possible losses on loans
|
$
|
7,397
|
|
|
$
|
—
|
|
|
$
|
7,564
|
|
|
$
|
—
|
|
Pension and other benefits
|
4,018
|
|
|
—
|
|
|
3,900
|
|
|
—
|
|
||||
Net unrealized losses on derivative instruments
|
3,200
|
|
|
—
|
|
|
1,369
|
|
|
—
|
|
||||
Net unrealized losses on postretirement plans
|
1,165
|
|
|
—
|
|
|
992
|
|
|
—
|
|
||||
Deferred compensation and benefits
|
945
|
|
|
—
|
|
|
963
|
|
|
—
|
|
||||
Purchase accounting and deposit premium
|
329
|
|
|
—
|
|
|
321
|
|
|
—
|
|
||||
Net unrealized losses on AFS securities
|
172
|
|
|
—
|
|
|
4,288
|
|
|
—
|
|
||||
Allowance for OREO valuation
|
107
|
|
|
—
|
|
|
59
|
|
|
—
|
|
||||
Allowance for OTTI of investments
|
71
|
|
|
—
|
|
|
71
|
|
|
—
|
|
||||
Depreciation
|
—
|
|
|
1,910
|
|
|
—
|
|
|
1,765
|
|
||||
Deferred loan origination fees
|
—
|
|
|
1,581
|
|
|
—
|
|
|
1,390
|
|
||||
Prepaid expenses
|
—
|
|
|
620
|
|
|
—
|
|
|
766
|
|
||||
MSRs
|
—
|
|
|
172
|
|
|
—
|
|
|
254
|
|
||||
Other
|
1,313
|
|
|
—
|
|
|
695
|
|
|
—
|
|
||||
|
$
|
18,717
|
|
|
$
|
4,283
|
|
|
$
|
20,222
|
|
|
$
|
4,175
|
|
|
2014
|
|
2013
|
|
2012
|
||||||
Net income
|
$
|
24,570
|
|
|
$
|
22,783
|
|
|
$
|
23,428
|
|
Dividends and undistributed earnings allocated to participating securities
(1)
|
(75
|
)
|
|
(64
|
)
|
|
(60
|
)
|
|||
Net income available to common shareholders
|
$
|
24,495
|
|
|
$
|
22,719
|
|
|
$
|
23,368
|
|
Weighted-average common shares outstanding for basic EPS
|
7,450,980
|
|
|
7,634,455
|
|
|
7,646,861
|
|
|||
Dilutive effect of stock-based awards
( 2)
|
19,613
|
|
|
18,815
|
|
|
14,412
|
|
|||
Weighted-average common and potential common shares for diluted EPS
|
7,470,593
|
|
|
7,653,270
|
|
|
7,661,273
|
|
|||
Earnings per common share:
|
|
|
|
|
|
|
|
|
|||
Basic EPS
|
$
|
3.29
|
|
|
$
|
2.98
|
|
|
$
|
3.06
|
|
Diluted EPS
|
3.28
|
|
|
2.97
|
|
|
3.05
|
|
|||
Awards excluded from the calculation of diluted EPS
(3)
:
|
|
|
|
|
|
||||||
Stock options
|
36,250
|
|
|
15,250
|
|
|
49,500
|
|
|
SERP
|
|
Other Postretirement
Benefits
|
||||||||||||
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||
Benefit obligations:
|
|
|
|
|
|
|
|
|
|
|
|||||
Beginning of year
|
$
|
9,927
|
|
|
$
|
10,346
|
|
|
$
|
3,094
|
|
|
$
|
3,536
|
|
Service cost
|
270
|
|
|
326
|
|
|
45
|
|
|
42
|
|
||||
Interest cost
|
456
|
|
|
377
|
|
|
132
|
|
|
173
|
|
||||
Actuarial (gain) loss
|
777
|
|
|
(579
|
)
|
|
(134
|
)
|
|
(538
|
)
|
||||
Benefits paid
|
(596
|
)
|
|
(543
|
)
|
|
(140
|
)
|
|
(119
|
)
|
||||
End of year
|
10,834
|
|
|
9,927
|
|
|
2,997
|
|
|
3,094
|
|
||||
Fair value of plan assets:
|
|
|
|
|
|
|
|
||||||||
Beginning of year
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Employer contributions
|
596
|
|
|
543
|
|
|
140
|
|
|
119
|
|
||||
Benefits paid
|
(596
|
)
|
|
(543
|
)
|
|
(140
|
)
|
|
(119
|
)
|
||||
End of year
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Funded status at end of year, included in other liabilities
|
$
|
10,834
|
|
|
$
|
9,927
|
|
|
$
|
2,997
|
|
|
$
|
3,094
|
|
Amounts recognized in AOCI, net of tax:
|
|
|
|
|
|
|
|
||||||||
Net actuarial loss
|
$
|
1,953
|
|
|
$
|
1,539
|
|
|
$
|
378
|
|
|
$
|
458
|
|
Prior service cost (credit)
|
17
|
|
|
29
|
|
|
(185
|
)
|
|
(185
|
)
|
||||
Total
|
$
|
1,970
|
|
|
$
|
1,568
|
|
|
$
|
193
|
|
|
$
|
273
|
|
|
SERP
|
|
Other Postretirement
Benefits
|
||||||||||||||||||||
|
2014
|
|
2013
|
|
2012
|
|
2014
|
|
2013
|
|
2012
|
||||||||||||
Net period benefit cost:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Service cost
|
$
|
270
|
|
|
$
|
326
|
|
|
$
|
269
|
|
|
$
|
45
|
|
|
$
|
42
|
|
|
$
|
70
|
|
Interest cost
|
456
|
|
|
377
|
|
|
408
|
|
|
132
|
|
|
173
|
|
|
148
|
|
||||||
Recognized net actuarial loss
|
140
|
|
|
224
|
|
|
114
|
|
|
10
|
|
|
48
|
|
|
31
|
|
||||||
Amortization of prior service cost (credit)
|
19
|
|
|
19
|
|
|
19
|
|
|
(22
|
)
|
|
(23
|
)
|
|
—
|
|
||||||
Net period benefit cost
|
885
|
|
|
946
|
|
|
810
|
|
|
165
|
|
|
240
|
|
|
249
|
|
||||||
Changes in funded status recognized in OCI, before taxes:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Net actuarial (gain) loss
|
777
|
|
|
(579
|
)
|
|
1,334
|
|
|
(134
|
)
|
|
(538
|
)
|
|
275
|
|
||||||
Reclassifications to net period benefit cost:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Amortization of net unrecognized actuarial loss
|
(140
|
)
|
|
(224
|
)
|
|
(114
|
)
|
|
(10
|
)
|
|
(48
|
)
|
|
(31
|
)
|
||||||
Amortization of prior service (cost) credit
|
(19
|
)
|
|
(19
|
)
|
|
(19
|
)
|
|
22
|
|
|
23
|
|
|
—
|
|
||||||
Total recognized in OCI, before taxes
|
618
|
|
|
(822
|
)
|
|
1,201
|
|
|
(122
|
)
|
|
(563
|
)
|
|
244
|
|
||||||
Total recognized in net period benefit cost and OCI, before taxes
|
$
|
1,503
|
|
|
$
|
124
|
|
|
$
|
2,011
|
|
|
$
|
43
|
|
|
$
|
(323
|
)
|
|
$
|
493
|
|
|
SERP
|
|
Other Postretirement
Benefits
|
||||||||||||||
|
2014
|
|
2013
|
|
2012
|
|
2014
|
|
2013
|
|
2012
|
||||||
Weighted-average assumptions as of end of year:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Discount rate for benefit obligation
|
4.00
|
%
|
|
4.75
|
%
|
|
3.75
|
%
|
|
4.00
|
%
|
|
5.02
|
%
|
|
4.05
|
%
|
Discount rate for net period benefit cost
|
4.75
|
%
|
|
3.75
|
%
|
|
4.75
|
%
|
|
5.02
|
%
|
|
4.05
|
%
|
|
4.75
|
%
|
Rate of compensation increase for benefit obligation
|
4.00
|
%
|
|
4.50
|
%
|
|
4.50
|
%
|
|
—
|
|
|
—
|
|
|
—
|
|
Rate of compensation increase for net periodic benefit cost
|
4.50
|
%
|
|
4.50
|
%
|
|
4.50
|
%
|
|
—
|
|
|
—
|
|
|
—
|
|
Health care cost trend rate assumed for future years
|
—
|
|
|
—
|
|
|
—
|
|
|
7.00
|
%
|
|
7.00
|
%
|
|
7.00
|
%
|
|
SERP
|
|
Other Postretirement Benefits
|
||||
2015
|
$
|
421
|
|
|
$
|
138
|
|
2016
|
489
|
|
|
135
|
|
||
2017
|
473
|
|
|
133
|
|
||
2018
|
473
|
|
|
128
|
|
||
2019
|
477
|
|
|
131
|
|
||
2020-2024
|
3,408
|
|
|
750
|
|
•
|
Dividend yield is based on the dividend rate of the Company’s stock at the date of grant.
