XML 37 R12.htm IDEA: XBRL DOCUMENT
v2.4.0.6

LOANS AND ALLOWANCE FOR CREDIT LOSSES | 12 Months Ended
--- | ---
Dec. 31, 2011
Receivables [Abstract] |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | NOTE 4. LOANS AND ALLOWANCE FOR CREDIT LOSSES The Company makes residential mortgage, commercial and consumer loans to customers primarily in the Maryland counties of Talbot, Queen Anne’s, Kent, Caroline and Dorchester and in Kent County, Delaware. The following table provides information about the principal classes of the loan portfolio at December 31, 2011 and 2010.
(Dollars in thousands) |  | 2011 |  |  | 2010 |
Construction |  | $ | 119,883 |  |  | $ | 143,952 |
Residential real estate |  |  | 321,604 |  |  |  | 333,738 |
Commercial real estate |  |  | 315,439 |  |  |  | 318,726 |
Commercial |  |  | 69,485 |  |  |  | 82,787 |
Consumer |  |  | 14,639 |  |  |  | 16,201 |
Total loans |  |  | 841,050 |  |  |  | 895,404 |
Allowance for credit losses |  |  | (14,288 | ) |  |  | (14,227 | )
Total loans, net |  | $ | 826,762 |  |  | $ | 881,177 |
Loans include deferred costs net of deferred fees of $188 thousand at year-end 2011 and $38 thousand at year-end 2010. In the normal course of banking business, loans are made to officers and directors and their affiliated interests. These loans are made on substantially the same terms and conditions as those prevailing at the time for comparable transactions with persons who are not related to the Company and are not considered to involve more than the normal risk of collectibility. As of December 31, 2011, and 2010, such loans outstanding, both direct and indirect (including guarantees), to directors, their associates and policy-making officers, totaled approximately $22.4 million and $20.0 million, respectively. During 2011 and 2010, loan additions were approximately $4.4 million and $2.1 million, respectively, and loan repayments were approximately $2.0 million and $1.3 million, respectively. A loan is considered impaired if it is probable that the Company will not collect all principal and interest payments according to the loan’s contractual terms. An impaired loan may show deficiencies in the borrower’s overall financial condition, payment history, support available from financial guarantors and/or the fair market value of collateral. The impairment of a loan is measured at the present value of expected future cash flows using the loan’s effective interest rate, or at the loan’s observable market price or the fair value of the collateral if the loan is collateral dependent. Generally, the Company measures impairment on such loans by reference to the fair value of the collateral. Income on impaired loans is recognized on a cash basis, and payments are first applied against the principal balance outstanding (i.e., placing impaired loans on nonaccrual status). Impaired loans do not include groups of smaller balance homogenous loans such as residential mortgage and consumer installment loans that are evaluated collectively for impairment. Reserves for probable credit losses related to these loans are based on historical loss ratios and are included in the formula portion of the allowance for credit losses. Loans are evaluated on a case-by-case basis for impairment. Once the amount of impairment has been determined, the uncollectible portion is charged off. In some cases, a specific allocation within the allowance for credit losses is made until such time as a charge off is made. Impaired nonaccrual loans were $51.4 million and $36.2 million at the end of 2011 and 2010, respectively. At December 31, 2011, impaired nonaccrual loans had been reduced by partial charge-offs totaling $13.5 million, or 20.8%, of the aggregate unpaid principal balance. In addition, $1.5 million in specific reserves were established against $4.7 million of impaired nonaccrual loans. At December 31, 2010, impaired nonaccrual loans had been reduced by partial charge-offs totaling $8.3 million, or 18.6%, of the aggregate unpaid principal balance. In addition, $203 thousand in specific reserves were established against $837 thousand of impaired nonaccrual loans. A loan is considered a troubled debt restructuring if a concession is granted due to a deterioration in a borrower’s financial condition. At both December 31, 2011 and 2010, the Company had impaired accruing troubled debt restructurings of $25.2 million. Gross interest income of $2.6 million, $2.1 million and $859 thousand would have been recorded in 2011, 2010 and 2009, respectively, if impaired loans had been current and performing in accordance with their original terms. There was no interest recorded on such loans during 2011 or 2010. There was $4 thousand in interest recorded during 2009. The following tables provide information on impaired loans by loan class as of December 31, 2011 and 2010.
