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to loan growth in portfolio segments with low historical loss
rates and credit quality improvement in the remainder of the
loan portfolio.
Deposits reflected an increase of $98 million, or 7%, during
2015 due primarily to organic growth in core non-maturity
deposits. Combined transaction account balances were up
$87 million, or 11%, and savings deposits increased by $25
million, or 15%, while money market deposits dropped $16
million, or 14%, and time deposits experienced minimal overall
change.
Total capital increased by $3 million, or 2%, to $190 million
at December 31, 2015. The increase in capital was relatively
small in 2015, since the addition of net income to retained
earnings and the impact of stock options exercised during
the year were largely offset by the Company’s repurchase
of shares, the payment of cash dividends, and a drop in
accumulated other comprehensive income. While still robust,
risk-based capital ratios declined in 2015 as capital was
leveraged to grow risk-adjusted assets. At December 31, 2015,
the consolidated Company’s Common Equity Tier One Capital
Ratio was 13.98%, its Tier One Risk-Based Capital Ratio was
16.17%, the Total Risk-Based Capital Ratio was 17.01%, and
the Tier One Leverage Ratio was 12.14%.