|
•
|
Risk-free interest rate is based on the U.S. Treasury bond rate with a term equaling the expected life of the granted options.
|
•
|
Expected volatility is based on the historical volatility of the Company’s stock price calculated over the expected life of the option.
|
•
|
Expected life represents the period of time that granted options are expected to be outstanding based on historical trends.
|
|
December 31,
|
||||||||||
|
2014
|
|
2013
|
|
2012
|
||||||
Weighted-average dividend yield
|
2.90
|
%
|
|
2.40
|
%
|
|
2.20
|
%
|
|||
Weighted-average risk-free interest rate
|
1.65
|
%
|
|
1.60
|
%
|
|
0.79
|
%
|
|||
Weighted-average expected volatility
|
35.39
|
%
|
|
52.32
|
%
|
|
53.31
|
%
|
|||
Weighted-average expected life in years
|
5.30
|
|
|
5.30
|
|
|
5.30
|
|
|||
Weighted-average fair value of options granted
|
$
|
8.92
|
|
|
$
|
15.97
|
|
|
$
|
13.00
|
|
|
|
Number of Shares
|
|
Weighted-Average
Exercise Price
|
|
Weighted-Average
Remaining
Contractual Term
|
|
Aggregate Intrinsic Value
|
|||||
Options outstanding at January 1, 2014
|
|
111,950
|
|
|
$
|
33.36
|
|
|
|
|
|
||
Granted
|
|
4,500
|
|
|
35.22
|
|
|
|
|
|
|
||
Exercised
|
|
(19,000
|
)
|
|
32.58
|
|
|
|
|
|
|
||
Forfeited and expired
|
|
(3,200
|
)
|
|
38.32
|
|
|
|
|
|
|||
Options outstanding at December 31, 2014
|
|
94,250
|
|
|
$
|
33.44
|
|
|
4.5
|
|
$
|
664
|
|
Options exercisable at December 31, 2014
|
|
73,150
|
|
|
$
|
33.21
|
|
|
3.8
|
|
$
|
545
|
|
|
Awards
|
|
Weighted-Average
Grant Date
Fair Value
|
|||
Nonvested at January 1, 2014
|
34,950
|
|
|
$
|
11.23
|
|
Granted
|
4,500
|
|
|
8.92
|
|
|
Vested
|
(17,000
|
)
|
|
9.88
|
|
|
Forfeited
|
(1,350
|
)
|
|
12.05
|
|
|
Nonvested at December 31, 2014
|
21,100
|
|
|
$
|
11.77
|
|
|
For The Years Ended
December 31,
|
||||||||||
|
2014
|
|
2013
|
|
2012
|
||||||
Restricted stock units
|
$
|
40
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Restricted stock awards
|
214
|
|
|
149
|
|
|
163
|
|
|||
MSPP grants
|
67
|
|
|
73
|
|
|
65
|
|
|||
Total compensation expense
|
$
|
321
|
|
|
$
|
222
|
|
|
$
|
228
|
|
Related income tax benefit
|
$
|
112
|
|
|
$
|
78
|
|
|
$
|
80
|
|
Fair value of grants vested
|
$
|
332
|
|
|
$
|
229
|
|
|
$
|
121
|
|
|
Restricted Stock Units
|
|
Restricted Stock
|
|
MSPP
|
|||||||||||||||
|
Number of Units
|
|
Weighted-Average
Grant Date
Fair Value
|
|
Number of Shares
|
|
Weighted-Average
Grant Date
Fair Value
|
|
Number of Shares
|
|
Weighted-Average
Grant Date
Fair Value
|
|||||||||
Nonvested at January 1, 2014
|
—
|
|
|
$
|
—
|
|
|
10,480
|
|
|
$
|
34.53
|
|
|
14,220
|
|
|
$
|
11.14
|
|
Granted
|
1,055
|
|
|
37.50
|
|
|
7,176
|
|
|
39.06
|
|
|
5,055
|
|
|
12.35
|
|
|||
Vested
|
(1,055
|
)
|
|
37.50
|
|
|
(6,183
|
)
|
|
35.47
|
|
|
(6,923
|
)
|
|
10.55
|
|
|||
Forfeited
|
—
|
|
|
—
|
|
|
(516
|
)
|
|
34.57
|
|
|
(247
|
)
|
|
11.43
|
|
|||
Nonvested at December 31, 2014
|
—
|
|
|
$
|
—
|
|
|
10,957
|
|
|
$
|
36.96
|
|
|
12,105
|
|
|
$
|
11.97
|
|
|
For The Years Ended
December 31,
|
||||||||||
|
2014
|
|
2013
|
|
2012
|
||||||
Compensation expense
|
$
|
151
|
|
|
$
|
200
|
|
|
$
|
174
|
|
Related income tax benefit
|
$
|
53
|
|
|
$
|
70
|
|
|
$
|
61
|
|
Fair value of grants vested
|
$
|
—
|
|
|
$
|
497
|
|
|
$
|
609
|
|
|
Number of Shares
|
|
Weighted-Average
Grant Date
Fair Value
|
|||
Nonvested at January 1, 2014
|
44,792
|
|
|
$
|
35.78
|
|
Granted
|
20,613
|
|
|
41.18
|
|
|
Vested
|
—
|
|
|
—
|
|
|
Forfeited
|
(22,627
|
)
|
|
34.77
|
|
|
Nonvested at December 31, 2014
|
42,778
|
|
|
$
|
38.92
|
|
|
For The Years Ended
December 31,
|
||||||||||
|
2014
|
|
2013
|
|
2012
|
||||||
Debit and ATM-related costs
|
$
|
2,031
|
|
|
$
|
2,118
|
|
|
$
|
1,792
|
|
Donations and marketing
|
1,587
|
|
|
1,561
|
|
|
1,949
|
|
|||
Employee-related costs
(1)
|
1,287
|
|
|
1,217
|
|
|
1,113
|
|
|||
Postage, freight, and courier
|
1,236
|
|
|
1,284
|
|
|
1,012
|
|
|||
Office supplies and forms
|
736
|
|
|
997
|
|
|
1,067
|
|
|||
Other expenses
|
2,693
|
|
|
3,197
|
|
|
2,059
|
|
|||
Total
|
$
|
9,570
|
|
|
$
|
10,374
|
|
|
$
|
8,992
|
|
|
December 31,
|
||||||
|
2014
|
|
2013
|
||||
Lending-Related Instruments:
|
|
|
|
|
|
||
Loan origination commitments and unadvanced lines of credit:
|
|
|
|
|
|
||
Home equity
|
$
|
303,815
|
|
|
$
|
276,671
|
|
Commercial and commercial real estate
|
47,066
|
|
|
26,688
|
|
||
Residential
|
10,975
|
|
|
6,408
|
|
||
Letters of credit
|
3,103
|
|
|
1,789
|
|
||
Other commitments
|
1,305
|
|
|
437
|
|
||
Derivative Financial Instruments:
|
|
|
|
|
|||
Customer loan swaps
|
58,234
|
|
|
15,702
|
|
||
Interest rate swaps
|
43,000
|
|
|
43,000
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