(Dollars in thousands) |  | Unpaid principal balance |  |  | Recorded investment with no allowance |  |  | Recorded investment with an allowance |  |  | Related allowance |  |  | Average recorded investment |
December 31, 2011 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Impaired nonaccrual loans: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Construction |  | $ | 22,883 |  |  | $ | 14,005 |  |  | $ | 1,550 |  |  | $ | 170 |  |  | $ | 16,555 |
Residential real estate |  |  | 22,431 |  |  |  | 16,925 |  |  |  | 3,181 |  |  |  | 1,296 |  |  |  | 15,430 |
Commercial real estate |  |  | 17,372 |  |  |  | 14,012 |  |  |  | - |  |  |  | - |  |  |  | 14,624 |
Commercial |  |  | 2,119 |  |  |  | 1,669 |  |  |  | - |  |  |  | - |  |  |  | 2,539 |
Consumer |  |  | 30 |  |  |  | 28 |  |  |  | - |  |  |  | - |  |  |  | 32 |
Total |  |  | 64,835 |  |  |  | 46,639 |  |  |  | 4,731 |  |  |  | 1,466 |  |  |  | 49,180 |
Impaired accruing restructured loans: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Construction |  |  | 11,781 |  |  |  | 11,781 |  |  |  | - |  |  |  | - |  |  |  | 10,663 |
Residential real estate |  |  | 3,792 |  |  |  | 3,792 |  |  |  | - |  |  |  | - |  |  |  | 6,093 |
Commercial real estate |  |  | 9,566 |  |  |  | 9,566 |  |  |  | - |  |  |  | - |  |  |  | 7,960 |
Commercial |  |  | 69 |  |  |  | 69 |  |  |  | - |  |  |  | - |  |  |  | 111 |
Consumer |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Total |  |  | 25,208 |  |  |  | 25,208 |  |  |  | - |  |  |  | - |  |  |  | 24,827 |
Total impaired loans: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Construction |  |  | 34,664 |  |  |  | 25,786 |  |  |  | 1,550 |  |  |  | 170 |  |  |  | 27,218 |
Residential real estate |  |  | 26,223 |  |  |  | 20,717 |  |  |  | 3,181 |  |  |  | 1,296 |  |  |  | 21,523 |
Commercial real estate |  |  | 26,938 |  |  |  | 23,578 |  |  |  | - |  |  |  | - |  |  |  | 22,584 |
Commercial |  |  | 2,188 |  |  |  | 1,738 |  |  |  | - |  |  |  | - |  |  |  | 2,650 |
Consumer |  |  | 30 |  |  |  | 28 |  |  |  | - |  |  |  | - |  |  |  | 32 |
Total |  | $ | 90,043 |  |  | $ | 71,847 |  |  | $ | 4,731 |  |  | $ | 1,466 |  |  | $ | 74,007 |
(Dollars in thousands) |  | Unpaid principal balance |  |  | Recorded investment with no allowance |  |  | Recorded investment with an allowance |  |  | Related allowance |  |  | Average recorded investment |
December 31, 2010 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Impaired nonaccrual loans: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Construction |  | $ | 22,643 |  |  | $ | 17,261 |  |  | $ | - |  |  | $ | - |  |  | $ | 19,380 |
Residential real estate |  |  | 11,983 |  |  |  | 9,132 |  |  |  | 837 |  |  |  | 203 |  |  |  | 8,788 |
Commercial real estate |  |  | 5,558 |  |  |  | 5,133 |  |  |  | - |  |  |  | - |  |  |  | 3,827 |
Commercial |  |  | 4,305 |  |  |  | 3,845 |  |  |  | - |  |  |  | - |  |  |  | 3,191 |
Consumer |  |  | 30 |  |  |  | 30 |  |  |  | - |  |  |  | - |  |  |  | 56 |
Total |  |  | 44,519 |  |  |  | 35,401 |  |  |  | 837 |  |  |  | 203 |  |  |  | 35,242 |
Impaired accruing restructured loans: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Construction |  |  | 10,914 |  |  |  | 10,914 |  |  |  | - |  |  |  | - |  |  |  | 3,110 |
Residential real estate |  |  | 5,561 |  |  |  | 5,561 |  |  |  | - |  |  |  | - |  |  |  | 4,658 |
