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Virginia
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82-0545425
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(State or other jurisdiction of
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(I.R.S. Employer
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incorporation or organization)
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Identification Number)
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Title of each class
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Name of each exchange on which registered
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Common Stock $0.835 par value
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The NASDAQ Stock Market LLC
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Securities registered pursuant to Section 12(g) of the Act:
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(Title of each class) None
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Large accelerated filer
¨
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Accelerated filer
x
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Non-accelerated filer
¨
(Do not check if a smaller reporting company)
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Smaller reporting company
¨
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Emerging growth company
¨
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ENTITY /
ACTIVITY
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PARENT
COMPANY /
SOLE MEMBER
|
|
YEAR
ORGANIZED
|
Access National Corporation
|
|
N/A
|
|
2002
|
MFC Capital Trust II
|
|
ANC
|
|
2003
|
Access National Bank
|
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ANC
|
|
1999
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Middleburg Investment Group
|
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ANC
|
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2005
|
Middleburg Trust Company
|
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MIG
|
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1994
|
Access Real Estate L.L.C. (“ARE”)
|
|
ANB
|
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2003
|
Access Capital Management Holding, L.L.C. (“ACM”)
|
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ANB
|
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2011
|
Capital Fiduciary Advisors, L.L.C. (“CFA”)
|
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ACM
|
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2011
|
Access Investment Services, L.L.C. (“AIS”)
|
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ACM
|
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2011
|
Access Insurance Group, L.L.C. (“AIG”)
|
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ACM
|
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2011
|
ACME Real Estate, L.L.C. (“ACME” or “ACME Real Estate”)
|
|
ANB
|
|
2007
|
BUSINESS BANKING SERVICES
Lending
|
|
BUSINESS BANKING SERVICES
Cash Management
|
|
PERSONAL BANKING
SERVICES
|
|
|
|
|
|
Accounts Receivable Lines of Credit
Accounts Receivable Collection Accounts
Growth Capital Term Loans
Business Acquisition Financing
Partner Buyout Funding
Debt Re-financing
Franchise Financing
Equipment Financing
Commercial Mortgages
Commercial Construction Loans
SBA Preferred Lender Loans
|
|
Online Banking
Checking Accounts
Money Market Accounts
Sweep Accounts
Zero Balance Accounts
Overnight Investments
Certificates of Deposit
Business Debit Cards
Lockbox Payment Processing
Payroll Services
Employer Sponsored Retirement Plans
|
|
Personal Checking Accounts
Savings / Money Market Accounts
Certificates of Deposit
Residential Mortgage Loans
Asset Secured Loans
Loans for Business Investment
Construction Loans
Lot & Land Loans
Investment Management
Financial Planning
Retirement Account Services
Qualified Plans
|
|
|
Loan Origination By State
Year Ended December 31, |
|||||||
|
|
2017
|
|
2016
|
|
2015
|
|||
COLORADO (production branch closed April 2013)
|
|
Not Reported
|
|
Not Reported
|
|
|
1.06
|
%
|
|
FLORIDA (production branch closed January 2016)
|
|
1.98
|
%
|
|
2.63
|
%
|
|
8.03
|
%
|
GEORGIA
|
|
16.65
|
%
|
|
13.44
|
%
|
|
11.61
|
%
|
INDIANA
|
|
9.16
|
%
|
|
17.39
|
%
|
|
22.56
|
%
|
MARYLAND
|
|
7.37
|
%
|
|
9.66
|
%
|
|
10.06
|
%
|
MINNESOTA (production branch opened December 2015 and closed June 2016)
|
|
Not Reported
|
|
|
3.10
|
%
|
|
0.42
|
%
|
OHIO (production branch opened in May 2017)
|
|
0.97
|
%
|
|
NA
|
|
NA
|
||
TENNESSEE
|
|
9.03
|
%
|
|
9.65
|
%
|
|
8.93
|
%
|
TEXAS (production branch closed January 2013)
|
|
Not Reported
|
|
Not Reported
|
|
|
0.72
|
%
|
|
VIRGINIA
|
|
34.97
|
%
|
|
25.75
|
%
|
|
23.83
|
%
|
|
|
80.13
|
%
|
|
81.62
|
%
|
|
87.22
|
%
|
Other States
|
|
19.87
|
%
|
|
18.38
|
%
|
|
12.78
|
%
|
|
|
100.00
|
%
|
|
100.00
|
%
|
|
100.00
|
%
|
•
|
Creation of a new agency, Consumer Financial Protection Bureau (“CFPB”), that has rulemaking authority for a wide range of consumer protection laws that would apply to all banks and have broad powers to supervise and enforce consumer protection laws.
|
•
|
Changes in standards for Federal preemption of state laws related to federally chartered institutions, such as the Bank, and their subsidiaries.
|
•
|
Permanent increase of deposit insurance coverage to $250 thousand and permission for depository institutions to pay interest on business checking accounts.
|
•
|
Changes in the assessment base for federal deposit insurance from the amount of insured deposits to consolidated assets less tangible capital, eliminates the ceiling on the size of the Deposit Insurance Fund (“DIF’), and increases the floor of the size of the DIF.
|
•
|
Prohibition on banks and their affiliates from engaging in proprietary trading and investing in and sponsoring certain unregistered investment companies (the “Volker Rule”).
|
•
|
Requires loan originators to retain 5 percent of any loan sold or securitized, unless it is a “qualified residential mortgage”, subject to certain exceptions.
|
•
|
If Access and Middleburg do not successfully integrate, the combined company may not realize the expected benefits from the merger.
|
•
|
Access may not be able to effectively integrate the operations of Middleburg Bank into Access National Bank.
|
|
|
2017
|
|
|
|
2016
|
|
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||||||||||||||||
|
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High
|
|
Low
|
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Dividends
|
|
High
|
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Low
|
|
Dividends
|
||||||||||||
First Quarter
|
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$
|
29.53
|
|
|
$
|
25.42
|
|
|
$
|
0.15
|
|
|
$
|
20.41
|
|
|
$
|
16.26
|
|
|
$
|
0.15
|
|
Second Quarter
|
|
30.00
|
|
|
25.28
|
|
|
0.15
|
|
|
21.24
|
|
|
18.11
|
|
|
0.15
|
|
||||||
Third Quarter
|
|
28.40
|
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|
24.42
|
|
|
0.15
|
|
|
23.97
|
|
|
18.75
|
|
|
0.15
|
|
||||||
Fourth Quarter
|
|
$
|
29.82
|
|
|
$
|
26.86
|
|
|
$
|
0.15
|
|
|
$
|
28.91
|
|
|
$
|
22.73
|
|
|
$
|
0.15
|
|
Issuer Purchases of Equity Securities
|
|||||||||||||
Period
|
|
(a) Total Number of Shares Purchased
|
|
(b) Average Price
Paid Per Share |
|
(c) Total Number of
Shares Purchased as Part of Publicly Announced Plan |
|
(d) Maximum Number
of Shares that may yet be Purchased Under the Plan |
|||||
October 1, 2017 - October 31, 2017
|
|
—
|
|
|
$
|
—
|
|
|
—
|
|
|
768,781
|
|
November 1, 2017 - November 30, 2017
|
|
—
|
|
|
—
|
|
|
—
|
|
|
768,781
|
|
|
December 1, 2017 - December 31, 2017
|
|
—
|
|
|
—
|
|
|
—
|
|
|
768,781
|
|
|
|
|
—
|
|
|
$
|
—
|
|
|
—
|
|
|
768,781
|
|
Access National Corporation
|
|
|
Period Ending
|
||||||||||||||||
Index
|
|
12/31/2012
|
|
|
12/31/2013
|
|
|
12/31/2014
|
|
|
12/31/2015
|
|
|
12/31/2016
|
|
|
12/31/2017
|
|
Access National Corporation
|
|
100.00
|
|
|
123.73
|
|
|
147.55
|
|
|
183.90
|
|
|
256.81
|
|
|
263.29
|
|
S&P 500
|
|
100.00
|
|
|
132.39
|
|
|
150.51
|
|
|
152.59
|
|
|
170.84
|
|
|
208.14
|
|
SNL Bank Index
|
|
100.00
|
|
|
137.30
|
|
|
153.48
|
|
|
156.10
|
|
|
197.23
|
|
|
232.91
|
|
|
|
Selected Financial Data
Year Ended December 31, |
||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
|
|
(In Thousands, Except for Share and Per Share Data)
|
||||||||||||||||||
Income Statement Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net interest income
|
|
$
|
84,372
|
|
|
$
|
43,711
|
|
|
$
|
39,547
|
|
|
$
|
35,228
|
|
|
$
|
32,164
|
|
Provision for loan losses
|
|
6,919
|
|
|
2,120
|
|
|
150.00
|
|
|
—
|
|
|
675
|
|
|||||
Noninterest income
|
|
32,092
|
|
|
31,803
|
|
|
26,065
|
|
|
19,300
|
|
|
28,150
|
|
|||||
Noninterest expense
|
|
81,068
|
|
|
47,790
|
|
|
41,866
|
|
|
33,018
|
|
|
39,198
|
|
|||||
Income taxes
|
|
11,977
|
|
|
9,200
|
|
|
8,177
|
|
|
7,585
|
|
|
7,234
|
|
|||||
Net Income
|
|
$
|
16,500
|
|
|
$
|
16,404
|
|
|
$
|
15,419
|
|
|
$
|
13,925
|
|
|
$
|
13,207
|
|
Per Share Data:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Earnings per share
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Basic
|
|
0.92
|
|
|
1.55
|
|
|
1.46
|
|
|
1.33
|
|
|
1.28
|
|
|||||
Diluted
|
|
0.92
|
|
|
1.54
|
|
|
1.46
|
|
|
1.33
|
|
|
1.27
|
|
|||||
Cash dividends paid
(1)
|
|
0.60
|
|
|
0.60
|
|
|
0.95
|
|
|
0.50
|
|
|
1.11
|
|
|||||
Book value at period end
|
|
20.53
|
|
|
11.33
|
|
|
10.35
|
|
|
9.45
|
|
|
8.79
|
|
|||||
Tangible book value at period end
(2)
|
|
11.52
|
|
|
11.16
|
|
|
10.17
|
|
|
9.30
|
|
|
8.79
|
|
|||||
Balance Sheet Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total assets
|
|
$
|
2,873,894
|
|
|
$
|
1,430,708
|
|
|
$
|
1,178,548
|
|
|
$
|
1,052,880
|
|
|
$
|
847,182
|
|
Loans held for sale
|
|
31,999
|
|
|
35,676
|
|
|
44,135
|
|
|
45,026
|
|
|
24,353
|
|
|||||
Loans held for investment
|
|
1,978,909
|
|
|
1,049,698
|
|
|
887,478
|
|
|
776,603
|
|
|
687,055
|
|
|||||
Total investment securities
|
|
423,167
|
|
|
203,290
|
|
|
174,449
|
|
|
139,389
|
|
|
92,829
|
|
|||||
Total deposits
|
|
2,234,148
|
|
|
1,054,327
|
|
|
913,744
|
|
|
755,443
|
|
|
572,972
|
|
|||||
Shareholders' equity
|
|
$
|
421,624
|
|
|
$
|
120,530
|
|
|
$
|
109,138
|
|
|
$
|
98,904
|
|
|
$
|
91,134
|
|
Average shares outstanding, basic
|
|
17,988,670
|
|
|
10,586,394
|
|
|
10,513,008
|
|
|
10,424,067
|
|
|
10,319,802
|
|
|||||
Average shares outstanding, diluted
|
|
18,076,304
|
|
|
10,677,561
|
|
|
10,581,871
|
|
|
10,466,841
|
|
|
10,403,155
|
|
|||||
Performance Ratios:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Return on average assets
|
|
0.67
|
%
|
|
1.27
|
%
|
|
1.39
|
%
|
|
1.45
|
%
|
|
1.55
|
%
|
|||||
Return on average equity
|
|
5.03
|
%
|
|
14.11
|
%
|
|
14.83
|
%
|
|
14.47
|
%
|
|
14.00
|
%
|
|||||
Dividend payout ratio
(3)
|
|
56.70
|
%
|
|
38.71
|
%
|
|
41.10
|
%
|
|
63.91
|
%
|
|
86.72
|
%
|
|||||
Equity to assets ratio
|
|
14.67
|
%
|
|
8.42
|
%
|
|
9.34
|
%
|
|
10.04
|
%
|
|
11.04
|
%
|
|||||
Tangible equity to tangible assets ratio
(2)
|
|
8.79
|
%
|
|
8.31
|
%
|
|
9.12
|
%
|
|
9.27
|
%
|
|
11.04
|
%
|
|||||
Net interest margin
(4)
|
|
3.81
|
%
|
|
3.52
|
%
|
|
3.68
|
%
|
|
3.80
|
%
|
|
3.85
|
%
|
|||||
Efficiency Ratios:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Access National Bank
|
|
55.72
|
%
|
|
49.59
|
%
|
|
50.41
|
%
|
|
48.96
|
%
|
|
49.50
|
%
|
|||||
Access National Mortgage Division
|
|
78.40
|
%
|
|
72.79
|
%
|
|
78.08
|
%
|
|
67.57
|
%
|
|
79.79
|
%
|
|||||
Access National Corporation
|
|
69.61
|
%
|
|
63.53
|
%
|
|
63.81
|
%
|
|
60.55
|
%
|
|
64.99
|
%
|
|||||
Asset Quality Ratios:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Allowance to period end loans
|
|
0.80
|
%
|
|
1.53
|
%
|
|
1.53
|
%
|
|
1.73
|
%
|
|
1.91
|
%
|
|||||
Allowance to non-performing loans
|
|
341.65
|
%
|
|
231.26
|
%
|
|
182.86
|
%
|
|
826.08
|
%
|
|
518.19
|
%
|
|||||
Net charge-offs to average loans
|
|
0.42
|
%
|
|
(0.03
|
)%
|
|
—
|
%
|
|
(0.04
|
)%
|
|
0.01
|
%
|
(1)
Cash dividends paid includes the $0.35 special dividend declared at December 31, 2014 and paid in January 2015.
|
||||||||||
(2) Non-GAAP; please refer to “Item 7 - Management’s Discussion and Analysis of Financial Condition and Results of Operations - Non-GAAP Measures.”
|
||||||||||
(3)
Adjusted for the special dividend payment of $0.35 declared in 2014 but paid in 2015.
|
||||||||||
(4)
Net interest income divided by total average earning assets.
|
|
|
Year Ended December 31,
|
||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
|
|
(In Thousands, Except for Share and Per Share Data)
|
||||||||||||||||||
Average Balance Sheet Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total assets
|
|
$
|
2,453,894
|
|
|
$
|
1,288,582
|
|
|
$
|
1,112,470
|
|
|
$
|
958,067
|
|
|
$
|
854,572
|
|
Investment securities
|
|
362,614
|
|
|
189,585
|
|
|
156,010
|
|
|
128,446
|
|
|
97,260
|
|
|||||
Loans held for sale
|
|
27,881
|
|
|
47,060
|
|
|
42,076
|
|
|
31,288
|
|
|
42,667
|
|
|||||
Loans held for investment
|
|
1,704,040
|
|
|
939,837
|
|
|
824,288
|
|
|
721,863
|
|
|
648,744
|
|
|||||
Allowance for loan losses
|
|
15,004
|
|
|
14,079
|
|
|
13,456
|
|
|
13,221
|
|
|
12,924
|
|
|||||
Total deposits
|
|
1,922,249
|
|
|
1,021,623
|
|
|
866,695
|
|
|
715,385
|
|
|
678,531
|
|
|||||
Junior subordinated debentures
|
|
2,692
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,135
|
|
|||||
Total shareholders' equity
|
|
327,738
|
|
|
116,296
|
|
|
103,948
|
|
|
96,227
|
|
|
94,352
|
|
|||||
Capital Ratios:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Tier 1 risk-based capital
|
|
11.46
|
%
|
|
10.25
|
%
|
|
11.14
|
%
|
|
11.16
|
%
|
|
12.05
|
%
|
|||||
Common equity tier 1 capital
|
|
11.46
|
%
|
|
10.25
|
%
|
|
11.14
|
%
|
|
Not Reported
|
|||||||||
Total risk-based capital
|
|
12.25
|
%
|
|
11.51
|
%
|
|
12.39
|
%
|
|
12.41
|
%
|
|
13.30
|
%
|
|||||
Leverage capital ratio
|
|
8.48
|
%
|
|
8.90
|
%
|
|
9.34
|
%
|
|
9.70
|
%
|
|
10.93
|
%
|
|||||
Common equity ratio
|
|
14.67
|
%
|
|
8.42
|
%
|
|
9.26
|
%
|
|
9.39
|
%
|
|
10.76
|
%
|
|||||
Tangible common equity ratio
(2)
|
|
8.79
|
%
|
|
8.31
|
%
|
|
9.12
|
%
|
|
9.25
|
%
|
|
10.76
|
%
|
|
|
Yield on Average Earning Assets and Rates on Average Interest-Bearing Liabilities
For the Year Ended |
|||||||||||||||||||||||||||||||
|
|
December 31, 2017
|
|
December 31, 2016
|
|
December 31, 2015
|
|||||||||||||||||||||||||||
|
|
Average
Balance |
|
Income /
Expense |
|
Yield /
Rate |
|
Average
Balance |
|
Income /
Expense |
|
Yield /
Rate |
|
Average
Balance |
|
Income /
Expense |
|
Yield /
Rate |
|||||||||||||||
|
|
(Dollars In Thousands)
|
|||||||||||||||||||||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Securities
|
|
$
|
375,533
|
|
|
$
|
9,709
|
|
|
2.59
|
%
|
|
$
|
188,569
|
|
|
$
|
4,039
|
|
|
2.14
|
%
|
|
$
|
156,204
|
|
|
$
|
3,482
|
|
|
2.23
|
%
|
Loans held for sale
|
|
27,881
|
|
|
1,143
|
|
|
4.10
|
%
|
|
47,060
|
|
|
1,767
|
|
|
3.75
|
%
|
|
42,076
|
|
|
1,650
|
|
|
3.92
|
%
|
||||||
Loans(1)
|
|
1,704,040
|
|
|
83,429
|
|
|
4.90
|
%
|
|
939,837
|
|
|
43,872
|
|
|
4.67
|
%
|
|
824,288
|
|
|
38,405
|
|
|
4.66
|
%
|
||||||
Interest-bearing balances and federal funds sold
|
|
104,565
|
|
|
1,199
|
|
|
1.15
|
%
|
|
67,457
|
|
|
337
|
|
|
0.50
|
%
|
|
52,716
|
|
|
129
|
|
|
0.24
|
%
|
||||||
Total interest earning assets
|
|
2,212,019
|
|
|
95,480
|
|
|
4.32
|
%
|
|
1,242,923
|
|
|
50,015
|
|
|
4.02
|
%
|
|
1,075,284
|
|
|
43,666
|
|
|
4.06
|
%
|
||||||
Noninterest earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Cash and due from banks
|
|
20,859
|
|
|
|
|
|
|
12,732
|
|
|
|
|
|
|
10,650
|
|
|
|
|
|
||||||||||||
Premises, land and equipment
|
|
22,683
|
|
|
|
|
|
|
6,834
|
|
|
|
|
|
|
6,882
|
|
|
|
|
|
||||||||||||
Other assets
|
|
213,337
|
|
|
|
|
|
|
40,172
|
|
|
|
|
|
|
33,110
|
|
|
|
|
|
||||||||||||
Less: allowance for loan losses
|
|
(15,004
|
)
|
|
|
|
|
|
(14,079
|
)
|
|
|
|
|
|
(13,456
|
)
|
|
|
|
|
||||||||||||
Total noninterest earning assets
|
|
241,875
|
|
|
|
|
|
|
45,659
|
|
