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Loans
 12 Months Ended
Dec. 31, 2011
Loans [Abstract]  
Loans

Note 4 - Loans

The Company had $987 thousand in loans held for sale in 2011 as compared to $1.8 million in loans held for sale in 2010. Due to materiality, these loans are included in the Consumer Real Estate loan numbers.

 

Loans at December 31 are summarized below:

 

                 
    (In Thousands)  

Loans:

   2011     2010  

Commercial real estate

   $ 201,158     $ 194,268  

Agricultural real estate

     31,993       33,650  

Consumer real estate

     81,585       86,036  

Commercial and industrial

     114,497       117,344  

Agricultural

     52,598       65,400  

Consumer

     23,375       29,008  

Industrial Development Bonds

     1,196       1,965  
   

 

 

    

 

 

  
    $ 506,402     $ 527,671  

Less: Net deferred loan fees and costs

     (187 )      (82 ) 
   

 

 

    

 

 

  
      506,215       527,589  

Less: Allowance for loan losses

     (5,091 )      (5,706 ) 
   

 

 

    

 

 

  

Loans - Net

   $ 501,124     $ 521,883  
   

 

 

    

 

 

  

The following is a maturity schedule by major category of loans:

 

                                 
    (In Thousands)  
    Within
One Year		     After One
Year Within
Five Years		     After
Five Years		     Total  

Commercial Real Estate

   $ 17,857     $ 126,255     $ 57,046     $ 201,158  

Agricultural Real Estate

     3,234       10,401       18,358     $ 31,993  

Consumer Real Estate

     6,715       15,058       59,812     $ 81,585  

Commercial and industrial

     69,453       41,053       3,991     $ 114,497  

Agricultural

     35,314       14,833       2,451     $ 52,598  

Consumer

     5,703       15,677       1,995     $ 23,375  

Industrial Development Bonds

     25       279       892     $ 1,196  
   

 

 

    

 

 

    

 

 

    

 

 

  
    $ 138,301     $ 223,556     $ 144,545     $ 506,402  
   

 

 

    

 

 

    

 

 

    

 

 

  

The distribution of fixed rate loans and variable rate loans by major loan category is as follows as of December 31, 2011 and December 21, 2010:

 

                 
    (In Thousands)  
    Fixed
Rate		     Variable
Rate		  

Commercial Real Estate

   $ 100,686     $ 100,472  

Agricultural Real Estate

     20,708       11,285  

Consumer Real Estate

     70,326       11,259  

Commercial and industrial loans

     89,306       25,191  

Agricultural

     48,280       4,318  

Consumer, Master Card and Overdrafts

     18,773       4,602  

Industrial Development Bonds

     1,196       —    

As of December 31, 2011 and 2010 one to four family residential mortgage loans amounting to $71.3 million and $75.3 million, respectively, have been pledged as security for loans the Bank has received from the Federal Home Loan Bank.

The percentage of delinquent loans has trended downward since the beginning of 2010 from a high of 2.85% of total loans in January to a low of 0.67% as of the end of December 2011. These percentages do not include nonaccrual loans which are not past due. This level of delinquency is due in part to an adherence to sound underwriting practices over the course of time, an improvement in the financial status of companies to which the Bank extends credit, continued financial stability in the agricultural loan portfolio, and the writing down of uncollectable credits in a timely manner.

 

Industrial Development Bonds are included in the commercial and industrial category for the remainder of the tables in this Note 4.

The following table represents the contractual aging of the recorded investment in past due loans by class or loans as of December 31, 2011 and 2010 net of deferred fees:

 

                                                         
    (In Thousands)  
    30-59 Days
Past Due		     60-89 Days
Past Due		     Greater Than
90 Days		     Total
Past Due		     Current     Total
Financing
Receivables		     Recorded
Investment >
90 Days and
Accruing		  
               

2011

                                                        

Residential

   $ 753     $ 248     $ 441     $ 1,442     $ 80,143     $ 81,585       —    

Ag RE

     —         —         —         —         31,993       31,993       —    

Ag

     7       —         —         7       52,591       52,598       —    

Commercial Real Estate

     46       611       927       1,584       199,574       201,158       —    

Commercial and Industrial

     78       —         420       498       115,195       115,693       —    

Consumer

     24       —         —         24       23,164       23,188       —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
               