Commercial real estate |  |  | 8,147 |  |  |  | 8,147 |  |  |  | - |  |  |  | - |  |  |  | 2,129 |
Commercial |  |  | 529 |  |  |  | 529 |  |  |  | - |  |  |  | - |  |  |  | 171 |
Consumer |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Total |  |  | 25,151 |  |  |  | 25,151 |  |  |  | - |  |  |  | - |  |  |  | 10,068 |
Total impaired loans: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Construction |  |  | 33,557 |  |  |  | 28,175 |  |  |  | - |  |  |  | - |  |  |  | 22,490 |
Residential real estate |  |  | 17,544 |  |  |  | 14,693 |  |  |  | 837 |  |  |  | 203 |  |  |  | 13,446 |
Commercial real estate |  |  | 13,705 |  |  |  | 13,280 |  |  |  | - |  |  |  | - |  |  |  | 5,956 |
Commercial |  |  | 4,834 |  |  |  | 4,374 |  |  |  | - |  |  |  | - |  |  |  | 3,362 |
Consumer |  |  | 30 |  |  |  | 30 |  |  |  | - |  |  |  | - |  |  |  | 56 |
Total |  | $ | 69,670 |  |  | $ | 60,552 |  |  | $ | 837 |  |  | $ | 203 |  |  | $ | 45,310 |
The following tables provide information on troubled debt restructurings by loan class as of December 30, 2011 and 2010. The amounts include nonaccrual troubled debt restructurings.
(Dollars in thousands) |  | Number of contracts |  |  | Premodification outstanding recorded investment |  |  | Postmodification outstanding recorded investment |
Troubled debt restructurings: |  |  |  |  |  |  |  |  |  |  |  |
December 31, 2011 |  |  |  |  |  |  |  |  |  |  |  |
Construction |  |  | 9 |  |  | $ | 12,981 |  |  | $ | 12,539 |
Residential real estate |  |  | 20 |  |  |  | 11,471 |  |  |  | 10,359 |
Commercial real estate |  |  | 20 |  |  |  | 15,874 |  |  |  | 14,175 |
Commercial |  |  | 1 |  |  |  | 69 |  |  |  | 69 |
Consumer |  |  | - |  |  |  | - |  |  |  | - |
Total |  |  | 50 |  |  | $ | 40,395 |  |  | $ | 37,142 |
December 31, 2010 |  |  |  |  |  |  |  |  |  |  |  |
Construction |  |  | 5 |  |  | $ | 11,075 |  |  | $ | 10,926 |
Residential real estate |  |  | 31 |  |  |  | 7,986 |  |  |  | 7,388 |
Commercial real estate |  |  | 16 |  |  |  | 9,424 |  |  |  | 9,417 |
Commercial |  |  | 3 |  |  |  | 529 |  |  |  | 529 |
Consumer |  |  | - |  |  |  | - |  |  |  | - |
Total |  |  | 55 |  |  | $ | 29,014 |  |  | $ | 28,260 |
(Dollars in thousands) |  | Number of contracts |  |  | Recorded investment |
Troubled debt restructurings that subsequently defaulted: |  |  |  |  |  |  |  |
December 31, 2011 |  |  |  |  |  |  |  |
Construction |  |  | 3 |  |  | $ | 758 |
Residential real estate |  |  | 10 |  |  |  | 7,353 |
Commercial real estate |  |  | 5 |  |  |  | 6,751 |
Commercial |  |  | - |  |  |  | - |
Consumer |  |  | - |  |  |  | - |
Total |  |  | 18 |  |  | $ | 14,862 |
December 31, 2010 |  |  |  |  |  |  |  |
Construction |  |  | 1 |  |  | $ | 12 |
Residential real estate |  |  | 13 |  |  |  | 2,752 |
Commercial real estate |  |  | 6 |  |  |  | 4,103 |
Commercial |  |  | - |  |  |  | - |
Consumer |  |  | - |  |  |  | - |
Total |  |  | 20 |  |  | $ | 6,867 |
Management uses risk ratings as part of its monitoring of the credit quality in the Company’s loan portfolio. Loans that are identified as special mention, substandard and doubtful are adversely rated and are assigned higher risk ratings than favorably rated loans. The following tables provide information on loan risk ratings as of December 31, 2011 and 2010.