|
||||||||
|
|
|
|
|
|
|
|
|
|
2014
|
|
2013
|
||||||
Notional
Amount
|
|
Trade
Date
|
|
Maturity Date
|
|
Variable Index
Received
|
|
Fixed Rate
Paid
|
|
Fair Value
(1)
|
|
Fair Value
(1)
|
||||||
$
|
10,000
|
|
|
3/18/2009
|
|
6/30/2021
|
|
3-Month USD LIBOR
|
|
5.09%
|
|
$
|
(1,092
|
)
|
|
(807
|
)
|
|
10,000
|
|
|
7/8/2009
|
|
6/30/2029
|
|
3-Month USD LIBOR
|
|
5.84%
|
|
(2,511
|
)
|
|
(1,121
|
)
|
|||
10,000
|
|
|
5/6/2010
|
|
6/30/2030
|
|
3-Month USD LIBOR
|
|
5.71%
|
|
(2,434
|
)
|
|
(944
|
)
|
|||
5,000
|
|
|
3/14/2011
|
|
3/30/2031
|
|
3-Month USD LIBOR
|
|
4.35%
|
|
(1,279
|
)
|
|
(493
|
)
|
|||
8,000
|
|
|
5/4/2011
|
|
7/7/2031
|
|
3-Month USD LIBOR
|
|
4.14%
|
|
(1,827
|
)
|
|
(547
|
)
|
|||
$
|
43,000
|
|
|
|
|
|
|
|
|
|
|
$
|
(9,143
|
)
|
|
$
|
(3,912
|
)
|
Level 1:
|
Valuation is based upon unadjusted quoted prices in active markets for identical assets and liabilities that the entity has the ability to access as of the measurement date.
|
Level 2:
|
Valuation is determined from quoted prices for similar assets or liabilities in active markets, from quoted prices for identical or similar instruments in markets that are not active or by model-based techniques in which all significant inputs are observable in the market.
|
Level 3:
|
Valuation is derived from model-based and other techniques in which at least one significant input is unobservable and which may be based on the Company’s own estimates about the assumptions that market participants would use to value the asset or liability.
|
|
Fair Value
|
|
Readily Available Market Prices
(Level 1)
|
|
Observable Market Data
(Level 2)
|
|
Company Determined Fair Value
(Level 3)
|
||||||||
December 31, 2014:
|
|
|
|
|
|
|
|
|
|
|
|||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
|
|||||
AFS securities:
|
|
|
|
|
|
|
|
|
|
|
|||||
Obligations of U.S. government-sponsored enterprises
|
$
|
5,027
|
|
|
$
|
—
|
|
|
$
|
5,027
|
|
|
$
|
—
|
|
Obligations of states and political subdivisions
|
26,777
|
|
|
—
|
|
|
26,777
|
|
|
—
|
|
||||
Mortgage-backed securities issued or guaranteed by U.S. government-sponsored enterprises
|
381,308
|
|
|
—
|
|
|
381,308
|
|
|
—
|
|
||||
Collateralized mortgage obligations issued or guaranteed by U.S. government-sponsored enterprises
|
343,897
|
|
|
—
|
|
|
343,897
|
|
|
—
|
|
||||
Private issue collateralized mortgage obligations
|
6,054
|
|
|
—
|
|
|
6,054
|
|
|
—
|
|
||||
Trading account assets
|
2,457
|
|
|
2,457
|
|
|
—
|
|
|
—
|
|
||||
Customer loan swaps
|
1,140
|
|
|
—
|
|
|
1,140
|
|
|
—
|
|
||||
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
|
|||||
Interest rate swap agreements
|
9,143
|
|
|
—
|
|
|
9,143
|
|
|
—
|
|
||||
Customer loan swaps
|
1,140
|
|
|
—
|
|
|
1,140
|
|
|
—
|
|
||||
December 31, 2013:
|
|
|
|
|
|
|
|
|
|
|
|||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
|
|||||
AFS securities:
|
|
|
|
|
|
|
|
|
|
|
|||||
Obligations of states and political subdivisions
|
$
|
31,207
|
|
|
$
|
—
|
|
|
$
|
31,207
|
|
|
$
|
—
|
|
Mortgage-backed securities issued or guaranteed by U.S. government-sponsored enterprises
|
395,903
|
|
|
—
|
|
|
395,903
|
|
|
—
|
|
||||
Collateralized mortgage obligations issued or guaranteed by U.S. government-sponsored enterprises
|
374,435
|
|
|
—
|
|
|
374,435
|
|
|
—
|
|
||||
Private issue collateralized mortgage obligations
|
6,932
|
|
|
—
|
|
|
6,932
|
|
|
—
|
|
||||
Trading account assets
|
2,488
|
|
|
2,488
|
|
|
—
|
|
|
—
|
|
||||
Customer loan swaps
|
114
|
|
|
—
|
|
|
114
|
|
|
—
|
|
||||
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
|
|||||
Interest rate swap agreements
|
3,912
|
|
|
—
|
|
|
3,912
|
|
|
—
|
|
||||
Customer loan swaps
|
114
|
|
|
—
|
|
|
114
|
|
|
—
|
|
|
Fair Value
|
|
Readily Available Market Prices
(Level 1)
|
|
Observable Market Data
(Level 2)
|
|
Company Determined Fair Value
(Level 3)
|
||||||||
December 31, 2014:
|
|
|
|
|
|
|
|
|
|
|
|||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
|
|||||
Collateral-dependent impaired loans
|
$
|
3,581
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
3,581
|
|
MSRs
(1)
|
173
|
|
|
—
|
|
|
173
|
|
|
—
|
|
||||
Non-financial assets:
|
|
|
|
|
|
|
|
||||||||
OREO
|
1,282
|
|
|
—
|
|
|
—
|
|
|
1,282
|
|
||||
December 31, 2013:
|
|
|
|
|
|
|
|
|
|
|
|||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
|
|||||
Collateral-dependent impaired loans
|
$
|
8,557
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
8,557
|
|
MSRs
(1)
|
404
|
|
|
—
|
|
|
404
|
|
|
—
|
|
||||
Non-financial assets:
|
|
|
|
|
|
|
|
||||||||
OREO
|
1,583
|
|
|
—
|
|
|
—
|
|
|
1,583
|
|
|
Fair Value
|
|
Valuation Methodology