Total

   $ 908     $ 859     $ 1,788     $ 3,555     $ 502,660     $ 506,215     $ —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
               

2010

                                                        

Residential

   $ 610     $ 29     $ 169     $ 808     $ 85,228     $ 86,036     $ —    

Ag RE

     —         —         —         —         33,650       33,650       —    

Ag

     —         —         1,474       1,474       63,926       65,400       —    

Commercial Real Estate

     548       —         445       993       193,275       194,268       —    

Commercial and Industrial

     957       52       831       1,840       117,469       119,309       15  

Consumer

     147       6       33       186       28,740       28,926       33  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
               

Total

   $ 2,262     $ 87     $ 2,952     $ 5,301     $ 522,288     $ 527,589     $ 48  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

The following table presents the recorded investment in nonaccrual loans by class or loans as of December 31, 2011 and December 31, 2010:

 

                 
    (In Thousands)  
    2011     2010  
     

Consumer real estate

   $ 700     $ 587  

Agricultural real estate

     —         531  

Agriculture

     7       1,474  

Commercial real estate

     1,003       1,705  

Commercial

     421       1,543  

Consumer

     —         4  
   

 

 

    

 

 

  

Total

   $ 2,131     $ 5,844  
   

 

 

    

 

 

  

 

The Bank uses a nine tier risk rating system to grade its loans. The grade of a loan may change during the life of the loan. The risk ratings are described as follows.

 

  1. Zero (0) Unclassified. Any loan which has not been assigned a classification.

 

  2. One (1) Excellent. Credit to premier customers having the highest credit rating based on an extremely strong financial condition, which compares favorably with industry standards (upper quartile of RMA ratios). Financial statements indicate a sound earnings and financial ratio trend for several years with satisfactory profit margins and excellent liquidity exhibited. Prime credits may also be borrowers with loans fully secured by highly liquid collateral such as traded stocks, bonds, certificates of deposit, savings account, etc. No credit or collateral exceptions exist and the loan adheres to the Bank’s loan policy in every respect. Financing alternatives would be readily available and would qualify for unsecured credit. This grade is summarized by high liquidity, minimum risk, strong ratios, and low handling costs.

 

  3. Two (2) Good. Desirable loans of somewhat less stature than Grade 1, but with strong financial statements. Loan supported by financial statements containing strong balance sheets, generally with a leverage position less than 1.50, and a history of profitability. Probability of serious financial deterioration is unlikely. Possessing a sound repayment source (and a secondary source), which would allow repayment in a reasonable period of time. Individual loans backed by liquid personal assets, established history and unquestionable character.

 

  4. Three (3) Satisfactory. Satisfactory loans of average or slightly above average risk – having some deficiency or vulnerability to changing economic conditions, but still fully collectible. Projects should normally demonstrate acceptable debt service coverage. Generally, customers should have a leverage position less than 2.00. May be some weakness but with offsetting features of other support readily available. Loans that are meeting the terms of repayment.

Loans may be graded 3 when there is no recent information on which to base a current risk evaluation and the following conditions apply:

At inception, the loan was properly underwritten and did not possess an unwarranted level of credit risk;

 

  a. At inception, the loan was secured with collateral possessing a loan value adequate to protect the Bank from loss;

 

  b. The loan exhibited two or more years of satisfactory repayment with a reasonable reduction of the principal balance;

 

  c. During the period that the loan has been outstanding, there has been no evidence of any credit weakness. Some examples of weakness include slow payment, lack of cooperation by the borrower, breach of loan covenants, or the business is in an industry which is known to be experiencing problems. If any of the credit weaknesses is observed, a lower risk grade is warranted.

 

  5. Four (4) Satisfactory / Monitored. A “4” (Satisfactory/Monitored) risk grade may be established for a loan considered satisfactory but which is of average credit risk due to financial weakness or uncertainty. The loans warrant a higher than average level of monitoring to ensure that weaknesses do not advance. The level of risk in Satisfactory/Monitored classification is considered acceptable and within normal underwriting guidelines, so long as the loan is given management supervision.