(Dollars in thousands) |  | Pass/Performing |  |  | Special mention |  |  | Substandard |  |  | Doubtful |  |  | Nonaccrual |  |  | Total |
December 31, 2011 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Construction |  | $ | 50,403 |  |  | $ | 30,373 |  |  | $ | 23,552 |  |  | $ | - |  |  | $ | 15,555 |  |  | $ | 119,883 |
Residential real estate |  |  | 261,910 |  |  |  | 13,467 |  |  |  | 25,676 |  |  |  | 445 |  |  |  | 20,106 |  |  |  | 321,604 |
Commercial real estate |  |  | 257,247 |  |  |  | 16,001 |  |  |  | 28,179 |  |  |  | - |  |  |  | 14,012 |  |  |  | 315,439 |
Commercial |  |  | 59,178 |  |  |  | 3,813 |  |  |  | 4,748 |  |  |  | 77 |  |  |  | 1,669 |  |  |  | 69,485 |
Consumer |  |  | 14,520 |  |  |  | 32 |  |  |  | 59 |  |  |  | - |  |  |  | 28 |  |  |  | 14,639 |
Total |  | $ | 643,258 |  |  | $ | 63,686 |  |  | $ | 82,214 |  |  | $ | 522 |  |  | $ | 51,370 |  |  | $ | 841,050 |
(Dollars in thousands) |  | Pass/Performing |  |  | Special mention |  |  | Substandard |  |  | Doubtful |  |  | Nonaccrual |  |  | Total |
December 31, 2010 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Construction |  | $ | 83,344 |  |  | $ | 23,090 |  |  | $ | 20,257 |  |  | $ | - |  |  | $ | 17,261 |  |  | $ | 143,952 |
Residential real estate |  |  | 283,895 |  |  |  | 23,847 |  |  |  | 13,752 |  |  |  | 2,275 |  |  |  | 9,969 |  |  |  | 333,738 |
Commercial real estate |  |  | 260,040 |  |  |  | 17,821 |  |  |  | 35,732 |  |  |  | - |  |  |  | 5,133 |  |  |  | 318,726 |
Commercial |  |  | 73,502 |  |  |  | 2,249 |  |  |  | 3,088 |  |  |  | 103 |  |  |  | 3,845 |  |  |  | 82,787 |
Consumer |  |  | 16,043 |  |  |  | - |  |  |  | 128 |  |  |  | - |  |  |  | 30 |  |  |  | 16,201 |
Total |  | $ | 716,824 |  |  | $ | 67,007 |  |  | $ | 72,957 |  |  | $ | 2,378 |  |  | $ | 36,238 |  |  | $ | 895,404 |
The following tables provide information on the aging of the loan portfolio as of December 31, 2011 and 2010.
|  | Accruing |  |  |  |  |  |  |
(Dollars in thousands) |  | Current |  |  | 30-59 days past due |  |  | 60-89 days past due |  |  | 90 days or more past due |  |  | Total past due |  |  | Non- accrual |  |  | Total |
December 31, 2011 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Construction |  | $ | 102,441 |  |  | $ | 1,246 |  |  | $ | 316 |  |  | $ | 325 |  |  | $ | 1,887 |  |  | $ | 15,555 |  |  | $ | 119,883 |
Residential real estate |  |  | 289,459 |  |  |  | 4,417 |  |  |  | 5,291 |  |  |  | 2,331 |  |  |  | 12,039 |  |  |  | 20,106 |  |  |  | 321,604 |
Commercial real estate |  |  | 289,760 |  |  |  | 10,073 |  |  |  | 1,594 |  |  |  | - |  |  |  | 11,667 |  |  |  | 14,012 |  |  |  | 315,439 |
Commercial |  |  | 64,581 |  |  |  | 1,350 |  |  |  | 1,819 |  |  |  | 66 |  |  |  | 3,235 |  |  |  | 1,669 |  |  |  | 69,485 |
Consumer |  |  | 14,492 |  |  |  | 112 |  |  |  | 6 |  |  |  | 1 |  |  |  | 119 |  |  |  | 28 |  |  |  | 14,639 |
Total |  | $ | 760,733 |  |  | $ | 17,198 |  |  | $ | 9,026 |  |  | $ | 2,723 |  |  | $ | 28,947 |  |  | $ | 51,370 |  |  | $ | 841,050 |
|  | Accruing |  |  |  |  |  |  |
(Dollars in thousands) |  | Current |  |  | 30-59 days past due |  |  | 60-89 days past due |  |  | 90 days or more past due |  |  | Total past due |  |  | Non- accrual |  |  | Total |