|
|
|
|
|
37,186
|
|
|
|
|
|
||||||||||||
Total Assets
|
|
$
|
2,453,894
|
|
|
|
|
|
|
$
|
1,288,582
|
|
|
|
|
|
|
$
|
1,112,470
|
|
|
|
|
|
|||||||||
Liabilities and Shareholders' Equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest-bearing demand deposits
|
|
$
|
386,046
|
|
|
$
|
1,409
|
|
|
0.36
|
%
|
|
$
|
132,734
|
|
|
$
|
486
|
|
|
0.37
|
%
|
|
$
|
119,732
|
|
|
$
|
265
|
|
|
0.22
|
%
|
Money market deposit accounts
|
|
386,786
|
|
|
2,335
|
|
|
0.60
|
%
|
|
204,897
|
|
|
846
|
|
|
0.41
|
%
|
|
126,850
|
|
|
264
|
|
|
0.21
|
%
|
||||||
Savings accounts
|
|
153,769
|
|
|
714
|
|
|
0.46
|
%
|
|
37,950
|
|
|
196
|
|
|
0.52
|
%
|
|
13,606
|
|
|
66
|
|
|
0.49
|
%
|
||||||
Time deposits
|
|
400,660
|
|
|
4,816
|
|
|
1.20
|
%
|
|
286,690
|
|
|
3,622
|
|
|
1.26
|
%
|
|
302,924
|
|
|
3,053
|
|
|
1.01
|
%
|
||||||
Total interest-bearing deposits
|
|
1,327,261
|
|
|
9,274
|
|
|
0.70
|
%
|
|
662,271
|
|
|
5,150
|
|
|
0.78
|
%
|
|
563,112
|
|
|
3,648
|
|
|
0.65
|
%
|
||||||
Borrowings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
FHLB Advances
|
|
67,907
|
|
|
822
|
|
|
1.21
|
%
|
|
56,522
|
|
|
386
|
|
|
0.68
|
%
|
|
91,992
|
|
|
231
|
|
|
0.25
|
%
|
||||||
Securities sold under agreements to repurchase and federal funds purchased
|
|
48,378
|
|
|
68
|
|
|
0.14
|
%
|
|
16,270
|
|
|
16
|
|
|
0.10
|
%
|
|
22,017
|
|
|
21
|
|
|
0.10
|
%
|
||||||
Trust preferred debentures
|
|
2,692
|
|
|
221
|
|
|
8.21
|
%
|
|
—
|
|
|
—
|
|
|
—
|
%
|
|
—
|
|
|
—
|
|
|
—
|
%
|
||||||
FHLB Long-term borrowings
|
|
66,329
|
|
|
723
|
|
|
1.09
|
%
|
|
68,525
|
|
|
752
|
|
|
1.10
|
%
|
|
18,890
|
|
|
219
|
|
|
1.16
|
%
|
||||||
Total borrowings
|
|
185,306
|
|
|
1,834
|
|
|
0.99
|
%
|
|
141,317
|
|
|
1,154
|
|
|
0.82
|
%
|
|
132,899
|
|
|
471
|
|
|
0.35
|
%
|
||||||
Total interest-bearing deposits and borrowings
|
|
1,512,567
|
|
|
11,108
|
|
|
0.73
|
%
|
|
803,588
|
|
|
6,304
|
|
|
0.78
|
%
|
|
696,011
|
|
|
4,119
|
|
|
0.59
|
%
|
||||||
Noninterest-bearing liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Demand deposits
|
|
594,987
|
|
|
|
|
|
|
359,352
|
|
|
|
|
|
|
303,583
|
|
|
|
|
|
||||||||||||
Other liabilities
|
|
18,602
|
|
|
|
|
|
|
9,346
|
|
|
|
|
|
|
8,928
|
|
|
|
|
|
||||||||||||
Total liabilities
|
|
2,126,156
|
|
|
|
|
|
|
1,172,286
|
|
|
|
|
|
|
1,008,522
|
|
|
|
|
|
||||||||||||
Shareholders' Equity
|
|
327,738
|
|
|
|
|
|
|
116,296
|
|
|
|
|
|
|
103,948
|
|
|
|
|
|
||||||||||||
Total Liabilities and Shareholders' Equity
|
|
$
|
2,453,894
|
|
|
|
|
|
|
$
|
1,288,582
|
|
|
|
|
|
|
$
|
1,112,470
|
|
|
|
|
|
|||||||||
Interest Spread(2)
|
|
|
|
|
|
3.59
|
%
|
|
|
|
|
|
3.24
|
%
|
|
|
|
|
|
3.47
|
%
|
||||||||||||
Net Interest Margin(3)
|
|
|
|
$
|
84,372
|
|
|
3.81
|
%
|
|
|
|
$
|
43,711
|
|
|
3.52
|
%
|
|
|
|
$
|
39,547
|
|
|
3.68
|
%
|
|
|
Years Ended December 31,
|
||||||||||||||||||||||||||||||||||
|
|
2017 compared to 2016
|
|
2016 compared to 2015
|
|
2015 compared to 2014
|
||||||||||||||||||||||||||||||
|
|
Change Due To:
|
|
Change Due To:
|
|
Change Due To:
|
||||||||||||||||||||||||||||||
|
|
Increase /
(Decrease) |
|
Volume
|
|
Rate
|
|
Increase /
(Decrease) |
|
Volume
|
|
Rate
|
|
Increase /
(Decrease) |
|
Volume
|
|
Rate
|
||||||||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||||||||||||||
Interest Earning Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Investments
|
|
$
|
5,670
|
|
|
$
|
4,674
|
|
|
$
|
996
|
|
|
$
|
557
|
|
|
$
|
702
|
|
|
$
|
(145
|
)
|
|
$
|
785
|
|
|
$
|
580
|
|
|
$
|
205
|
|
Loans
|
|
38,933
|
|
|
36,160
|
|
|
2,773
|
|
|
5,584
|
|
|
5,555
|
|
|
29
|
|
|
4,353
|
|
|
5,250
|
|
|
(897
|
)
|
|||||||||
Interest-bearing deposits
|
|
862
|
|
|
254
|
|
|
608
|
|
|
208
|
|
|
43
|
|
|
165
|
|
|
27
|
|
|
22
|
|
|
5
|
|
|||||||||
Total increase (decrease) in interest income
|
|
45,465
|
|
|
41,088
|
|
|
4,377
|
|
|
6,349
|
|
|
6,300
|
|
|
49
|
|
|
5,165
|
|
|
5,852
|
|
|
(687
|
)
|
|||||||||
Interest-Bearing Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Interest-bearing demand deposits
|
|
923
|
|
|
937
|
|
|
(14
|
)
|
|
221
|
|
|
32
|
|
|
189
|
|
|
9
|
|
|
9
|
|
|
—
|
|
|||||||||
Money market deposit accounts
|
|
1,489
|
|
|
981
|
|
|
508
|
|
|
582
|
|
|
228
|
|
|
354
|
|
|
32
|
|
|
21
|
|
|
11
|
|
|||||||||
Savings accounts
|
|
518
|
|
|
543
|
|
|
(25
|
)
|
|
130
|
|
|
126
|
|
|
4
|
|
|
52
|
|
|
45
|
|
|
7
|
|
|||||||||
Time deposits
|
|
1,194
|
|
|
1,373
|
|
|
(179
|
)
|
|
569
|
|
|
(171
|
)
|
|
740
|
|
|
574
|
|
|
599
|
|
|
(25
|
)
|
|||||||||
Total interest-bearing deposits
|
|
4,124
|
|
|
3,834
|
|
|
290
|
|
|
1,502
|
|
|
215
|
|
|
1,287
|
|
|
667
|
|
|
674
|
|
|
(7
|
)
|
|||||||||
FHLB Advances
|
|
436
|
|
|
90
|
|
|
346
|
|
|
155
|
|
|
(117
|
)
|
|
272
|
|
|
(40
|
)
|
|
(60
|
)
|
|
20
|
|
|||||||||
Securities sold under agreements to repurchase and federal funds purchased
|
|
52
|
|
|
43
|
|
|
9
|
|
|
(5
|
)
|
|
(5
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||||
Long-term borrowings
|
|
(29
|
)
|
|
(22
|
)
|
|
(7
|
)
|
|
533
|
|
|
545
|
|
|
(12
|
)
|
|
219
|
|
|
219
|
|
|
—
|
|
|||||||||
Trust preferred
|
|
221
|
|
|
221
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||||
Total increase in interest expense
|
|
4,804
|
|
|
4,166
|
|
|
638
|
|
|
2,185
|
|
|
638
|
|
|
1,547
|
|
|
846
|
|
|
833
|
|
|
13
|
|
|||||||||
Increase (decrease) in net interest income
|
|
$
|
40,661
|
|
|
$
|
36,922
|
|
|
$
|
3,739
|
|
|
$
|
4,164
|
|
|
$
|
5,662
|
|
|
$
|
(1,498
|
)
|
|
$
|
4,319
|
|
|
$
|
5,019
|
|
|
$
|
(700
|
)
|
|
|
First
Quarter |
|
Second
Quarter |
|
Third
Quarter |
|
Fourth
Quarter |
|
Total
YTD |
||||||||||
|
|
(In Thousands, Except for Per Share Data)
|
||||||||||||||||||
2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total interest income
|
|
$
|
13,554
|
|
|
$
|
27,139
|
|
|
$
|
27,692
|
|
|
$
|
27,095
|
|
|
$
|
95,480
|
|
Total interest expense
|
|
1,864
|
|
|
2,964
|
|
|
3,098
|
|
|
3,182
|
|
|
11,108
|
|
|||||
Net interest income
|
|
11,690
|
|
|
24,175
|
|
|
24,594
|
|
|
23,913
|
|
|
84,372
|
|
|||||
Provision for loan losses
|
|
1,400
|
|
|
900
|
|
|
900
|
|
|
3,719
|
|
|
6,919
|
|
|||||
Net interest income after provision for loan losses
|
|
10,290
|
|
|
23,275
|
|
|
23,694
|
|
|
20,194
|
|
|
77,453
|
|
|||||
Total noninterest income
|
|
6,003
|
|
|
8,885
|
|
|
8,523
|
|
|
8,681
|
|
|
32,092
|
|
|||||
Total noninterest expense
|
|
12,195
|
|
|
26,226
|
|
|
22,793
|
|
|
19,854
|
|
|
81,068
|
|
|||||
Income tax expense
|
|
1,491
|
|
|
2,088
|
|
|
2,422
|
|
|
5,976
|
|
|
11,977
|
|
|||||
Net income
|
|
$
|
2,607
|
|
|
$
|
3,846
|
|
|
$
|
7,002
|
|
|
$
|
3,045
|
|
|
$
|
16,500
|
|
Earnings Per Share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Basic
|
|
$
|
0.24
|
|
|
$
|
0.19
|
|
|
$
|
0.34
|
|
|
$
|
0.15
|
|
|
$
|
0.92
|
|
Diluted
|
|
$
|
0.24
|
|
|
$
|
0.19
|
|
|
$
|
0.34
|
|
|
$
|
0.15
|
|
|
$
|
0.92
|
|
|
|
First
Quarter |
|
Second
Quarter |
|
Third
Quarter |
|
Fourth
Quarter |
|
Total
YTD |
||||||||||
|
|
(In Thousands, Except for Per Share Data)
|
||||||||||||||||||
2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total interest income
|
|
$
|
11,981
|
|
|
$
|
12,336
|
|
|
$
|
12,778
|
|
|
$
|
12,920
|
|
|
$
|
50,015
|
|
Total interest expense
|
|
1,431
|
|
|
1,575
|
|
|
1,635
|
|
|
1,663
|
|
|
6,304
|
|
|||||
Net interest income
|
|
10,550
|
|
|
10,761
|
|
|
11,143
|
|
|
11,257
|
|
|
43,711
|
|
|||||
Provision for loan losses
|
|
—
|
|
|
120
|
|
|
750
|
|
|
1,250
|
|
|
2,120
|
|
|||||
Net interest income after provision for loan losses
|
|
10,550
|
|
|
10,641
|
|
|
10,393
|
|
|
10,007
|
|
|
41,591
|
|
|||||
Total noninterest income
|
|
6,819
|
|
|
9,173
|
|
|
8,685
|
|
|
7,126
|
|
|
31,803
|
|
|||||
Total noninterest expense
|
|
11,129
|
|
|
12,303
|
|
|
12,169
|
|
|
12,189
|
|
|
47,790
|
|
|||||
Income tax expense
|
|
2,145
|
|
|
2,633
|
|
|
2,484
|
|
|
1,938
|
|
|
9,200
|
|
|||||
Net income
|
|
$
|
4,095
|
|
|
$
|
4,878
|
|
|
$
|
4,425
|
|
|
$
|
3,006
|
|
|
$
|
16,404
|
|
Earnings Per Share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Basic
|
|
$
|
0.39
|
|
|
$
|
0.46
|
|
|
$
|
0.42
|
|
|
$
|
0.28
|
|
|
$
|
1.55
|
|
Diluted
|
|
$
|
0.39
|
|
|
$
|
0.46
|
|
|
$
|
0.41
|
|
|
$
|
0.28
|
|
|
$
|
1.54
|
|
|
|
First
Quarter |
|
Second
Quarter |
|
Third
Quarter |
|
Fourth
Quarter |
|
Total
YTD |
||||||||||
|
|
(In Thousands, Except for Per Share Data)
|
||||||||||||||||||
2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total interest income
|
|
$
|
10,276
|
|
|
$
|
10,787
|
|
|
$
|
11,156
|
|
|
$
|
11,447
|
|
|
$
|
43,666
|
|
Total interest expense
|
|
834
|
|
|
980
|
|
|
1,059
|
|
|
1,246
|
|
|
4,119
|
|
|||||
Net interest income
|
|
9,442
|
|
|
9,807
|
|
|
10,097
|
|
|
10,201
|
|
|
39,547
|
|
|||||
Provision for loan losses
|
|
—
|
|
|
150
|
|
|
—
|
|
|
—
|
|
|
150
|
|
|||||
Net interest income after provision for loan losses
|
|
9,442
|
|
|
9,657
|
|
|
10,097
|
|
|
10,201
|
|
|
39,397
|
|
|||||
Total noninterest income
|
|
6,305
|
|
|
7,081
|
|
|
6,412
|
|
|
6,267
|
|
|
26,065
|
|
|||||
Total noninterest expense
|
|
10,246
|
|
|
10,654
|
|
|
10,479
|
|
|
10,487
|
|
|
41,866
|
|
|||||
Income tax expense
|
|
1,928
|
|
|
2,100
|
|
|
2,086
|
|
|
2,063
|
|
|
8,177
|
|
|||||
Net income
|
|
$
|
3,573
|
|
|
$
|
3,984
|
|
|
$
|
3,944
|
|
|
$
|
3,918
|
|
|
$
|
15,419
|
|
Earnings Per Share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Basic
|
|
$
|
0.34
|
|
|
$
|
0.38
|
|
|
$
|
0.37
|
|
|
$
|
0.37
|
|
|
$
|
1.46
|
|
Diluted
|
|
$
|
0.34
|
|
|
$
|
0.38
|
|
|
$
|
0.37
|
|
|
$
|
0.37
|
|
|
$
|
1.46
|
|
|
|
Maturity Schedule of Investment Securities
Year Ended December 31, 2017 |
|||||||||||||||||||||||||||||||||
|
|
Within
One Year |
|
After One Year
But Within Five Years |
|
After Five Years
But Within Ten Years |
|
After Ten Years
and Over |
|
Total
|
|||||||||||||||||||||||||
|
|
Amount
|
|
Yield
|
|
Amount
|
|
Yield
|
|
Amount
|
|
Yield
|
|
Amount
|
|
Yield
|
|
Amount
|
|
Yield
|
|||||||||||||||
|
|
(Dollars In Thousands)
|
|||||||||||||||||||||||||||||||||
Investment securities available-for-sale (1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
US Government Agency and Treasury
|
|
$
|
50
|
|
|
—
|
|
|
$
|
5,066
|
|
|
—
|
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
—
|
|
|
—
|
|
|
$
|
5,116
|
|
|
—
|
%
|
Mortgage backed
|
|
—
|
|
|
—
|
|
|
59,911
|
|
|
—
|
%
|
|
89,165
|
|
|
—
|
%
|
|
111,379
|
|
|
—
|
%
|
|
260,455
|
|
|
—
|
%
|
|||||
Corporate bonds
|
|
—
|
|
|
—
|
%
|
|
4,482
|
|
|
—
|
%
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,482
|
|
|
—
|
%
|
|||||
Asset backed securities
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,079
|
|
|
—
|
%
|
|
30,521
|
|
|
—
|
%
|
|
33,600
|
|
|
—
|
%
|
|||||
Certificates of deposit
|
|
—
|
|
|
—
|
|
|
1,981
|
|
|
—
|
%
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,981
|
|
|
—
|
%
|
|||||
Municipals
|
|
729
|
|
|
—
|
|
|
7,482
|
|
|
—
|
%
|
|
8,758
|
|
|
—
|
%
|
|
83,464
|
|
|
—
|
%
|
|
100,433
|
|
|
—
|
%
|
|||||
|
|
$
|
779
|
|
|
—
|
%
|
|
$
|
78,922
|
|
|
—
|
%
|
|
$
|
101,002
|
|
|
—
|
%
|
|
$
|
225,364
|
|
|
—
|
%
|
|
$
|
406,067
|
|
|
—
|
%
|
Investment securities Held-to-maturity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
US Government Agency and Treasury
|
|
$
|
5,000
|
|
|
—
|
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
—
|
|
|
—
|
|
|
$
|
—
|
|
|
—
|
|
|
$
|
5,000
|
|
|
—
|
%
|
Municipals
|
|
—
|
|
|
—
|
|
|
1,985
|
|
|
—
|
%
|
|
1,606
|
|
|
—
|
|
|
7,130
|
|
|
—
|
|
|
10,721
|
|
|
—
|
%
|
|||||
|
|
$
|
5,000
|
|
|
—
|
%
|
|
$
|
1,985
|
|
|
—
|
%
|
|
$
|
1,606
|
|
|
—
|
%
|
|
$
|
7,130
|
|
|
—
|
%
|
|
$
|
15,721
|
|
|
—
|
%
|
|
|
Composition of Loan Portfolio
Year Ended December 31, |
|||||||||||||||||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|||||||||||||||||||||||||
|
|
Amount
|
|
Percentage
of Total |
|
Amount
|
|
Percentage
of Total |
|
Amount
|
|
Percentage
of Total |
|
Amount
|
|
Percentage
of Total |
|
Amount
|
|
Percentage
of Total |
|||||||||||||||
|
|
(Dollars In Thousands)
|
|||||||||||||||||||||||||||||||||
Commercial real estate - owner occupied
|
|
$
|
467,082
|
|
|
23.60
|
%
|
|
$
|
250,440
|
|
|
23.87
|
%
|
|
$
|
219,877
|
|
|
24.77
|
%
|
|
$
|
199,442
|
|
|
25.68
|
%
|
|
$
|
196,804
|
|
|
28.65
|
%
|
Commercial real estate - non-owner occupied
|
|
436,083
|
|
|
22.04
|
%
|
|
184,688
|
|
|
17.59
|
%
|
|
147,580
|
|
|
16.63
|
%
|
|
125,442
|
|
|
16.15
|
%
|
|
90,676
|
|
|
13.20
|
%
|
|||||
Residential real estate
|
|
489,669
|
|
|
24.74
|
%
|
|
204,413
|
|
|
19.47
|
%
|
|
201,447
|
|
|
22.70
|
%
|
|
194,213
|
|
|
25.01
|
%
|
|
173,639
|
|
|
25.27
|
%
|
|||||
Commercial
|
|
463,652
|
|
|
23.43
|
%
|
|
311,486
|
|
|
29.67
|
%
|
|
242,527
|
|
|
27.33
|
%
|
|
210,278
|
|
|
27.08
|
%
|
|
182,220
|
|
|
26.52
|
%
|
|||||
Real estate construction
|
|
97,481
|
|
|
4.93
|
%
|
|
91,822
|
|
|
8.75
|
%
|
|
66,003
|
|
|
7.44
|
%
|
|
41,080
|
|
|
5.29
|
%
|
|
38,842
|
|
|
5.65
|
%
|
|||||
Consumer
|
|
24,942
|
|
|
1.26
|
%
|
|
6,849
|
|
|
0.65
|
%
|
|
10,044
|
|
|
1.13
|
%
|
|
6,148
|
|
|
0.79
|
%
|
|
4,874
|
|
|
0.71
|
%
|
|||||
Total loans
|
|
$
|
1,978,909
|
|
|
100.00
|
%
|
|
$
|
1,049,698
|
|
|
100.00
|
%
|
|
$
|
887,478
|
|
|
100.00
|
%
|
|
$
|
776,603
|
|
|
100.00
|
%
|
|
$
|
687,055
|
|
|
100.00
|
%
|
|
|
Loan Maturity Distribution
Year Ended December 31, 2017 |
||||||||||||||||||
|
|
Three Months or
Less |
|
Over Three Months
Through One Year |
|
Over One Year
Through Five Years |
|
Over
Five Years |
|
Total
|
||||||||||
|
|
(In Thousands)
|
||||||||||||||||||
Commercial real estate - owner occupied
|
|
$
|
9,163
|
|
|
$
|
26,152
|
|
|
$
|
118,328
|
|
|
$
|
313,439
|
|
|
$
|
467,082
|
|
Commercial real estate - non-owner occupied
|
|
23,370
|
|
|
12,423
|
|
|
150,750
|
|
|
249,540
|
|
|
436,083
|
|
|||||
Residential real estate
|
|
8,809
|
|
|
32,020
|
|
|
81,659
|
|
|
367,181
|
|
|
489,669
|
|
|||||
Commercial
|
|
41,667
|
|
|
126,269
|
|
|
130,360
|
|
|
165,356
|
|
|
463,652
|
|
|||||
Real estate construction
|
|
26,093
|
|
|
42,759
|
|
|
20,399
|
|
|
8,230
|
|
|
97,481
|
|
|||||
Consumer and other
|
|
4,494
|
|
|
3,398
|
|
|
12,295
|
|
|
4,755
|
|
|
24,942
|
|
|||||
Total
|
|
$
|
113,596
|
|
|
$
|
243,021
|
|
|
$
|
513,791
|
|
|
$
|
1,108,501
|
|
|
$
|
1,978,909
|
|
Loans with fixed interest rates
|
|
$
|
47,574
|
|
|
$
|
75,979
|
|
|
$
|
341,598
|
|
|
$
|
571,356
|
|
|
$
|
1,036,507
|
|
Loans with floating interest rates
|
|
66,022
|
|
|
167,042
|
|
|
172,193
|
|
|
537,145
|
|
|
942,402
|
|
|||||
Total
|
|
$
|
113,596
|
|
|
$
|
243,021
|
|
|
$
|
513,791
|
|
|
$
|
1,108,501
|
|
|
$
|
1,978,909
|
|
|
|
Allowance for Loan Losses
Year Ended December 31, |
||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
|
|
(In Thousands)
|
||||||||||||||||||
Balance, beginning of year
|
|
$
|
16,008
|
|
|
$
|
13,563
|
|
|
$
|
13,399
|
|
|
$
|
13,136
|
|
|
$
|
12,500
|
|
Provision for loan losses
|
|
6,919
|
|
|
2,120
|
|
|
150
|
|
|
—
|
|
|
675
|
|
|||||
Charge-offs:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Commercial real estate - owner occupied
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Commercial real estate - non-owner occupied
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Residential real estate
|
|
—
|
|
|
—
|
|
|
—
|
|
|
21
|
|
|
97
|
|
|||||
Commercial
|
|
7,457
|
|
|
—
|
|
|
185
|
|
|
22
|
|
|
444
|
|
|||||
Real estate construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Consumer
|
|
27
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Total charge-offs
|
|
7,484
|
|
|
—
|
|
|
185
|
|
|
43
|
|
|
541
|
|
|||||
Recoveries:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Commercial real estate - owner occupied
|
|
17
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Commercial real estate - non-owner occupied
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
199
|
|
|||||
Residential real estate
|
|
131
|
|
|
40
|
|
|
61
|
|
|
213
|
|
|
111
|
|
|||||
Commercial
|
|
209
|
|
|
285
|
|
|
102
|
|
|
93
|
|
|
179
|
|
|||||
Real estate construction
|
|
—
|
|
|
—
|
|
|
36
|
|
|
—
|
|
|
—
|
|
|||||
Consumer
|
|
5
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
