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Note 6 - FDIC Indemnification Asset
 9 Months Ended
Sep. 30, 2018
Notes to Financial Statements  
FDIC Loss Share Agreement Receivable [Text Block]
Note
6
. FDIC
Indemnification Asset
 
In connection with the FDIC-assisted acquisition of Waccamaw Bank (“Waccamaw”) in
2012,
the Company entered into loss share agreements with the FDIC that covered
$20.48
million of loans and
$44
thousand of OREO as of
September 30, 2018,
compared to
$27.95
million of loans and
$105
thousand of OREO as of
December 31, 2017.
Under the loss share agreements, the FDIC agrees to cover
80%
of most loan and foreclosed real estate losses and reimburse certain expenses incurred in relation to these covered assets. Loss share coverage expired
June 30, 2017,
for commercial loans, with recoveries continuing until
June 30, 2019.
Loss share coverage will expire
June 30, 2022,
for single family loans. The Company’s consolidated statements of income include the expense on covered assets net of estimated reimbursements. The following table presents the changes in the FDIC indemnification asset during the periods indicated:
 
   
Three Months Ended September 30,
    
Nine Months Ended September 30,
  
   
2018
    
2017
    
2018
    
2017
  
(Amounts in thousands)
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
Beginning balance
   $
6,390
     $
8,159
     $
7,161
     $
12,173
  
Increase in estimated losses on covered OREO
    
-
      
4
      
-
      
71
  
Reimbursable expenses (to) from the FDIC
    
(2
 )    
47
      
(23
 )    
108
  
Net amortization
    
(645
 )    
(268
 )    
(1,602
 )    
(3,186
 )
(Reimbursements from) payments to the FDIC
    
(90
 )    
(477
 )    
117
      
(1,701
 )
Ending balance
   $
5,653
     $
7,465
     $
5,653
     $
7,465