 

  6. Five (5) Special Mention. Loans that possess some credit deficiency or potential weakness which deserves close attention, but which do not yet warrant substandard classification. Such loans pose unwarranted financial risk that, if not corrected, could weaken the loan and increase risk in the future. The key distinctions of a 5 (Special Mention) classification are that (1) it is indicative of an unwarranted level of risk, and (2) weaknesses are considered “potential”, versus “defined”, impairments to the primary source of loan repayment and collateral.

 

  7. Six (6) Substandard. One or more of the following characteristics may be exhibited in loans classified substandard:

 

  a. Loans, which possess a defined credit weakness and the likelihood that a loan will be paid from the primary source, are uncertain. Financial deterioration is underway and very close attention is warranted to ensure that the loan is collected without loss.

 

  b. Loans are inadequately protected by the current net worth and paying capacity of the borrower.

 

  c. The primary source of repayment is weakened, and the Bank is forced to rely on a secondary source of repayment such as collateral liquidation or guarantees.

 

  d. Loans are characterized by the distinct possibility that the Bank will sustain some loss if deficiencies are not corrected.

 

  e. Unusual courses of action are needed to maintain a high probability of repayment.

 

  f. The borrower is not generating enough cash flow to repay loan principal; however, continues to make interest payments.

 

  g. The lender is forced into a subordinate position or unsecured collateral position due to flaws in documentation.

 

  h. Loans have been restructured so that payment schedules, terms and collateral represent concessions to the borrower when compared to the normal loan terms.

 

  i. The lender is seriously contemplating foreclosure or legal action due to the apparent deterioration in the loan

 

  j. There is significant deterioration in the market conditions and the borrower is highly vulnerable to these conditions.

 

  8. Seven (7) Doubtful. One or more of the following characteristics may be exhibited in loans classified Doubtful:

 

  a. Loans have all of the weaknesses of those classified as Substandard. Additionally, however, these weaknesses make collection or liquidation in full based on existing conditions improbable.

 

  b. The primary source of repayment is gone, and there is considerable doubt as to the quality of the secondary source of repayment.

 

  c. The possibility of loss is high, but, because of certain important pending factors which may strengthen the loan, loss classification is deferred until its exact status is known. A Doubtful classification is established deferring the realization of the loss.

 

  9. Eight (8) Loss. Loans are considered uncollectable and of such little value that continuing to carry them as assets on the institution’s financial statements is not feasible. Loans will be classified Loss when it is neither practical nor desirable to defer writing off or reserving all or a portion of a basically worthless asset, even though partial recovery may be possible at some time in the future.

The following table represents the risk category of loans by class based on the most recent analysis performed as of the time periods shown of December 31, 2011 and December 31, 2010.

 

                                                                                 
    (In Thousands)  
    Agriculture Real Estate     Agriculture     Commercial Real Estate     Commercial     Industrial Development Bonds  
    2011     2010     2011     2010     2011     2010     2011     2010     2011     2010  
                     

1-2

   $ 1,059     $ 484     $ 1,500     $ 109     $ 3,545     $ —       $ 710     $ 341     $ 188     $ 275  

3

     12,613       12,216       25,019       27,964       23,346       26,333       22,506       14,026       622       733  

4

     17,255       19,624       26,008       35,655       162,788       153,948       82,745       92,066       386       957  

5

     383       208       57       173       6,098       6,765       3,897       3,388       —         —    

6

     683       1,097       7       1,474       4,677       6,771       4,219       6,688       —         —    

7

     —         21       7       25       704       451       420       835       —         —    

8

     —         —         —         —         —         —         —         —         —         —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total

   $ 31,993     $ 33,650     $ 52,598     $ 65,400     $ 201,158     $ 194,268     $ 114,497     $ 117,344     $ 1,196     $ 1,965  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

For consumer residential real estate, and other, the Company also evaluates credit quality based on the aging status of the loan, which was previously stated, and by payment activity. The following tables present the recorded investment in those classes based on payment activity and assigned risk grading as of December 31, 2011 and December 31, 2010.