13
|
|
|||||
Total recoveries
|
|
362
|
|
|
325
|
|
|
199
|
|
|
306
|
|
|
502
|
|
|||||
Net (charge-offs) recoveries
|
|
(7,122
|
)
|
|
325
|
|
|
14
|
|
|
263
|
|
|
(39
|
)
|
|||||
Balance, end of year
|
|
$
|
15,805
|
|
|
$
|
16,008
|
|
|
$
|
13,563
|
|
|
$
|
13,399
|
|
|
$
|
13,136
|
|
Ratio of net charge-offs during the period to average loans outstanding during the period
|
|
0.42
|
%
|
|
(0.03
|
)%
|
|
—
|
%
|
|
(0.04
|
)%
|
|
0.01
|
%
|
|
|
Allocation of the Allowance for Loan Losses
Year Ended December 31, |
|||||||||||||||||||||||||||||||||
|
|
2017
|
|
Percentage
of total |
|
2016
|
|
Percentage
of total |
|
2015
|
|
Percentage
of total |
|
2014
|
|
Percentage
of total |
|
2013
|
|
Percentage
of total |
|||||||||||||||
|
|
(Dollars In Thousands)
|
|||||||||||||||||||||||||||||||||
Commercial real estate - owner occupied
|
|
$
|
4,280
|
|
|
27.08
|
%
|
|
$
|
2,943
|
|
|
18.38
|
%
|
|
$
|
3,042
|
|
|
22.43
|
%
|
|
$
|
3,229
|
|
|
24.10
|
%
|
|
$
|
3,763
|
|
|
28.65
|
%
|
Commercial real estate - non-owner occupied
|
|
3,104
|
|
|
19.64
|
|
|
2,145
|
|
|
13.40
|
|
|
1,862
|
|
|
13.73
|
|
|
1,894
|
|
|
14.14
|
|
|
1,734
|
|
|
13.20
|
|
|||||
Residential real estate
|
|
2,181
|
|
|
13.80
|
|
|
2,510
|
|
|
15.68
|
|
|
2,862
|
|
|
21.10
|
|
|
3,308
|
|
|
24.69
|
|
|
3,320
|
|
|
25.27
|
|
|||||
Commercial
|
|
5,450
|
|
|
34.48
|
|
|
7,053
|
|
|
44.06
|
|
|
4,612
|
|
|
34.00
|
|
|
4,284
|
|
|
31.97
|
|
|
3,484
|
|
|
26.52
|
|
|||||
Real estate construction
|
|
706
|
|
|
4.47
|
|
|
1,277
|
|
|
7.98
|
|
|
1,056
|
|
|
7.79
|
|
|
596
|
|
|
4.45
|
|
|
743
|
|
|
5.66
|
|
|||||
Consumer
|
|
84
|
|
|
0.53
|
|
|
80
|
|
|
0.50
|
|
|
129
|
|
|
0.95
|
|
|
88
|
|
|
0.65
|
|
|
92
|
|
|
0.70
|
|
|||||
Total
|
|
$
|
15,805
|
|
|
100.00
|
%
|
|
$
|
16,008
|
|
|
100.00
|
%
|
|
$
|
13,563
|
|
|
100.00
|
%
|
|
$
|
13,399
|
|
|
100.00
|
%
|
|
$
|
13,136
|
|
|
100.00
|
%
|
|
|
Non-performing Assets and Accruing Loans Past Due 90 Days or More
Year Ended December 31, |
||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
|
|
(Dollars In Thousands)
|
||||||||||||||||||
Non-accrual loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Commercial real estate - owner occupied
|
|
$
|
1,066
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Commercial real estate - non-owner occupied
|
|
—
|
|
|
—
|
|
|
5,486
|
|
|
—
|
|
|
—
|
|
|||||
Residential real estate
|
|
—
|
|
|
431
|
|
|
163
|
|
|
129
|
|
|
871
|
|
|||||
Commercial
|
|
2,513
|
|
|
5,551
|
|
|
722
|
|
|
1,493
|
|
|
1,664
|
|
|||||
Real estate construction
|
|
865
|
|
|
940
|
|
|
1,046
|
|
|
—
|
|
|
—
|
|
|||||
Consumer
|
|
182
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Total non-accrual loans
|
|
4,626
|
|
|
6,922
|
|
|
7,417
|
|
|
1,622
|
|
|
2,535
|
|
|||||
Other real estate owned ("OREO")
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Total non-performing assets
|
|
$
|
4,626
|
|
|
$
|
6,922
|
|
|
$
|
7,417
|
|
|
$
|
1,622
|
|
|
$
|
2,535
|
|
Restructured loans included above in non-accrual loans
|
|
$
|
956
|
|
|
$
|
2,940
|
|
|
$
|
1,046
|
|
|
$
|
698
|
|
|
$
|
931
|
|
Ratio of non-performing assets to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total loans plus OREO
|
|
0.23
|
%
|
|
0.66
|
%
|
|
0.84
|
%
|
|
0.21
|
%
|
|
0.37
|
%
|
|||||
Total assets
|
|
0.16
|
%
|
|
0.48
|
%
|
|
0.63
|
%
|
|
0.15
|
%
|
|
0.30
|
%
|
|||||
Accruing past due loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
90 or more days past due
|
|
$
|
213
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
Average Deposits and Average Rates Paid
Year Ended December 31, |
|||||||||||||||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
|||||||||||||||||||||||||||
|
|
Average
Balance |
|
Income /
Expense |
|
Yield /
Rate |
|
Average
Balance |
|
Income /
Expense |
|
Yield /
Rate |
|
Average
Balance |
|
Income /
Expense |
|
Yield /
Rate |
|||||||||||||||
|
|
(Dollars In Thousands)
|
|||||||||||||||||||||||||||||||
Interest-bearing demand deposits
|
|
$
|
386,046
|
|
|
$
|
1,409
|
|
|
0.36
|
%
|
|
$
|
132,734
|
|
|
$
|
486
|
|
|
0.37
|
%
|
|
$
|
119,732
|
|
|
$
|
265
|
|
|
0.22
|
%
|
Money market deposit accounts
|
|
386,786
|
|
|
2,335
|
|
|
0.60
|
%
|
|
204,897
|
|
|
846
|
|
|
0.41
|
%
|
|
126,850
|
|
|
264
|
|
|
0.21
|
%
|
||||||
Savings accounts
|
|
153,769
|
|
|
714
|
|
|
0.46
|
%
|
|
37,950
|
|
|
196
|
|
|
0.52
|
%
|
|
13,606
|
|
|
66
|
|
|
0.49
|
%
|
||||||
Time deposits
|
|
400,660
|
|
|
4,816
|
|
|
1.20
|
%
|
|
286,690
|
|
|
3,622
|
|
|
1.26
|
%
|
|
302,924
|
|
|
3,053
|
|
|
1.01
|
%
|
||||||
Total interest-bearing deposits
|
|
$
|
1,327,261
|
|
|
$
|
9,274
|
|
|
0.70
|
%
|
|
$
|
662,271
|
|
|
$
|
5,150
|
|
|
0.78
|
%
|
|
$
|
563,112
|
|
|
$
|
3,648
|
|
|
0.65
|
%
|
Noninterest-bearing demand deposits
|
|
594,987
|
|
|
|
|
|
|
|
|
359,352
|
|
|
|
|
|
|
|
|
303,583
|
|
|
|
|
|
|
|
||||||
Total deposits
|
|
$
|
1,922,248
|
|
|
|
|
|
|
|
|
$
|
1,021,623
|
|
|
|
|
|
|
|
|
$
|
866,695
|
|
|
|
|
|
|
|
|
|
Certificate of Deposit Maturity Distribution
Year Ended December 31, 2017 |
||||||||||||||
|
|
Three months
or less |
|
Over three
through twelve months |
|
Over
twelve months |
|
Total
|
||||||||
|
|
(In Thousands)
|
||||||||||||||
Less than $250,000
|
|
$
|
46,049
|
|
|
$
|
73,875
|
|
|
$
|
82,445
|
|
|
$
|
202,369
|
|
Greater than or equal to $250,000
|
|
26,557
|
|
|
34,485
|
|
|
105,211
|
|
|
166,253
|
|
||||
|
|
$
|
72,606
|
|
|
$
|
108,360
|
|
|
$
|
187,656
|
|
|
$
|
368,622
|
|
|
|
Borrowed Funds Distribution
Year Ended December 31, |
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
|
|
(Dollars In Thousands)
|
||||||||||
Borrowings:
|
|
|
|
|
|
|
|
|
|
|||
At Period End
|
|
|
|
|
|
|
|
|
|
|||
FHLB short-term borrowings
|
|
$
|
94,941
|
|
|
$
|
129,000
|
|
|
$
|
70,000
|
|
Securities sold under agreements to repurchase
|
|
51,052
|
|
|
17,009
|
|
|
21,129
|
|
|||
FHLB long-term borrowings
|
|
40,000
|
|
|
60,000
|
|
|
55,000
|
|
|||
Federal funds purchased
|
|
—
|
|
|
40,000
|
|
|
—
|
|
|||
Trust preferred debenture
|
|
3,883
|
|
|
—
|
|
|
—
|
|
|||
Total at period end
|
|
$
|
189,876
|
|
|
$
|
246,009
|
|
|
$
|
146,129
|
|
|
|
Year Ended December 31,
|
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
|
|
(Dollars In Thousands)
|
||||||||||
Borrowings:
|
|
|
|
|
|
|
|
|
|
|||
Average Balances
|
|
|
|
|
|
|
|
|
|
|||
FHLB short-term borrowings
|
|
$
|
67,907
|
|
|
$
|
56,522
|
|
|
$
|
91,992
|
|
Securities sold under agreements to repurchase
|
|
45,134
|
|
|
16,038
|
|
|
21,853
|
|
|||
FHLB long-term borrowings
|
|
66,329
|
|
|
68,525
|
|
|
18,890
|
|
|||
Federal funds purchased
|
|
3,244
|
|
|
232
|
|
|
164
|
|
|||
Trust preferred debenture
|
|
2,692
|
|
|
—
|
|
|
—
|
|
|||
Total average balance
|
|
$
|
185,306
|
|
|
$
|
141,317
|
|
|
$
|
132,899
|
|
Average rate paid on all borrowed funds
|
|
0.99
|
%
|
|
0.82
|
%
|
|
0.35
|
%
|
|
|
Year Ended December 31,
|
||||||||||||||||||||
|
|
2017
|
|
2016
|
||||||||||||||||||
|
|
(Dollars In Thousands)
|
||||||||||||||||||||
Average rate paid on all borrowed funds
|
|
Average Balances
|
|
Expense
|
|
Yield
|
|
Average Balances
|
|
Expense
|
|
Yield
|
||||||||||
FHLB advances and other borrowings
|
|
$
|
134,236
|
|
|
$
|
1,545
|
|
|
1.15
|
%
|
|
$
|
125,047
|
|
|
$
|
1,138
|
|
|
0.91
|
%
|
Securities sold under agreements to repurchase
|
|
45,134
|
|
|
29
|
|
|
0.06
|
%
|
|
16,038
|
|
|
16
|
|
|
0.10
|
%
|
||||
Fed funds purchased
|
|
3,244
|
|
|
39
|
|
|
1.20
|
%
|
|
232
|
|
|
—
|
|
|
—
|
%
|
||||
Trust preferred debenture
|
|
2,692
|
|
|
221
|
|
|
8.21
|
%
|
|
—
|
|
|
—
|
|
|
—
|
%
|
||||
|
|
$
|
185,306
|
|
|
$
|
1,834
|
|
|
0.99
|
%
|
|
$
|
141,317
|
|
|
$
|
1,154
|
|
|
0.82
|
%
|
|
|
Year Ended December 31,
|
||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||||||||
|
|
Maximum Balance at
any month-end |
|
Maximum Balance at
any month-end |
|
Maximum Balance at
any month-end |
||||||||||||
|
|
(Dollars In Thousands)
|
||||||||||||||||
FHLB short term borrowings
|
|
$
|
140,000
|
|
|
November
|
|
$
|
129,000
|
|
|
December
|
|
$
|
160,000
|
|
|
January
|
Securities sold under agreements to repurchase
|
|
62,651
|
|
|
August
|
|
20,701
|
|
|
November
|
|
26,242
|
|
|
January
|
|||
FHLB long term borrowings
|
|
80,000
|
|
|
August
|
|
80,000
|
|
|
February
|
|
—
|
|
|
NA
|
|||
Fed funds purchased
|
|
—
|
|
|
NA
|
|
40,000
|
|
|
December
|
|
—
|
|
|
NA
|
|||
Trust preferred debenture
|
|
3,817
|
|
|
April
|
|
—
|
|
|
NA
|
|
—
|
|
|
NA
|
|
|
Risk Based Capital Analysis
Year Ended December 31, |
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
|
|
(Dollars In Thousands)
|
||||||||||
Tier 1 Capital:
|
|
|
|
|
|
|
|
|
|
|||
Common stock
|
|
$
|
17,146
|
|
|
$
|
8,881
|
|
|
$
|
8,805
|
|
Additional paid in capital
|
|
307,614
|
|
|
21,779
|
|
|
19,953
|
|
|||
Retained earnings
|
|
98,584
|
|
|
91,439
|
|
|
81,385
|
|
|||
Less: Disallowed goodwill and other disallowed intangible assets
|
|
(181,032
|
)
|
|
(1,432
|
)
|
|
(1,380
|
)
|
|||
Less: Disallowed servicing assets and loss on equity security
|
|
(57
|
)
|
|
(350
|
)
|
|
(280
|
)
|
|||
Total Tier 1 Capital
|
|
$
|
242,255
|
|
|
$
|
120,317
|
|
|
$
|
108,483
|
|
Allowance for loan losses
|
|
16,604
|
|
|
14,692
|
|
|
12,200
|
|
|||
Total Risk Based Capital
|
|
$
|
258,859
|
|
|
$
|
135,009
|
|
|
$
|
120,683
|
|
Risk weighted assets
|
|
$
|
2,099,090
|
|
|
$
|
1,173,330
|
|
|
$
|
973,908
|
|
Quarterly average assets
|
|
$
|
2,837,834
|
|
|
$
|
1,351,708
|
|
|
$
|
1,161,080
|
|
Risk-Based Capital Ratios:
|
|
|
|
|
|
|
|
|
|
|||
Common equity tier 1 capital ratio
|
|
11.54
|
%
|
|
10.25
|
%
|
|
11.14
|
%
|
|||
Tier 1 capital ratio
|
|
11.54
|
%
|
|
10.25
|
%
|
|
11.14
|
%
|
|||
Total capital ratio
|
|
12.33
|
%
|
|
11.51
|
%
|
|
12.39
|
%
|
|||
Leverage Capital Ratio:
|
|
|
|
|
|
|
|
|
|
|||
Tier 1 leverage ratio
|
|
8.54
|
%
|
|
8.90
|
%
|
|
9.34
|
%
|
|
|
December 31, 2017
|
||||||||||||||
|
|
Less Than
1 Year |
|
1 - 3
Years |
|
More Than
3 Years |
|
Total
|
||||||||
|
|
(In Thousands)
|
||||||||||||||
Certificates of deposit
|
|
$
|
165,711
|
|
|
$
|
156,339
|
|
|
$
|
46,572
|
|
|
$
|
368,622
|
|
FHLB Advances
|
|
95,000
|
|
|
40,000
|
|
|
—
|
|
|
135,000
|
|
||||
Securities sold under agreements to repurchase
|
|
51,052
|
|
|
—
|
|
|
—
|
|
|
51,052
|
|
||||
Leases
|
|
1,693
|
|
|
3,555
|
|
|
19,947
|
|
|
25,195
|
|
||||
Total
|
|
$
|
313,456
|
|
|
$
|
199,894
|
|
|
$
|
66,519
|
|
|
$
|
579,869
|
|
|
|
Reconciliation of Non-GAAP Financial Measures
|
||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Book value per common share
|
|
$
|
20.53
|
|
|
$
|
11.33
|
|
|
$
|
10.35
|
|
|
$
|
9.45
|
|
|
$
|
8.79
|
|
Effect of intangible assets
|
|
$
|
(9.01
|
)
|
|
$
|
(0.17
|
)
|
|
$
|
(0.18
|
)
|
|
$
|
(0.15
|
)
|
|
$
|
—
|
|
Tangible book value per common share
|
|
$
|
11.52
|
|
|
$
|
11.16
|
|
|
$
|
10.17
|
|
|
$
|
9.30
|
|
|
$
|
8.79
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Common equity
|
|
14.67
|
%
|
|
8.42
|
%
|
|
9.26
|
%
|
|
9.39
|
%
|
|
10.76
|
%
|
|||||
Effect of intangible assets
|
|
(5.88
|
)%
|
|
(0.11
|
)%
|
|
(0.14
|
)%
|
|
(0.14
|
)%
|
|
—
|
%
|
|||||
Tangible common equity ratio
|
|
8.79
|
%
|
|
8.31
|
%
|
|
9.12
|
%
|
|
9.25
|
%
|
|
10.76
|
%
|
/S/ BDO USA, LLP
|
|
|
|
Richmond, Virginia
|
|
April 4, 2018
|
|
/S/ BDO USA, LLP
|
|
|
|
Richmond, Virginia
|
|
April 4, 2018
|
|
|
|
December 31,
|
||||||
|
|
2017
|
|
2016
|
||||
Assets
|
|
|
|
|
|
|
||
|
|
|
|
|
||||
Cash and due from banks
|
|
$
|
29,855
|
|
|
$
|
9,186
|
|
Interest-bearing deposits in other banks and federal funds sold
|
|
92,458
|
|
|
81,873
|
|
||
Total cash and cash equivalents
|
|
122,313
|
|
|
91,059
|
|
||
|
|
|
|
|
||||
Securities available-for-sale, at fair value
|
|
407,446
|
|
|
194,090
|
|
||
Securities held-to-maturity, at amortized cost (fair value of $16,379 and $9,293)
|
|
15,721
|
|
|
9,200
|
|
||
Total investment securities
|
|
423,167
|
|
|
203,290
|
|
||
|
|
|
|
|
||||
Restricted stock
|
|
16,572
|
|
|
10,092
|
|
||
Loans held for sale
|
|
31,999
|
|
|
35,676
|
|
||
Loans, net of allowance for loan losses 2017 - $15,805; 2016 - $16,008
|
|
1,963,104
|
|
|
1,033,690
|
|
||
Premises, equipment and land, net
|
|
27,797
|
|
|
7,084
|
|
||
Goodwill and intangibles
|
|
185,161
|
|
|
1,833
|
|
||
Accrued interest receivable and other assets
|
|
103,781
|
|
|
47,984
|
|
||
Total assets
|
|
$
|
2,873,894
|
|
|
$
|
1,430,708
|
|
|
|
|
|
|
||||
Liabilities and Shareholders' Equity
|
|
|
|
|
|
|
||
|
|
|
|
|
||||
Liabilities
|
|
|
|
|
|
|
||
Deposits
|
|
|
|
|
|
|
||
Noninterest-bearing deposits
|
|
$
|
744,960
|
|
|
$
|
362,036
|
|
Savings and interest-bearing deposits
|
|
1,120,566
|
|
|
440,585
|
|
||
Time deposits
|
|
368,622
|
|
|
251,706
|
|
||
Total deposits
|
|
2,234,148
|
|
|
1,054,327
|
|
||
|
|
|
|
|
||||
Short-term borrowings
|
|
145,993
|
|
|
186,009
|
|
||
Long-term borrowings
|
|
40,000
|
|
|
60,000
|
|
||
Trust preferred debentures
|
|
3,883
|
|
|
—
|
|
||
Other liabilities and accrued expenses
|
|
28,246
|
|
|
9,842
|
|
||
Total liabilities
|
|
2,452,270
|
|
|
1,310,178
|
|
||
|
|
|
|
|
||||
Shareholders' Equity
|
|
|
|
|
|
|
||
Common stock, par value $0.835, authorized 60,000,000 shares, issued and outstanding, 2017- 20,534,163 and 2016 - 10,636,242
|
|
17,146
|
|
|
8,881
|
|
||
Additional paid-in capital
|
|
307,670
|
|
|
21,779
|
|
||
Retained earnings
|
|
98,584
|
|
|
91,439
|
|
||
Accumulated other comprehensive loss, net
|
|
(1,776
|
)
|
|
(1,569
|
)
|
||
Total shareholders' equity
|
|
421,624
|
|
|
120,530
|
|
||
Total liabilities and shareholders' equity
|
|
$
|
2,873,894
|
|
|
$
|
1,430,708
|
|
|
|
Year Ended December 31,
|
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
Interest and Dividend Income
|
|
|
|
|
|
|
|
|
|
|||
Loans
|
|
$
|
84,572
|
|
|
$
|
45,639
|
|
|
$
|
40,055
|
|
Interest-bearing deposits and federal funds sold
|
|
1,199
|
|
|
337
|
|
|
129
|
|
|||
Securities
|
|
9,709
|
|
|
4,039
|
|
|
3,482
|
|
|||
Total interest and dividend income
|
|
95,480
|
|
|
50,015
|
|
|
43,666
|
|
|||
|
|
|
|
|
|
|
||||||
Interest Expense
|
|
|
|
|
|
|
|
|
|
|||
Deposits
|
|
9,274
|
|
|
5,150
|
|
|
3,648
|
|
|||
Short-term borrowings
|
|
822
|
|
|
402
|
|
|
252
|
|
|||
Long-term borrowings
|
|
1,012
|
|
|
752
|
|
|
219
|
|
|||
Total interest expense
|
|
11,108
|
|
|
6,304
|
|
|
4,119
|
|
|||
|
|
|
|
|
|
|
||||||
Net interest income
|
|
84,372
|
|
|
43,711
|
|
|
39,547
|
|
|||
Provision for loan losses
|
|
6,919
|
|
|
2,120
|
|
|
150
|
|
|||
Net interest income after provision for loan losses
|
|
77,453
|
|
|
41,591
|
|
|
39,397
|
|
|||
|
|
|
|
|
|
|
||||||
Noninterest Income
|
|
|
|
|
|
|
|
|
|
|||
Service fees on deposit accounts
|
|
1,998
|
|
|
971
|
|
|
903
|
|
|||
Gain on sale of loans
|
|
20,080
|
|
|
25,164
|
|
|
19,633
|
|
|||
Other income
|
|
10,014
|
|
|
5,668
|
|
|
5,529
|
|
|||
Total noninterest income
|
|
32,092
|
|
|
31,803
|
|
|
26,065
|
|
|||
|
|
|
|
|
|
|
||||||
Noninterest Expense
|
|
|
|
|
|
|
|
|
|
|||
Compensation and employee benefits
|
|
43,915
|
|
|
31,778
|
|
|
26,966
|
|
|||
Occupancy
|
|
3,575
|
|
|
1,685
|
|
|
1,594
|
|
|||
Furniture and equipment
|
|
3,303
|
|
|
1,359
|
|
|
1,446
|
|
|||
Other
|
|
30,275
|
|
|
12,968
|
|
|
11,860
|
|
|||
Total noninterest expense
|
|
81,068
|
|
|
47,790
|
|
|
41,866
|
|
|||
|
|
|
|
|
|
|
||||||
Income before income taxes
|
|
28,477
|
|
|
25,604
|
|
|
23,596
|
|
|||
|
|
|
|
|
|
|
||||||
Provision for income taxes
|
|
11,977
|
|
|
9,200
|
|
|
8,177
|
|
|||
Net Income
|
|
$
|
16,500
|
|
|
$
|
16,404
|
|
|
$
|
15,419
|
|
|
|
|
|
|
|
|
||||||
Earnings per common share:
|
|
|
|
|
|
|
|
|
|
|||
Basic
|
|
$
|
0.92
|
|
|
$
|
1.55
|
|
|
$
|
1.46
|
|
Diluted
|
|
$
|
0.92
|
|
|
$
|
1.54
|
|
|
$
|
1.46
|
|
|
|
|
|
|
|
|
||||||
Average outstanding shares:
|
|
|
|
|
|
|
|
|
|
|||
Basic
|
|
17,988,670
|
|
|
10,586,394
|
|
|
10,513,008
|
|
|||
Diluted
|
|
18,076,304
|
|
|
10,677,561
|
|
|
10,581,871
|
|
|
|
Year Ended December 31,
|
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
Net income
|
|
$
|
16,500
|
|
|
$
|
16,404
|
|
|
$
|
15,419
|
|
|
|
|
|
|
|
|