December 31, 2010 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Construction |  | $ | 124,892 |  |  | $ | 1,691 |  |  | $ | 108 |  |  | $ | - |  |  | $ | 1,799 |  |  | $ | 17,261 |  |  | $ | 143,952 |
Residential real estate |  |  | 314,914 |  |  |  | 4,046 |  |  |  | 1,355 |  |  |  | 3,454 |  |  |  | 8,855 |  |  |  | 9,969 |  |  |  | 333,738 |
Commercial real estate |  |  | 306,497 |  |  |  | 3,393 |  |  |  | 2,717 |  |  |  | 986 |  |  |  | 7,096 |  |  |  | 5,133 |  |  |  | 318,726 |
Commercial |  |  | 77,833 |  |  |  | 470 |  |  |  | 465 |  |  |  | 174 |  |  |  | 1,109 |  |  |  | 3,845 |  |  |  | 82,787 |
Consumer |  |  | 15,572 |  |  |  | 486 |  |  |  | 25 |  |  |  | 88 |  |  |  | 599 |  |  |  | 30 |  |  |  | 16,201 |
Total |  | $ | 839,708 |  |  | $ | 10,086 |  |  | $ | 4,670 |  |  | $ | 4,702 |  |  | $ | 19,458 |  |  | $ | 36,238 |  |  | $ | 895,404 |
|  | Accruing |  |  |  |  |  |  |
|  | Current |  |  | 30-59 days past due |  |  | 60-89 days past due |  |  | 90 days or more past due |  |  | Total past due |  |  | Non- accrual |  |  |  |
December 31, 2011 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Construction |  |  | 85.4 | % |  |  | 1.0 | % |  |  | 0.3 | % |  |  | 0.3 | % |  |  | 1.6 | % |  |  | 13.0 | % |  |  |  |
Residential real estate |  |  | 90.0 |  |  |  | 1.4 |  |  |  | 1.6 |  |  |  | 0.7 |  |  |  | 3.7 |  |  |  | 6.3 |  |  |  |  |
Commercial real estate |  |  | 91.9 |  |  |  | 3.2 |  |  |  | 0.5 |  |  |  | - |  |  |  | 3.7 |  |  |  | 4.4 |  |  |  |  |
Commercial |  |  | 93.0 |  |  |  | 1.9 |  |  |  | 2.6 |  |  |  | 0.1 |  |  |  | 4.6 |  |  |  | 2.4 |  |  |  |  |
Consumer |  |  | 99.0 |  |  |  | 0.8 |  |  |  | - |  |  |  | - |  |  |  | 0.8 |  |  |  | 0.2 |  |  |  |  |
Total |  |  | 90.5 |  |  |  | 2.0 |  |  |  | 1.1 |  |  |  | 0.3 |  |  |  | 3.4 |  |  |  | 6.1 |  |  |  |  |
|  | Accruing |  |  |  |  |  |  |
|  | Current |  |  | 30-59 days past due |  |  | 60-89 days past due |  |  | 90 days or more past due |  |  | Total past due |  |  | Non- accrual |  |  |  |
December 31, 2010 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Construction |  |  | 86.8 | % |  |  | 1.1 | % |  |  | 0.1 | % |  |  | -% |  |  |  | 1.2 | % |  |  | 12.0 | % |  |  |  |
Residential real estate |  |  | 94.4 |  |  |  | 1.2 |  |  |  | 0.4 |  |  |  | 1.0 |  |  |  | 2.6 |  |  |  | 3.0 |  |  |  |  |
Commercial real estate |  |  | 96.2 |  |  |  | 1.0 |  |  |  | 0.9 |  |  |  | 0.3 |  |  |  | 2.2 |  |  |  | 1.6 |  |  |  |  |
Commercial |  |  | 94.0 |  |  |  | 0.6 |  |  |  | 0.6 |  |  |  | 0.2 |  |  |  | 1.4 |  |  |  | 4.6 |  |  |  |  |
Consumer |  |  | 96.1 |  |  |  | 3.0 |  |  |  | 0.2 |  |  |  | 0.5 |  |  |  | 3.7 |  |  |  | 0.2 |  |  |  |  |
Total |  |  | 93.8 |  |  |  | 1.2 |  |  |  | 0.5 |  |  |  | 0.5 |  |  |  | 2.2 |  |  |  | 4.0 |  |  |  |  |
Management has established an allowance for credit losses, which is increased by provisions charged against earnings and recoveries of previously charged-off debts and is decreased by current period charge-offs of uncollectible debts. Management evaluates the adequacy of the allowance for credit losses on a quarterly basis and adjusts the provision for credit losses based on this analysis. Allocation of a portion of the allowance to one loan class does not preclude its availability to absorb losses in other loan classes. The following tables provide a summary of the activity in the allowance for credit losses allocated by loan class for 2011 and 2010.