|
|
Unobservable input
|
|
Discount Range (Weighted-Average)
|
|||
December 31, 2014:
|
|
|
|
|
|
|
|
|
||
Collateral-dependent impaired loans:
|
|
|
|
|
|
|
|
|
|
|
Partially charged-off
|
$
|
1,569
|
|
|
Market approach appraisal of collateral
|
|
Management adjustment
of appraisal
|
|
0 - 17%
|
(0%)
|
|
|
|
|
|
Estimated selling costs
|
|
10%
|
(10%)
|
||
Specifically reserved
|
2,012
|
|
|
Market approach appraisal of collateral
|
|
Management adjustment
of appraisal
|
|
0 - 50%
|
(22%)
|
|
|
|
|
|
|
Estimated selling costs
|
|
10%
|
(10%)
|
||
OREO
|
1,282
|
|
|
Market approach appraisal of collateral
|
|
Management adjustment
of appraisal
|
|
0 - 68%
|
(21%)
|
|
|
|
|
|
|
Estimated selling costs
|
|
6 - 10%
|
(9%)
|
||
December 31, 2013:
|
|
|
|
|
|
|
|
|
||
Collateral-dependent impaired loans:
|
|
|
|
|
|
|
|
|
|
|
Partially charged-off
|
$
|
1,874
|
|
|
Market approach appraisal of collateral
|
|
Management adjustment
of appraisal |
|
0 - 85%
|
(14%)
|
Specifically reserved
|
6,683
|
|
|
Market approach appraisal of collateral
|
|
Management adjustment
of appraisal |
|
7 - 90%
|
(22%)
|
|
OREO
|
1,583
|
|
|
Market approach appraisal of collateral
|
|
Management adjustment
of appraisal |
|
0 - 41%
|
(16%)
|
|
|
|
|
|
|
Estimated selling costs
|
|
6 - 10%
|
(10%)
|
|
Carrying Amount
|
|
Fair Value
|
|
Readily Available Market Prices
(Level 1)
|
|
Observable Market Prices
(Level 2)
|
|
Company Determined Market Prices
(Level 3)
|
||||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Cash and due from banks
|
$
|
60,813
|
|
|
$
|
60,813
|
|
|
$
|
60,813
|
|
|
$
|
—
|
|
|
$
|
—
|
|
AFS securities
|
763,063
|
|
|
763,063
|
|
|
—
|
|
|
763,063
|
|
|
—
|
|
|||||
HTM securities
|
20,179
|
|
|
20,425
|
|
|
—
|
|
|
20,425
|
|
|
—
|
|
|||||
FHLB and FRB stock
|
20,391
|
|
|
20,391
|
|
|
20,391
|
|
|
—
|
|
|
—
|
|
|||||
Trading account assets
|
2,457
|
|
|
2,457
|
|
|
2,457
|
|
|
—
|
|
|
—
|
|
|||||
Residential real estate loans
|
579,946
|
|
|
596,172
|
|
|
—
|
|
|
—
|
|
|
596,172
|
|
|||||
Commercial real estate loans
|
635,609
|
|
|
631,434
|
|
|
—
|
|
|
—
|
|
|
631,434
|
|
|||||
Commercial loans
|
249,823
|
|
|
244,713
|
|
|
—
|
|
|
—
|
|
|
244,713
|
|
|||||
Home equity loans
|
269,176
|
|
|
270,904
|
|
|
—
|
|
|
—
|
|
|
270,904
|
|
|||||
Consumer loans
|
16,940
|
|
|
17,007
|
|
|
—
|
|
|
—
|
|
|
17,007
|
|
|||||
MSRs
(1)
|
493
|
|
|
1,447
|
|
|
—
|
|
|
1,447
|
|
|
—
|
|
|||||
Interest receivable
|
6,017
|
|
|
6,017
|
|
|
—
|
|
|
6,017
|
|
|
—
|
|
|||||
Investment in CCTA and UBCT
|
1,331
|
|
|
1,331
|
|
|
—
|
|
|
—
|
|
|
1,331
|
|
|||||
Customer interest rate swap agreement
|
1,140
|
|
|
1,140
|
|
|
—
|
|
|
1,140
|
|
|
—
|
|
|||||
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Deposits
|
$
|
1,932,097
|
|
|
$
|
1,933,805
|
|
|
$
|
1,361,604
|
|
|
$
|
572,201
|
|
|
$
|
—
|
|
FHLB advances
|
56,039
|
|
|
57,986
|
|
|
—
|
|
|
57,986
|
|
|
—
|
|
|||||
Commercial repurchase agreements
|
30,097
|
|
|
31,395
|
|
|
—
|
|
|
31,395
|
|
|
—
|
|
|||||
Other borrowed funds
|
446,842
|
|
|
446,909
|
|
|
446,909
|
|
|
—
|
|
|
—
|
|
|||||
Junior subordinated debentures
|
44,024
|
|
|
44,024
|
|
|
—
|
|
|
44,024
|
|
|
—
|
|
|||||
Interest payable
|
537
|
|
|
537
|
|
|
537
|
|
|
—
|
|
|
—
|
|
|||||
Interest rate swap agreements
|
9,143
|
|
|
9,143
|
|
|
—
|
|
|
9,143
|
|
|
—
|
|
|||||
Customer interest rate swap agreement
|
1,140
|
|
|
1,140
|
|
|
—
|
|
|
1,140
|
|
|
—
|
|
|
Carrying Amount
|
|
Fair Value
|
|
Readily Available Market Prices
(Level 1)
|
|
Observable Market Prices
(Level 2)
|
|
Company Determined Market Prices
(Level 3)
|
||||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Cash and due from banks
|
$
|
51,355
|
|
|
$
|
51,355
|
|
|
$
|
51,355
|
|
|
$
|
—
|
|
|
$
|
—
|
|
AFS securities
|
808,477
|
|
|
808,477
|
|
|
—
|
|
|
808,477
|
|
|
—
|
|
|||||
FHLB and FRB stock
|
19,724
|
|
|
19,724
|
|
|
19,724
|
|
|
—
|
|
|
—
|
|
|||||
Trading account assets
|
2,488
|
|
|
2,488
|
|
|
2,488
|
|
|
—
|
|
|
—
|
|
|||||
Residential real estate loans
|
563,425
|
|
|
577,153
|
|
|
—
|
|
|
—
|
|
|
577,153
|
|
|||||
Commercial real estate loans
|
536,107
|
|
|
535,961
|
|
|
—
|
|
|
—
|
|
|
535,961
|
|
|||||
Commercial loans
|
172,105
|
|
|
171,432
|
|
|
—
|
|
|
—
|
|
|
171,432
|
|
|||||
Home equity loans
|
269,888
|
|
|
271,041
|
|
|
—
|
|
|
—
|
|
|
271,041
|
|
|||||
Consumer loans
|
17,287
|
|
|
17,662
|
|
|
—
|
|
|
—
|
|
|
17,662
|
|
|||||
MSRs
(1)
|
726
|
|
|
1,494
|
|
|
—
|
|
|
1,494
|
|
|
—
|
|
|||||
Interest receivable
|
5,808
|
|
|
5,808
|
|
|
—
|
|
|
5,808
|
|
|
—
|
|
|||||
Investment in CCTA and UBCT
|
1,331
|
|
|
1,331
|
|
|
—
|
|
|
—
|
|
|
1,331