||||||
Other comprehensive loss:
|
|
|
|
|
|
|
|
|
|
|||
Unrealized gains (losses) on securities
|
|
|
|
|
|
|
|
|
|
|||
Unrealized holding gains (losses) arising during period
|
|
(417
|
)
|
|
(816
|
)
|
|
(528
|
)
|
|||
Less: reclassification adjustment for gains included in net income
|
|
—
|
|
|
(52
|
)
|
|
(188
|
)
|
|||
Unrealized gains on interest rate swaps
|
|
64
|
|
|
—
|
|
|
—
|
|
|||
Tax effect
|
|
146
|
|
|
304
|
|
|
255
|
|
|||
Net of tax amount
|
|
(207
|
)
|
|
(564
|
)
|
|
(461
|
)
|
|||
|
|
|
|
|
|
|
||||||
Comprehensive income
|
|
$
|
16,293
|
|
|
$
|
15,840
|
|
|
$
|
14,958
|
|
|
|
Common
Stock |
|
Additional
Paid in Capital |
|
Retained
Earnings |
|
Accumulated
Other Compre- hensive Income (Loss) |
|
Total
|
||||||||||
Balance, December 31, 2014
|
|
$
|
8,742
|
|
|
$
|
18,538
|
|
|
$
|
72,168
|
|
|
$
|
(544
|
)
|
|
$
|
98,904
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Comprehensive income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net income
|
|
—
|
|
|
—
|
|
|
15,419
|
|
|
—
|
|
|
15,419
|
|
|||||
Other comprehensive loss
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(461
|
)
|
|
(461
|
)
|
|||||
Stock options exercised (29,975 shares)
|
|
26
|
|
|
354
|
|
|
—
|
|
|
—
|
|
|
380
|
|
|||||
Issuance of restricted common stock (7,500 shares)
|
|
6
|
|
|
122
|
|
|
—
|
|
|
—
|
|
|
128
|
|
|||||
Dividend reinvestment plan shares issued from reserve (37,707 shares)
|
|
31
|
|
|
607
|
|
|
—
|
|
|
—
|
|
|
638
|
|
|||||
Cash dividends ($0.58 per share)
|
|
—
|
|
|
—
|
|
|
(6,202
|
)
|
|
—
|
|
|
(6,202
|
)
|
|||||
Stock-based compensation expense recognized in earnings
|
|
—
|
|
|
332
|
|
|
—
|
|
|
—
|
|
|
332
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Balance, December 31, 2015
|
|
$
|
8,805
|
|
|
$
|
19,953
|
|
|
$
|
81,385
|
|
|
$
|
(1,005
|
)
|
|
$
|
109,138
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Comprehensive income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net income
|
|
—
|
|
|
—
|
|
|
16,404
|
|
|
—
|
|
|
16,404
|
|
|||||
Other comprehensive loss
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(564
|
)
|
|
(564
|
)
|
|||||
Stock options exercised (43,801 shares)
|
|
36
|
|
|
496
|
|
|
—
|
|
|
—
|
|
|
532
|
|
|||||
Issuance of restricted common stock (6,205 shares)
|
|
5
|
|
|
123
|
|
|
—
|
|
|
—
|
|
|
128
|
|
|||||
Dividend reinvestment plan shares issued from reserve (41,485 shares)
|
|
35
|
|
|
872
|
|
|
—
|
|
|
—
|
|
|
907
|
|
|||||
Cash dividends ($0.60 per share)
|
|
—
|
|
|
—
|
|
|
(6,350
|
)
|
|
—
|
|
|
(6,350
|
)
|
|||||
Stock-based compensation expense recognized in earnings
|
|
—
|
|
|
335
|
|
|
—
|
|
|
—
|
|
|
335
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Balance, December 31, 2016
|
|
$
|
8,881
|
|
|
$
|
21,779
|
|
|
$
|
91,439
|
|
|
$
|
(1,569
|
)
|
|
$
|
120,530
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Comprehensive income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net income
|
|
—
|
|
|
—
|
|
|
16,500
|
|
|
—
|
|
|
16,500
|
|
|||||
Other comprehensive loss
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(207
|
)
|
|
(207
|
)
|
|||||
Stock options exercised (155,769 shares)
|
|
130
|
|
|
2,144
|
|
|
—
|
|
|
—
|
|
|
2,274
|
|
|||||
Issuance of common stock for business combination (9,516,097 shares)
|
|
7,946
|
|
|
277,727
|
|
|
—
|
|
|
—
|
|
|
285,673
|
|
|||||
Issuance of restricted common stock (4,549 shares)
|
|
4
|
|
|
125
|
|
|
—
|
|
|
—
|
|
|
129
|
|
|||||
Dividend reinvestment plan shares issued from reserve (221,506 shares)
|
|
185
|
|
|
5,453
|
|
|
—
|
|
|
—
|
|
|
5,638
|
|
|||||
Cash dividends ($0.60 per share)
|
|
—
|
|
|
—
|
|
|
(9,355
|
)
|
|
—
|
|
|
(9,355
|
)
|
|||||
Stock-based compensation expense recognized in earnings
|
|
—
|
|
|
442
|
|
|
—
|
|
|
—
|
|
|
442
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Balance, December 31, 2017
|
|
$
|
17,146
|
|
|
$
|
307,670
|
|
|
$
|
98,584
|
|
|
$
|
(1,776
|
)
|
|
$
|
421,624
|
|
|
|
Years Ended December 31
|
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
Cash Flows from Operating Activities
|
|
|
|
|
|
|
|
|
|
|||
Net income
|
|
$
|
16,500
|
|
|
$
|
16,404
|
|
|
$
|
15,419
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
|
|
|
|
|||
Provision for loan losses
|
|
6,919
|
|
|
2,120
|
|
|
150
|
|
|||
Amortization of intangibles
|
|
2,720
|
|
|
—
|
|
|
—
|
|
|||
Accretion of unfavorable lease liability
|
|
(303
|
)
|
|
—
|
|
|
—
|
|
|||
Purchase accounting discount amortization
|
|
115
|
|
|
—
|
|
|
—
|
|
|||
Provision for off balance sheet losses
|
|
50
|
|
|
—
|
|
|
109
|
|
|||
Accretion of credit mark
|
|
(4,296
|
)
|
|
—
|
|
|
—
|
|
|||
Income from bank-owned life insurance
|
|
(1,201
|
)
|
|
(558
|
)
|
|
(460
|
)
|
|||
(Gain) loss on sale of securities
|
|
1
|
|
|
(109
|
)
|
|
89
|
|
|||
(Gain) loss on sale of other real estate owned
|
|
(109
|
)
|
|
35
|
|
|
—
|
|
|||
Deferred tax (benefit) expense
|
|
8,997
|
|
|
(698
|
)
|
|
(534
|
)
|
|||
Stock-based compensation
|
|
442
|
|
|
335
|
|
|
332
|
|
|||
Valuation (allowance) release on derivatives
|
|
402
|
|
|
(394
|
)
|
|
(383
|
)
|
|||
Net amortization on securities
|
|
2,860
|
|
|
2,051
|
|
|
1,077
|
|
|||
Depreciation and amortization fixed assets
|
|
1,462
|
|
|
515
|
|
|
507
|
|
|||
Changes in assets and liabilities:
|
|
|
|
|
|
|
|
|
|
|||
Decrease (increase) in valuation of loans held for sale carried at fair value
|
|
(98
|
)
|
|
669
|
|
|
240
|
|
|||
Originations of loans held for sale
|
|
(432,678
|
)
|
|
(537,076
|
)
|
|
(484,747
|
)
|
|||
Proceeds from sales of loans held for sale
|
|
436,453
|
|
|
544,866
|
|
|
485,398
|
|
|||
Increase in other assets
|
|
(9,223
|
)
|
|
(2,113
|
)
|
|
(1,470
|
)
|
|||
Increase in other liabilities
|
|
3,258
|
|
|
230
|
|
|
382
|
|
|||
Net cash provided by operating activities
|
|
32,271
|
|
|
26,277
|
|
|
16,109
|
|
|||
Cash Flows from Investing Activities
|
|
|
|
|
|
|
|
|
|
|||
Proceeds from maturities, calls and prepayments of securities available-for-sale
|
|
35,555
|
|
|
15,883
|
|
|
18,180
|
|
|||
Proceeds from sale of available-for-sale securities
|
|
183,065
|
|
|
13,200
|
|
|
31,151
|
|
|||
Purchases of securities available-for-sale
|
|
(201,365
|
)
|
|
(65,734
|
)
|
|
(86,264
|
)
|
|||
Proceeds from maturities, calls and prepayments of securities held-to-maturity
|
|
68
|
|
|
5,000
|
|
|
—
|
|
|||
Purchases of Federal Reserve and Federal Home Loan Bank Stock
|
|
(32,579
|
)
|
|
(9,761
|
)
|
|
(13,843
|
)
|
|||
Proceeds from redemption of Federal Reserve and Federal Home Loan Bank Stock
|
|
30,218
|
|
|
6,928
|
|
|
15,545
|
|
|||
Purchase of bank owned life insurance
|
|
—
|
|
|
(10,000
|
)
|
|
—
|
|
|||
Net increase in loans
|
|
(116,614
|
)
|
|
(161,895
|
)
|
|
(110,861
|
)
|
|||
Proceeds from the settlement of other real estate owned
|
|
4,222
|
|
|
463
|
|
|
—
|
|
|||
Purchases of premises and equipment
|
|
(703
|
)
|
|
(871
|
)
|
|
(232
|
)
|
|||
Cash acquired in business combination
|
|
90,940
|
|
|
—
|
|
|
—
|
|
|||
Net cash used in investing activities
|
|
(7,193
|
)
|
|
(206,787
|
)
|
|
(146,324
|
)
|
|||
Cash Flows from Financing Activities
|
|
|
|
|
|
|
|
|
|
Net increase in demand, interest-bearing demand and savings deposits
|
|
211,873
|
|
|
201,113
|
|
|
114,860
|
|
|||
Net (decrease) increase in time deposits
|
|
(88,678
|
)
|
|
(60,530
|
)
|
|
43,441
|
|
|||
Net increase (decrease) in securities sold under agreement to repurchase
|
|
(31,990
|
)
|
|
35,880
|
|
|
(4,506
|
)
|
|||
Net increase (decrease) in other short-term borrowings
|
|
(34,059
|
)
|
|
59,000
|
|
|
(90,000
|
)
|
|||
Net (decrease) increase in long-term borrowings
|
|
(49,941
|
)
|
|
5,000
|
|
|
55,000
|
|
|||
Proceeds from issuance of common stock
|
|
8,326
|
|
|
1,567
|
|
|
1,146
|
|
|||
Dividends paid
|
|
(9,355
|
)
|
|
(6,350
|
)
|
|
(9,866
|
)
|
|||
Net cash provided by financing activities
|
|
6,176
|
|
|
235,680
|
|
|
110,075
|
|
|||
|
|
|
|
|
|
|
||||||
Increase (decrease) in cash and cash equivalents
|
|
31,254
|
|
|
55,170
|
|
|
(20,140
|
)
|
|||
Cash and Cash Equivalents
|
|
|
|
|
|
|
|
|
|
|||
Beginning
|
|
91,059
|
|
|
35,889
|
|
|
56,029
|
|
|||
Ending
|
|
$
|
122,313
|
|
|
$
|
91,059
|
|
|
$
|
35,889
|
|
Supplemental Disclosures of Cash Flow Information
|
|
|
|
|
|
|
|
|
|
|||
Cash payments for interest
|
|
$
|
10,957
|
|
|
$
|
6,324
|
|
|
$
|
4,094
|
|
Cash payments for income taxes
|
|
$
|
8,174
|
|
|
$
|
10,020
|
|
|
$
|
8,769
|
|
Supplemental Disclosures of Noncash Investing Activities
|
|
|
|
|
|
|
|
|
|
|||
Unrealized (loss) gain on securities available for sale
|
|
$
|
(415
|
)
|
|
$
|
(868
|
)
|
|
$
|
(709
|
)
|
Transfers of loans held for investment to other real estate owned
|
|
$
|
—
|
|
|
$
|
129
|
|
|
$
|
—
|
|
Other real estate owned transferred to other assets due to FHA guarantee
|
|
$
|
—
|
|
|
$
|
(129
|
)
|
|
$
|
—
|
|
Purchased land transferred to other assets held for sale
|
|
$
|
(643
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
Transactions Related to Business Combination
|
|
|
|
|
|
|
||||||
Increase in assets and liabilities:
|
|
|
|
|
|
|
||||||
Loans
|
|
(815,785
|
)
|
|
—
|
|
|
—
|
|
|||
Securities
|
|
(244,123
|
)
|
|
—
|
|
|
—
|
|
|||
Other assets
|
|
(358,860
|
)
|
|
—
|
|
|
—
|
|
|||
Noninterest-bearing deposits
|
|
282,752
|
|
|
—
|
|
|
—
|
|
|||
Interest-bearing deposits
|
|
773,867
|
|
|
—
|
|
|
—
|
|
|||
Trust preferred debentures
|
|
3,824
|
|
|
—
|
|
|
—
|
|
|||
Borrowings
|
|
55,925
|
|
|
—
|
|
|
—
|
|
|||
Other liabilities
|
|
16,721
|
|
|
—
|
|
|
—
|
|
|
|
December 31, 2017
|
||||||||||||||
|
|
Amortized Cost
|
|
Gross
Unrealized Gains |
|
Gross
Unrealized (Losses) |
|
Estimated
Fair Value |
||||||||
|
|
(In Thousands)
|
||||||||||||||
Available-for-sale:
|
|
|
||||||||||||||
U.S. Treasury notes
|
|
$
|
50
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
50
|
|
U.S. Government agencies
|
|
5,086
|
|
|
—
|
|
|
(21
|
)
|
|
5,065
|
|
||||
Mortgage backed securities
|
|
263,004
|
|
|
66
|
|
|
(2,615
|
)
|
|
260,455
|
|
||||
Corporate bonds
|
|
4,486
|
|
|
5
|
|
|
(9
|
)
|
|
4,482
|
|
||||
Asset Backed Securities
|
|
34,092
|
|
|
19
|
|
|
(511
|
)
|
|
33,600
|
|
||||
Certificates of deposit
|
|
1,976
|
|
|
5
|
|
|
—
|
|
|
1,981
|
|
||||
Municipals
|
|
100,081
|
|
|
1,586
|
|
|
(1,233
|
)
|
|
100,434
|
|
||||
CRA Mutual fund
|
|
1,500
|
|
|
—
|
|
|
(121
|
)
|
|
1,379
|
|
||||
|
|
$
|
410,275
|
|
|
$
|
1,681
|
|
|
$
|
(4,510
|
)
|
|
$
|
407,446
|
|
|
|
|
|
|
|
|
|
|
||||||||
Held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
U.S. Government agencies
|
|
$
|
5,000
|
|
|
$
|
9
|
|
|
$
|
—
|
|
|
$
|
5,009
|
|
Municipals
|
|
10,721
|
|
|
675
|
|
|
(26
|
)
|
|
11,370
|
|
||||
|
|
$
|
15,721
|
|
|
$
|
684
|
|
|
$
|
(26
|
)
|
|
$
|
16,379
|
|
|
|
December 31, 2016
|
||||||||||||||
|
|
Amortized Cost
|
|
Gross
Unrealized Gains |
|
Gross
Unrealized (Losses) |
|
Estimated
Fair Value |
||||||||
|
|
(In Thousands)
|
||||||||||||||
Available-for-sale:
|
|
|
||||||||||||||
U.S. Government agencies
|
|
$
|
5,106
|
|
|
$
|
—
|
|
|
$
|
(112
|
)
|
|
$
|
4,994
|
|
Mortgage backed securities
|
|
120,794
|
|
|
177
|
|
|
(1,164
|
)
|
|
119,807
|
|
||||
Corporate bonds
|
|
8,631
|
|
|
35
|
|
|
—
|
|
|
8,666
|
|
||||
Asset Backed Securities
|
|
13,105
|
|
|
17
|
|
|
(258
|
)
|
|
12,864
|
|
||||
Certificates of deposit
|
|
1,976
|
|
|
33
|
|
|
—
|
|
|
2,009
|
|
||||
Municipals
|
|
45,392
|
|
|
172
|
|
|
(1,205
|
)
|
|
44,359
|
|
||||
CRA Mutual fund
|
|
1,500
|
|
|
—
|
|
|
(109
|
)
|
|
1,391
|
|
||||
|
|
$
|
196,504
|
|
|
$
|
434
|
|
|
$
|
(2,848
|
)
|
|
$
|
194,090
|
|
|
|
|
|
|
|
|
|
|
||||||||
Held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
U.S. Government agencies
|
|
$
|
5,000
|
|
|
$
|
46
|
|
|
$
|
—
|
|
|
$
|
5,046
|
|
Municipals
|
|
4,200
|
|
|
66
|
|
|
(19
|
)
|
|
4,247
|
|
||||
|
|
$
|
9,200
|
|
|
$
|
112
|
|
|
$
|
(19
|
)
|
|
$
|
9,293
|
|
|
|
December 31, 2017
|
||||||
|
|
Amortized
Cost |
|
Estimated
Fair Value |
||||
|
|
(In Thousands)
|
||||||
Available-for-sale:
|
|
|
||||||
US Treasury and Agencies:
|
|
|
|
|
|
|
||
Due in one year or less
|
|
$
|
50
|
|
|
$
|
50
|
|
Due after one through five years
|
|
5,086
|
|
|
5,066
|
|
||
Municipals - nontaxable:
|
|
|
|
|
|
|
||
Due in one year or less
|
|
723
|
|
|
729
|
|
||
Due after one through five years
|
|
7,587
|
|
|
7,482
|
|
||
Due after five through ten years
|
|
8,784
|
|
|
8,758
|
|
||
Due after ten through fifteen years
|
|
29,641
|
|
|
30,146
|
|
||
Due after fifteen years
|
|
53,346
|
|
|
53,318
|
|
||
Asset Backed Securities:
|
|
|
|
|
|
|
||
Due after five through ten years
|
|
3,064
|
|
|
3,079
|
|
||
Due after ten through fifteen years
|
|
11,557
|
|
|
11,410
|
|
||
Due after fifteen years
|
|
19,471
|
|
|
19,111
|
|
||
Certificates of deposit:
|
|
|
|
|
|
|
||
Due after one through five years
|
|
1,976
|
|
|
1,981
|
|
||
Corporate bonds:
|
|
|
|
|
|
|
||
Due after one through five years
|
|
4,486
|
|
|
4,482
|
|
||
Mortgage backed securities:
|
|
|
|
|
|
|
||
Due after one through five years
|
|
60,082
|
|
|
59,911
|
|
||
Due after five through ten years
|
|
90,107
|
|
|
89,165
|
|
||
Due after ten through fifteen years
|
|
4,424
|
|
|
4,314
|
|
||
Due after fifteen years
|
|
108,391
|
|
|
107,065
|
|
||
|
|
|
|
|
||||
CRA Mutual fund
|
|
1,500
|
|
|
1,379
|
|
||
|
|
$
|
410,275
|
|
|
$
|
407,446
|
|
|
|
|
|
|
||||
Held-to-maturity:
|
|
|
|
|
|
|
||
US Treasury and Agencies:
|
|
|
|
|
|
|
||
Due in one year or less
|
|
$
|
5,000
|
|
|
$
|
5,009
|
|
Municipals:
|
|
|
|
|
|
|
||
Due after one through five years
|
|
1,985
|
|
|
2,004
|
|
||
Due after five through ten years
|
|
1,606
|
|
|
1,639
|
|
||
Due after ten through fifteen years
|
|
552
|
|
|
529
|
|
||
Due after fifteen years
|
|
6,578
|
|
|
7,198
|
|
||
|
|
$
|
15,721
|
|
|
$
|
16,379
|
|
|
|
December 31, 2017
|
|
December 31, 2016
|
||||
|
|
(In Thousands)
|
||||||
Restricted Stock:
|
|
|
|
|
|
|
||
|
|
|
|
|
||||
FRB stock
|
|
$
|
8,407
|
|
|
$
|
999
|
|
|
|
|
|
|
||||
FHLB stock
|
|
8,165
|
|
|
9,093
|
|
||
|
|
$
|
16,572
|
|
|
$
|
10,092
|
|
|
|
Securities in a loss
Position for less than 12 Months |
|
Securities in a loss
Position for 12 Months or Longer |
|
Total
|
||||||||||||||||||
December 31, 2017
|
|
Estimated Fair
Value |
|
Unrealized Losses
|
|
Estimated Fair
Value |
|
Unrealized Losses
|
|
Estimated Fair
Value |
|
Unrealized Losses
|
||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||
Investment securities available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Mortgage backed securities
|
|
$
|
193,844
|
|
|
$
|
1,531
|
|
|
$
|
43,190
|
|
|
$
|
1,084
|
|
|
$
|
237,034
|
|
|
$
|
2,615
|
|
U.S. Government agencies
|
|
5,066
|
|
|
21
|
|
|
—
|
|
|
—
|
|
|
5,066
|
|
|
21
|
|
||||||
Municipals
|
|
15,096
|
|
|
693
|
|
|
15,031
|
|
|
540
|
|
|
30,127
|
|
|
1,233
|
|
||||||
Corporate bonds
|
|
2,630
|
|
|
9
|
|
|
—
|
|
|
—
|
|
|
2,630
|
|
|
9
|
|
||||||
Asset backed securities
|
|
13,299
|
|
|
200
|
|
|
8,945
|
|
|
311
|
|
|
22,244
|
|
|
511
|
|
||||||
CRA Mutual fund
|
|
—
|
|
|
—
|
|
|
1,379
|
|
|
121
|
|
|
1,379
|
|
|
121
|
|
||||||
Total
|
|
$
|
229,935
|
|
|
$
|
2,454
|
|
|
$
|
68,545
|
|
|
$
|
2,056
|
|
|
$
|
298,480
|
|
|
$
|
4,510
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Investment securities held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Municipals
|
|
$
|
1,043
|
|
|
$
|
3
|
|
|
$
|
529
|
|
|
$
|
23
|
|
|
$
|
1,572
|
|
|
$
|
26
|
|
Total
|
|
$
|
1,043
|
|
|
$
|
3
|
|
|
$
|
529
|
|
|
$
|
23
|
|
|
$
|
1,572
|
|
|
$
|
26
|
|
|
|
Securities in a loss
Position for less than 12 Months |
|
Securities in a loss
Position for 12 Months or Longer |
|
Total
|
||||||||||||||||||
December 31, 2016
|
|
Estimated Fair
Value |
|
Unrealized Losses
|
|
Estimated Fair
Value |
|
Unrealized Losses
|
|
Estimated Fair
Value |
|
Unrealized Losses
|
||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||
Investment securities available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Mortgage backed securities
|
|
$
|
62,145
|
|
|
$
|
(541
|
)
|
|
$
|
19,768
|
|
|
$
|
(623
|
)
|
|
$
|
81,913
|
|
|
$
|