(Dollars in thousands) |  | Construction |  |  | Residential real estate |  |  | Commercial real estate |  |  | Commercial |  |  | Consumer |  |  | Unallocated |  |  | Total |
2011 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Allowance for credit losses: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Beginning balance |  | $ | 3,327 |  |  | $ | 4,833 |  |  | $ | 3,665 |  |  | $ | 1,422 |  |  | $ | 637 |  |  | $ | 343 |  |  | $ | 14,227 |
Charge-offs |  |  | (4,236 | ) |  |  | (7,693 | ) |  |  | (5,037 | ) |  |  | (3,388 | ) |  |  | (202 | ) |  |  | - |  |  |  | (20,556 | )
Recoveries |  |  | 49 |  |  |  | 120 |  |  |  | 361 |  |  |  | 549 |  |  |  | 68 |  |  |  | - |  |  |  | 1,147 |
Net charge-offs |  |  | (4,187 | ) |  |  | (7,573 | ) |  |  | (4,676 | ) |  |  | (2,839 | ) |  |  | (134 | ) |  |  | - |  |  |  | (19,409 | )
Provision |  |  | 4,605 |  |  |  | 7,754 |  |  |  | 4,426 |  |  |  | 2,915 |  |  |  | 91 |  |  |  | (321 | ) |  |  | 19,470 |
Ending balance |  | $ | 3,745 |  |  | $ | 5,014 |  |  | $ | 3,415 |  |  | $ | 1,498 |  |  | $ | 594 |  |  | $ | 22 |  |  | $ | 14,288 |
(Dollars in thousands) |  | Construction |  |  | Residential real estate |  |  | Commercial real estate |  |  | Commercial |  |  | Consumer |  |  | Unallocated |  |  | Total |
2010 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Allowance for credit losses: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Beginning balance |  | $ | 2,630 |  |  | $ | 1,528 |  |  | $ | 3,947 |  |  | $ | 2,132 |  |  | $ | 515 |  |  | $ | 124 |  |  | $ | 10,876 |
Charge-offs |  |  | (7,910 | ) |  |  | (5,818 | ) |  |  | (492 | ) |  |  | (3,710 | ) |  |  | (589 | ) |  |  | - |  |  |  | (18,519 | )
Recoveries |  |  | 14 |  |  |  | 215 |  |  |  | 108 |  |  |  | 214 |  |  |  | 200 |  |  |  | - |  |  |  | 751 |
Net charge-offs |  |  | (7,896 | ) |  |  | (5,603 | ) |  |  | (384 | ) |  |  | (3,496 | ) |  |  | (389 | ) |  |  | - |  |  |  | (17,768 | )
Provision |  |  | 8,593 |  |  |  | 8,908 |  |  |  | 102 |  |  |  | 2,786 |  |  |  | 511 |  |  |  | 219 |  |  |  | 21,119 |
Ending balance |  | $ | 3,327 |  |  | $ | 4,833 |  |  | $ | 3,665 |  |  | $ | 1,422 |  |  | $ | 637 |  |  | $ | 343 |  |  | $ | 14,227 |
The following tables include impairment information relating to loans and the allowance for credit losses as of December 31, 2011 and 2010.