                 
    (In Thousands)  
    Consumer Real Estate  
    2011     2010  
     

Grade

                

Pass

     81,062     $  84,723  

Special mention (5)

     —         387  

Substandard (6)

     240       639  

Doubtful (7)

     283       287  
   

 

 

    

 

 

  

Total

   $  81,585     $ 86,036  
   

 

 

    

 

 

  

 

                                 
    (In Thousands)  
    Consumer - Credit Card     Consumer - Other  
    2011     2010     2011     2010  

Performing

   $ 3,607     $ 3,553     $ 19,531     $ 25,323  

Nonperforming

     —         5       50       44  
   

 

 

    

 

 

    

 

 

    

 

 

  

Total

   $  3,607     $  3,559     $  19,581     $  25,367  
   

 

 

    

 

 

    

 

 

    

 

 

  

Information about impaired loans as of and for the years ended December 31, 2011 and 2010 are as follows:

 

                 
    (In Thousands)  
    2011     2010  
     

Impaired loans without a valuation allowance

   $ 446     $ 2,849  

Impaired loans with a valuation allowance

     1,408       1,520  
   

 

 

    

 

 

  

Total impaired loans

   $ 1,854     $ 4,369  
   

 

 

    

 

 

  

Valuation allowance related to impaired loans

   $ 175     $ 632  

Total non-accrual loans

   $ 2,131     $ 5,844  

Total loans past-due ninety days or more and still accruing

   $ —       $ 48  

 

                         
    (In Thousands)  
    2011     2010     2009  

Average investment in impaired loans

   $ 5,466     $ 10,136     $ 13,643  
   

 

 

    

 

 

    

 

 

  

Interest income recognized on impaired loans

   $ 1,230     $ 61     $ 290  
   

 

 

    

 

 

    

 

 

  

Interest income recognized on a cash basis on impaired loans

   $ 1,175     $ 41     $ 290  
   

 

 

    

 

 

    

 

 

  

No additional funds are committed to be advanced in connection with impaired loans.

The Bank had approximately $207 thousand of its impaired loans classified as trouble debt restructured as of December 31, 2011 as compared to $760 thousand of its impaired loans classified as trouble debt restructured as of December 31, 2010.

                         
          (In Thousands)  
           Pre-     Post-  
          Modification     Modification  
December 31, 2011         Outstanding     Outstanding  
    Number of     Recorded     Recorded  

Troubled Debt Restructurings

   Contracts     Investment     Investment  

Commercial Real Estate

     5     $ 3,940     $ 3,219  

Ag Real Estate

     2     $ 154     $ 150  

Commercial and Industrial

     1     $ 148     $ 25  
       
Troubled Debt Restructurings   Number of     Recorded        

That Subsequently Defaulted

   Contracts     Investment        

Commercial Real Estate

     1     $ 207          

Ag Real Estate

     —       $ —            

Commercial and Industrial

     —       $ —            

For the majority of the Bank’s impaired loans, the Bank will apply the observable market price methodology. However, the Bank may also utilize a measurement incorporating the present value of expected future cash flows discounted at the loan’s effective rate of interest. To determine observable market price, collateral asset values securing an impaired loan are periodically evaluated. Maximum time of re-evaluation is every 12 months for chattels and titled vehicles and every two years for real estate. In this process, third party evaluations are obtained and heavily relied upon. Until such time that updated appraisals are received, the Bank may discount the collateral value used.

The Bank uses the following guidelines as stated in policy to determine when to realize a charge-off, whether a partial or full loan balance. A charge down in whole or in part is realized when unsecured consumer loans, credit card credits and overdraft lines of credit reach 90 days delinquency. At 120 days delinquent, secured consumer loans are charged down to the value of the collateral, if repossession of the collateral is assured and/or in the process of repossession. Consumer mortgage loan deficiencies are charged down upon the sale of the collateral or sooner upon the recognition of collateral deficiency. Commercial and agricultural credits are charged down at 120 days delinquency, unless an established and approved work-out plan is in place or litigation of the credit will likely result in recovery of the loan balance. Upon notification of bankruptcy, unsecured debt is charged off. Additional charge-off may be realized as further unsecured positions are recognized.