(1,164
|
)
|
U.S. Government agencies
|
|
4,994
|
|
|
(112
|
)
|
|
—
|
|
|
—
|
|
|
4,994
|
|
|
(112
|
)
|
||||||
Municipals
|
|
28,147
|
|
|
(1,205
|
)
|
|
—
|
|
|
—
|
|
|
28,147
|
|
|
(1,205
|
)
|
||||||
Asset backed securities
|
|
1,286
|
|
|
(37
|
)
|
|
7,077
|
|
|
(221
|
)
|
|
8,363
|
|
|
(258
|
)
|
||||||
CRA Mutual fund
|
|
—
|
|
|
—
|
|
|
1,391
|
|
|
(109
|
)
|
|
1,391
|
|
|
(109
|
)
|
||||||
Total
|
|
$
|
96,572
|
|
|
$
|
(1,895
|
)
|
|
$
|
28,236
|
|
|
$
|
(953
|
)
|
|
$
|
124,808
|
|
|
$
|
(2,848
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Investment securities held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Municipals
|
|
$
|
536
|
|
|
$
|
(19
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
536
|
|
|
$
|
(19
|
)
|
Total
|
|
$
|
536
|
|
|
$
|
(19
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
536
|
|
|
$
|
(19
|
)
|
|
|
Year Ended December 31,
|
||||||||||||
(Dollars In Thousands)
|
|
2017
|
|
Percentage of Total
|
|
2016
|
|
Percentage of Total
|
||||||
Commercial real estate - owner occupied
|
|
$
|
467,082
|
|
|
23.60
|
%
|
|
$
|
250,440
|
|
|
23.87
|
%
|
Commercial real estate - non-owner occupied
|
|
436,083
|
|
|
22.04
|
|
|
184,688
|
|
|
17.59
|
|
||
Residential real estate
|
|
489,669
|
|
|
24.74
|
|
|
204,413
|
|
|
19.47
|
|
||
Commercial
|
|
463,652
|
|
|
23.43
|
|
|
311,486
|
|
|
29.67
|
|
||
Real estate construction
|
|
97,481
|
|
|
4.93
|
|
|
91,822
|
|
|
8.75
|
|
||
Consumer
|
|
24,942
|
|
|
1.26
|
|
|
6,849
|
|
|
0.65
|
|
||
Total loans
|
|
$
|
1,978,909
|
|
|
100.00
|
%
|
|
$
|
1,049,698
|
|
|
100.00
|
%
|
Less allowance for loan losses
|
|
15,805
|
|
|
|
|
|
16,008
|
|
|
|
|
||
Net loans
|
|
$
|
1,963,104
|
|
|
|
|
|
$
|
1,033,690
|
|
|
|
|
|
|
Allowance for Loan Losses
|
||||||||||||||||||||||||||
Twelve months ended December 31, 2017
|
|
Commercial real
estate - owner occupied |
|
Commercial real
estate - non-owner occupied |
|
Residential
real estate |
|
Commercial
|
|
Real estate
construction |
|
Consumer
|
|
Total
|
||||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||||||
Allowance for loan losses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Beginning Balance
|
|
$
|
2,943
|
|
|
$
|
2,145
|
|
|
$
|
2,510
|
|
|
$
|
7,053
|
|
|
$
|
1,277
|
|
|
$
|
80
|
|
|
$
|
16,008
|
|
Charge-offs
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(7,457
|
)
|
|
—
|
|
|
(27
|
)
|
|
(7,484
|
)
|
|||||||
Recoveries
|
|
17
|
|
|
—
|
|
|
131
|
|
|
209
|
|
|
—
|
|
|
5
|
|
|
362
|
|
|||||||
Provisions
|
|
1,320
|
|
|
959
|
|
|
(460
|
)
|
|
5,645
|
|
|
(571
|
)
|
|
26
|
|
|
6,919
|
|
|||||||
Ending Balance
|
|
$
|
4,280
|
|
|
$
|
3,104
|
|
|
$
|
2,181
|
|
|
$
|
5,450
|
|
|
$
|
706
|
|
|
$
|
84
|
|
|
$
|
15,805
|
|
Twelve months ended December 31, 2016
|
|
Commercial real
estate - owner occupied |
|
Commercial real
estate - non-owner occupied |
|
Residential
real estate |
|
Commercial
|
|
Real estate
construction |
|
Consumer
|
|
Total
|
||||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||||||
Allowance for loan losses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Beginning Balance
|
|
$
|
3,042
|
|
|
$
|
1,862
|
|
|
$
|
2,862
|
|
|
$
|
4,612
|
|
|
$
|
1,056
|
|
|
$
|
129
|
|
|
$
|
13,563
|
|
Charge-offs
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Recoveries
|
|
—
|
|
|
—
|
|
|
40
|
|
|
285
|
|
|
—
|
|
|
—
|
|
|
325
|
|
|||||||
Provisions
|
|
(99
|
)
|
|
283
|
|
|
(392
|
)
|
|
2,156
|
|
|
221
|
|
|
(49
|
)
|
|
2,120
|
|
|||||||
Ending Balance
|
|
$
|
2,943
|
|
|
$
|
2,145
|
|
|
$
|
2,510
|
|
|
$
|
7,053
|
|
|
$
|
1,277
|
|
|
$
|
80
|
|
|
$
|
16,008
|
|
Twelve months ended December 31, 2015
|
|
Commercial real
estate - owner occupied |
|
Commercial real
estate - non-owner occupied |
|
Residential
real estate |
|
Commercial
|
|
Real estate
construction |
|
Consumer
|
|
Total
|
||||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||||||
Allowance for loan losses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Beginning Balance
|
|
$
|
3,229
|
|
|
$
|
1,894
|
|
|
$
|
3,308
|
|
|
$
|
4,284
|
|
|
$
|
596
|
|
|
$
|
88
|
|
|
$
|
13,399
|
|
Charge-offs
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(186
|
)
|
|
—
|
|
|
—
|
|
|
(186
|
)
|
|||||||
Recoveries
|
|
—
|
|
|
—
|
|
|
61
|
|
|
102
|
|
|
37
|
|
|
—
|
|
|
200
|
|
|||||||
Provisions
|
|
(187
|
)
|
|
(32
|
)
|
|
(507
|
)
|
|
412
|
|
|
423
|
|
|
41
|
|
|
150
|
|
|||||||
Ending Balance
|
|
$
|
3,042
|
|
|
$
|
1,862
|
|
|
$
|
2,862
|
|
|
$
|
4,612
|
|
|
$
|
1,056
|
|
|
$
|
129
|
|
|
$
|
13,563
|
|
(In Thousands)
|
|
2017
|
||
Accretable yield, beginning of period
|
|
$
|
—
|
|
Additions
|
|
557
|
|
|
Accretion
|
|
(313
|
)
|
|
Reclassification from (to) nonaccretable difference
|
|
—
|
|
|
Other changes, net
|
|
—
|
|
|
Accretable yield, end of period
|
|
$
|
244
|
|
|
|
Recorded Investment in Loans
|
||||||||||||||||||||||||||
December 31, 2017
|
|
Commercial real
estate - owner occupied |
|
Commercial real
estate - non-owner occupied |
|
Residential
real estate |
|
Commercial
|
|
Real estate
construction |
|
Consumer
|
|
Total
|
||||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||||||
Allowance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Ending balance:
|
|
$
|
4,280
|
|
|
$
|
3,104
|
|
|
$
|
2,181
|
|
|
$
|
5,450
|
|
|
$
|
706
|
|
|
$
|
84
|
|
|
$
|
15,805
|
|
Ending balance: individually evaluated for impairment
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
234
|
|
|
$
|
186
|
|
|
$
|
—
|
|
|
$
|
420
|
|
Ending balance: collectively evaluated for impairment
|
|
$
|
4,280
|
|
|
$
|
3,104
|
|
|
$
|
2,181
|
|
|
$
|
5,216
|
|
|
$
|
520
|
|
|
$
|
84
|
|
|
$
|
15,385
|
|
Ending balance: loans acquired with deteriorated credit quality
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Loans
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Ending balance:
|
|
$
|
467,082
|
|
|
$
|
436,083
|
|
|
$
|
489,669
|
|
|
$
|
463,652
|
|
|
$
|
97,481
|
|
|
$
|
24,942
|
|
|
$
|
1,978,909
|
|
Ending balance: individually evaluated for impairment
|
|
$
|
1,393
|
|
|
$
|
—
|
|
|
$
|
166
|
|
|
$
|
3,107
|
|
|
$
|
865
|
|
|
$
|
182
|
|
|
$
|
5,713
|
|
Ending balance: collectively evaluated for impairment
|
|
$
|
464,030
|
|
|
$
|
435,109
|
|
|
$
|
487,390
|
|
|
$
|
460,369
|
|
|
$
|
96,616
|
|
|
$
|
24,713
|
|
|
$
|
1,968,227
|
|
Ending balance: loans acquired with deteriorated credit quality
|
|
$
|
1,659
|
|
|
$
|
974
|
|
|
$
|
2,113
|
|
|
$
|
176
|
|
|
$
|
—
|
|
|
$
|
47
|
|
|
$
|
4,969
|
|
December 31, 2016
|
|
Commercial real
estate - owner occupied |
|
Commercial real
estate - non-owner occupied |
|
Residential
real estate |
|
Commercial
|
|
Real estate
construction |
|
Consumer
|
|
Total
|
||||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||||||
Allowance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Ending balance:
|
|
$
|
2,943
|
|
|
$
|
2,145
|
|
|
$
|
2,510
|
|
|
$
|
7,053
|
|
|
$
|
1,277
|
|
|
$
|
80
|
|
|
$
|
16,008
|
|
Ending balance: individually evaluated for impairment
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
2,805
|
|
|
$
|
221
|
|
|
$
|
—
|
|
|
$
|
3,026
|
|
Ending balance: collectively evaluated for impairment
|
|
$
|
2,943
|
|
|
$
|
2,145
|
|
|
$
|
2,510
|
|
|
$
|
4,248
|
|
|
$
|
1,056
|
|
|
$
|
80
|
|
|
$
|
12,982
|
|
Ending balance: loans acquired with deteriorated credit quality
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Loans
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Ending balance:
|
|
$
|
250,440
|
|
|
$
|
184,688
|
|
|
$
|
204,413
|
|
|
$
|
311,486
|
|
|
$
|
91,822
|
|
|
$
|
6,849
|
|
|
$
|
1,049,698
|
|
Ending balance: individually evaluated for impairment
|
|
$
|
335
|
|
|
$
|
—
|
|
|
$
|
606
|
|
|
$
|
6,182
|
|
|
$
|
940
|
|
|
$
|
—
|
|
|
$
|
8,063
|
|
Ending balance: collectively evaluated for impairment
|
|
$
|
250,105
|
|
|
$
|
184,688
|
|
|
$
|
203,807
|
|
|
$
|
305,304
|
|
|
$
|
90,882
|
|
|
$
|
6,849
|
|
|
$
|
1,041,635
|
|
Ending balance: loans acquired with deteriorated credit quality
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
December 31, 2017
|
||||||||||||||||||||||||||
Credit Risk Profile by Risk Rating
|
|
Pass
|
|
Special Mention
|
|
Substandard
|
|
Doubtful
|
|
Loss
|
|
Unearned
Income |
|
Total Loans
|
||||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||||||
Commercial real estate - owner occupied
|
|
$
|
465,464
|
|
|
$
|
1,639
|
|
|
$
|
758
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
(779
|
)
|
|
$
|
467,082
|
|
Commercial real estate - non-owner occupied
|
|
437,087
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(1,004
|
)
|
|
436,083
|
|
|||||||
Residential real estate
|
|
487,800
|
|
|
189
|
|
|
1,835
|
|
|
—
|
|
|
—
|
|
|
(155
|
)
|
|
489,669
|
|
|||||||
Commercial
|
|
461,091
|
|
|
1,615
|
|
|
1,750
|
|
|
—
|
|
|
—
|
|
|
(804
|
)
|
|
463,652
|
|
|||||||
Real estate construction
|
|
92,522
|
|
|
5,349
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(390
|
)
|
|
97,481
|
|
|||||||
Consumer
|
|
24,928
|
|
|
—
|
|
|
10
|
|
|
—
|
|
|
—
|
|
|
4
|
|
|
24,942
|
|
|||||||
Total
|
|
$
|
1,968,892
|
|
|
$
|
8,792
|
|
|
$
|
4,353
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
(3,128
|
)
|
|
$
|
1,978,909
|
|
|
|
December 31, 2016
|
||||||||||||||||||||||||||
Credit Risk Profile by Risk Rating
|
|
Pass
|
|
Special Mention
|
|
Substandard
|
|
Doubtful
|
|
Loss
|
|
Unearned
Income |
|
Total Loans
|
||||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||||||
Commercial real estate - owner occupied
|
|
$
|
247,001
|
|
|
$
|
1,213
|
|
|
$
|
2,807
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
(581
|
)
|
|
$
|
250,440
|
|
Commercial real estate - non-owner occupied
|
|
185,020
|
|
|
300
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(632
|
)
|
|
184,688
|
|
|||||||
Residential real estate
|
|
202,762
|
|
|
932
|
|
|
878
|
|
|
—
|
|
|
—
|
|
|
(159
|
)
|
|
204,413
|
|
|||||||
Commercial
|
|
287,978
|
|
|
4,544
|
|
|
19,561
|
|
|
—
|
|
|
—
|
|
|
(597
|
)
|
|
311,486
|
|
|||||||
Real estate construction
|
|
91,296
|
|
|
—
|
|
|
940
|
|
|
—
|
|
|
—
|
|
|
(414
|
)
|
|
91,822
|
|
|||||||
Consumer
|
|
6,848
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1
|
|
|
6,849
|
|
|||||||
Total
|
|
$
|
1,020,905
|
|
|
$
|
6,989
|
|
|
$
|
24,186
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
(2,382
|
)
|
|
$
|
1,049,698
|
|
|
|
December 31, 2017
|
||||||||||
Credit Risk Profile Based on Payment Activity
|
|
Performing
|
|
Non-Performing
|
|
Total Loans
|
||||||
|
|
(In Thousands)
|
||||||||||
Commercial real estate - owner occupied
|
|
$
|
466,016
|
|
|
$
|
1,066
|
|
|
$
|
467,082
|
|
Commercial real estate - non-owner occupied
|
|
436,083
|
|
|
—
|
|
|
436,083
|
|
|||
Residential real estate
|
|
489,669
|
|
|
—
|
|
|
489,669
|
|
|||
Commercial
|
|
461,139
|
|
|
2,513
|
|
|
463,652
|
|
|||
Real estate construction
|
|
96,616
|
|
|
865
|
|
|
97,481
|
|
|||
Consumer
|
|
24,760
|
|
|
182
|
|
|
24,942
|
|
|||
Total
|
|
$
|
1,974,283
|
|
|
$
|
4,626
|
|
|
$
|
1,978,909
|
|
|
|
December 31, 2016
|
||||||||||
Credit Risk Profile Based on Payment Activity
|
|
Performing
|
|
Non-Performing
|
|
Total Loans
|
||||||
|
|
(In Thousands)
|
||||||||||
Commercial real estate - owner occupied
|
|
$
|
250,440
|
|
|
$
|
—
|
|
|
$
|
250,440
|
|
Commercial real estate - non-owner occupied
|
|
184,688
|
|
|
—
|
|
|
184,688
|
|
|||
Residential real estate
|
|
203,982
|
|
|
431
|
|
|
204,413
|
|
|||
Commercial
|
|
305,935
|
|
|
5,551
|
|
|
311,486
|
|
|||
Real estate construction
|
|
90,882
|
|
|
940
|
|
|
91,822
|
|
|||
Consumer
|
|
6,849
|
|
|
—
|
|
|
6,849
|
|
|||
Total
|
|
$
|
1,042,776
|
|
|
$
|
6,922
|
|
|
$
|
1,049,698
|
|
|
|
Age Analysis of Past Due Loans
December 31, 2017 |
||||||||||||||||||||||||||
|
|
30-59 Days
Past Due |
|
60-89 Days
Past Due |
|
Greater than
90 Days |
|
Total Past
Due |
|
Non-accrual
Loans |
|
Current
Loans |
|
Total
Loans |
||||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||||||
Commercial real estate - owner occupied
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,066
|
|
|
$
|
466,016
|
|
|
$
|
467,082
|
|
Commercial real estate - non-owner occupied
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
436,083
|
|
|
436,083
|
|
|||||||
Residential real estate
|
|
655
|
|
|
140
|
|
|
213
|
|
|
1,008
|
|
|
—
|
|
|
488,661
|
|
|
489,669
|
|
|||||||
Commercial
|
|
138
|
|
|
19
|
|
|
—
|
|
|
157
|
|
|
2,513
|
|
|
460,982
|
|
|
463,652
|
|
|||||||
Real estate construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
865
|
|
|
96,616
|
|
|
97,481
|
|
|||||||
Consumer
|
|
81
|
|
|
2
|
|
|
—
|
|
|
83
|
|
|
182
|
|
|
24,677
|
|
|
24,942
|
|
|||||||
Total
|
|
$
|
874
|
|
|
$
|
161
|
|
|
$
|
213
|
|
|
$
|
1,248
|
|
|
$
|
4,626
|
|
|
$
|
1,973,035
|
|
|
$
|
1,978,909
|
|
|
|
12/31/2016
|
||||||||||||||||||||||||||
|
|
30-59 Days
Past Due |
|
60-89 Days
Past Due |
|
Greater than
90 Days |
|
Total Past
Due |
|
Non-accrual
Loans |
|
Current
Loans |
|
Total
Loans |
||||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||||||
Commercial real estate - owner occupied
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
250,440
|
|
|
$
|
250,440
|
|
Commercial real estate - non-owner occupied
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
184,688
|
|
|
184,688
|
|
|||||||
Residential real estate
|
|
—
|
|
|
97
|
|
|
—
|
|
|
97
|
|
|
431
|
|
|
203,885
|
|
|
204,413
|
|
|||||||
Commercial
|
|
438
|
|
|
—
|
|
|
—
|
|
|
438
|
|
|
5,551
|
|
|
305,497
|
|
|
311,486
|
|
|||||||
Real estate construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
940
|
|
|
90,882
|
|
|
91,822
|
|
|||||||
Consumer
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6,849
|
|
|
6,849
|
|
|||||||
Total
|
|
$
|
438
|
|
|
$
|
97
|
|
|
$
|
—
|
|
|
$
|
535
|
|
|
$
|
6,922
|
|
|
$
|
1,042,241
|
|
|
$
|
1,049,698
|
|
|
|
Impaired Loans
|
||||||||||||||||||||||
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||||||||||
|
|
Recorded
investment |
|
Unpaid principal
balance |
|
Related
allowance |
|
Recorded
investment |
|
Unpaid principal
balance |
|
Related
allowance |
||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||
With no specific related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Commercial real estate - owner occupied
|
|
$
|
1,066
|
|
|
$
|
1,092
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Commercial real estate - non-owner occupied
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Residential real estate
|
|
—
|
|
|
—
|
|
|
—
|
|
|
431
|
|
|
431
|
|
|
—
|
|
||||||
Commercial
|
|
747
|
|
|
1,080
|
|
|
—
|
|
|
2,748
|
|
|
3,771
|
|
|
—
|
|
||||||
Real estate construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Consumer
|
|
145
|
|
|
155
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
With a specific related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Commercial real estate - owner occupied
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Commercial real estate - non-owner occupied
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Residential real estate
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Commercial
|
|
1,766
|
|
|
1,817
|
|
|
234
|
|
|
2,803
|
|
|
1,400
|
|
|
2,805
|
|
||||||
Real estate construction
|
|
865
|
|
|
952
|
|
|
186
|
|
|
940
|
|
|
994
|
|
|
221
|
|
||||||
Consumer
|
|
37
|
|
|
38
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Commercial real estate - owner occupied
|
|
$
|
1,066
|
|
|
$
|
1,092
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Commercial real estate - non-owner occupied
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Residential real estate
|
|
—
|
|
|
—
|
|
|
—
|
|
|
431
|
|
|
431
|
|
|
—
|
|
||||||
Commercial
|
|
2,513
|
|
|
2,897
|
|
|
234
|
|
|
5,551
|
|
|
5,171
|
|
|
2,805
|
|
||||||
Real estate construction
|
|
865
|
|
|
952
|
|
|
186
|
|
|
940
|
|
|
994
|
|
|
221
|
|
||||||
Consumer
|
|
182
|
|
|
193
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
|
|
$
|
4,626
|
|
|
$
|
5,134
|
|
|
$
|
420
|
|
|
$
|
6,922
|
|
|
$
|
6,596
|
|
|
$
|
3,026
|
|
|
|
Twelve Months Ended
|
||||||||||
|
|
December 31, 2017
|
|
December 31, 2016