|
|
|||||
Customer interest rate swap agreement
|
114
|
|
|
114
|
|
|
—
|
|
|
114
|
|
|
—
|
|
|||||
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Deposits
|
$
|
1,813,824
|
|
|
$
|
1,817,199
|
|
|
$
|
1,324,221
|
|
|
$
|
492,978
|
|
|
$
|
—
|
|
FHLB advances
|
56,112
|
|
|
59,118
|
|
|
—
|
|
|
59,118
|
|
|
—
|
|
|||||
Commercial repurchase agreements
|
30,142
|
|
|
32,038
|
|
|
—
|
|
|
32,038
|
|
|
—
|
|
|||||
Other borrowed funds
|
399,916
|
|
|
400,144
|
|
|
400,144
|
|
|
—
|
|
|
—
|
|
|||||
Junior subordinated debentures
|
43,922
|
|
|
43,922
|
|
|
—
|
|
|
43,922
|
|
|
—
|
|
|||||
Interest payable
|
567
|
|
|
567
|
|
|
567
|
|
|
—
|
|
|
—
|
|
|||||
Interest rate swap agreements
|
3,912
|
|
|
3,912
|
|
|
—
|
|
|
3,912
|
|
|
—
|
|
|||||
Customer interest rate swap agreement
|
114
|
|
|
114
|
|
|
—
|
|
|
114
|
|
|
—
|
|
|
Actual
Regulatory Capital
|
|
Minimum Regulatory
Capital Required
|
|
Minimum Regulatory
Provision To Be
"Well Capitalized"
|
|||||||||||||||
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|||||||||
December 31, 2014:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Total risk-based capital
|
$
|
244,351
|
|
|
13.85
|
%
|
|
$
|
141,120
|
|
|
8.00
|
%
|
|
$
|
176,400
|
|
|
10.00
|
%
|
Tier I capital
|
223,218
|
|
|
12.65
|
%
|
|
70,560
|
|
|
4.00
|
%
|
|
105,840
|
|
|
6.00
|
%
|
|||
Tier I leverage capital ratio
|
223,218
|
|
|
8.38
|
%
|
|
108,288
|
|
|
4.00
|
%
|
|
135,360
|
|
|
5.00
|
%
|
|||
December 31, 2013:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Total risk-based capital
|
$
|
228,375
|
|
|
14.80
|
%
|
|
$
|
123,421
|
|
|
8.00
|
%
|
|
$
|
154,276
|
|
|
10.00
|
%
|
Tier I capital
|
209,062
|
|
|
13.55
|
%
|
|
61,710
|
|
|
4.00
|
%
|
|
92,566
|
|
|
6.00
|
%
|
|||
Tier I leverage capital ratio
|
209,062
|
|
|
8.39
|
%
|
|
101,439
|
|
|
4.00
|
%
|
|
126,798
|
|
|
5.00
|
%
|
|
Actual
Regulatory Capital
|
|
Minimum Regulatory
Capital Required
|
|
Minimum Regulatory
Provision To Be
"Well Capitalized"
|
|||||||||||||||
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|||||||||
December 31, 2014:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Total risk-based capital
|
$
|
269,497
|
|
|
15.16
|
%
|
|
$
|
142,227
|
|
|
8.00
|
%
|
|
$
|
177,783
|
|
|
10.00
|
%
|
Tier I capital
|
248,363
|
|
|
13.97
|
%
|
|
71,113
|
|
|
4.00
|
%
|
|
106,670
|
|
|
6.00
|
%
|
|||
Tier I leverage capital ratio
|
248,363
|
|
|
9.26
|
%
|
|
109,201
|
|
|
4.00
|
%
|
|
136,501
|
|
|
5.00
|
%
|
|||
December 31, 2013:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Total risk-based capital
|
$
|
256,648
|
|
|
16.45
|
%
|
|
$
|
124,787
|
|
|
8.00
|
%
|
|
$
|
155,983
|
|
|
10.00
|
%
|
Tier I capital
|
237,124
|
|
|
15.20
|
%
|
|
62,393
|
|
|
4.00
|
%
|
|
93,590
|
|
|
6.00
|
%
|
|||
Tier I leverage capital ratio
|
237,124
|
|
|
9.43
|
%
|
|
102,551
|
|
|
4.00
|
%
|
|
128,188
|
|
|
5.00
|
%
|
|
December 31,
|
||||||
|
2014
|
|
2013
|
||||
ASSETS
|
|
|
|
|
|
||
Cash
|
$
|
23,259
|
|
|
$
|
21,788
|
|
Trading assets
|
2,457
|
|
|
2,488
|
|
||
Premises and equipment
|
—
|
|
|
4,797
|
|
||
Investment in subsidiaries:
|
|
|
|
|
|
||
Bank subsidiary
|
266,940
|
|
|
246,213
|
|
||
Other subsidiary
|
9,450
|
|
|
8,733
|
|
||
Amounts receivable from subsidiaries
|
25
|
|
|
2,062
|
|
||
Investments in CCTA and UBCT
|
1,331
|
|
|
1,331
|
|
||
Other assets
|
8,812
|
|
|
7,278
|
|
||
Total assets
|
$
|
312,274
|
|
|
$
|
294,690
|
|
LIABILITIES AND SHAREHOLDERS’ EQUITY
|
|
|
|
|
|
||
Amounts due to subsidiaries
|
$
|
—
|
|
|
$
|
5
|
|
Junior subordinated debentures
|
44,024
|
|
|
43,922
|
|
||
Other liabilities
|
23,141
|
|
|
19,667
|
|
||
Shareholders’ equity
|
245,109
|
|
|
231,096
|
|
||
Total liabilities and shareholders’ equity
|
$
|
312,274
|
|
|
$
|
294,690
|
|
|
For The Years Ended
December 31,
|
||||||||||
|
2014
|
|
2013
|
|
2012
|
||||||
Operating Income
|
|
|
|
|
|
|
|
||||
Dividend income from subsidiaries
|
$
|
12,800
|
|
|
$
|
13,500
|
|
|
$
|
13,400
|
|
Fees from subsidiaries
|
—
|
|
|
20,930
|
|
|
20,070
|
|
|||
Other income
|
104
|
|
|
270
|
|
|
170
|
|
|||
Total operating income
|
12,904
|
|
|
34,700
|
|
|
33,640
|
|
|||
Operating Expenses
|
|
|
|
|
|
|
|
|
|||
Interest on borrowings
|
2,532
|
|
|
2,532
|
|
|
2,546
|
|
|||
Fees to Bank
|
160
|
|
|
—
|
|
|
—
|
|
|||
Salaries and employee benefits
|
—
|
|
|
13,354
|
|
|
13,007
|
|
|||
Furniture, equipment and data processing
|
—
|
|
|
4,570
|
|
|
3,971
|
|
|||
Depreciation and amortization
|
—
|
|
|
1,197
|
|
|
1,196
|
|
|||
Stock-based compensation expense
|
—
|
|
|
596
|
|
|
538
|
|
|||
Net occupancy
|
—
|
|
|
523
|
|
|
492
|
|
|||
Other operating expenses
|
453
|
|
|
1,454
|