 

The following table presents loans individually evaluated for impairment by class of loans as of December 31, 2011and 2010 (in thousands):

 

                                         
    (In Thousands)  
    Recorded
Investment		     Unpaid
Principal
Balance		     Related
Allowance		     YTD
Average
Recorded
Investment		     YTD
Interest
Income
Recognized		  

2011

                                        
           

With no related allowance recorded:

                                        

Residential

   $ 239     $ 239     $ —       $ 156     $ 36  

Agriculture real estate

     —         —         —         180       15  

Agriculture

     —         —         —         2,683       1,156  

Commercial real estate

     207       384       —         1,381       22  

Commercial

     —         —         —         485       1  

Consumer

     —         —         —         1       —    

With a specific allowance recorded:

                                        

Residential

     283       308       54       431       —    

Agriculture real estate

     —         —         —         —         —    

Agriculture

     —         —         —         —         —    

Commercial real estate

     704       854       29       144       —    

Commercial

     420       420       91       402       —    

Consumer

     —         —         —         —         —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Totals:

                                        

Residential

   $ 522     $ 547     $ 54     $ 587     $ 36  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Agriculture real estate

   $ —       $ —       $ —       $ 180     $ 15  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Agriculture

   $ —       $ —       $ —       $ 2,683     $ 1,156  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Commercial real estate

   $ 911     $ 1,238     $ 29     $ 1,525     $ 22  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Commercial

   $ 420     $ 420     $ 91     $ 887     $ 1  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Consumer

   $ —       $ —       $ —       $ 1     $ —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
                                         
    (In Thousands)  
    Recorded
Investment		     Unpaid
Principal
Balance		     Related
Allowance		     YTD
Average
Recorded
Investment		     YTD
Interest
Income
Recognized		  

2010

                                        
           

With no related allowance recorded:

                                        

Residential

   $ 384     $ 384     $ —       $ —       $ —    

Agriculture real estate

     219       219       —         119       31  

Agriculture

     1,397       1,397       —         2,786       —    

Commercial real estate

     849       1,699       —         2,209       26  

Commercial

     —         —         —         2,221       2  

Consumer

     —         —         —         —         —    

With a specific allowance recorded:

                                        

Residential

     287       317       66       1,375       —    

Agriculture real estate

     —         —         —         —         —    

Agriculture

     —         —         —         5       1  

Commercial real estate

     476       476       73       296       1  

Commercial

     757       757       493       1,125       —    

Consumer

     —         —         —         —         —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Totals:

                                        

Residential

   $ 671     $ 701     $ 66     $ 1,375     $ —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Agriculture real estate

   $ 219     $ 219     $ —       $ 119     $ 31  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Agriculture

   $ 1,397     $ 1,397     $ —       $ 2,791     $ 1  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Commercial real estate

   $ 1,325     $ 2,175     $ 73     $ 2,505     $ 27  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Commercial

   $ 757     $ 757     $ 493     $ 3,346     $ 2  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Consumer

   $ —       $ —       $ —       $ —       $ —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

The ALLL has a direct impact on the provision expense. An increase in the ALLL is funded through recoveries and provision expense. The following tables summarize the activities in the allowance for credit losses.

The following is an analysis of the allowance for credit losses:

 

                         
    (In Thousands)  
    2011     2010     2009  

Allowance for Loan Losses

                        

Balance at beginning of year

   $ 5,706     $ 6,008     $ 5,496  

Provision for loan loss

     1,715       5,325       3,558  

Loans charged off

     (2,681 )      (6,422 )      (3,288 ) 

Recoveries

     351       795       242  
   

 

 

    

 

 

    

 

 

  

Allowance for Loan & Leases Losses

   $ 5,091     $ 5,706     $ 6,008  
   

 

 

    

 

 

    

 

 

  

Allowance for Unfunded Loan Commitments & Letters of Credit

   $ 130     $ 153     $ 227  
   

 

 

    

 

 

    

 

 

  

Total Allowance for Credit Losses

   $ 5,221     $ 5,859     $ 6,235  
   

 

 

    

 

 

    

 

 

  

 

The Company segregates its Allowance for Loan and Lease Losses (ALLL) into two reserves: The ALLL and the Allowance for Unfunded Loan Commitments and Letters of Credit (AULC). When combined, these reserves constitute the total Allowance for Credit Losses (ACL).

The AULC is reported within other liabilities on the balance sheet while the ALLL is netted within the loans, net asset line. The ACL presented above represents the full amount of reserves available to absorb possible credit losses.