|
|
December 31, 2015
|
||||||
|
|
Average Recorded
Investment |
|
Average Recorded
Investment |
|
Average Recorded
Investment |
||||||
|
|
(In Thousands)
|
||||||||||
Commercial real estate - owner occupied
|
|
$
|
1,075
|
|
|
$
|
59
|
|
|
$
|
—
|
|
Commercial real estate - non-owner occupied
|
|
—
|
|
|
2,099
|
|
|
5,572
|
|
|||
Residential real estate
|
|
—
|
|
|
120
|
|
|
163
|
|
|||
Commercial
|
|
3,395
|
|
|
4,885
|
|
|
917
|
|
|||
Real estate construction
|
|
923
|
|
|
1,009
|
|
|
1,086
|
|
|||
Consumer
|
|
179
|
|
|
—
|
|
|
—
|
|
|||
|
|
$
|
5,572
|
|
|
$
|
8,172
|
|
|
$
|
7,738
|
|
|
|
Troubled Debt Restructurings
|
||||||||||||||||||||
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||||||||
|
|
Number of
loans |
|
Outstanding
balance |
|
Recorded
investment |
|
Number of
loans |
|
Outstanding
balance |
|
Recorded
investment |
||||||||||
|
|
(Dollars in Thousands)
|
||||||||||||||||||||
Performing
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Commercial real estate - owner occupied
|
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Commercial real estate - non-owner occupied
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Residential real estate
|
|
1
|
|
|
208
|
|
|
166
|
|
|
1
|
|
|
217
|
|
|
175
|
|
||||
Commercial
|
|
2
|
|
|
921
|
|
|
921
|
|
|
2
|
|
|
967
|
|
|
967
|
|
||||
Real estate construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Consumer
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Non-Performing
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Commercial real estate - owner occupied
|
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Commercial real estate - non-owner occupied
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Residential real estate
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Commercial
|
|
2
|
|
|
956
|
|
|
956
|
|
|
2
|
|
|
2,000
|
|
|
2,000
|
|
||||
Real estate construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1
|
|
|
994
|
|
|
940
|
|
||||
Consumer
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total
|
|
5
|
|
|
$
|
2,085
|
|
|
$
|
2,043
|
|
|
6
|
|
|
$
|
4,178
|
|
|
$
|
4,082
|
|
|
|
December 31,
|
||||||
|
|
2017
|
|
2016
|
||||
|
|
(In Thousands)
|
||||||
Land
|
|
$
|
6,810
|
|
|
$
|
1,342
|
|
Premises
|
|
14,556
|
|
|
5,832
|
|
||
Leasehold improvements
|
|
6,802
|
|
|
1,351
|
|
||
Furniture and equipment
|
|
5,884
|
|
|
4,661
|
|
||
Construction in process
|
|
1,159
|
|
|
—
|
|
||
|
|
35,211
|
|
|
13,186
|
|
||
Less accumulated depreciation
|
|
(7,414
|
)
|
|
(6,102
|
)
|
||
|
|
$
|
27,797
|
|
|
$
|
7,084
|
|
|
|
2017
|
|
2016
|
||||||||||
|
|
Amount
|
|
Percentage of
Total |
|
Amount
|
|
Percentage of
Total |
||||||
|
|
(Dollars In Thousands)
|
||||||||||||
Interest-bearing demand deposits
|
|
$
|
486,621
|
|
|
21.78
|
%
|
|
$
|
126,189
|
|
|
11.97
|
%
|
Savings and money market
|
|
580,827
|
|
|
26.00
|
|
|
270,310
|
|
|
25.64
|
|
||
CDARS - time deposits
|
|
21,582
|
|
|
0.97
|
|
|
34,290
|
|
|
3.25
|
|
||
CDARS/ICS non-maturity deposits
|
|
48,011
|
|
|
2.15
|
|
|
40,925
|
|
|
3.88
|
|
||
Brokered deposits
|
|
51,028
|
|
|
2.28
|
|
|
57,389
|
|
|
5.44
|
|
||
Time deposits
|
|
301,119
|
|
|
13.48
|
|
|
163,188
|
|
|
15.48
|
|
||
Total interest-bearing deposits
|
|
1,489,188
|
|
|
66.66
|
|
|
692,291
|
|
|
65.66
|
|
||
Noninterest-bearing demand deposits
|
|
744,960
|
|
|
33.34
|
|
|
362,036
|
|
|
34.34
|
|
||
Total deposits
|
|
$
|
2,234,148
|
|
|
100.00
|
%
|
|
$
|
1,054,327
|
|
|
100.00
|
%
|
Year
|
Amount
|
||
|
(In Thousands)
|
||
2018
|
$
|
181,913
|
|
2019
|
136,645
|
|
|
2020
|
24,751
|
|
|
2021
|
9,103
|
|
|
2022
|
6,469
|
|
|
Later years
|
9,741
|
|
|
|
$
|
368,622
|
|
|
|
2017
|
|
2016
|
||||
|
|
(Dollars In Thousands)
|
||||||
Balance outstanding at end of year
|
|
$
|
135,000
|
|
|
$
|
189,000
|
|
Average balance outstanding
|
|
$
|
124,301
|
|
|
$
|
125,047
|
|
Maximum outstanding at any month-end
|
|
$
|
185,000
|
|
|
$
|
189,000
|
|
Average interest rate during the year
|
|
1.15
|
%
|
|
0.91
|
%
|
||
Average interest rate at end of year
|
|
1.36
|
%
|
|
0.91
|
%
|
Maturity Date
|
|
Interest Rate
|
|
Outstanding
Amount |
|||
3/13/2018
|
|
1.47
|
%
|
|
$
|
65,000
|
|
3/27/2018
|
|
1.22
|
%
|
|
10,000
|
|
|
10/2/2018
|
|
1.02
|
%
|
|
10,000
|
|
|
11/26/2018
|
|
1.43
|
%
|
|
10,000
|
|
|
4/4/2019
|
|
1.13
|
%
|
|
20,000
|
|
|
10/2/2019
|
|
1.32
|
%
|
|
10,000
|
|
|
10/2/2020
|
|
1.54
|
%
|
|
10,000
|
|
|
|
|
|
|
|
$
|
135,000
|
|
|
|
2017
|
|
2016
|
||||
|
|
(Dollars In Thousands)
|
||||||
Balance outstanding at end of year
|
|
$
|
51,052
|
|
|
$
|
57,009
|
|
Average balance outstanding
|
|
$
|
38,191
|
|
|
$
|
16,270
|
|
Maximum outstanding at any month-end
|
|
$
|
62,651
|
|
|
$
|
57,009
|
|
Average interest rate during the year
|
|
0.10
|
%
|
|
0.10
|
%
|
||
Average interest rate at end of year
|
|
0.10
|
%
|
|
0.68
|
%
|
|
|
December 31,
|
||||||
|
|
2017
|
|
2016
|
||||
|
|
(In Thousands)
|
||||||
Deferred tax assets:
|
|
|
|
|
|
|
||
Allowance for loan losses
|
|
$
|
3,446
|
|
|
$
|
5,760
|
|
Deferred fees
|
|
682
|
|
|
857
|
|
||
Allowance for loan losses on mortgage loans sold
|
|
339
|
|
|
557
|
|
||
Allowance for off balance sheet losses
|
|
174
|
|
|
270
|
|
||
Stock options
|
|
44
|
|
|
79
|
|
||
Securities available for sale
|
|
617
|
|
|
869
|
|
||
Fair value adjustment for acquired assets/liabilities
|
|
698
|
|
|
—
|
|
||
Acquisition accounting adjustments
|
|
6,008
|
|
|
—
|
|
||
Other
|
|
144
|
|
|
197
|
|
||
|
|
$
|
12,152
|
|
|
$
|
8,589
|
|
Deferred tax liability:
|
|
|
|
|
|
|
||
Depreciation
|
|
$
|
347
|
|
|
$
|
147
|
|
Acquisition accounting adjustments
|
|
6,067
|
|
|
—
|
|
||
Other
|
|
192
|
|
|
88
|
|
||
|
|
$
|
6,606
|
|
|
$
|
235
|
|
Net deferred tax assets included in other assets
|
|
$
|
5,546
|
|
|
$
|
8,354
|
|
|
|
Year Ended December 31,
|
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
|
|
(In Thousands)
|
||||||||||
Current tax expense
|
|
$
|
2,980
|
|
|
$
|
9,898
|
|
|
$
|
8,711
|
|
Deferred tax (benefit)
|
|
8,997
|
|
|
(698
|
)
|
|
(534
|
)
|
|||
|
|
$
|
11,977
|
|
|
$
|
9,200
|
|
|
$
|
8,177
|
|
|
|
Year Ended December 31,
|
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
|
|
(In Thousands)
|
||||||||||
Computed "expected" tax expense
|
|
$
|
9,967
|
|
|
$
|
8,961
|
|
|
$
|
8,259
|
|
Increase (decrease) in income taxes resulting from:
|
|
|
|
|
|
|
|
|
|
|||
Tax reform
|
|
3,524
|
|
|
—
|
|
|
—
|
|
|||
State income taxes, net of federal benefit
|
|
127
|
|
|
117
|
|
|
92
|
|
|||
Tax exempt income and interest
|
|
(1,305
|
)
|
|
(409
|
)
|
|
(257
|
)
|
|||
Merger related expenses, nondeductible
|
|
550
|
|
|
344
|
|
|
—
|
|
|||
Low income housing tax credits
|
|
(586
|
)
|
|
—
|
|
|
—
|
|
|||
Other
|
|
(300
|
)
|
|
187
|
|
|
83
|
|
|||
|
|
$
|
11,977
|
|
|
$
|
9,200
|
|
|
$
|
8,177
|
|
Year
|
Amount
|
||
|
(In Thousands)
|
||
2018
|
$
|
1,693
|
|
2019
|
1,775
|
|
|
2020
|
1,780
|
|
|
2021
|
1,740
|
|
|
2022
|
1,708
|
|
|
Thereafter
|
16,499
|
|
|
|
$
|
25,195
|
|
|
|
Year Ended December 31,
|
||||||
|
|
2017
|
|
2016
|
||||
|
|
(In Thousands)
|
||||||
Balance at beginning of year
|
|
$
|
1,029
|
|
|
$
|
1,029
|
|
Provision charged to operating expense
|
|
—
|
|
|
—
|
|
||
Recoveries
|
|
—
|
|
|
—
|
|
||
Charge-offs
|
|
(76
|
)
|
|
—
|
|
||
Balance at end of year
|
|
$
|
953
|
|
|
$
|
1,029
|
|
|
|
Year Ended December 31,
|
|||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
|||||||||||||||
|
|
Number of
Options |
|
Weighted
Average Exercise Price |
|
Number of
Options |
|
Weighted
Average Exercise Price |
|
Number of
Options |
|
Weighted
Average Exercise Price |
|||||||||
Outstanding at beginning of year
|
|
481,381
|
|
|
$
|
16.52
|
|
|
407,832
|
|
|
$
|
15.33
|
|
|
316,423
|
|
|
$
|
14.02
|
|
Granted
|
|
185,600
|
|
|
27.85
|
|
|
129,550
|
|
|
18.77
|
|
|
125,434
|
|
|
18.03
|
|
|||
Exercised
|
|
(155,769
|
)
|
|
14.60
|
|
|
(43,801
|
)
|
|
12.15
|
|
|
(29,975
|
)
|
|
12.62
|
|
|||
Lapsed or canceled
|
|
(3,720
|
)
|
|
15.69
|
|
|
(12,200
|
)
|
|
16.54
|
|
|
(4,050
|
)
|
|
16.40
|
|
|||
Outstanding at end of year
|
|
507,492
|
|
|
$
|
21.26
|
|
|
481,381
|
|
|
$
|
16.52
|
|
|
407,832
|
|
|
$
|
15.33
|
|
Options exercisable at end of year
|
|
142,859
|
|
|
$
|
16.65
|
|
|
173,781
|
|
|
$
|
14.49
|
|
|
105,889
|
|
|
$
|
12.99
|
|
|
|
Options Outstanding
|
|
Options Exercisable
|
||||||||||||||||||||||
|
|
|
|
Weighted-
Average |
|
Weighted
|
|
|
|
|
|
Weighted-
Average |
|
Weighted
|
|
|
||||||||||
Range of
|
|
|
|
|
Remaining
|
|
Average
|
|
|
|
|
|
|
Remaining
|
|
Average
|
|
|
|
|||||||
Exercise
|
|
Number
|
|
Contractual
|
|
Exercise
|
|
Intrinsic
|
|
Number
|
|
Contractual
|
|
Exercise
|
|
Intrinsic
|
||||||||||
Price
|
|
Outstanding
|
|
Life (in yrs)
|
|
Price
|
|
Value
|
|
Exercisable
|
|
Life (in yrs)
|
|
Price
|
|
Value
|
||||||||||
$12.79-$19.85
|
|
311,142
|
|
|
1.89
|
|
$
|
17.24
|
|
|
$
|
3,297
|
|
|
139,484
|
|
|
1.26
|
|
$
|
16.50
|
|
|
$
|
1,582
|
|
$20.34-$28.17
|
|
196,350
|
|
|
4.32
|
|
27.62
|
|
|
56
|
|
|
3,375
|
|
|
3.45
|
|
22.99
|
|
|
17
|
|
||||
|
|
507,492
|
|
|
2.83
|
|
$
|
21.26
|
|
|
$
|
3,353
|
|
|
142,859
|
|
|
2.91
|
|
$
|
16.65
|
|
|
$
|
1,599
|
|
|
|
Year Ended December 31,
|
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
Expected life of options granted
|
|
5.00 Years
|
|
|
4.12 Years
|
|
|
4.09 Years
|
|
|||
Risk-free interest rate
|
|
1.49
|
%
|
|
1.25
|
%
|
|
1.06
|
%
|
|||
Expected volatility of stock
|
|
29
|
%
|
|
30
|
%
|
|
30
|
%
|
|||
Annual expected dividend yield
|
|
3
|
%
|
|
3
|
%
|
|
3
|
%
|
|||
Fair value of granted options
|
|
$
|
1,143,434
|
|
|
$
|
473,272
|
|
|
$
|
357,456
|
|
Nonvested Options
|
|
364,633
|
|
|
307,600
|
|
|
301,943
|
|
|
|
|
|
|
|
|
|
|
|
Minimum
To Be Well Capitalized Under |
|||||||||||
|
|
|
|
|
|
|
|
Minimum Capital
|
|
Prompt Corrective
|
|||||||||||
|
|
Actual
|
|
Requirement
|
|
Action Provisions
|
|||||||||||||||
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|||||||||
|
|
(Dollars In Thousands)
|
|||||||||||||||||||
December 31, 2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Total Capital
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
(to Risk-Weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Corporation
|
|
$
|
257,139
|
|
|
12.25
|
%
|
|
$
|
183,670
|
|
|
8.750
|
%
|
|
$
|
209,909
|
|
|
10.00
|
%
|
Bank
|
|
$
|
243,301
|
|
|
11.66
|
%
|
|
$
|
182,517
|
|
|
8.750
|
%
|
|
$
|
208,591
|
|
|
10.00
|
%
|
Tier 1 Capital
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
(to Risk-Weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Corporation
|
|
$
|
240,535
|
|
|
11.46
|
%
|
|
$
|
141,689
|
|
|
6.750
|
%
|
|
$
|
167,927
|
|
|
8.00
|
%
|
Bank
|
|
$
|
225,743
|
|
|
10.82
|
%
|
|
$
|
140,799
|
|
|
6.750
|
%
|
|
$
|
166,873
|
|
|
8.00
|
%
|
Tier 1 Capital
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
(to Average Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Corporation
|
|
$
|
240,535
|
|
|
8.48
|
%
|
|
$
|
148,986
|
|
|
5.250
|
%
|
|
$
|
141,892
|
|
|
5.00
|
%
|
Bank
|
|
$
|
225,743
|
|
|
8.51
|
%
|
|
$
|
139,313
|
|
|
5.250
|
%
|
|
$
|
132,679
|
|
|
5.00
|
%
|
Common Equity Tier 1 Capital
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
(to Risk-Weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Corporation
|
|
$
|
240,535
|
|
|
11.46
|
%
|
|
$
|
83,964
|
|
|
4.00
|
%
|
|
$
|
136,441
|
|
|
6.50
|
%
|
Bank
|
|
$
|
225,743
|
|
|
10.82
|
%
|
|
$
|
83,436
|
|
|
4.00
|
%
|
|
$
|
135,584
|
|
|
6.50
|
%
|
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Total Capital
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
(to Risk-Weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Corporation
|
|
$
|
135,009
|
|
|
11.51
|
%
|
|
$
|
93,866
|
|
|
8.63
|
%
|
|
$
|
117,333
|
|
|
10.00
|
%
|
Bank
|
|
$
|
124,149
|
|
|
10.58
|
%
|
|
$
|
93,866
|
|
|
8.63
|
%
|
|
$
|
117,332
|
|
|
10.00
|
%
|
Tier 1 Capital
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
(to Risk-Weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Corporation
|
|
$
|
120,317
|
|
|
10.25
|
%
|
|
$
|
70,400
|
|
|
6.63
|
%
|
|
$
|
93,866
|
|
|
8.00
|
%
|
Bank
|
|
$
|
109,457
|
|
|
9.33
|
%
|
|
$
|
70,399
|
|
|
6.63
|
%
|
|
$
|
93,866
|
|
|
8.00
|
%
|
Tier 1 Capital
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
(to Average Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Corporation
|
|
$
|
120,317
|
|
|
8.90
|
%
|
|
$
|
52,800
|
|
|
5.13
|
%
|
|
$
|
58,667
|
|
|
5.00
|
%
|
Bank
|
|
$
|
109,457
|
|
|
8.11
|
%
|
|
$
|
60,793
|
|
|
5.13
|
%
|
|
$
|
67,547
|
|
|
5.00
|
%
|
Common Equity Tier 1 Capital
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
(to Risk-Weighted Assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Corporation
|
|
$
|
120,317
|
|
|
10.25
|
%
|
|
$
|
54,068
|
|
|
4.00
|
%
|
|
$
|
87,861
|
|
|
6.50
|
%
|
Bank
|
|
$
|
109,457
|
|
|
9.33
|
%
|
|
$
|
46,933
|
|
|
4.00
|
%
|
|
$
|
76,266
|
|
|
6.50
|
%
|
|
|
Year Ended December 31,
|
|||||||||||||||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
|||||||||||||||||||||||||||
|
|
Net
Income |
|
Shares
|
|
Per Share
Amount |
|
Net
Income |
|
Shares
|
|
Per Share
Amount |
|
Net
Income |
|
Shares
|
|
Per Share
Amount |
|||||||||||||||
|
|
(In Thousands, Except for Per Share Data)
|
|||||||||||||||||||||||||||||||
Earnings per share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Basic
|
|
$
|
16,500
|
|
|
17,988,670
|
|
|
$
|
0.92
|
|
|
$
|
16,404
|
|
|
10,586,394
|
|
|
$
|
1.55
|
|
|
$
|
15,419
|
|
|
10,513,008
|
|
|
$
|
1.46
|
|
Effect of dilutive securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Stock options and warrants
|
|
—
|
|
|
87,634
|
|
|
—
|
|
|
—
|
|
|
91,167
|
|
|
—
|
|
|
—
|
|
|
68,863
|
|
|
—
|
|
||||||
Diluted earnings per share
|
|
$
|
16,500
|
|
|
18,076,304
|
|
|
$
|
0.92
|
|
|
$
|
16,404
|
|
|
10,677,561
|
|
|
$
|
1.54
|
|
|
$
|
15,419
|
|
|
10,581,871
|
|
|
$
|
1.46
|
|
|
|
2017
|
|
2016
|
|
2015
|
||||||
|
|
(In Thousands)
|
||||||||||
Management fees
|
|
$
|
369
|
|
|
$
|
1,187
|
|
|
$
|
1,151
|
|
Amortization of intangibles
|
|
2,671
|
|
|
49
|
|
|
8
|
|
|||
Merger related costs
|
|
6,794
|
|
|
984
|
|
|
—
|
|
|||
Business and franchise tax
|
|
1,803
|
|
|
953
|
|
|
875
|
|
|||
Data processing
|
|
2,779
|
|
|
947
|
|
|
1,029
|
|
|||
FDIC insurance
|
|
1,485
|
|
|
789
|
|
|
634
|
|
|||
Investor fees
|
|
613
|
|
|
759
|
|
|
570
|
|
|||
Advertising and promotional expense
|
|
790
|
|
|
735
|
|
|
754
|
|
|||
Consulting fees
|
|
1,202
|
|
|
681
|
|
|
618
|
|
|||
Accounting and auditing service
|
|
956
|
|
|
613
|
|
|
612
|
|
|||
Telephone
|
|
703
|
|
|
385
|
|
|
346
|
|
|||
Director fees
|
|
703
|
|
|
352
|
|
|
395
|
|
|||
Stock option expense
|
|
442
|
|
|
335
|
|
|
332
|
|
|||
Business development, meals, and travel
|
|
337
|
|
|
293
|
|
|
260
|
|
|||
Regulatory examinations
|
|
418
|
|
|
282
|
|
|
257
|
|
|||
Credit report
|
|
375
|
|
|
281
|
|
|
197
|
|
|||
Publication and subscription
|
|
268
|
|
|
280
|
|
|
249
|
|
|||
Early payoff
|
|
132
|
|
|
260
|
|
|
133
|
|
|||
Insurance
|
|
434
|
|
|
255
|
|
|
206
|
|
|||
Disaster recovery
|
|
292
|
|
|
199
|
|
|
190
|
|
|||
Stationary and supplies
|
|
405
|
|
|
197
|
|
|
294
|
|
|||
Employee education and development
|
|
85
|
|
|
186
|
|
|
198
|
|
|||
FRB and Bank analysis charges
|
|
260
|
|
|
163
|
|
|
147
|
|
|||
Verification fees
|
|
164
|
|
|
150
|
|
|
106
|
|
|||
SBA guarantee fee
|
|
137
|
|
|
145
|
|
|
160
|
|
|||
Postage
|
|
105
|
|
|
97
|
|
|
93
|
|
|||
Dues and memberships
|
|
152
|
|
|
95
|
|
|
108
|
|
|||
Common stock expense
|
|
73
|
|
|
95
|
|
|
97
|
|
|||
Legal fees
|
|
400
|
|
|
79
|
|
|
363
|
|
|||
Donations
|
|
44
|
|
|
64
|
|
|
73
|
|
|||
Courier
|
|
149
|
|
|
57
|
|
|
59
|
|
|||
Impairment of goodwill
|
|
1,491
|
|
|
—
|
|
|
—
|
|
|||
Other
|
|
3,244
|
|
|
1,021
|
|
|
1,346
|
|
|||
|
|
$
|
30,275
|
|
|
$
|
12,968
|
|
|
$
|
11,860
|
|
|
|
2017
|
|
2016
|
|
2015
|
||||||
|
|
(In Thousands)
|
||||||||||
Trust income
|
|
$
|
3,449
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Wealth Management income
|
|
2,539
|
|
|
3,034
|
|
|
2,671
|
|
|||