(Dollars in thousands) |  | Construction |  |  | Residential real estate |  |  | Commercial real estate |  |  | Commercial |  |  | Consumer |  |  | Unallocated |  |  | Total |
December 31, 2011 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans individually evaluated for impairment |  | $ | 27,336 |  |  | $ | 23,898 |  |  | $ | 23,578 |  |  | $ | 1,738 |  |  | $ | 28 |  |  | $ | - |  |  | $ | 76,578 |
Loans collectively evaluated for impairment |  |  | 92,547 |  |  |  | 297,706 |  |  |  | 291,861 |  |  |  | 67,747 |  |  |  | 14,611 |  |  |  | - |  |  |  | 764,472 |
Total loans |  | $ | 119,883 |  |  | $ | 321,604 |  |  | $ | 315,439 |  |  | $ | 69,485 |  |  | $ | 14,639 |  |  | $ | - |  |  | $ | 841,050 |
Allowance for credit losses allocated to: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans individually evaluated for impairment |  | $ | 170 |  |  | $ | 1,296 |  |  | $ | - |  |  | $ | - |  |  | $ | - |  |  | $ | - |  |  | $ | 1,466 |
Loans collectively evaluated for impairment |  |  | 3,575 |  |  |  | 3,718 |  |  |  | 3,415 |  |  |  | 1,498 |  |  |  | 594 |  |  |  | 22 |  |  |  | 12,822 |
Total allowance for credit losses |  | $ | 3,745 |  |  | $ | 5,014 |  |  | $ | 3,415 |  |  | $ | 1,498 |  |  | $ | 594 |  |  | $ | 22 |  |  | $ | 14,288 |
(Dollars in thousands) |  | Construction |  |  | Residential real estate |  |  | Commercial real estate |  |  | Commercial |  |  | Consumer |  |  | Unallocated |  |  | Total |
December 31, 2010 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans individually evaluated for impairment |  | $ | 28,175 |  |  | $ | 15,530 |  |  | $ | 13,280 |  |  | $ | 4,374 |  |  | $ | 30 |  |  | $ | - |  |  | $ | 61,389 |
Loans collectively evaluated for impairment |  |  | 115,777 |  |  |  | 318,208 |  |  |  | 305,446 |  |  |  | 78,413 |  |  |  | 16,171 |  |  |  | - |  |  |  | 834,015 |
Total loans |  | $ | 143,952 |  |  | $ | 333,738 |  |  | $ | 318,726 |  |  | $ | 82,787 |  |  | $ | 16,201 |  |  | $ | - |  |  | $ | 895,404 |
Allowance for credit losses allocated to: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans individually evaluated for impairment |  | $ | - |  |  | $ | 203 |  |  | $ | - |  |  | $ | - |  |  | $ | - |  |  | $ | - |  |  | $ | 203 |
Loans collectively evaluated for impairment |  |  | 3,327 |  |  |  | 4,630 |  |  |  | 3,665 |  |  |  | 1,422 |  |  |  | 637 |  |  |  | 343 |  |  |  | 14,024 |
Total allowance for credit losses |  | $ | 3,327 |  |  | $ | 4,833 |  |  | $ | 3,665 |  |  | $ | 1,422 |  |  | $ | 637 |  |  | $ | 343 |  |  | $ | 14,227 |

X
- Definition The entire disclosure for claims held for amounts due a company. Examples include trade accounts receivables, notes receivables, loans receivables. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 310 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6965416&loc=d3e5066-111524 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 03 -Paragraph 7 -Article 9 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher AICPA -Name Statement of Position (SOP) -Number 01-6 -Paragraph 13 -Subparagraph d -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 310 -SubTopic 10 -Section 50 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=6965416&loc=d3e5162-111524 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 02 -Paragraph 3, 4 -Article 5 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(k)) -URI http://asc.fasb.org/extlink&oid=6881521&loc=d3e23780-122690 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.3,4) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Article 4 -Section 08 -Paragraph k Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 310 -SubTopic 10 -Section 50 -Paragraph 4 -URI http://asc.fasb.org/extlink&oid=6965416&loc=d3e5074-111524 + Details
Name: | us-gaap_LoansNotesTradeAndOtherReceivablesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Details
Name: | us-gaap_ReceivablesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration