Note 5: Allowance for Loan Losses

Changes in the allowance for loan losses by segment of loans based on method of impairment for the year ended December 31, 2015, were as follows:


Allowance for loan losses:			Real Estate		Real Estate		Real Estate
	Commercial		Commercial		Construction		Residential		Consumer		Unallocated		Total
Beginning balance	$	1,644	$	12,577	$	1,475	$	1,981	$	1,454	$	2,506	$	21,637
Charge-offs		993		1,653		2		1,639		483		-		4,770
Recoveries		451		1,595		276		1,075		359		-		3,756
Provision (Release)		994		(3,506)		(1,484)		277		(140)		(541)		(4,400)
Ending balance	$	2,096	$	9,013	$	265	$	1,694	$	1,190	$	1,965	$	16,223

Ending balance: Individually evaluated for impairment	$	3	$	-	$	-	$	31	$	-	$	-	$	34
Ending balance: Collectively evaluated for impairment	$	2,093	$	9,013	$	265	$	1,663	$	1,190	$	1,965	$	16,189

Loans:
Ending balance	$	141,315	$	605,721	$	19,806	$	351,007	$	4,216	$	11,650	$	1,133,715
Ending balance: Individually evaluated for impairment	$	73	$	5,396	$	83	$	15,334	$	-	$	-	$	20,886
Ending balance: Collectively evaluated for impairment	$	141,242	$	600,325	$	19,723	$	335,673	$	4,216	$	11,650	$	1,112,829

Changes in the allowance for loan losses by segment of loans based on method of impairment for the year ended December 31, 2014, were as follows:


Allowance for loan losses:			Real Estate		Real Estate		Real Estate
	Commercial		Commercial		Construction		Residential		Consumer		Unallocated		Total
Beginning balance	$	2,250	$	16,763	$	1,980	$	2,837	$	1,439	$	2,012	$	27,281
Charge-offs		578		1,972		174		3,393		526		-		6,643
Recoveries		58		1,346		633		1,842		420		-		4,299
(Release) provision		(86)		(3,560)		(964)		695		121		494		(3,300)
Ending balance	$	1,644	$	12,577	$	1,475	$	1,981	$	1,454	$	2,506	$	21,637

Ending balance: Individually evaluated for impairment	$	-	$	21	$	98	$	159	$	-	$	-	$	278
Ending balance: Collectively evaluated for impairment	$	1,644	$	12,556	$	1,377	$	1,822	$	1,454	$	2,506	$	21,359

Loans:
Ending balance	$	127,196	$	600,629	$	44,795	$	370,191	$	3,504	$	13,017	$	1,159,332
Ending balance: Individually evaluated for impairment	$	1,500	$	15,253	$	2,352	$	16,781	$	-	$	-	$	35,886
Ending balance: Collectively evaluated for impairment	$	125,696	$	585,376	$	42,443	$	353,410	$	3,504	$	13,017	$	1,123,446

Changes in the allowance for loan losses by segment of loans based on method of impairment for the year ended December 31, 2013, were as follows:


Allowance for loan losses:			Real Estate		Real Estate		Real Estate
	Commercial		Commercial		Construction		Residential		Consumer		Unallocated		Total
Beginning balance	$	4,517	$	20,100	$	3,837	$	4,535	$	1,178	$	4,430	$	38,597
Charge-offs		316		2,985		1,014		6,293		597		-		11,205
Recoveries		119		5,325		1,266		1,221		508		-		8,439
(Release) provision		(2,070)		(5,677)		(2,109)		3,374		350		(2,418)		(8,550)
Ending balance	$	2,250	$	16,763	$	1,980	$	2,837	$	1,439	$	2,012	$	27,281

Ending balance: Individually evaluated for impairment	$	-	$	1,152	$	355	$	888	$	-	$	-	$	2,395
Ending balance: Collectively evaluated for impairment	$	2,250	$	15,611	$	1,625	$	1,949	$	1,439	$	2,012	$	24,886

Loans:
Ending balance	$	104,805	$	560,233	$	29,351	$	390,201	$	2,760	$	13,906	$	1,101,256
Ending balance: Individually evaluated for impairment	$	27	$	21,116	$	4,746	$	20,681	$	-	$	-	$	46,570
Ending balance: Collectively evaluated for impairment	$	104,778	$	539,117	$	24,605	$	369,520	$	2,760	$	13,906	$	1,054,686

The Company’s allowance for loan loss is calculated in accordance with GAAP and relevant supervisory guidance. All management estimates were made in light of observable trends within loan portfolio segments, market conditions and established credit review administration practices.