Bank owned life insurance income
|
|
1,201
|
|
|
558
|
|
|
460
|
|
|||
Miscellaneous loan fees
|
|
719
|
|
|
599
|
|
|
461
|
|
|||
Fair value marks on loans held for sale
|
|
1,170
|
|
|
1,646
|
|
|
2,614
|
|
|||
Hedging gains (losses), net
|
|
(751
|
)
|
|
(1,329
|
)
|
|
(1,105
|
)
|
|||
ATM transaction fees
|
|
727
|
|
|
225
|
|
|
221
|
|
|||
Other
|
|
960
|
|
|
935
|
|
|
207
|
|
|||
|
|
$
|
10,014
|
|
|
$
|
5,668
|
|
|
$
|
5,529
|
|
|
|
Fair Value Measurement
at December 31, 2017 Using |
||||||||||||||
Description
|
|
Carrying
Value |
|
Quoted Prices in
Active Markets for Identical Assets (Level 1) |
|
Other
Observable Inputs (Level 2) |
|
Significant
Unobservable Inputs (Level 3) |
||||||||
|
|
(In Thousands)
|
||||||||||||||
Financial Assets-Recurring
|
|
|
||||||||||||||
Available-for-sale investment securities
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
U.S. Treasury notes
|
|
$
|
50
|
|
|
$
|
50
|
|
|
$
|
—
|
|
|
$
|
—
|
|
US Government agency
|
|
5,065
|
|
|
—
|
|
|
5,065
|
|
|
—
|
|
||||
Mortgage backed
|
|
260,455
|
|
|
—
|
|
|
260,455
|
|
|
—
|
|
||||
Corporate bonds
|
|
4,482
|
|
|
—
|
|
|
4,482
|
|
|
—
|
|
||||
Asset backed securities
|
|
33,600
|
|
|
—
|
|
|
29,321
|
|
|
4,279
|
|
||||
Certificates of deposit
|
|
1,981
|
|
|
—
|
|
|
1,981
|
|
|
—
|
|
||||
Municipals
|
|
100,434
|
|
|
—
|
|
|
100,434
|
|
|
—
|
|
||||
CRA Mutual fund
|
|
1,379
|
|
|
—
|
|
|
1,379
|
|
|
—
|
|
||||
Total available-for-sale investment securities
|
|
407,446
|
|
|
50
|
|
|
403,117
|
|
|
4,279
|
|
||||
Residential loans held for sale
|
|
31,999
|
|
|
—
|
|
|
31,999
|
|
|
—
|
|
||||
Derivative assets
|
|
420
|
|
|
—
|
|
|
—
|
|
|
420
|
|
||||
Total Financial Assets-Recurring
|
|
$
|
439,865
|
|
|
$
|
50
|
|
|
$
|
435,116
|
|
|
$
|
4,699
|
|
Financial Liabilities-Recurring
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Derivative liabilities
|
|
$
|
195
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
195
|
|
Total Financial Liabilities-Recurring
|
|
$
|
195
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
195
|
|
Financial Assets-Non-Recurring
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Impaired loans
(1)
|
|
$
|
4,626
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
4,626
|
|
Long-lived asset held for sale
|
|
643
|
|
|
|
|
—
|
|
|
643
|
|
|||||
Total Financial Assets-Non-Recurring
|
|
$
|
5,269
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
5,269
|
|
|
|
Fair Value Measurement
at December 31, 2016 Using |
||||||||||||||
Description
|
|
Carrying
Value |
|
Quoted Prices in
Active Markets for Identical Assets (Level 1) |
|
Other
Observable Inputs (Level 2) |
|
Significant
Unobservable Inputs (Level 3) |
||||||||
|
|
(In Thousands)
|
||||||||||||||
Financial Assets-Recurring
|
|
|
||||||||||||||
Available-for-sale investment securities
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
US Government agency
|
|
$
|
4,994
|
|
|
$
|
—
|
|
|
$
|
4,994
|
|
|
$
|
—
|
|
Mortgage backed
|
|
119,807
|
|
|
—
|
|
|
119,807
|
|
|
—
|
|
||||
Corporate bonds
|
|
8,666
|
|
|
—
|
|
|
8,666
|
|
|
—
|
|
||||
Asset backed securities
|
|
12,864
|
|
|
—
|
|
|
8,364
|
|
|
4,500
|
|
||||
Certificates of deposit
|
|
2,009
|
|
|
—
|
|
|
2,009
|
|
|
—
|
|
||||
Municipals - nontaxable
|
|
44,359
|
|
|
—
|
|
|
44,359
|
|
|
—
|
|
||||
CRA Mutual fund
|
|
1,391
|
|
|
—
|
|
|
1,391
|
|
|
—
|
|
||||
Total available-for-sale investment securities
|
|
194,090
|
|
|
—
|
|
|
189,590
|
|
|
4,500
|
|
||||
Residential loans held for sale
|
|
35,676
|
|
|
—
|
|
|
35,676
|
|
|
—
|
|
||||
Derivative assets
|
|
993
|
|
|
—
|
|
|
—
|
|
|
993
|
|
||||
Total Financial Assets-Recurring
|
|
$
|
230,759
|
|
|
$
|
—
|
|
|
$
|
225,266
|
|
|
$
|
5,493
|
|
Financial Liabilities-Recurring
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Derivative liabilities
|
|
$
|
325
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
325
|
|
Total Financial Liabilities-Recurring
|
|
$
|
325
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
325
|
|
Financial Assets-Non-Recurring
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Impaired loans
(1)
|
|
$
|
6,922
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
6,922
|
|
Total Financial Assets-Non-Recurring
|
|
$
|
6,922
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
6,922
|
|
|
|
Net Derivatives
|
|
Securities
Available-For- Sale |
|
Total
|
||||||
|
|
(In Thousands)
|
||||||||||
Balance January 1, 2017
|
|
$
|
668
|
|
|
$
|
4,500
|
|
|
$
|
5,168
|
|
Realized and unrealized losses included in earnings
|
|
(486
|
)
|
|
—
|
|
|
(486
|
)
|
|||
Unrealized gains (losses) included in other comprehensive income
|
|
43
|
|
|
(221
|
)
|
|
(178
|
)
|
|||
Purchases, settlements, paydowns, and maturities
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Transfer into Level 3
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Balance December 31, 2017
|
|
$
|
225
|
|
|
$
|
4,279
|
|
|
$
|
4,504
|
|
|
|
Net Derivatives
|
|
Securities
Available-For- Sale |
|
Total
|
||||||
|
|
(In Thousands)
|
||||||||||
Balance January 1, 2016
|
|
$
|
273
|
|
|
$
|
—
|
|
|
$
|
273
|
|
Realized and unrealized gains included in earnings
|
|
395
|
|
|
—
|
|
|
395
|
|
|||
Unrealized gains (losses) included in other comprehensive income
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Purchases, settlements, paydowns, and maturities
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Transfer into Level 3
|
|
—
|
|
|
4,500
|
|
|
4,500
|
|
|||
Balance December 31, 2016
|
|
$
|
668
|
|
|
$
|
4,500
|
|
|
$
|
5,168
|
|
2017
|
||||||||||
Description
|
|
Fair Value
Estimate |
|
Valuation
Techniques |
|
Unobservable
Input |
|
Range (Weighted
Average) |
||
|
|
(In Thousands)
|
||||||||
Financial Assets - Recurring
|
|
|
|
|
|
|
|
|
|
|
Asset-backed securities
|
|
$
|
4,279
|
|
|
Valuation service
|
|
Discounted cash flows
|
|
3% - 6% (5.0%)
|
Derivative assets
|
|
$
|
420
|
|
|
Market pricing (3)
|
|
Estimated pullthrough
|
|
75% - 90% (89.0%)
|
Derivative liabilities
|
|
$
|
195
|
|
|
Market pricing (3)
|
|
Estimated pullthrough
|
|
75% - 90% (89.0%)
|
Financial Assets - Non-recurring
|
|
|
|
|
|
|
|
|
|
|
Impaired loans - Real estate secured
|
|
$
|
2,736
|
|
|
Appraisal of collateral (1)
|
|
Liquidation expenses (2)
|
|
0% - 15% (10%)
|
Impaired loans - Non-real estate secured
|
|
$
|
1,890
|
|
|
Cash flow basis
|
|
Liquidation expenses (2)
|
|
0% - 10% (5%)
|
(1)
|
Fair value is generally determined through independent appraisals of the underlying collateral on real estate secured loans, which generally include various level 3 inputs which are not identifiable.
|
(2)
|
Valuations of impaired loans may be adjusted by management for qualitative factors such as liquidation expenses. The range and weighted average of liquidation expense adjustments are presented as a percent of the appraisal.
|
(3)
|
Market pricing on derivative assets and liabilities is adjusted by management for the anticipated percent of derivative assets and liabilities that will create a realized gain or loss. The range and weighted average of estimated pull-through is presented.
|
2016
|
||||||||||
Description
|
|
Fair Value
Estimate |
|
Valuation
Techniques |
|
Unobservable
Input |
|
Range (Weighted
Average) |
||
|
|
(In Thousands)
|
||||||||
Financial Assets - Recurring
|
|
|
|
|
|
|
|
|
|
|
Asset-backed securities
|
|
$
|
4,500
|
|
|
Valuation service
|
|
Discounted cash flows
|
|
3% - 6% (5.0%)
|
Derivative assets
|
|
$
|
993
|
|
|
Market pricing (3)
|
|
Estimated pullthrough
|
|
75% - 90% (89.0%)
|
Derivative liabilities
|
|
$
|
325
|
|
|
Market pricing (3)
|
|
Estimated pullthrough
|
|
75% - 90% (89.0%)
|
Financial Assets - Non-recurring
|
|
|
|
|
|
|
|
|
|
|
Impaired loans - Real estate secured
|
|
$
|
1,371
|
|
|
Appraisal of collateral (1)
|
|
Liquidation expenses (2)
|
|
0% - 15% (10%)
|
Impaired loans - Non-real estate secured
|
|
$
|
5,551
|
|
|
Cash flow basis
|
|
Liquidation expenses (2)
|
|
0% - 10% (5%)
|
(1)
|
Fair value is generally determined through independent appraisals of the underlying collateral on real estate secured loans, which generally include various level 3 inputs which are not identifiable.
|
(2)
|
Valuations of impaired loans may be adjusted by management for qualitative factors such as liquidation expenses. The range and weighted average of liquidation expense adjustments are presented as a percent of the appraisal.
|
(3)
|
Market pricing on derivative assets and liabilities is adjusted by management for the anticipated percent of derivative assets and liabilities that will create a realized gain or loss. The range and weighted average of estimated pull-through is presented.
|
|
|
December 31, 2017
|
||||||||||
(In Thousands)
|
|
Aggregate
Fair Value |
|
Difference
|
|
Contractual
Principal |
||||||
Residential mortgage loans held for sale
|
|
$
|
31,999
|
|
|
$
|
1,102
|
|
|
$
|
30,897
|
|
|
|
December 31, 2016
|
||||||||||
(In Thousands)
|
|
Aggregate
Fair Value |
|
Difference
|
|
Contractual
Principal |
||||||
Residential mortgage loans held for sale
|
|
$
|
35,676
|
|
|
$
|
1,004
|
|
|
$
|
34,672
|
|
|
|
December 31,
|
||||||||||||||
|
|
2017
|
|
2016
|
||||||||||||
|
|
Carrying
Amount |
|
Estimated
Fair Value |
|
Carrying
Amount |
|
Estimated
Fair Value |
||||||||
|
|
(In Thousands)
|
||||||||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Cash and short-term investments
|
|
$
|
122,313
|
|
|
$
|
122,313
|
|
|
$
|
91,059
|
|
|
$
|
91,059
|
|
Securities available-for-sale
|
|
407,446
|
|
|
407,446
|
|
|
194,090
|
|
|
194,090
|
|
||||
Securities held-to-maturity
|
|
15,721
|
|
|
16,379
|
|
|
9,200
|
|
|
9,293
|
|
||||
Restricted stock
|
|
16,572
|
|
|
16,572
|
|
|
10,092
|
|
|
10,092
|
|
||||
Loans, net of allowance
|
|
1,995,103
|
|
|
2,016,530
|
|
|
1,069,366
|
|
|
1,080,820
|
|
||||
Derivatives
|
|
420
|
|
|
420
|
|
|
993
|
|
|
993
|
|
||||
Total financial assets
|
|
$
|
2,557,575
|
|
|
$
|
2,579,660
|
|
|
$
|
1,374,800
|
|
|
$
|
1,386,347
|
|
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Deposits
|
|
$
|
2,234,148
|
|
|
$
|
2,161,134
|
|
|
$
|
1,054,327
|
|
|
$
|
1,040,402
|
|
Short-term borrowings
|
|
145,993
|
|
|
145,396
|
|
|
186,009
|
|
|
185,910
|
|
||||
Long-term borrowings
|
|
43,883
|
|
|
43,703
|
|
|
60,000
|
|
|
59,954
|
|
||||
Derivatives
|
|
195
|
|
|
195
|
|
|
325
|
|
|
325
|
|
||||
Total financial liabilities
|
|
$
|
2,424,219
|
|
|
$
|
2,350,428
|
|
|
$
|
1,300,661
|
|
|
$
|
1,286,591
|
|
|
|
Commercial
Banking |
|
Mortgage
Banking |
|
Wealth
Management |
|
Other
|
|
Eliminations
|
|
Consolidated
Totals |
||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||
2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest income
|
|
$
|
94,577
|
|
|
$
|
1,141
|
|
|
$
|
7
|
|
|
$
|
25
|
|
|
$
|
(270
|
)
|
|
$
|
95,480
|
|
Gain on sale of loans
|
|
136
|
|
|
19,944
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
20,080
|
|
||||||
Other revenues
|
|
6,270
|
|
|
(307
|
)
|
|
5,988
|
|
|
1,453
|
|
|
(1,392
|
)
|
|
12,012
|
|
||||||
Total operating income
|
|
100,983
|
|
|
20,778
|
|
|
5,995
|
|
|
1,478
|
|
|
(1,662
|
)
|
|
127,572
|
|
||||||
Expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest expense
|
|
10,912
|
|
|
(6
|
)
|
|
—
|
|
|
472
|
|
|
(270
|
)
|
|
11,108
|
|
||||||
Salaries and employee benefits
|
|
28,108
|
|
|
11,958
|
|
|
3,849
|
|
|
—
|
|
|
—
|
|
|
43,915
|
|
||||||
Other expenses
|
|
28,998
|
|
|
4,338
|
|
|
3,460
|
|
|
8,668
|
|
|
(1,392
|
)
|
|
44,072
|
|
||||||
Total operating expenses
|
|
68,018
|
|
|
16,290
|
|
|
7,309
|
|
|
9,140
|
|
|
(1,662
|
)
|
|
99,095
|
|
||||||
Income (loss) before income taxes
|
|
$
|
32,965
|
|
|
$
|
4,488
|
|
|
$
|
(1,314
|
)
|
|
$
|
(7,662
|
)
|
|
$
|
—
|
|
|
$
|
28,477
|
|
Total assets
|
|
$
|
2,827,041
|
|
|
$
|
31,999
|
|
|
$
|
10,967
|
|
|
$
|
21,727
|
|
|
$
|
(17,840
|
)
|
|
$
|
2,873,894
|
|
Capital expenditures
|
|
$
|
1,566
|
|
|
$
|
—
|
|
|
$
|
1
|
|
|
$
|
27
|
|
|
$
|
—
|
|
|
$
|
1,594
|
|
|
|
Commercial
Banking |
|
Mortgage
Banking |
|
Wealth
Management |
|
Other
|
|
Eliminations
|
|
Consolidated
Totals |
||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||
2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest income
|
|
$
|
49,063
|
|
|
$
|
1,767
|
|
|
$
|
—
|
|
|
$
|
20
|
|
|
$
|
(835
|
)
|
|
$
|
50,015
|
|
Gain on sale of loans
|
|
—
|
|
|
25,164
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
25,164
|
|
||||||
Other revenues
|
|
3,893
|
|
|
(424
|
)
|
|
3,034
|
|
|
1,401
|
|
|
(1,265
|
)
|
|
6,639
|
|
||||||
Total operating income
|
|
52,956
|
|
|
26,507
|
|
|
3,034
|
|
|
1,421
|
|
|
(2,100
|
)
|
|
81,818
|
|
||||||
Expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest expense
|
|
6,324
|
|
|
548
|
|
|
—
|
|
|
267
|
|
|
(835
|
)
|
|
6,304
|
|
||||||
Salaries and employee benefits
|
|
16,015
|
|
|
13,541
|
|
|
2,222
|
|
|
—
|
|
|
—
|
|
|
31,778
|
|
||||||
Other expenses
|
|
9,232
|
|
|
5,354
|
|
|
1,034
|
|
|
3,777
|
|
|
(1,265
|
)
|
|
18,132
|
|
||||||
Total operating expenses
|
|
31,571
|
|
|
19,443
|
|
|
3,256
|
|
|
4,044
|
|
|
(2,100
|
)
|
|
56,214
|
|
||||||
Income (loss) before income taxes
|
|
$
|
21,385
|
|
|
$
|
7,064
|
|
|
$
|
(222
|
)
|
|
$
|
(2,623
|
)
|
|
$
|
—
|
|
|
$
|
25,604
|
|
Total assets
|
|
$
|
1,394,061
|
|
|
$
|
39,356
|
|
|
$
|
2,841
|
|
|
$
|
18,037
|
|
|
$
|
(23,587
|
)
|
|
$
|
1,430,708
|
|
Capital expenditures
|
|
$
|
826
|
|
|
$
|
3
|
|
|
$
|
2
|
|
|
$
|
40
|
|
|
$
|
—
|
|
|
$
|
871
|
|
|
|
Commercial
Banking |
|
Mortgage
Banking |
|
Wealth
Management |
|
Other
|
|
Eliminations
|
|
Consolidated
Totals |
||||||||||||
|
|
(In Thousands)
|
||||||||||||||||||||||
2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest income
|
|
$
|
42,763
|
|
|
$
|
1,650
|
|
|
$
|
—
|
|
|
$
|
16
|
|
|
$
|
(763
|
)
|
|
$
|
43,666
|
|
Gain on sale of loans
|
|
—
|
|
|
19,633
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
19,633
|
|
||||||
Other revenues
|
|
3,229
|
|
|
388
|
|
|
2,671
|
|
|
1,391
|
|
|
(1,247
|
)
|
|
6,432
|
|
||||||
Total operating income
|
|
45,992
|
|
|
21,671
|
|
|
2,671
|
|
|
1,407
|
|
|
(2,010
|
)
|
|
69,731
|
|
||||||
Expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest expense
|
|
4,135
|
|
|
467
|
|
|
—
|
|
|
280
|
|
|
(763
|
)
|
|
4,119
|
|
||||||
Salaries and employee benefits
|
|
13,519
|
|
|
11,470
|
|
|
1,977
|
|
|
—
|
|
|
—
|
|
|
26,966
|
|
||||||
Other expenses
|
|
7,732
|
|
|
5,087
|
|
|
1,116
|
|
|
2,362
|
|
|
(1,247
|
)
|
|
15,050
|
|
||||||
Total operating expenses
|
|
25,386
|
|
|
17,024
|
|
|
3,093
|
|
|
2,642
|
|
|
(2,010
|
)
|
|
46,135
|
|
||||||
Income (loss) before income taxes
|
|
$
|
20,606
|
|
|
$
|
4,647
|
|
|
$
|
(422
|
)
|
|
$
|
(1,235
|
)
|
|
$
|
—
|
|
|
$
|
23,596
|
|
Total assets
|
|
$
|
1,133,916
|
|
|
$
|
46,077
|
|
|
$
|
3,205
|
|
|
$
|
16,837
|
|
|
$
|
(21,487
|
)
|
|
$
|
1,178,548
|
|
Capital expenditures
|
|
$
|
252
|
|
|
$
|
15
|
|
|
$
|
24
|
|
|
$
|
9
|
|
|
$
|
—
|
|
|
$
|
300
|
|
|
|
Year Ended December 31,
|
||||||
|
|
2017
|
|
2016
|
||||
|
|
(In Thousands)
|
||||||
Assets
|
|
|
|
|
|
|
||
Cash
|
|
$
|
10,949
|
|
|
$
|
11,339
|
|
Investment in subsidiaries
|
|
410,981
|
|
|
109,825
|
|
||
Other assets
|
|
1,792
|
|
|
585
|
|
||
Total assets
|
|
$
|
423,722
|
|
|
$
|
121,749
|
|
Liabilities
|
|
|
|
|
|
|
||
Other liabilities
|
|
$
|
2,098
|
|
|
$
|
1,219
|
|
Total liabilities
|
|
2,098
|
|
|
1,219
|
|
||
Shareholders' Equity
|
|
|
|
|
|
|
||
Common stock
|
|
17,146
|
|
|
8,881
|
|
||
Capital surplus
|
|
307,614
|
|
|
21,779
|
|
||
Retained earnings
|
|
98,584
|
|
|
91,439
|
|
||
Accumulated other comprehensive loss
|
|
(1,720
|
)
|
|
(1,569
|
)
|
||
Total shareholders' equity
|
|
421,624
|
|
|
120,530
|
|
||
Total liabilities and shareholders' equity
|
|
$
|
423,722
|
|
|
$
|
121,749
|
|
|
|
Year Ended December 31,
|
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
|
|
(In Thousands)
|
||||||||||
Income
|
|
|
|
|
|
|
|
|
|
|||
Dividends from subsidiaries
|
|
$
|
4,500
|
|
|
$
|
8,000
|
|
|
$
|
8,625
|
|
Interest
|
|
25
|
|
|
20
|
|
|
15
|
|
|||
Other
|
|
222
|
|
|
134
|
|
|
113
|
|
|||
|
|
