v3.26.1
FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)
 6 Months Ended
Jun. 30, 2026
FAIR VALUE OF FINANCIAL INSTRUMENTS [Abstract]  
Assets and Liabilities Measured on Recurring Basis
Assets and liabilities measured at fair value on a recurring basis are summarized below:
 
 Fair Value Measurements at June 30, 2026 Using
 Quoted Prices in Active Significant Other  Significant 
 Markets for Identical Assets Observable Inputs  Unobservable Inputs 
  (Level 1)   (Level 2)   (Level 3) 
Assets:            
U.S. Government securities$83,839  $-  $- 
U.S. Government sponsored entity securities -   5,108   - 
Agency mortgage-backed securities, residential -   161,289   - 
Equity securities 376   -   - 
Interest rate swap derivatives -   726   - 
            
Liabilities:            
Interest rate swap derivatives -   (726)   - 
 
 Fair Value Measurements at December 31, 2025 Using
 Quoted Prices in Active Significant Other  Significant 
 Markets for Identical Assets Observable Inputs  Unobservable Inputs 
  (Level 1)   (Level 2)   (Level 3) 
Assets:         
U.S. Government securities$86,779  $-  $- 
U.S. Government sponsored entity securities -   5,124   - 
Agency mortgage-backed securities, residential -   162,003   - 
Interest rate swap derivatives -   754   - 
        
Liabilities:         
Interest rate swap derivatives -   (754)   - 
Assets and Liabilities Measured on Nonrecurring Basis
There were no assets or liabilities measured at fair value on a nonrecurring basis at December 31, 2025. Assets or liabilities measured at fair value on a nonrecurring basis at June 30, 2026 are summarized below:
 
 
 Fair Value Measurements at June 30, 2026 Using
  Quoted Prices in Active   Significant Other   Significant 
  Markets for Identical Assets   Observable Inputs   Unobservable Inputs 
  (Level 1)   (Level 2)   (Level 3) 
Assets:           
Individually evaluated collateral dependent loans:           
Residential real estate$-  $-  $882 
Commercial real estate:           
Nonowner-occupied -   -   3,748 
Commercial and industrial -   -   799 
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at June 30, 2026:
      
June 30, 2026               
  Fair   Valuation  Unobservable         
  Value  Technique(s) Input(s)  Range   Weighted Average 
Individually evaluated collateral dependent loans:               
Residential real estate$882  Sales approach Adjustment to comparables  4.4% to 33.6%   13.78%
Commercial real estate:               
Nonowner-occupied 3,748  Income approach Capitalization rate  8%  8%
Commercial and industrial 799  Sales approach Adjustment to comparables  0% to 25%   12.31%
Carrying Amounts and Estimated Fair Values of Financial Instruments
The carrying amounts and estimated fair values of financial instruments at June 30, 2026 and December 31, 2025 are as follows:
 
  Carrying   Fair Value Measurements at June 30, 2026 Using
  Value   Level 1   Level 2   Level 3   Total 
Financial Assets:                    
Cash and cash equivalents$78,084  $78,084  $-  $-  $78,084 
Debt securities available for sale 250,236   83,839   166,397   -   250,236 
Debt securities held to maturity 5,404   -   2,987   2,047   5,034 
Equity securities 376   376   -   -   376 
Loans, net 1,229,504   -   -   1,222,459   1,222,459 
Interest rate swap derivatives 726   -   726   -   726 
Accrued interest receivable 5,485   -   1,275   4,210   5,485 
                    
Financial liabilities:                   
Deposits 1,408,428   875,556   532,942   -   1,408,498 
Other borrowed funds 41,822   -   41,148   -   41,148 
Subordinated debentures 8,500   -   8,500   -   8,500 
Interest rate swap derivatives 726   -   726   -   726 
Accrued interest payable 6,495   -   6,495   -   6,495 
 
  Carrying   Fair Value Measurements at December 31, 2025 Using
  Value   Level 1   Level 2   Level 3   Total 
Financial Assets:                    
Cash and cash equivalents$45,897  $45,897  $-  $-  $45,897 
Securities available for sale 253,906   86,779   167,127   -   253,906 
Securities held to maturity 5,452   -   2,963   2,111   5,074 
Loans, net 1,184,499   -   -   1,171,189   1,171,189 
Interest rate swap derivatives 754   -   754   -   754 
Accrued interest receivable 5,476   -   1,357   4,119   5,476 
                    
Financial liabilities:                   
Deposits 1,329,667   839,931   490,970   -   1,330,901 
Other borrowed funds 44,848   -   44,386   -   44,386 
Subordinated debentures 8,500   -   8,500   -   8,500 
Interest rate swap derivatives 754   -   754   -   754 
Accrued interest payable 6,584   -   6,584   -   6,584