|
|
1,056
|
|
|||
Total operating expenses
|
3,145
|
|
|
24,226
|
|
|
22,806
|
|
|||
Income before equity in undistributed earnings of subsidiaries and income taxes
|
9,759
|
|
|
10,474
|
|
|
10,834
|
|
|||
Equity in undistributed earnings of subsidiaries
|
13,799
|
|
|
11,233
|
|
|
11,647
|
|
|||
Income before income taxes
|
23,558
|
|
|
21,707
|
|
|
22,481
|
|
|||
Income tax benefit
|
1,012
|
|
|
1,076
|
|
|
947
|
|
|||
Net Income
|
$
|
24,570
|
|
|
$
|
22,783
|
|
|
$
|
23,428
|
|
|
For The Years Ended
December 31,
|
||||||||||
|
2014
|
|
2013
|
|
2012
|
||||||
Operating Activities
|
|
|
|
|
|
|
|
|
|||
Net income
|
$
|
24,570
|
|
|
$
|
22,783
|
|
|
$
|
23,428
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
|
|
|
|||
Equity in undistributed earnings of subsidiaries
|
(13,799
|
)
|
|
(11,233
|
)
|
|
(11,647
|
)
|
|||
Depreciation and amortization
|
—
|
|
|
1,197
|
|
|
1,196
|
|
|||
Stock-based compensation expense
|
—
|
|
|
596
|
|
|
538
|
|
|||
Decrease (increase) in amount receivable from subsidiaries
|
2,037
|
|
|
498
|
|
|
(983
|
)
|
|||
Decrease (increase) in other assets
|
165
|
|
|
(845
|
)
|
|
(1,334
|
)
|
|||
(Decrease) increase in accrued expenses
|
(2,106
|
)
|
|
459
|
|
|
636
|
|
|||
Net cash provided by operating activities
|
10,867
|
|
|
13,455
|
|
|
11,834
|
|
|||
Investing Activities
|
|
|
|
|
|
|
|
|
|||
Proceeds from sale of assets
|
5,237
|
|
|
—
|
|
|
—
|
|
|||
Purchase of premises and equipment
|
—
|
|
|
(896
|
)
|
|
(1,009
|
)
|
|||
Net cash provided by (used by) investing activities
|
5,237
|
|
|
(896
|
)
|
|
(1,009
|
)
|
|||
Financing Activities
|
|
|
|
|
|
|
|
|
|||
Exercise of stock options and issuance of restricted stock, net of repurchase for tax withholdings and tax benefit
|
328
|
|
|
300
|
|
|
(212
|
)
|
|||
Capital contribution from subsidiaries
|
599
|
|
|
—
|
|
|
—
|
|
|||
Common stock repurchase
|
(7,475
|
)
|
|
(2,460
|
)
|
|
(2,097
|
)
|
|||
Cash dividends paid on common stock
|
(8,085
|
)
|
|
(8,121
|
)
|
|
(7,667
|
)
|
|||
Net cash used by financing activities
|
(14,633
|
)
|
|
(10,281
|
)
|
|
(9,976
|
)
|
|||
Net increase in cash
|
1,471
|
|
|
2,278
|
|
|
849
|
|
|||
Cash at beginning of year
|
21,788
|
|
|
19,510
|
|
|
18,661
|
|
|||
Cash at end of year
|
$
|
23,259
|
|
|
$
|
21,788
|
|
|
$
|
19,510
|
|
Supplemental information
|
|
|
|
|
|
||||||
Common stock repurchased not yet settled
|
$
|
—
|
|
|
$
|
320
|
|
|
$
|
—
|
|
|
|
2014
|
|
2013
|
||||||||||||||||||||||||||||||||||||
|
|
First
Quarter
|
|
Second
Quarter
|
|
Third
Quarter
|
|
Fourth
Quarter
|
|
Total
|
|
First
Quarter
|
|
Second
Quarter
|
|
Third
Quarter
|
|
Fourth
Quarter
|
|
Total
|
||||||||||||||||||||
Interest income
|
|
$
|
21,393
|
|
|
$
|
22,289
|
|
|
$
|
22,422
|
|
|
$
|
22,317
|
|
|
$
|
88,421
|
|
|
$
|
22,426
|
|
|
$
|
22,481
|
|
|
$
|
21,891
|
|
|
$
|
21,419
|
|
|
$
|
88,217
|
|
Interest expense
|
|
2,983
|
|
|
3,041
|
|
|
3,048
|
|
|
3,056
|
|
|
12,128
|
|
|
3,258
|
|
|
3,231
|
|
|
3,184
|
|
|
3,069
|
|
|
12,742
|
|
||||||||||
Net interest income
|
|
18,410
|
|
|
19,248
|
|
|
19,374
|
|
|
19,261
|
|
|
76,293
|
|
|
19,168
|
|
|
19,250
|
|
|
18,707
|
|
|
18,350
|
|
|
75,475
|
|
||||||||||
Provision for (release of) credit losses
|
|
493
|
|
|
643
|
|
|
539
|
|
|
545
|
|
|
2,220
|
|
|
674
|
|
|
695
|
|
|
665
|
|
|
(6
|
)
|
|
2,028
|
|
||||||||||
Non-interest income
|
|
5,685
|
|
|
6,504
|
|
|
5,949
|
|
|
6,196
|
|
|
24,334
|
|
|
6,336
|
|
|
6,376
|
|
|
6,475
|
|
|
8,614
|
|
|
27,801
|
|
||||||||||
Non-interest expense
|
|
15,125
|
|
|
15,792
|
|
|
15,179
|
|
|
16,301
|
|
|
62,397
|
|
|
16,500
|
|
|
15,648
|
|
|
15,199
|
|
|
18,986
|
|
|
66,333
|
|
||||||||||
Income before income taxes
|
|
8,477
|
|
|
9,317
|
|
|
9,605
|
|
|
8,611
|
|
|
36,010
|
|
|
8,330
|
|
|
9,283
|
|
|
9,318
|
|
|
7,984
|
|
|
34,915
|
|
||||||||||
Income tax expense
|
|
2,762
|
|
|
3,001
|
|
|
3,154
|
|
|
2,523
|
|
|
11,440
|
|
|
2,668
|
|
|
2,952
|
|
|
2,952
|
|
|
3,560
|
|
|
12,132
|
|
||||||||||
Net income
|
|
$
|
5,715
|
|
|
$
|
6,316
|
|
|
$
|
6,451
|
|
|
$
|
6,088
|
|
|
$
|
24,570
|
|
|
$
|
5,662
|
|
|
$
|
6,331
|
|
|
$
|
6,366
|
|
|
$
|
4,424
|
|
|
$
|
22,783
|
|
Per common share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Basic
|
|
$
|
0.76
|
|
|
$
|
0.85
|
|
|
$
|
0.87
|
|
|
$
|
0.82
|
|
|
$
|
3.29
|
|
|
$
|
0.74
|
|
|
$
|
0.83
|
|
|
$
|
0.83
|
|
|
$
|
0.58
|
|
|
$
|
2.98
|
|
Diluted
|
|
$
|
0.75
|
|
|
$
|
0.85
|
|
|
$
|
0.86
|
|
|
$
|
0.82
|
|
|
$
|
3.28
|
|
|
$
|
0.74
|
|
|
$
|
0.82
|
|
|
$
|
0.83
|
|
|
$
|
0.58
|
|
|
$
|
2.97
|
|
•
|
Gregory A. Dufour, President and Chief Executive Officer
|
•
|
Joanne T. Campbell, Executive Vice President, Risk Management
|
•
|
Peter F. Greene, Executive Vice President, Operations and Technology
|
•
|
Deborah A. Jordan, CPA, Executive Vice President, Chief Operating Officer and Chief Financial Officer
|
•
|
Timothy P. Nightingale, Executive Vice President, Senior Loan Officer
|
•
|
June B. Parent, Executive Vice President, Retail Banking
|
•
|
Continuation of the executive’s annual base salary and an amount equal to the executive's preceding three years average bonus, as severance pay, over a 24 month period (36 months for Mr. Dufour).
|
•
|
Continued medical group health plan coverage for the period the executive receives severance pay.
|
|
Number of Securities to Be Issued Upon Exercise of Outstanding Options, Warrants and Rights
(a)
|
|
Weighted Average Exercise Price of Outstanding Options, Warrants and Rights
(b)
|
|
Number of Securities Remaining Available for Future Issuance (Excluding Securities in Column (a))
(c)
|
|||||
Equity compensation plans approved by shareholders
|
172,288
|
|
|
$
|
19.98
|
|
|
805,579
|
|
(1)
|
Equity compensation plans not approved by shareholders
|
—
|
|
|
—
|
|
|
—
|
|
|
|
Total
|
172,288
|
|
|
$
|
19.98
|
|
|
805,579
|
|
|
|
|
|
Page
|
Exhibit
No.
|
|
Definition
|
2.1
|
|
Purchase and Assumption Agreement, dated April 23, 2012, by and between Bank of America, National Association and Camden National Bank (incorporated herein by reference to Exhibit 2.1 to the Company’s Form 8-K filed with the Commission on April 24, 2012).
|
3.1
|
|
Articles of Incorporation of Camden National Corporation, as amended (incorporated herein by reference to Exhibit 3.i.1 to the Company’s Form 10-K filed with the Commission on March 2, 2011).
|
3.2
|
|
Amended and Restated Bylaws of Camden National Corporation (incorporated herein by reference to Exhibit 3.2 to the Company's Form 10-K filed with the Commission on March 12, 2014).
|
10.1+
|
|
Camden National Corporation 2003 Stock Option and Incentive Plan (incorporated by reference to Exhibit 10.1 to the Company’s Form 10-Q filed with the Commission on August 8, 2008).
|
10.2+
|
|
Form of Incentive Stock Option Agreement under the Camden National Corporation 2003 Stock Option and Incentive Plan (incorporated herein by reference to Exhibit 10.4 to the Company’s Form 10-K filed with the Commission on March 2, 2011).
|
10.3+
|
|
Form of Restricted Stock Award Agreement under the Camden National Corporation 2003 Stock Option and Incentive Plan (incorporated herein by reference to Exhibit 10.5 to the Company’s Form 10-K filed with the Commission on March 2, 2011).
|
10.4+
|
|
Camden National Corporation Management Stock Purchase Plan under the Camden National Corporation 2003 Stock Option and Incentive Plan (incorporated herein by reference to Exhibit 10.3 to the Company’s Form 8-K filed with the Commission on May 1, 2008).
|
10.5+
|
|
Camden National Corporation 2012 Equity and Incentive Plan (incorporated herein by reference to Exhibit 10.1 to the Company’s Form 8-K filed with the Commission on May 8, 2012).
|
10.6+*
|
|
Amendment to Camden National Corporation 2012 Equity and Incentive Plan, dated as of March 9, 2015.
|
10.7+
|
|
Form of Incentive Stock Option Agreement under the Camden National Corporation 2012 Equity and Incentive Plan (incorporated herein by reference to Exhibit 10.6 to the Company's Form 10-K filed with the Commission on February 28, 2013).
|
10.8+
|
|
Form of Restricted Stock Award Agreement under the Camden National Corporation 2012 Equity and Incentive Plan (incorporated herein by reference to Exhibit 10.7 to the Company's Form 10-K filed with the Commission on February 28, 2013).
|
Exhibit
No.
|
|
Definition
|
10.9+
|
|
Camden National Corporation Management Stock Purchase Plan under the Camden National Corporation 2012 Equity and Incentive Plan (incorporated herein by reference to Exhibit 10.8 to the Company's Form 10-K filed with the Commission on February 28, 2013).
|
10.10+*
|
|
Camden National Corporation Amended and Restated Defined Contribution Retirement Plan.
|
10.11+*
|
|
Camden National Corporation Confidentiality, Non-Competition and Non-Solicitation Agreement.
|
10.12+*
|
|
Amendment to Camden National Corporation Defined Contribution Retirement Plan, dated as of March 9, 2015.
|
10.13+
|
|
Supplemental Executive Retirement Program (incorporated herein by reference to Exhibit 99.1 to the Company’s Form 8-K filed with the Commission on February 4, 2008).
|
10.14+
|
|
Union Trust Company’s Amended and Restated Deferred Compensation Agreement (incorporated herein by reference to Exhibit 10.1 to the Company’s Form 10-Q filed with the Commission on May 12, 2008).