The following table breaks down the activity within ALLL for each loan portfolio segment and shows the contribution provided by both the recoveries and the provision along with the reduction of the allowance caused by charge-offs.

Additional analysis related to the allowance for credit losses as of December 31, 2011 and 2010 is as follows:

 

                                                                         
    (In Thousands)  
    Consumer
Real
Estate		     Agriculture
Real Estate		     Agriculture     Commercial
Real Estate		     Commercial
and
Industrial		     Consumer     Unfunded Loan
Commitment &
Letters of
Credit		     Unallocated     Total  
                   

2011

                                                                        

ALLOWANCE FOR CREDIT LOSSES:

                                                                        

Beginning balance

   $ 258     $ 122     $ 327     $ 1,868     $ 2,354     $ 380     $ 153     $ 397     $ 5,859  

Charge Offs

     (422 )      —         (24 )      (360 )      (1,500 )      (375 )      —         —       $ (2,681 ) 

Recoveries

     61       —         67       32       19       172       —         —       $ 351  

Provision

     364       18       (104 )      548       1,074       138       —         (323 )      1,715  

Other Non-interest expense related to unfunded

     —         —         —         —         —         —         (23 )      —         (23 ) 
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending Balance

   $ 261     $ 140     $ 266     $ 2,088     $ 1,947     $ 315     $ 130     $ 74     $ 5,221  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: individually evaluated for impairment

   $ 55     $ —       $ —       $ 29     $ 91     $ —       $ —       $ —       $ 175  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: collectively evaluated for impairment

   $ 206     $ 140     $ 266     $ 2,059     $ 1,856     $ 315     $ 130     $ 74     $ 5,046  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: loans acquired with deteriorated credit quality

     2       —         —         —         —         —         —         —         2  
                   

FINANCING RECEIVABLES:

                                                                        

Ending balance

   $ 81,585     $ 31,993     $ 52,598     $ 201,158     $ 115,693     $ 23,188     $ —       $ —       $ 506,215  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: individually evaluated for impairment

   $ 523     $ —       $ —       $ 911     $ 420     $ —       $ —       $ —       $ 1,854  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: collectively evaluated for impairment

   $ 81,062     $ 31,993     $ 52,598     $ 200,247     $ 115,273     $ 23,188     $ —       $ —       $ 504,361  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: loans acquired with deteriorated credit quality

   $ 856     $ —       $ —       $ —       $ —       $ —       $ —       $ —       $ 856  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
                   

2010

                                                                        

ALLOWANCE FOR CREDIT LOSSES:

                                                                        

Beginning balance

   $ 439     $ 120     $ 647     $ 1,810     $ 2,494     $ 497     $ 227     $ 1     $ 6,235  

Charge Offs

     (507 )      —         (136 )      (1,147 )      (4,188 )      (444 )      —         —         (6,422 ) 

Recoveries

     55       —         17       52       515       156       —         —         795  

Provision

     271       2       (201 )      1,153       3,533       171       —         396       5,325  

Other Non-interest expense related to unfunded

     —         —         —         —         —         —         (74 )      —         (74 ) 
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending Balance

   $ 258     $ 122     $ 327     $ 1,868     $ 2,354     $ 380     $ 153     $ 397     $ 5,859  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: individually evaluated for impairment

   $ 66     $ —       $ —       $ 73     $ 493     $ —                       $ 632  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: collectively evaluated for impairment

   $ 190     $ 122     $ 327     $ 1,795     $ 1,861     $ 380     $ 153     $ 397     $ 5,226  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: loans acquired with deteriorated credit quality

     2       —         —         —         —         2                       4  

FINANCING RECEIVABLES:

                                                                        

Ending balance

   $ 75,785     $ 34,446     $ 65,400     $ 204,327     $ 119,262     $ 28,369                     $ 527,589  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: individually evaluated for impairment

   $ 671     $ 219     $ 1,397     $ 1,325     $ 757     $ —                       $ 4,369  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: collectively evaluated for impairment

   $ 75,114     $ 34,227     $ 64,003     $ 203,002     $ 118,505     $ 28,451                     $ 523,302  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: loans acquired with deteriorated credit quality

   $ 987     $ —       $ —       $ —       $ —       $ 156                     $ 1,143