Disclosures about Fair Value Measurements and Financial Instruments (Tables)
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6 Months Ended |
Jun. 30, 2026 |
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| Disclosures about Fair Value Measurements and Financial Instruments |
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| Schedule of assets and liabilities measured and recorded at fair value on a recurring basis |
The following tables present the assets and liabilities measured and reported on the Consolidated Balance Sheets on a recurring basis at their fair value as of June 30, 2026 and December 31, 2025, by level within the fair value hierarchy (in thousands). | | | | | | | | | | | | | | | Fair Value Measurements at June 30, 2026 | | | Total | | Level 1 | | Level 2 | | Level 3 | Available for sale securities: | | | | | | | | | | | | | U.S. Agency | | $ | 4,661 | | $ | — | | $ | 4,661 | | $ | — | U.S. Agency mortgage-backed securities | | | 134,559 | | | — | | | 134,559 | | | — | Municipal | | | 18,027 | | | — | | | 18,027 | | | — | Corporate bonds | | | 47,653 | | | — | | | 47,653 | | | — | Trading securities: | | | | | | | | | | | | | U.S. Treasury | | | 3,794 | | | — | | | 3,794 | | | — | Municipal | | | 4,794 | | | — | | | 4,794 | | | — | Interest rate swap asset (1) | | | 3,161 | | | — | | | 3,161 | | | — | Interest rate swap liability (2) | | | (3,183) | | | — | | | (3,183) | | | — | Interest rate hedge (2) | | | (17) | | | — | | | (17) | | | — | Risk participation agreement (2) | | | (185) | | | — | | | (185) | | | — |
| | | | | | | | | | | | | | | Fair Value Measurements at December 31, 2025 | | | Total | | Level 1 | | Level 2 | | Level 3 | Equity securities (1) | | $ | 183 | | $ | 183 | | $ | — | | $ | — | Available for sale securities: | | | | | | | | | | | | | U.S. Agency | | | 4,790 | | | — | | | 4,790 | | | — | U.S. Agency mortgage-backed securities | | | 110,856 | | | — | | | 110,856 | | | — | Municipal | | | 9,934 | | | — | | | 9,934 | | | — | Corporate bonds | | | 50,648 | | | — | | | 50,648 | | | — | Trading securities: | | | | | | | | | | | | | U.S. Treasury | | | 3,401 | | | — | | | 3,401 | | | — | Municipal | | | 3,852 | | | — | | | 3,852 | | | — | Interest rate swap asset (1) | | | 2,614 | | | — | | | 2,614 | | | — | Interest rate swap liability (2) | | | (2,639) | | | — | | | (2,639) | | | — | Interest rate hedge (2) | | | (118) | | | — | | | (118) | | | — | Risk participation agreement (2) | | | (303) | | | — | | | (303) | | | — |
| (1) | Included within other assets on the Consolidated Balance Sheets. |
| (2) | Included within other liabilities on the Consolidated Balance Sheets. |
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| Schedule of assets measured and recorded at fair value on a non-recurring basis |
Assets measured and recorded at fair value on a non-recurring basis are summarized below (in thousands, except range data): | | | | | | | | | | | | | | | Fair Value Measurements | June 30, 2026 | | Total | | Level 1 | | Level 2 | | Level 3 | Other real estate owned and repossessed assets | | $ | 142 | | $ | — | | $ | — | | $ | 142 |
| | | | | | | | | | | | | | | Fair Value Measurements | December 31, 2025 | | Total | | Level 1 | | Level 2 | | Level 3 | Other real estate owned and repossessed assets | | $ | 216 | | $ | — | | $ | — | | $ | 216 |
| | | | | | | | | | | | | Quantitative Information About Level 3 Fair Value Measurements | | | | | | Valuation | | Unobservable | | | | June 30, 2026 | | Fair Value | | Techniques | | Input | | Range (Wgtd Avg) | | Other real estate owned and repossessed assets | | $ | 142 | | Appraisal of collateral (1) | | Appraisal adjustments (2) | | 29% to 58% (38%) | | | | | | | | | Liquidation expenses | | 8% to 30% (15%) | |
| | | | | | | | | | | | | Quantitative Information About Level 3 Fair Value Measurements | | | | | | Valuation | | Unobservable | | | | December 31, 2025 | | Fair Value | | Techniques | | Input | | Range (Wgtd Avg) | | Other real estate owned and repossessed assets | | $ | 216 | | Appraisal of collateral (1) | | Appraisal adjustments (2) | | 29% to 59% (45%) | | | | | | | | | Liquidation expenses | | 0% to 30% (11%) | |
| (1) | Fair Value is generally determined through independent appraisals of the underlying collateral, which generally include various level 3 inputs which are not identifiable. Also includes qualitative adjustments by management and estimated liquidation expenses. |
| (2) | Appraisals may be adjusted by management for qualitative factors such as economic conditions. |
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| Schedule of estimated fair value and recorded carrying value |
| | | | | | | | | | | | | | | | | | June 30, 2026 | | | Carrying | | | | | | | | | | | | | | | Value | | | Fair Value | | | Level 1 | | | Level 2 | | | Level 3 | | | | | (In Thousands) | FINANCIAL ASSETS: | | | | | | | | | | | | | | | | Investment securities – HTM | | $ | 85,736 | | $ | 81,712 | | $ | — | | $ | 80,725 | | $ | 987 | Loans held for sale | | | 760 | | | 771 | | | 771 | | | — | | | — | Loans, net of allowance for credit losses and unearned income | | | 1,002,118 | | | 988,779 | | | — | | | — | | | 988,779 | FINANCIAL LIABILITIES: | | | | | | | | | | | | | | | | Deposits with stated maturities | | | 362,812 | | | 362,443 | | | — | | | — | | | 362,443 | All other borrowings (1) | | | 62,983 | | | 62,312 | | | — | | | — | | | 62,312 |
| | | | | | | | | | | | | | | | | | December 31, 2025 | | | Carrying | | | | | | | | | | | | | | | Value | | | Fair Value | | | Level 1 | | | Level 2 | | | Level 3 | | | | | (In Thousands) | FINANCIAL ASSETS: | | | | | | | | | | | | | | | | Investment securities – HTM | | $ | 72,256 | | $ | 68,916 | | $ | — | | $ | 67,936 | | $ | 980 | Loans held for sale | | | 241 | | | 244 | | | 244 | | | — | | | — | Loans, net of allowance for credit losses and unearned income | | | 1,019,599 | | | 1,010,336 | | | — | | | — | | | 1,010,336 | FINANCIAL LIABILITIES: | | | | | | | | | | | | | | | | Deposits with stated maturities | | | 377,747 | | | 377,938 | | | — | | | — | | | 377,938 | All other borrowings (1) | | | 71,382 | | | 71,382 | | | — | | | — | | | 71,382 |
| (1) | All other borrowings include advances from Federal Home Loan Bank and subordinated debt. |
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