|
10.15+
|
|
Camden National Corporation Executive Deferred Compensation Plan (incorporated herein by reference to Exhibit 10.9 to the Company’s Form 10-K filed with the Commission on March 17, 2008).
|
10.16+
|
|
Amendment to Executive Deferred Compensation Plan, dated as of February 26, 2013 (incorporated herein by reference to Exhibit 10.13 to the Company's Form 10-K filed with the Commission on February 28, 2013).
|
10.17+
|
|
Amendment and Restatement of Camden National Corporation Director Deferred Compensation Plan (incorporated herein by reference to Exhibit 10.4 to the Company’s Form 10-K filed with the Commission on March 9, 2007).
|
10.18+
|
|
2007 Amendment to the Camden National Corporation Director Deferred Compensation Plan (incorporated by reference to Exhibit 10.10 to the Company’s Form 10-K filed with the Commission on March 17, 2008).
|
10.19
|
|
Camden National Corporation Audit Committee Complaint Procedures (incorporated herein by reference to Exhibit 10.12 to the Company’s Form 10-K filed with the Commission on March 2, 2011).
|
10.20+
|
|
2010 Executive Incentive Compensation Program (incorporated herein by reference to Exhibit 10.19 to the Company’s Form 10-K filed with the Commission on March 12, 2010).
|
10.21+*
|
|
Form of Change in Control Agreement for chief executive officer and other executive officers.
|
10.22+
|
|
Amended and Restated Employment Agreement, dated as of April 29, 2008, by and between Camden National Corporation and Robert W. Daigle (incorporated herein by reference to Exhibit 10.1 to the Company’s Form 8-K filed with the Commission on May 1, 2008).
|
10.23+
|
|
Camden National Corporation 2011-2013 Long-Term Performance Share Plan (incorporated herein by reference to Exhibit 10.17 to the Company’s Form 8-K filed with the Commission on March 30, 2011).
|
10.24+
|
|
Camden National Corporation 2012-2014 Long-Term Performance Plan (incorporated herein by reference to Exhibit 10.17 to the Company’s Form 8-K filed with the Commission on March 27, 2012).
|
10.25+
|
|
Camden National Corporation 2013-2015 Amended and Restated Long-Term Performance Share Plan (incorporated herein by reference to Exhibit 10.23 to the Company's Form 8-K filed with the Commission on March 26, 2013).
|
10.26+
|
|
Camden National Corporation 2014-2016 Amended and Restated Long-Term Performance Share Plan (incorporated herein by reference to Exhibit 10.24 to the Company's Form 8-K filed with the Commission on March 25, 2014).
|
11.1
|
|
Statement regarding computation of per share earnings (incorporated herein by reference to Note 13 to the Notes to Consolidated Financial Statements in this report.)
|
14
|
|
Camden National Corporation Code of Business Conduct and Ethics (incorporated herein by reference to Exhibit 14 to the Company’s Form 10-K filed with the Commission on March 2, 2011).
|
21*
|
|
Subsidiaries of the Company.
|
23*
|
|
Consent of Berry Dunn McNeil & Parker, LLC.
|
Exhibit
No.
|
|
Definition
|
31.1*
|
|
Certification of President and Chief Executive Officer required by Section 302 of the Sarbanes- Oxley Act of 2002.
|
31.2*
|
|
Certification of Principal Financial and Accounting Officer required by Section 302 of the Sarbanes-Oxley Act of 2002.
|
32.1**
|
|
Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as required by Section 906 of the Sarbanes-Oxley Act of 2002.
|
32.2**
|
|
Certification of Principal Financial and Accounting Officer pursuant to 18 U.S.C. Section 1350, as required by Section 906 of the Sarbanes-Oxley Act of 2002.
|
101
|
|
The following materials from the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 formatted in XBRL (eXtensible Business Reporting Language): (i) the Consolidated Balance Sheets, (ii) the Consolidated Statements of Operations, (iii) the Consolidated Statements of Stockholders’ Equity, (iv) the Consolidated Statements of Comprehensive Income (v) the Consolidated Statements of Cash Flows, and (vi) related notes to these financial statements.
|
*
|
Filed herewith
|
**
|
Furnished herewith
|
+
|
Management contract or a compensatory plan or arrangement.
|
Date: March 10, 2015
|
|
CAMDEN NATIONAL CORPORATION
/s/ Gregory A. Dufour
Gregory A. Dufour
President and Chief Executive Officer
|
Name
|
|
Position
|
|
Date
|
/s/ Gregory A. Dufour
|
|
President, Director and Chief Executive Officer
|
|
March 10, 2015
|
Gregory A. Dufour
|
|
|
|
|
/s/ Deborah A. Jordan
|
|
Chief Operating Officer and Chief Financial Officer and Principal Financial and Accounting Officer
|
|
March 10, 2015
|
Deborah A. Jordan
|
|
|
|
|
/s/ Karen W. Stanley
|
|
Chairman and Director
|
|
March 10, 2015
|
Karen W. Stanley
|
|
|
|
|
/s/ Ann W. Bresnahan
|
|
Director
|
|
March 10, 2015
|
Ann W. Bresnahan
|
|
|
|
|
/s/ David C. Flanagan
|
|
Director
|
|
March 10, 2015
|
David C. Flanagan
|
|
|
|
|
/s/ Craig S. Gunderson
|
|
Director
|
|
March 10, 2015
|
Craig S. Gunderson
|
|
|
|
|
/s/ John W. Holmes
|
|
Director
|
|
March 10, 2015
|
John W. Holmes
|
|
|
|
|
/s/ S. Catherine Longley
|
|
Director
|
|
March 10, 2015
|
S. Catherine Longley
|
|
|
|
|
/s/ James H. Page
|
|
Director
|
|
March 10, 2015
|
James H. Page
|
|
|
|
|
/s/ John M. Rohman
|
|
Director
|
|
March 10, 2015
|
John M. Rohman
|
|
|
|
|
/s/ Robin A. Sawyer
|
|
Director
|
|
March 10, 2015
|
Robin A. Sawyer
|
|
|
|
|
/s/ Lawrence J. Sterrs
|
|
Director
|
|
March 10, 2015
|
Lawrence J. Sterrs
|
|
|
|
|
/s/ Berry Dunn McNeil & Parker, LLC
|
|
Berry Dunn McNeil & Parker, LLC
|
|
|
|
Portland, Maine
|
|
March 10, 2015
|
|
a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
Date: March 10, 2015
|
|
/s/ Deborah A. Jordan
|
|
|
Deborah A. Jordan
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Chief Operating Officer and Chief Financial Officer and Principal Financial & Accounting Officer
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Date: March 10, 2015
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/s/ Gregory A. Dufour
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Gregory A. Dufour
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President and Chief Executive Officer
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Date: March 10, 2015
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/s/ Deborah A. Jordan
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Deborah A. Jordan
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Chief Operating Officer and Chief Financial Officer and Principal Financial & Accounting Officer
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a)
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Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
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b)
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Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
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c)
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Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
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d)
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Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
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a)
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All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
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b)
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Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
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Date: March 10, 2015
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/s/ Gregory A. Dufour
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Gregory A. Dufour
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President and Chief Executive Officer
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