4,747
|
|
|
8,154
|
|
|
8,753
|
|
|||
Expenses
|
|
|
|
|
|
|
|
|
|
|||
Other expenses
|
|
7,981
|
|
|
3,079
|
|
|
1,660
|
|
|||
Total expenses
|
|
7,981
|
|
|
3,079
|
|
|
1,660
|
|
|||
Income (loss) before income taxes and undistributed income of subsidiaries
|
|
(3,234
|
)
|
|
5,075
|
|
|
7,093
|
|
|||
Income tax benefit
|
|
(2,242
|
)
|
|
(588
|
)
|
|
(467
|
)
|
|||
Income (loss) before undistributed income of subsidiaries
|
|
(992
|
)
|
|
5,663
|
|
|
7,560
|
|
|||
Undistributed income of subsidiaries
|
|
17,492
|
|
|
10,741
|
|
|
7,859
|
|
|||
Net income
|
|
$
|
16,500
|
|
|
$
|
16,404
|
|
|
$
|
15,419
|
|
|
|
Year Ended December 31,
|
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
Net income
|
|
$
|
16,500
|
|
|
$
|
16,404
|
|
|
$
|
15,419
|
|
Other comprehensive income:
|
|
|
|
|
|
|
|
|
|
|||
Unrealized gains (losses) on securities
|
|
|
|
|
|
|
|
|
|
|||
Unrealized holding gains (losses) arising during period
|
|
(417
|
)
|
|
(816
|
)
|
|
(528
|
)
|
|||
Less: reclassification adjustment for gains included in net income
|
|
—
|
|
|
(52
|
)
|
|
(188
|
)
|
|||
Unrealized gains on interest rate swaps
|
|
64
|
|
|
—
|
|
|
—
|
|
|||
Tax effect
|
|
146
|
|
|
304
|
|
|
255
|
|
|||
Net of tax amount
|
|
(207
|
)
|
|
(564
|
)
|
|
(461
|
)
|
|||
Comprehensive income
|
|
$
|
16,293
|
|
|
$
|
15,840
|
|
|
$
|
14,958
|
|
|
|
Year Ended December 31,
|
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
|
|
(In Thousands)
|
||||||||||
Cash Flows from Operating Activities
|
|
|
|
|
|
|
|
|
|
|||
Net income
|
|
$
|
16,500
|
|
|
$
|
16,404
|
|
|
$
|
15,419
|
|
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
|
|
|
|
|
|
|
|
|
|
|||
Undistributed income of subsidiaries
|
|
(17,492
|
)
|
|
(10,741
|
)
|
|
(7,859
|
)
|
|||
(Increase) decrease in other assets
|
|
(990
|
)
|
|
3
|
|
|
12
|
|
|||
Increase (decrease) in other liabilities
|
|
1,418
|
|
|
51
|
|
|
(75
|
)
|
|||
Stock-based compensation
|
|
495
|
|
|
335
|
|
|
332
|
|
|||
Net cash provided by (used in) operating activities
|
|
(69
|
)
|
|
6,052
|
|
|
7,829
|
|
|||
Cash Flows from Investing Activities
|
|
|
|
|
|
|
|
|
|
|||
Payments for investments in and advances to subsidiaries
|
|
146
|
|
|
(127
|
)
|
|
(592
|
)
|
|||
Cash acquired in business combination
|
|
3
|
|
|
—
|
|
|
—
|
|
|||
Cash paid in business combination
|
|
(608
|
)
|
|
—
|
|
|
—
|
|
|||
Sale or repayment of investments in and advances to subsidiaries
|
|
1,167
|
|
|
728
|
|
|
968
|
|
|||
Net cash provided by investing activities
|
|
708
|
|
|
601
|
|
|
376
|
|
|||
Cash Flows from Financing Activities
|
|
|
|
|
|
|
|
|
|
|||
Net proceeds from issuance of common stock
|
|
8,326
|
|
|
1,567
|
|
|
1,145
|
|
|||
Dividends paid
|
|
(9,355
|
)
|
|
(6,350
|
)
|
|
(9,866
|
)
|
|||
Net cash provided by (used in) financing activities
|
|
(1,029
|
)
|
|
(4,783
|
)
|
|
(8,721
|
)
|
|||
Increase (decrease) in cash and cash equivalents
|
|
(390
|
)
|
|
1,870
|
|
|
(516
|
)
|
|||
Cash and Cash Equivalents
|
|
|
|
|
|
|
|
|
|
|||
Beginning
|
|
11,339
|
|
|
9,469
|
|
|
9,985
|
|
|||
Ending
|
|
$
|
10,949
|
|
|
$
|
11,339
|
|
|
$
|
9,469
|
|
(In Thousands)
|
December 31, 2017
|
||||||||||
Intangible assets subject to amortization:
|
Cost
|
|
Accumulated Amortization
|
|
Net Book Value
|
||||||
|
|
|
|
|
|
||||||
Core deposit intangible
|
$
|
16,057
|
|
|
$
|
(2,408
|
)
|
|
$
|
13,649
|
|
Customer lists
|
5,214
|
|
|
(308
|
)
|
|
4,906
|
|
|||
Non-compete agreements
|
117
|
|
|
(60
|
)
|
|
57
|
|
|||
Total
|
$
|
21,388
|
|
|
$
|
(2,776
|
)
|
|
$
|
18,612
|
|
|
|
|
|
|
|
||||||
(In Thousands)
|
December 31, 2016
|
||||||||||
Intangible assets subject to amortization:
|
Cost
|
|
Accumulated Amortization
|
|
Net Book Value
|
||||||
|
|
|
|
|
|
||||||
Customer lists
|
$
|
364
|
|
|
$
|
(43
|
)
|
|
$
|
321
|
|
Non-compete agreements
|
25
|
|
|
(14
|
)
|
|
11
|
|
|||
Total
|
$
|
389
|
|
|
$
|
(57
|
)
|
|
$
|
332
|
|
Year
|
|
Amount
|
||
|
|
(In Thousands)
|
||
2018
|
|
$
|
3,341
|
|
2019
|
|
2,949
|
|
|
2020
|
|
2,581
|
|
|
2021
|
|
2,224
|
|
|
2022
|
|
1,868
|
|
|
Thereafter
|
|
5,649
|
|
|
|
|
$
|
18,612
|
|
|
December 31, 2017
|
||||||||||||||||||||
|
Positions (#)
|
|
Notional Amount
(in thousands)
|
|
Asset
(in thousands)
|
|
Liability
(in thousands)
|
|
Receive Rate
|
|
Pay
Rate
|
|
Life (Years)
|
||||||||
Pay fixed - receive floating interest rate swap
|
1
|
|
$
|
5,155
|
|
|
$
|
—
|
|
|
$
|
81
|
|
|
1.36
|
%
|
|
2.59
|
%
|
|
2.9
|
Pay fixed - receive floating interest rate swap
|
1
|
|
$
|
10,000
|
|
|
$
|
29
|
|
|
$
|
—
|
|
|
1.49
|
%
|
|
1.43
|
%
|
|
0.9
|
|
December 31, 2017
|
||||||||||||||||||||
|
Positions (#)
|
|
Notional Amount
(in thousands)
|
|
Asset
(in thousands)
|
|
Liability
(in thousands)
|
|
Receive Rate
|
|
Pay
Rate |
|
Life (Years)
|
||||||||
Pay fixed - receive floating interest rate swap
|
1
|
|
$
|
3,224
|
|
|
$
|
96
|
|
|
$
|
—
|
|
|
1 month
LIBOR plus 200 BP |
|
|
3.90
|
%
|
|
9.8
|
Pay fixed - receive floating interest rate swap
|
1
|
|
1,615
|
|
|
—
|
|
|
22
|
|
|
1 month
LIBOR plus 180 BP |
|
|
4.09
|
%
|
|
7.0
|
|||
Pay floating - receive fixed interest rate swap
|
1
|
|
3,224
|
|
|
—
|
|
|
96
|
|
|
3.90
|
%
|
|
1 month
LIBOR plus 200 BP |
|
|
9.8
|
|||
Pay floating - receive fixed interest rate swap
|
1
|
|
1,615
|
|
|
22
|
|
|
—
|
|
|
4.09
|
%
|
|
1 month
LIBOR plus 180 BP |
|
|
7.0
|
|||
Total derivatives not designated
|
|
|
$
|
9,886
|
|
|
$
|
44
|
|
|
$
|
44
|
|
|
|
|
|
|
|
December 31, 2017
|
|||||||||||||||||||||||
(Dollars in thousands)
|
|||||||||||||||||||||||
Notional Amount
|
|
Termination Date
|
|
3-Month LIBOR Strike Rate
|
|
Premium Paid
|
|
Unamortized Premium at December 31, 2015
|
|
Fair Value
December 31, 2015
|
|
Cumulative Cash Flows Received
|
|||||||||||
$
|
10,000
|
|
|
September 8, 2018
|
|
2.00
|
%
|
|
$
|
70
|
|
|
$
|
70
|
|
|
$
|
1
|
|
|
$
|
—
|
|
Consideration paid:
|
|
|
|
|
Common shares issued (9,516,097)
|
|
$
|
285,679
|
|
Cash paid to shareholders
|
|
608
|
|
|
Value of consideration
|
|
286,287
|
|
|
|
|
|
||
Fair value of assets acquired:
|
|
|
||
Cash and cash equivalents
|
|
$
|
90,940
|
|
Investment securities
|
|
244,123
|
|
|
Restricted stock
|
|
4,119
|
|
|
Loans
|
|
815,785
|
|
|
Bank premises and equipment
|
|
21,920
|
|
|
OREO
|
|
3,919
|
|
|
Intangibles
|
|
21,436
|
|
|
Bank owned life insurance
|
|
24,080
|
|
|
Other assets
|
|
26,343
|
|
|
Total assets
|
|
1,252,665
|
|
|
|
|
|
||
Fair value of liabilities assumed:
|
|
|
||
Deposits
|
|
1,056,619
|
|
|
Short-term borrowings
|
|
26,033
|
|
|
Long-term borrowings
|
|
29,892
|
|
|
Trust preferred debentures
|
|
3,824
|
|
|
Other liabilities
|
|
16,721
|
|
|
Total liabilities
|
|
1,133,089
|
|
|
|
|
|
||
Net assets acquired
|
|
119,576
|
|
|
Goodwill resulting from merger with Middleburg
|
|
$
|
166,103
|
|
Contractual principal and interest at acquisition
|
|
$
|
7,835
|
|
Nonaccretable difference
|
|
(3,427
|
)
|
|
Expected cash flows at acquisition
|
|
4,408
|
|
|
Accretable yield
|
|
(186
|
)
|
|
Fair value of purchased impaired loans
|
|
$
|
4,222
|
|
|
|
Pro Forma for the Year Ended
|
|
Pro Forma for the Year Ended
|
||||
(In Thousands Except for Per Share Data)
|
|
December 31, 2017
|
|
December 31, 2016
|
|
|||
Revenues (net interest income plus noninterest income)
|
|
$
|
128,049
|
|
|
125,203
|
|
|
Net income
|
|
20,814
|
|
|
20,246
|
|
||
Net income per diluted share
|
|
$
|
1.02
|
|
|
$
|
1.00
|
|
(a)
|
Exhibit Index
:
|
Exhibit No.
|
|
Description
|
|
|
|
2.1
|
|
|
3.1
|
|
|
3.1.1
|
|
|
3.2
|
|
|
4
|
|
|
|
|
Certain instruments relating to long-term debt as to which the total amount of securities authorized thereunder does not exceed 10% of Access National Corporation’s total assets have been omitted in accordance with Item 601(b)(4)(iii) of Regulation S-K. The registrant will furnish a copy of any such instrument to the Securities and Exchange Commission upon its request.
|
10.2+
|
|
|
10.2.1+
|
|
|
10.2.2+
|
|
|
10.2.3+
|
|
|
10.5*+
|
|
|
10.6*+
|
|
|
10.10+
|
|
|
10.10.1+
|
|
|
10.10.2+
|
|
|
10.13+
|
|
|
10.14+
|
|
|
10.15+
|
|
|
10.16+
|
|
|
10.17+
|
|
|
10.21+
|
|
|
10.22+
|
|
|
10.23*+
|
|
|
10.24*+
|
|
|
|
|
|
21*
|
|
|
23*
|
|
|
24*
|
|
|
31.1*
|
|
|
31.2*
|
|
|
32*
|
|
|
101*
|
|
The following materials from Access National Corporation’s Annual Report on Form 10-K for the year ended December 31, 2017, formatted in XBRL (Extensible Business Reporting Language), filed herewith: (i) Consolidated Balance Sheets, (ii) Consolidated Statements of Income,(iii) Consolidated Statements of Comprehensive Income, (iv) Consolidated Statements of Changes in Shareholders’ Equity, (v) Consolidated Statements of Cash Flows, and (vi) Notes to Consolidated Financial Statements.
|
101.INS*
|
|
XBRL Instance Document
|
101.SCH*
|
|
XBRL Taxonomy Extension Schema
|
101.CAL*
|
|
XBRL Taxonomy Extension Calculation Linkbase
|
101.DEF*
|
|
XBRL Taxonomy Extension Definition Linkbase
|
101.LAB*
|
|
XBRL Taxonomy Extension Label Linkbase
|
101.PRE*
|
|
XBRL Taxonomy Extension Presentation Linkbase
|
|
|
|
Access National Corporation
(Registrant)
|
|
|
|
|
Date:
|
April 4, 2018
|
By:
|
/s/ Michael W. Clarke
|
|
|
|
Michael W. Clarke
|
|
|
|
President and Chief Executive Officer
|
|
|
|
|
Date:
|
April 4, 2018
|
By:
|
/s/ Margaret M. Taylor
|
|
|
|
Margaret M. Taylor
|
|
|
|
Executive Vice President and Chief Financial Officer
|
Signature
|
|
Title
|
|
Date
|
|
|
|
|
|
/s/ Michael W. Clarke
|
|
|
|
|
Michael W. Clarke
|
|
President, Chief Executive Officer & Director
(Principal Executive Officer)
|
|
April 4, 2018
|
|
|
|
|
|
/s/ John C. Lee IV
|
|
|
|
|
John C. Lee IV
|
|
Chairman & Director
|
|
April 4, 2018
|
|
|
|
|
|
/s/ John W. Edgemond IV
|
|
|
|
|
John W. Edgemond IV
|
|
Director
|
|
April 4, 2018
|
|
|
|
|
|
/s/ Martin S. Friedman
|
|
|
|
|
Martin S. Friedman
|
|
Director
|
|
April 4, 2018
|
|
|
|
|
|
/s/ Michael G. Anzilotti
|
|
|
|
|
Michael G. Anzilotti
|
|
Director
|
|
April 4, 2018
|
|
|
|
|
|
/s/ Thomas M. Kody
|
|
|
|
|
Thomas M. Kody
|
|
Director
|
|
April 4, 2018
|
|
|
|
|
|
/s/ Robert C. Shoemaker
|
|
|
|
|
Robert C. Shoemaker
|
|
Director
|
|
April 4, 2018
|
|
|
|
|
|
/s/ J. Randolph Babbitt
|
|
|
|
|
J. Randolph Babbitt
|
|
Director
|
|
April 4, 2018
|
|
|
|
|
|
/s/ Childs F. Burden
|
|
|
|
|
Childs F. Burden
|
|
Director
|
|
April 4, 2018
|
|
|
|
|
|
/s/ Gary D. LeClair
|
|
|
|
|
Gary D. LeClair
|
|
Director
|
|
April 4, 2018
|
|
|
|
|
|
/s/ Mary Leigh McDaniel
|
|
|
|
|
Mary Leigh McDaniel
|
|
Director
|
|
April 4, 2018
|
|
|
|
|
|
/s/ Janet A. Neuharth
|
|
|
|
|
Janet A. Neuharth
|
|
Director
|
|
April 4, 2018
|
|
|
|
|
|
/s/ Margaret M. Taylor
|
|
|
|
|
Margaret M. Taylor
|
|
Executive Vice President and Chief Financial
Officer
(Principal Financial Officer and Principal
Accounting Officer)
|
|
April 4, 2018
|
|
|
|
|
|
/s/ Jeffrey H. Culver
|
|
|
|
|
Jeffrey H. Culver
|
|
Executive Vice President and Chief Operating Officer
|
|
April 4, 2018
|
|
|
2018
|
|
2017
|
|
2016
|
||||||
Name/Position
|
|
Retainer
|
|
Retainer
|
|
Retainer
|
||||||
Martin S. Friedman, Non-Employee Director
|
|
$
|
24,000
|
|
|
$
|
27,000
|
|
|
$
|
36,000
|
|
Thomas M. Kody, Non-Employee Director
|
|
$
|
24,000
|
|
|
$
|
27,000
|
|
|
$
|
36,000
|
|
John W. Edgemond IV, Non-Employee Director
|
|
$
|
24,000
|
|
|
$
|
27,000
|
|
|
$
|
36,000
|
|
J. Randolph Babbitt, Non-Employee Director
|
|
$
|
24,000
|
|
|
$
|
27,000
|
|
|
$
|
36,000
|
|
Michael G. Anzilotti, Non-Employee Director
|
|
$
|
36,000
|
|
|
$
|
39,000
|
|
|
$
|
48,000
|
|
John C. Lee, IV, Chairman and Non-Employee Director
|
|
$
|
36,000
|
|
|
$
|
27,000
|
|
|
$
|
—
|
|
Childs F. Burden, Non-Employee Director
|
|
$
|
24,000
|
|
|
$
|
18,000
|
|
|
$
|
—
|
|
Mary Leigh McDaniel, Non-Employee Director
|
|
$
|
24,000
|
|
|
$
|
18,000
|
|
|
$
|
—
|
|
Gary D. LeClair, Non-Employee Director
|
|
$
|
24,000
|
|
|
$
|
18,000
|
|
|
$
|
—
|
|
Janet A. Neuharth, Non-Employee Director
|
|
$
|
24,000
|
|
|
$
|
18,000
|
|
|
$
|
—
|
|
Michael W. Clarke
|
$
|
585,000
|
|
President and Chief Executive Officer
|
|
|
|
|
|
|
|
Dean Hackemer
|
$
|
386,250
|
|
President, Mortgage Division
|
|
|
|
|
|
|
|
Mark D. Moore
|
$
|
300,007
|
|
President, Bank
|
|
|
|
|
|
|
|
Robert C. Shoemaker
|
$
|
334,750
|
|
Executive Vice President
|
|
|
|
|
|
|
|
Margaret M. Taylor
|
$
|
314,150
|
|
Executive Vice President and Chief Financial Officer
|
|
|
|
|
|
||
Jeffrey C. Culver
|
$
|
320,000
|
|
Executive Vice President and Chief Operating Officer
|
|
•
|
Where the disclosure is made (a) in confidence to a federal, state or local government official, either directly or indirectly, or to an attorney; and (b) solely for the purpose of reporting or investigating a suspected violation of law; or
|
•
|
Where the disclosure is made in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal.
|
|
ACCESS NATIONAL BANK
|
|
|
|
|
|
|
Date: March 30, 2018
|
By:
|
/s/ Michael W. Clarke
|
|
|
Its
|
CEO
|
|
|
|
|
|
|
1800 Robert Fulton Drive, Suite 300
|
|
|
|
Reston, Virginia 20191
|
|
|
|
|
|
|
|
|
|
|
|
EXECUTIVE
|
|
|
|
|
|
|
Date: March 30, 2018
|
/s/ Mark D. Moore
|
|
|
|
Mark D. Moore
|
|
|
|
|
|
|
|
2605 Chilcott Court
|
|
|
|
Vienna, Virginia 22181
|
|
March 30, 2018
|
|
/s/ Mark D. Moore
|
|
Date
|
|
Mark D. Moore
|
•
|
Where the disclosure is made (a) in confidence to a federal, state or local government official, either directly or indirectly, or to an attorney; and (b) solely for the purpose of reporting or investigating a suspected violation of law; or
|
•
|
Where the disclosure is made in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal.
|
|
ACCESS NATIONAL BANK
|
|
|
|
|
|
|
Date: March 30, 2018
|
By:
|
/s/ Michael W. Clarke
|
|
|
Its
|
CEO
|
|
|
|
|
|
|
1800 Robert Fulton Drive, Suite 300
|
|
|
|
Reston, Virginia 20191
|
|
|
|
|
|
|
|
|
|
|
|
EXECUTIVE
|
|
|
|
|
|
|
Date: March 30, 2018
|
/s/ David J. Leudemann
|
|
|
|
David J. Leudemann
|
|
|
|
|
|
|
|
18321 Mid Ocean Place
|
|
|
|
Leesburg, Virginia 20176
|
|
March 30, 2018
|
|
/s/ David J. Leudemann
|
|
Date
|
|
David J. Leudemann
|
Subsidiary and Name Under Which
Business is Done
|
|
Jurisdiction of Incorporation
or Organization
|
|
|
|
Access National Bank
|
|
United States
|
Access National Leasing Corporation (inactive)
|
|
Virginia
|
Access Capital Management Holding, LLC
|
|
Virginia
|
Capital Fiduciary Advisors, L.L.C.
|
|
Virginia
|
Access Investment Services, L.L.C.
|
|
Virginia
|
Access Insurance Group, L.L.C. (inactive)
|
|
Virginia
|
Acme Real Estate LLC
|
|
Virginia
|
Access Real Estate LLC
|
|
Virginia
|
|
|
|
Middleburg Investment Group
|
|
Virginia
|
Middleburg Trust Company
|
|
Virginia
|
1.
|
I have reviewed this annual report on Form 10-K of Access National Corporation;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(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)
|
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
|
5.
|
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
(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:
|
April 4, 2018
|
|
|
|
|
|
|
/s/ Michael W. Clarke
|
|
|
Michael W. Clarke
|
|
|
President and Chief Executive Officer
|
1.
|
I have reviewed this annual report on Form 10-K of Access National Corporation;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(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)
|
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
|
5.
|
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
(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:
|
April 4, 2018
|
|
|
|
|
|
|
/s/ Margaret M. Taylor
|
|
|
Margaret M. Taylor
|
|
|
Executive Vice President and Chief
|
|
|
Financial Officer
|
1.
|
The Report fully complies with the requirements of Section 15(d) of the Securities Exchange Act of 1934, as amended; and
|
2.
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Corporation.
|
/s/ Michael W. Clarke
|
|
Michael W. Clarke
|
|
President and Chief Executive Officer
|
|
April 4, 2018
|
|
|
|
/s/ Margaret M. Taylor
|
|
Margaret M. Taylor
|
|
Executive Vice President and Chief Financial Officer
|
|
April 4, 2018
|
|